INTRODUCTION

INDUSTRIAL RELATIONS:

The concept of industrial relations refers a complex and dynamic

relationship between employees and employers, employees and trade unions
exist in the organization is said to be Industrial relation.

DEFINITION:

Industrial relation is concerned with the system and procedures used

by the unions and employees to determine the reward for effort and other
conditions of employment, to protect the invest of employed and employers,
and to regulate the ways in which employers treat their employees.

Parties involved in Industrial Relations

1. Employees
2. Trade Unions
3. Employees Association
4. Employers Association
5. Government

EMPLOYER WELFARE

After employees have been hired trained and remunerated they need
to be retained and maintained to serve the organization better. Welfare
facilities are designed to take care of well being of the employees. They do
not generally result in any monetary benefit to the employee.

MEANING

Welfare means fairing or doing well and referred to as betterment

work for employees, relates to taking care of the well being of workers and
employers trade unions and government and non government agencies.

TYPES OF WELFARE ACTIVITIES

The meaning of labour welfare may be made clearer by listing the

activities and facilities, which are referred to as welfare measures.

Welfare measures inside the work place.

Welfare measures outside the work place.

1
 Management’s success lies in motivating its workforce and welfare
measures act as the driving force.

Welfare programmes for workers assume special significance in a

country like India where poverty in quite pervasive and where a worker, by
himself, in generally not in a position to create such welfare facilities that
can make his life more pleasant. Where the welfare measures that were
facilitated is closely associated with the productivity of labour, labour
turnover, absenteeism, morale and other economic non-economic
considerations of labour. Now if these measures are been provided by the
employees it also helps in making the work place more congenial.

It is a well known fact that the problem arise in the field of Industrial
Relations such as Indiscipline, high turnover, excessive absenteeism etc.
Which may be caused by maladjustment of the workers to the work
environment. In these situations the labour welfare measures helps to avoid
such disputes and disorders that effect the industrial environment. These
welfare activities not only make the above but also increases the comforts of
the workers and improves their stand and of living. This makes them to
adjust to the environment, reducing displeasures friction and under-
utilization of resources.

It is axiomatic that a stable, well integrated and better satisfied

workforce will help in speeder development and better utilization of
resources. If the working and living conditions are here of the welfare
measures, the workers will be malcontents and will contribute not only
towards efficiency but towards problems.

2
 Although the provision of better working and living conditions were
conceived earlier on humanitarian grounds, later it was also realized that it
increased productivity. Effective commitment towards work, improved
morale and also the industrial Peace. This is the fundamental thesis that has
led to the intervention of the state through legislation on labour welfare.

3
 PRINCIPLES OF LABOUR WELFARE:

 The labour welfare activities should pervade the entire hierarchy of

an organization.

 The employees should not bargain labour welfare as a substitute

for wages or monetary incentives.

 Labour welfare must aim at helping employees to help themselves

in the long sum.

 There should be proper coordination has many and integration of

all labour welfare services in an undertaking.

 The labour welfare work of and organization must be

administratively viable and essentially development oriented.

 The management should ensure co-operation and active

participation of unions and workers in formulating and
implementing labour welfare programmes.

 There must be periodical evaluation of welfare measures and

necessary timely improvements on the basis of feedback.

4
 NEED FOR THE STUDY
To understand the extent to which the welfare measures provided by
O.N.G.C, towards their employees. To know the level of awareness of
employee about the various welfare measures provided to them. To study
how the Welfare facilities provided helps in increasing the productivity and
job satisfaction. To learn how welfare services provided to employees help
Organization to build up a stable work force by reducing absenteeism and
labour turnover. To offer useful suggestions for improving the effective ness
of welfare measures. To recognize the importance of welfare measures for
O.N.G.C employees to achieve the organization goals.

The real need for welfare arises from the two basis condition
generally known as the ‘long aim of the job’ and the ‘social invasion of the
factory’. The working environment of any job in factory or mine or a
workshop imposes some adverse effect on the workers because of the heat,
noise, and order fumes etc. involved in the manufacturing process. There are
also occupational hazards and environmental problems inherent and
inevitable in the manufacturing process itself, which cannot be removed or
reduced. As a result productive devices and compensatory benefits have to
be provided for the welfare of the workers. This can be referred to as the
‘Long arm of the job’ which stretches out its adverse effect on to the worker,
long after normal working hours, affecting physical and mental well-being.
Hence, the need for welfare services within the factory or work place is felt.

Regarding the aspect of ‘social invasion of the factory’ when a worker

comes to Working place, he is not an isolated individual but a member of
society having family members. A worker need to satisfied regards his
culture and living environment. Hence, the imperative needs to provide a
welfare services to satisfy his personal and family needs is felt.

5
 OBJECTIVES OF THE STUDY:

The study was conducted in order to achieve the following individual

Objectives:

1. To understand the extent to which the welfare measures

provided by O.N.G.C, towards their employees.

2. To know the level of awareness of employee about the various

welfare measures provided to them.

3. To study how the Welfare facilities provided helps in increasing

the productivity and job satisfaction.

4. To learn how welfare services provided to employees help

Organization to build up a stable work force by reducing
absenteeism and labour turnover.

5. To offer useful suggestions for improving the effectiveness of

welfare measures.

6
METHODODLOGY:

The project and mainly based on two sources of the data viz,

1. Primary source
2. Secondary source

Primary source:

The primary source of data is applied for getting the required and
relevant information directly from the Department heads and in the course of
discussion with Executives. The following are the data collected through
primary sources.

a) Type of welfare measures provides O.N.G.C.

b) Refreshment courses conducted in the technical institute.

c) About the course covered through discussion with the employee

and through questionnaires.
Secondary Sources:

The secondary source of data was collected through obtaining records

and files from the Administrative Building of O.N.G.C. and the institutional
guide gave us the remaining necessary information and the staffs relating to
Administration gave me all the necessary information to complete the study.

7
SCOPE OF THE STUDY:

Welfare is very wide one and is more or less synonymous with

conditions of work as a whole. It may include not only the minimum
standard of hygiene and safety laid down in general labour legislation, but
also such aspects of working life as social insurance schemes, measures for
the protection of women and young workers, limitation of hours of work,
and paid vacations. In other cases, the definition is much more limited, and
welfare, in addition to general physical working conditions, is mainly
concerned with day-to-day problems of workers and the social relationships
at the place of work.

As the subject of welfare facilities is a very broad one covering a wide

field of amenities and activities, limits cannot be rigidly laid down regarding
its scope for all times. In the final analysis, workers welfare services should
include all extra-mural and intra-mural welfare work, statutory and non-
statutory welfare facilities undertaken by the employers, government, trade
unions of voluntary’ organizations and also social security measures which
contribute to workers welfare such as industrial health, insurance, provident
fund, gratuity, maternity benefits, workmen’s compensation, retirement
benefits, and so on. More specifically,

In the light of above observations, we may define that the term

Employee Welfare is a dynamic concept and no rigid limit for the scope can
be laid down for all industries for all times. However, the scope may be
elaborated to

8
 a) Enable workers to live a richer and more satisfactory life.
b) Raise the standard of living.
c) Be in line with similar services available in the neighbouring
enterprises.
d) Improve the productivity of employee.
e) Be so designed to accommodate all changes occurring due to
industrialization and technological advancement.
f) Be administratively viable and should have easy access.

Thus, the scope of Employee Welfare covers all intra-mural and extra-
mural welfare activities as well as the statutory and non-statutory welfare
measures undertaken by Government, Trade Unions, or Voluntary
Organizations for the betterment of the workers.

PERIOD OF THE STUDY:

The period of the study is from 1st May 2007 to 30th June 2007. and
the statistical information was been taken to the period of 2006-2007.
LIMITATIONS OF THE STUDY:
 As the managers of the organization are busy with their work
schedule it was difficult to collect detailed data.

 Time was the major constraint as the mentioned period was not
enough to collect the data in details.
 Survey was done with the sample size of as the employees of

the company work in shifts and as they are busy with their
schedule.

 Some were unable to understand the language in the

questionnaire so they felt it difficult to answer.

9
 INTRODUCTION

A WORD ABOUT OIL AND NATURAL GAS

The first oil discovery in India was made in Digboi in Assam in 1889.
Those days nobody thought this discovery was to play in the Country’s quest
for oil and gas later years. Over years grown oil and gas sector played a key
role in the country’s energy sector and account for 54 percent of India’s
commercial energy consumption, as India is eight largest consumer of oil in
the world.

On a conservative basis petroleum product consumption in India is

expected to grow from present level of 97 million tones P.A in 1999-2001
to about 180 million tones P.A in 2006-07 and further about 370 million
tones P.A by 2024-25 and demand for natural gas which was 110 ton million
standard cubic meters per day in 1999-2001 is expected reach 231 million
cubic meters per day by 2006-07 and further to 391 million cubic meters per
day by 2024-25

India proved the oil and gas reserves are 0.5 percent of world reserves
where as oil production is 0.9 percent and gas production 1.2 percent of total
world production respectively. The sedimentary basin area of the country is
about 4 percent of the total world sedimentary area.

India is endowed with 26 sedimentary basins along with deep-water

sedimentary areas. All 26 sedimentary basins of the country are not alike
from the oil and gas prospectively point of view based on degree of
exploration and prospectively as presently known these basins have been
divided into four categories. The highly prospective basin included Bombay

10
offshore; cambay, upper Assam, Assam-Arakan, Krishna-Godavari and
Cauvery basins and low prospective basins are Ganga, Vindhya, Kerala-
Konkan, Mahanadi and Bengal basins.

The great strides have been made in oil and gas exploration by two
national oil company’s namely oil and Natural Gas corporation Ltd;
(O.N.G.C) and oil India ltd;(O I Ltd;)

A number of new discoveries have been made by in the Gulf of

Cambay, Krishna Godavari and Rajasthan basins by private/joint venture
companies. In deep water areas of the Krishna Godavari basins many large
prospects are under drilling. This would result in finding several gas fields
along the east coast with 3-4 years. This area can produce 25-30 percent
more gas over the current production.

As private participation is increased for regulatory the up stream of oil

and gas sector a regulatory body was set by Government, the Director
General of Hydrocarbons(D.G.H) under ministry of Petroleum and
NaturalGas.

Till QI FY99, the Indian oil & gas industry has been under state
control vide the Administered Pricing Mechanism (APM). The production
pattern, capital expenditure and pricing of petroleum products were
determined by the state. The pricing system assured all players a normative
post-tax return of 12% on net worth.

11
 Decontrol measures were initiated and retention pricing for refineries
has been abolished w.e.f Apr ’98. However, controls on 5 products (MS,
HSD, ATF, SKO AND LPG) that contribute 70% of the volumes, continue
to remain. Subsidies on LPG and SKO will be limited to 15% and 33% of
import parity prices and tariff of crude and petroleum products will be
reduced to 0-5% and 15% respectively.

The major gainers of deregulation process will be old players with old
and depreciated units like – MRL,CRL,BPCL,HPCL, IOCL etc. New
refineries like MRPL, Essar Oil and Reliance Petroleum will be hard hit, as
their refining margins under the market determined pricing mechanism
would be lower than that under the APM. In addition, net profit will be
affected by high interest and depreciation outgo. It is important to note that a
six-mtpa refinery (current minimum economic size)will cost Rs36bn.

Global oil & gas production is skewed with most of the reserves
concentrated in the Middle East, which supplies to deficit countries in the
Americas and the Asia-Pacific. As at end 1998, the world had proven oil
reserves of a little over I bbl and proven gas reserves of little less than 140
trillion cubic meters.

Amongst players, ONGC has a virtual monopoly in upstream crude

oil and gas production, while GAIL has a monopoly in marketing and
distribution of gas. The refining and marketing sector is again dominated by
PSU s, which account for nearly 95% of the total refining capacity and
100% of products marketed. JOIL is the market leader in both refining and
marketing followed by BPCL and HPCL. MRPL was the first non-PSU in
the sector , followed by Reliance and Essar by 1999-2000.

12
 Stock valuations continue to remain depressed. The two negative
factors for the sector are dim outlook on global refining margins and supply
of stock in the form of government disinvestment. Investors should use all
disinvestment programs as a buying opportunity because the long-term
fundamental story is still intact.

GLOBAL SCENARIO

Primary energy consumption

Primary energy is a critical input and in line with economic growth,

as observed since the late seventies. The world consumption of energy
increased from about 4,800 million metric ton of oil equivalent (mmtoe)in
1970 to about 8,877 mmtoe in 1999, representing a CAGR of about 1.98%.
The growth in consumption would have been much higher but for the
disintegration of the former Soviet Union, whose energy consumption levels
dropped by more than 35% in the last five years.
The average per capita consumption of energy vis-à-vis hydrocarbons
(kgOE)
Country/Region Primary Energy Hydro-Carbons
World 1454 927
India 285 113
China 688 169
Pakistan 264 231
Bangladesh 81 80
Japan 3962 2520
U.K. 3856 2719
Germany 4120 2539

Source: British Petroleum Statistics – 1998

Importance of oil & gas in primary energy

13
 Oil & Gas constitute a significant 63% of the primary energy
consumption. The situation in Asia! Australia is different with coal still
remaining the primary source of energy. However, the scenario is rapidly
changing, for instance in the last decade, oil & gas consumption has grown
at more than 70% in the Asia Pacific region vis-a-vis 15% in the rest of the
world (excluding the former Soviet Union, where the growth rate has been
negative). The Asia Pacific region is thus gaining importance in the oil &
gas map, with India and China together accounting for 47.50% of the total
demand in this region.

In the last decade, natural gas has taken the lead in growth and in the
emerging energy scenario, it is seen as an environment-friendly substitute
for relatively scarcer – oil. Consumption of natural gas has grown by more
than 26% vis-à-vis 15% in consumption of oil.
Oil and gas reserves

As at end 1999, the world had proven oil reserves of a little over
1,055 million barrels (about 140,900 mmt) while that of gas, a little less
than 140 trillion cubic meters. At the current rate of production, oil reserves
are likely to last for about 40 years and natural gas reserves for about 65
years. The reserves are however unevenly distributed with the Middle East
countries together holding 65% of oil and 34% of gas reserves.

Oil-Widely traded energy source

14
 Considering the fact that oil & gas would be available in the
foreseeable future without any constraint, oil & gas would continue to be the
most widely traded energy source. World oil trade is estimated to be 38
million barrels a day. The inherent advantages of oil &gas in terms of
versatility ease in handling & transport and adaptability to new
environmental standards would make it the most preferred fuel. Though
reserves by themselves are not a cause for worry, experts feel that as the
reserves/ production ratio falls, the cost of exploration could rise with
increased investment in development of resources leading to a surge 3
prices.

World refining capacity- Reaching record levels(Introduction)

As of 1999,the world’s total refining capacity was close to 82,861

thousand barrels a day. The refinery throughput in the year 1999 stood at
71,126 thousand barrels a day , representing an average capacity utilization
of about 85%.

Oil &gas prices

Oil and gas prices are closely linked to the policies and capacity
utilization of OPEC. Thanks to the two oil price shocks, oil prices which
were reasonably flat at about US$3/ bbl till early seventies spiked to more
than US$3/bbl in 1973-74 and again to more than US$25/ bbl in 1979-80.
The prices have thereafter hovered between US$15-25/ bbl but for a short
blip in 1990 due to Iraqi invasion Kuwait. In1998, oil prices crashed once
again to a decade low of US$11/ bbl due to excess capacity, poor off-take
and an overall slowdown in world economies. Subsequently OPEC reduced
crude output, which escalated prices from $11/ bbl in 1998 to $32/ bbl in

15
June 2000. Later though POEC increased production twice (by 1.45mbpd in
September ’99 and 0.7mbpd in June’00), the quantum was insufficient to
tame prices. The world market now banks on increased supply from non-
OPEC countries namely Mexico, Oman and Norway.
The product prices do not necessarily move in tandem with the crude
oil prices but as a direct function of regional refining capacities vis –a-vis
demand & supply.
Natural gas prices on the other hand have also increased from US$1.5-
2.5 per mbtu in 1998 to $4.36 per mbtu in June 2000. Unlike crude oil , there
are no benchmarks for natural gas and the price is based on calorific value of
gas, local demand & supply and cost of alternate liquid fuels. Huge
disparities exist in the price of natural gas not only between countries but
also within a country.

Energy scenario in India

Primary energy consumption in India Excluding the non-commercial

energy sources like wood and animal waste, the primary energy
consumption in India was 285kgOE in 1998 as against 5800kgOE in North
America. Coal continues to be most important source of energy, constituting
more than 56% of the total energy consumption though there is a conscious
shift towards oil as alternate fuel. The over all demand for oil products
increased from 74mtpain 1996 to 90mtpa in 2000, representing CARG of
5%. At current levels the estimated demand by 2005 is expected to be
around 114mpta while the refining capacity would be around 155mtpa.

Oil & Gas – Reserves & Production

16
 There are 26 sedimentary basins in India covering an area of 1.78 mn
sq kID,of which 1.46 mn sq km are onshore and 0.32 mn sq km are offshore
in water with up to 200 meters in depth. The total prognosticated reserves
are estimated at 20 bbl of oil, but till date only 27% of this has been
discovered. A total of 5.4 bbl of oil (about 732 mmt ) has thus been
discovered with the annual production in the region accounting to 35-40
nmmtpa. These reserves are likely to last for the next 20 years. However,
the current production level of 35 mmtpa would be highly inadequate,
especially once the planned refining capacities come on stream a large
portion of the crude would need to be imported.
As of 1995, the proved gas reserves were about 660 billion cubic
meters (bcm) while production as of 1999 was 27bcm. At current
production levels these reserves are likely to last for about 30- years.

Natural Gas Demand (MMSCMD)

Year Demand
1999-2000 110
2001-2002 151
2006-2007 231
2011-2012 313
2024-2025 391

Refining Capacities

The refining capacity increased from 69.14mtpa in FY99 to 109mtpa

as of January 2000 i.e. about 2.7% of the world refining capacity. Currently

17
there are about 17 refineries of which 7 are owned by Indian Oil
Corporation (IaC),2by Hindustan Petroleum Corporation Ltd(HPCL) and
Madras Refineries Ltd (MRL), 1 BY Bharat Petroleum Corporation Ltd
(bpcl), Cochin Refineries Ltd (CRL), Bongaigoan Refinery &
Petrochemicals Ltd (BRPL), Numaligarh Refineries Ltd (NRL), Mangalore
Refinery & Petrochemicals Ltd (MRPL) and Reliance Petroleum Ltd
(RPL) .

Sector controls
Given the criticality of oil & gas in the national economy, the sector
was completely regulated till 1991. With the ushering of liberalization, the
sector was partially opened with decontrol of lubricants, decanalization of
several products and permission to parallel marketers to sell LPG and SKO.
Currently, administered pricing mechanism is present only in the marketing
sector with the government ruling the prices of most petroleum products.
With the ballooning demand for petroleum products and no fresh discoveries
of oil wells, imports have been continuously swelling. During FYOO, India
imported 44mton of crude and 12mnton of products.
The import bill for FYOO was Rs528bn and if the situation continues,
it could have serious repercussions of the balance of payments situation as
well as smooth & continuous availability of energy. The only solution to this
problem is to attract large investments, both in terms of capital and
technology so as to boost production levels and cater to the growing
demand. To do this, all the controls in the sector would have to be removed.
The government is also reacting in this direction.

Business risk

18
 The uncertainties involved in finding commercial quantities of oil &
gas and the intensive capital required for venturing into the business make
E&O prone to great business risk. Tens of millions of dollars may well have
been spent without discovering a viable oil & gas field. Given this inherent
risk in business where inputs can be determined and outputs are probable,
the successful ventures have to generate sufficient profits for the
unsuccessful ones to keep the business going. An estimated US$50mn may
have to be spent over a period of 3 to 6 years, before one realistically
conclude whether the field is fit to be fully developed for commercial
exploitation.

In order to counter this business risk, E7P companies are spreading

both horizontally and vertically. Horizontal risk spreading envisages
acquisition of large acreage in varied geological environments consisting,
various categories of sedimentary basins. Vertical risk spreading envisages
farming-out participating interest to other oil companies in the oil fields
owned by the other companies. Risk is thus spread widely.

EXPLORATION & PRODUCTION SECTOR IN INDIA

Historical perspective

Exploration activity started in India way back in 1866 in the north

eastern state of Assam, just seven years after drilling of the first oil well in
Pennsylvania, USA. For about a century the E&P activity was restricted to
the northeastern part of the country and till early 1960’s the total crude
production in India was only about 10,000 bpd. Burma oil was the only
company engaged in E&P. with the demand growing , the government
recognized the need to explore hydrocarbon resources and accordingly set

19
up Oil & Natural Gas Commission (ONGC) in 1956. Burma oil was also
merged with Oil India Ltd (OIL), this was however taken over by GOI in
1981.ONGC was converted into a public ltd company in 1993. ONGC and
OIL enjoy the status of National Oil Companies (NOC) and have a duopoly
with about 90% and 10% share respectively. The NOC market their produce
directly except natural gas, which is distributed through Gas Authority of
India Ltd(GAIL).

Quality of crude produced in India

The crude produced by ONGC in the Bombay offshore basin,

typically about 38° API with about 0.03% sulphur, is considered to be very
light and sweet and comparable with Nigerian Light Crude. The crude
produced in the Onshore fields typically is about 32° API with about 0.20%
sulphur and comparable with Minas crude from Indonesia. In our opinion,
the crude produced in the Bombay High would trade at a premium to Saudi
Light/ Brent and other crude would approximately equate with Brent prices,
strictly from purity and specific gravity of point of view.

Private sector participation and Production-Sharing Contracts(PSCs)

Private sector participation in the E&P sector started in 1974, by

awarding exploration license. Although three licensing rounds were
completed by 1986, no progress was achieved and the contracts had to be
relinquished. The fourth licensing round was completed in 1991 when two
blocks of the Bombay Offshore basin were awarded licenses. In 1993, the
Government introduced a policy of round-the –year bidding and till 1995,
eight licensing rounds were completed. Till the 8th round, the exploration
cost was borne by the private parties and NOCs had to bear minimal license

20
fees and enjoyed a carried interest of 30%. On discovery , the carried
interest got converted to a participation interest and all revenues were first
applied for recovery of exploration costs and the surplus was shared in the
ratio of participating interest.

A major departure was made in the 9th round and bidding terms
demanded that the contractor indicate the participating interest he is willing
to concede to NOC, which can be a minimum of 25% and a maximum of
40%. Thus it proved to be a joint venture with exploration & production
costs being shared in the ratio of participating interest.

Till date, four oil fields have been given for commercial exploitation
to private sector players, of which the Videocon / Marubeni has bagged the
Ravva oil field combine and the Tapti, Panna & Mukti oil fields have been
bagged by the Reliance/ Enron combine.

The Government has also floated two rounds of licenses for

conducting speculative seismic surveys. The licensees are required to
conduct geological surveys and make available data to upgrade the
information on the country’s hydracarbon potential on a profit sharing basis.
These speculative rounds have however elicited poor response .

The reasons for poor response both for exploration and seismic
surveys can be summarized as under.

Inadequate availability of geophysical data with the perception that

the blocks being offered do not have the geo-potential for being developed
in commercial fields.

21
 • The size of blocks offered is too small.
• Time taken to award a contract runs into several years.
• Several post-contract clearances are required to start the
operations.

Marketing scenario

Currently, IaC, HPCL, BPCL and IBP market all the petroleum
products. With the introduction of parallel marketing scheme, SKO and LPG
is being marketed by a few new entrants into the sector. However, their
share of marketing is miniscule, given the price distortion between the
products marketed by PSU oil majors. Thus, their market shares are not
expected to grow unless prices of these products marketed by PSU oil
companies are determined. In the year 1995-96, of the estimated total
consumption of 74,688 tmt about 690 tmt was sold by parallel marketers,
72,542tmt was sold by PSU majors and the balance being, direct imports by
industrial consumers.

The market share of these companies during the last three years is given
below.

22
 YEAR IOCL BPCL HPCL IBP
Tmt % Tmt % Tmt % Tmt %
2001/ 3630 55.4 1322 20.2 1258 19.2 2991 4.57
02 0 3 8 0 8 2
2002/ 3984 54.9 1478 20.3 1415 19.5 2127 43.51
03 6 4 0 8 0 1 3
2003/ 4218 54.5 1580 20.4 1540 19.9 3475 4.49
04 0 2 0 3 0 3

While the market share of IOC and IBP has been continuously falling,
the market shares of BPCL and HPCL have been on the rise.

Of the products marketed by oil companies, MS & HSD can be

categorized as retail products where the oil companies fight for the market
share and sale growth. A portion of MS/HSD is also sold to direct industrial
consumers. The importance of these two products lies in the fact that they
together not only constitute more than 50% of the total sales volumes but
also form the constituents of aggressive growth.

The break-up of MS/HSD sales into retail and direct, over the last two
years is below.

MS/HSD – Retail and Direct Sales (tmt)

The share of each of the oil companies in MS & HSD segment – wise for
the last 3 years is given in the table.
Year MS HSD Total Total

23
 Retail Direct Tota Retail Direct Total Retail Direct
l
2000-01 4511 177 4688 24240 8019 3005 2875 8196
9 1
2001-02 4820 166 4986 26660 8590 2525 3148 8576
0 0
2002-03 96.22 3.78 - 75.14 24.86 - - -
% % % %
2003-04 96.67 3.33 - 75.63 24.37 - - -
% % % %
MS/HSD Segment-wise sales of oil companies

Year MS Retail MS Direct Total

IOC BPCL HPCL IBP IOC BPCL HPCL IBP MS
2001-02 1359 1240 1068 306 172 5 5 1 4146
002-03 1554 1392 1218 347 159 9 8 1 4688
2003-04 1672 1492 1287 371 150 8 7 1 4988
Year HSD Retail HSD Direct Total
2001-02 8575 5507 4913 202 563 712 803 102 28279
8 9
2002-03 9885 6346 5737 227 603 953 937 94 32259
1 6
2003-04 1088 7014 6264 249 652 1031 978 55 35246
8 1 5

24
 Thus, IOC is a very large player in the direct market with 90.4% share
in MS Direct and 76.0% share in HSD-Direct.

Transportation and distribution of products

Considering the geographical spread of the country, the infrastructure

for movement of petroleum products is woefully inadequate ofor handling
the growing volume of POL products. Not much thought has been given for
development of pipelines. Due to non-availability of tank-wagons, oil
movement is undertaken by road which is not only hazardous and polluting
but also 15 to 20 times costlier (in terms of energy consumption as per SRC
report ) compared to pipelines and 5 times costlier than railways. In a
country where oil is being imported, expenditure on movement of POL
products by road results in serious drain of foreign exchange. The losses due
to road/rail transportation are also 3 to 5 times higher compared to
transportation through pipelines.

The current mode of transporting POL products is discussed in the

following paragraphs.

25
 Standard LPG filling and Bitumen filling at refineries

Refinery LPG Filling Bitumen

Bulk Cylinder Drums
BPS-M 203.0 156.0 480.0
HPC-M 20.0 -- 300.0
HPC-V 98.0 -- 60.0
MRL 32.0 85.0 200.0
CRL 90.2 28.8 98.0
IOC-B 37.0 15.0 --
IOC-H 7.0 20.0 180.0
IOC-M 182.0 -- 330.0
IOC-K 84.0 102.0 200.0
IOC-G -- 6.00 --
IOC-D -- -- 16.0
Total 753.2 412.8 1564.0

Exploration & production

• Increasing the competency of ONGC & OIL by empowering the

Board of Directors to diversify into downstream, allowing them to
market their own produce, providing level playing field to all
companies in bidding for blocks, relinquishment etc and providing
international price for domestic crude produced by them.

• Enhancement of domestic production through reserve accretion in

India and abroad.

• Acquisition and absorption of new technology for reserve

accretion. Mobilization of venture capital required for building
national oil industry.

26
• Simplifying procedures in awarding production-sharing contracts,
provision of fiscal incentives and rationalization of tariff structure.

• Assignment of regulatory and monitory functions to Directorate

General of Hydrocarbons (DGH ) which shall be an autonomous
body.

SALIENT FEATURES OF NEW EXPLORATION LICENSING

POLICY (NELP),1997

• International price to be paid for crude oil extracted from new

wells to all companies including ONGC & OIL.

• On all new findings, cess abolished and royalty made advalorem

at12.50% for inland and 10% for offshore areas. For deep-water
areas beyond 400 meters depth, royalty will be 5% for the first 7
years.

• Tax holiday for 7 years after commencement of commercial

production from blocks in northeastern region.

• Total freedom to market crude in the domestic market.

• Any company can bid directly without participation of ONGC or

OIL as against the earlier stipulation of mandatory participation of
ONGC/OIL up to 40%.

27
• ONGC/OIL to compete with other companies for winning
licensees.

Natural gas

• Market deregulation to be done in phases as the domestic industry

is in a nascent stage.

• In the initial phase the sector may be opened up for private

participation.

• A regulatory body that shall lay down transparent rules required to

ensure a level playing field, to lay down safety practices, to ensure
environment protection, fair return to investors and to prevent
abrupt price movement protection, fair return to investors and to
prevent abrupt price movements.

• Freedom to foreign companies/ private sector parties to set-up

terminals and pipelines and freedom to import store and distribute
LNG.

• Freedom to PSC awardees to transmit, distribute and market the

gas produced by them.

• Freedom for setting up spur-lines and city distribution lines.

• Introduction of Common Carrier Principle for pipelines. In the

next phase when optimal infrastructure has been created, all further

28
 steps to be taken for complete deregulation subject to compliance
of rules laid down by regulatory body.

• Pricing of natural gas to be in-line with international prices.

REFINING &MARKETING

Refineries to be decontrolled first followed by upstream and last by

marketing sector.
Total freedom to refineries to decide their product mix to optimize
their profitability through better yields and value added products.

Decanalisation of petroleum products

Continuation of administered pricing for mass consumption products

till the national economy is ready to accept market-determined prices.
Cross subsidization of products to be done away and all subsidies to
be given through budgetary allocations in a transparent manner.
Marketing deregulation to be done in phases, by giving freedom to oil
companies to appoint dealers/ distributors, by withdrawal of SPE mechanism
and thereafter-full decontrol.

Tariff & pricing reforms

The pricing and tariff reforms to be done in phases as per timetable

given in next paragraph.

29
 Rationalization of tariff structure by bringing down customs duties to
0-5% and providing a maximum tariff protection 25% on famished products.
Tariff rates to be bound as per WTO.

Future scenario

With the widening gap between demand and supply, both for oil &
gas, the outlook for the upstream sector is extremely positive. The decontrol
of the sector would give more strength to these companies to pursue their
goals with greater vigor. In our opinion, natural gas could turn out to be a
dark horse for the E&P and Distribution companies. The New Exploration
Licensing Policy has already given a thrust and direction to the reforms in
the upstream sector, with virtual decontrol of the sector for oil & gas
explored and produced in new oil fields.

A PROFILE OF “RAJAHMUNDRY ASSET O.N.G.C Ltd;

30
 The Oil and Natural Gas Corporation Ltd, (ONGC ) the largest oil
exploration and production (E&P) company in our country producing crude
oil, natural as and LPG stands among the top 25 oil companies in the world
with an annual turnover of US$ 4 Billion and is the number one in the
Indian Corporate sector in terms of assets, profits and overall performance.
The progressive presence of this oil giant has been felt in the state of Andhra
Pradesh since 1978.

The O.N.G.C’s exploration for oil and natural gas in the Krishna
Godavari project has provided sufficient inputs and momentum to the
development of the state too.

O.N.G.C IN KRISHNA GODAVARI PROJECT

The planned exploration work of oil and gas by O.N.G.C in the

southern part of India started was way back in 1958. the geo-scientific
surveys led to the discovery of a major petroliferous sedimentary basin,
which is now famous as “Krishna Godavari project” covering an area of
20,000 sq. km. on land in Andhra Pradesh and about 25,000 sq. km
Offshore (up to 200 m water depth ). The gas was discovered in the first well
drilled in the Narasapur field 1978 and in 1980 oil and gas were discovered
in the first well on G-1 structure in the Godavari offshore. After the start of
commercial gas supply to its first consumer M/s Delta Paper Mills in
February 1988, the Krishna Godavari Project (KG Basin ) has come up on
the oil map of mIndia with its headquarters at Rajahmundry in the East
Godavari district of Andhra Pradesh.

As on date, more than 350 wells have been drilled in the Krishna
Godavari Project leading to the discovery of around 125 oil and gas bearing

31
wells. The success ratio of drilling in Krishna Godavari Basin 1:3 which are
far above the world average 1:9. the major oil producing fields are
Kesanpali (West), Kaiikalur, Lingala and Mori and gas producing fields are
Mandapeta, Pasarlapudi, Ponnmanda, Penumadam, Razole, Elamanchilli,
Lankapalem, Advipalem, Kesavadasapalem, Kulkipalli, Narasapur
Endamuru and Tatipaka. The average oil production, which includes the
condensate from the gas, is above 200 tons per day and the average gas
production on daily basis is approximately four million standard cubic
meters (MMSCM)i.e. 40lakh cubic meter (LCM) per day.

At present seven on-land Rigs, Six EPS (Early Production System)

and three CGS (Gas collection Station) are being operated by O.N.G.C in
Krishna Godavari Project, for exploration and production activities.
Additionally, it has also taken up various projects for expansion of oil and
gas installations at Kesanpalli and Advipalem. Installation offshore well
platform at GS-15 and GS-23 a Mini refmery at Tatipaka, gas supply form
isolated gas wells, etc. is also in progress, O.N.G.C has emphasized high
thrust for exploration activities by adopting highly sophisticated and state of
the are technology for extensive drilling operations.

During the current planed period for more and more oil & gas in the
Krishna Godavari project O.N.G.C is optimistic of finding a large
petroliferous field in Andhra Pradesh for sustaining the efforts of
Exploration & production activities thereby stimulating industrial growth in
the Krishna Godavari project and the adjoining areas. A workforce of around
1500 professionals of O.N.G.C are committed in this relentless search for
which the oil company has already incurred a cumulative expenditure of
around Rs. 3000 crores.

32
 The Krishna Godavari project comes under Southern Region Business
Centre of O.N.G.C had is one of the prominent and viable projects which
shares around 10% of the O.N.G.C total investment made in the country for
exploration and production of Oil & Gas.

O.N.G.C activities in Krishna Godavari Basin committed in the

relentless search of oil & gas spread over 20,000 sq. k.m in onland and
25,000 sq k.m in offshore of Andhra Pradesh. O.N.G.C K.G project us
supplying up to 40 lakh cubic meter of gas per day to various industries like
NFCL, SPGL, GVK, APSEB, SPEC etc; O.N.G.C K.G Project is expected
to double the gas production in a couple of years and wisher to stimulate
industrial growth in the state of Andhra Pradesh encouraging the use of gas
as a cost effective, viable clean fuel. O.N.G.C has emphasized high trust for
exploration activities by adopting extensive drilling operations during the
current planned period so as to discover more and more oil and gas field in
Krishna Godavari Basin.

O.N.G.C is optimistic of finding a large petroliferous field in Andhra

Pradesh for sustaining the efforts of Exploration and Production activities,
thereby stimulating industrial growth in Krishna Godavari Basin and the
adjoining areas.

O.N.G.C drilling activities in the Krishna Godavari Project indirectly

help in creating roads and bridges in the remotest areas. So far O.N.G.C has
constructed about 130 km. of new roads, improved about 600 km. of
existing roads and developed four bridges.

Aesthetic, cultural and social patterns and historical characteristic of

the areas covered by or adjacent ot the O.N.G.C prefects should not be

33
unduly disturbed by the project activities. Scenic landscapes, historical
heritage and cultural monuments should be preserved and the environment
around them should be kept clean and hygienic.

As far as possible, a minimum area of 500 meters from the high tide
mark in respect of coastal projects located near river banks should be kept
clear of all structures so that beach activities or river front development are
not adversely affected.

Effective mechanisms for monitoring the environment and for

collection of the required data of various parameters of the environment for
the purposes of surveillance should be set up within each project.

Work environment in the operational areas should be conductive to

safe and healthy working conditions. Good housekeeping is an integral part
of sound environment management.

Promoting a healthy, safe, productive, and aesthetically satisfying

environment is the responsibility of O.N.G.C. every effort should be made to
promote positive environmental education and create environmental
awareness at all levels.

KRISHNA GODAVARI PROJECTG IN FUELLING DEVEPMENT

A Social responsible organization:

34
 O.N.G.C legend has done much more than exploring and producing
oil and natural gas. underlying in its corporate culture is the good practice of
contributing towards community development and social welfare
programmes especially in and around its operational areas. O.N.G.C has
been working tirelessly and sincerely to help people in bettering their quality
of life. It has not only met the expected standards but also has traveled far in
carrying out the self- assumed social responsibilities. A few of the
contributions are :

Employment Generation:

Through a variety of big and small contracts like public transport

maintenance of civil works, trading, ancillary industries providing goods and
services etc. employment generation efforts are being made. These efforts
have helped thousands of unemployed youth during the pas four decades of
the dedicated services of O.N.G.C in Andhra Pradesh. Special measures are
also taken on regular basis to split major works into several smaller parts
thus enabling more and more people to benefit, even at the cost of increasing
internal administrative work. Two Vocational Educational Centers for
Women (VEC) were also established in Coastal Andhra Pradesh by
O.N.G.C.

Developing local entrepreneurship:

35
 Orders for purchase of materials were placed as per availability in the
local market thus generating employment and trading opportunities of the
small-scale local entrepreneurs.

Community Development Programmes:

Towards ameliorating the socio-economic condition of the people

O.N.G.C, Krishna Godavari Project has been earmarking and distributing
substantial grants under different heads. A number of schemes were
included in the community development programmes under the heads
Medicare, health education, sports and culture etc; all of which help in
bringing smiles to the faces of prople belonging to the weaker sections of
society. Apart from grants in aid that are routinely donated to social, cultural
expenditures on construction of infrastructure development, activities like
improvement of community life, special purpose grants for specific projects,
SC/ST annual component plans and social service by the “Mahila Samithi”
are also taken up. So far O.N.G.C has spent around Rs. 50 crores for socio-
economic development including construction of roads and bridges in the
state of Andhra Pradesh.

In areas indicated by government of Andhra Pradesh in the East, West

and Krishna Districts, O.N.G.C has come forward to jointly take up repaid
works of around 140 km of roads. This is apart form the roads it constructs
while establishing operations these areas. O.N.G.C has also donated for the
construction of Bridge over.

Vishista Godavari linking the island area. Recently O.N.G.C has

contributed Rs. 10 crores for the proposed inter-state bridge between Yanam

36
in Pondichery and Yedurlanka in Andhra Pradesh across to river Gowtami /
branch of Godavari At times of natural calamities which are becoming
increasingly common in the coastal districts of Andhra Pradesh, O.N.G.C
monetary contribution to the Chief Minister’s fund and mobilization of
necessary machinery and equipment to the calamity hit place for rescue are
some of the social responsibilities of O.N.G.C.

O.N.G.C has paid around Rs.60 crores to Andhra Pradesh state

Government towards royalty and sales tax during the year 2000-01. with a
focused division on the all round development of the community in the
places of its operations as well as beyond, O.N.G.C has been working
relentlessly and sincerely. Its share in various fronts like education, literacy
drive, cleanliness, environment protection and safety, health care and sports
us and impression about the human face of O.N.G.C Krishna Godavari
Project in Andhra Pradesh.

O.N.G.C is looking forward a special social and political environment

conducive for increasing the efficiency and productivity in the field of oil
and gas exploration and production in the state of Andhra Pradesh This will
directly result in greater prosperity of the state through enhancing the
availability of vital energy supplies for various Industrial operations.
The following are the O.N.G.C’s HR Vision and Mission and Policies

HR Vision:

37
 To attain organizational excellence by developing and inspiring the
true potential of company’s human capital and providing opportunities for
growth, well being and enrichment”,

HR Mission:

To create a value and knowledge based organization by inculcating a

culture of learning, innovation & team working and aligning business
priorities with aspiration of employees leading to development of an
empowered, responsive and competent human capital”.

HR Objectives
• To develop and sustain core values.
• To develop business leaders for tomorrow.
• To provide job contentment ;through empowerment, accountability
and responsibility.
• To build and upgrade competencies through virtual learning,
opportunities for growth and providing challenges in the job.
• To foster a climate of creativity, innovation and enthusiasm.
• To enhance the quality of life of employees and their family.
• Inculcate high understanding of ‘Service” to a greater cause.

HR STRATEGY

38
• To meet challenging demands of the business environment, focus of
the HR Strategy is on change of the employees’ ‘mindset’.

• Building quality culture and resources.

• Re-engineering and redeployment for maximizing utilization of HR

potential.

• To build and upgrade competencies through virtual learning,

opportunities for growth and providing challenges in the job.

• Re-strengthening mutual faith, trust and respect.

• Inculcating a sprit of learning & enjoying challenges.

• Developing Human Resource through virtual learning, providing

opportunities for growth, inculcating involvement and exposure to
benchmarking in performance.

ROLE OF HR

39
• Alignment of HR vision with corporate vision.

• Shift from support group to strategic partner in business operations.

• HR as a change agent.

• Enhance productivity and performance by developing employee

Competency and potential.

• Developing Professional attitude and Approach.

• Developing ‘Global Managers’ for tomorrow to ensure the role of

global players.
Measuring HR Performance
• HR Parameters have been incorporated in the MOU by ONGC since
1994-95, to systematically and scientifically evaluate effectiveness of
HR Systems, which enables and facilitates time bound initiatives.
• HR Parameters of MOU for 2000-2001.

• Transformation of ONGC-HR as facilitator and Change Agent for

Pilot Implementation at WRBC.
• ERP for HR-Project SHRAMIK.
• Training and development.
• Action Plan and Implementation for achieving HR mission and
objectives.
• Roll out of Succession Planning Model for identified key positions.

HR AUDIT
• IR for enhancing efficiency and productivity.

40
 • Introducing the concepts of mentoring and knowledge management.

• Conducting a Climate Survey to identify areas for OD interventions.

A Motivated Team
HR policies at ONGC revolve around the basic tenet of creating a
highly motivated, vibrant& self-driven team. The Company cares for each &
every employee and has in-built systems to recognize & reward them
periodically. Motivation plays an important role in HR Development. In
order to keep its employees motivated the company has incorporated
schemes such as Reward and Recognition Scheme, Grievance Handling
Scheme and Suggestion Scheme.

INCENTIVE SCHEMES TO ENHANCE PRODUCTIVITY

• Productivity Honorarium Scheme.

• Jon Incentive.

• Quarterly Incentive.

• Reserve Establishment Honorarium.

• Roll out of Succession Planning Model for identified key positions.

• Group Incentives for cohesive team working, with a view to enhance
Productivity.
INDUSTRIAL RELATIONS AND LABOUR WELFARE
AT A GLANCE

41
INDUSTRIAL RELATIONS:

Over the years, with the paid industrialization of India, a massive

organized sector employing a large work force has come to occupy an
important and visible part of the country’s economic life.

Hence a new industrial culture has to be taken into account. The top
management usually dealt only with major crisis situations. The industrial
relations function was not given the importance it deserved, both in terms of
manpower as well as in terms of continuity of action or though.

The cost of human resources as a percentage of operating expense in

the organized sector has been showing a steady increase. Obviously service
sector industries will have a larger percentage, but even in manufacturing it
has increased steadily.

The Government has had a major role to play, as a leading actor in

Indian industrial relations (IIR). It has played a dual role-one as the
i8nitiator of policy and the other as an employer, or owner, by setting up an
extremely large public sector.

The government has also tried to build bridges of partnership through

the various schemes of participation between the management and the
employees. All this was initiated immediately after Independence, whereas
in the developed countries, labour legislation and government controls were
slower to evolve.

However, in India efforts were made to remove some of the appalling

conditions as they were completely out of tune with the changed times,
combined with the Indian governments beings of workers.

All this was achieved at a cost. The base of worker pay and other
benefits was established at a certain level, certainly much higher than what
the workers in the unorganized industrial or agricultural sector were earning.

If a problem crops up, defuse it and come to an immediate solution so

that the wheels of production do not grind to a halt. This is a short approach
at the group level-Management and unions.

Grievance machinery and discipline are characterized by many

observers of industrial relations as the twin pillars of industrial relations.
Both are needed not merely as communication channels but to further

42
organization goals and viability. Effective management of industrial
relations needs both and not just one of the two pillars.

FUNCTIONS OF IR:

 IR Section acts as a Nodal Agency/Buffer between management and

collectives. The various functions handled by the section broadly are
as under:-
 Collecting and preparing Status/Comments in respect of the Agenda
points submitted by the collectives for discussions with management.
 Arranging Bilateral Meetings, drawing minutes, circulating the same
and follow up action thereof.
 Interacting with collectives, maintaining rapport with them and
sensitizing employees.
 Assisting, Advising and Guiding Functional Heads with regard to
implementation of the provisions of Labour Laws.
 Handing of Industrial Disputes at conciliation stage i.e. collection
comments from the section concerned, Drafting replies to be filed
before the conciliation officer, Representing Management in the
conciliation/ joint meetings.
 Handing of Strikes – Drafting of Appeals, Circulars, Letters on receipt
of Strike notices from the Collectives; collection information relating
to absenteeism, disruption of activities if any, and sending daily
situation report to Hqrs, Coordinating with various Department during
the strike period.
 Submission of Periodical Reports & Returns to Head Quarters.
 Providing necessary clarification in matters relating to Labour Laws
such as payment of Bonus Act, 1962, Gratuity Act 1972, Contract
Labour (R&A) Act 1970, Payment of wages Act 1936, Payments of

43
 wages Mines Rules, Minimum wages Act, Mines Act 1952 etc to the
functionaries as and when clarification is sought.
 Maintenance of files of Casual Workers, Preparation of their monthly
wage bills, processing their claims.
 Processing the cases under workmen compensation Act, 1936.
 Matters relation to EWC, Mahila Samithi, WDF and other welfare
bodies.
 Grievance Management System – Coordination.
 Organisation farewall functions for Employees Retiring.
 Matters relating to workers education.
 Attending cases of emergency in case of accident/ death of an
employee.
 Welfare functions both statutory & non statutory.
 Canteen Management at Base Complex.
 Other duties / functions incidental to the above which arise from time
to time.

44
 CONCEPTS OF WELFARE

The concept of labour is flexible and elastic widely with

times, region, industry, country , social values and customs degree of
industrialization the general socio-economic development of the people and
the political ideologies prevailing at particular moments. It is also molded
according to the age. Group sex, socio-cultural level of workers in various
industries. However efforts have been made by expert bodies their concept
in their own way. A few of these definitions are given below.

The labour welfare investigation committee preferred to include

under labour welfate, including sickness and maternity benefit schemes,
provident fund benefits and pension etc.

Thus the term welfare is a comprehensive term, which includes

any activity, which connects with social, Moral, Economic betterment of
workers provided by any agency. Such activities may differ from country to
country and from region to region and firm to firm.

Different authors say the meaning of welfare:

The oxford dictionary defines "Labour welfare as efforts to

make life worth living for workmen."

Chamber's dictionary:

"welfare as a state of faring or doing well freedom from

calamity enjoyment of health prosperity"

45
The encyclopedia of social sciences defines.

"The voluntary efforts of the employers to establish with in

the existing industrial item working and something as living and cultural
conditions of employees beyond; at is required by law the customs of the
industry and the conditions of market".

R.R.Hopkins:

welfare is fundamentally an attitude of mind on his part of

management activities is undertaken.

Importance of welfare measures

Welfare in the border sense means well-being of the personnel

working in the organization. Welfare measures are the steps taken by the
management to create a good environment in which the workers feel
satisfied both physically and mentally and in the end produce best result by
putting their maximum efforts.

welfare measures directly relates to human and in particular

workers of an organization. In the initial stage of industrialization, welfare
measures of personnel in an industry were given very less importance. The
primitive concept of workers linked it is to a commodity or an intimate
object without any human characteristics. Thus came the concept of labour
as the machine, which has to be kept in a good working order with proper
lubrication to enhanced production, but still regards as lifeless. There was
also the goodwill concept of labour, which was the begining of the

46
humanization of labour from the state of commodity or a machine. But it
was only the 'citizen concept of labour that gave the workers human dignity
with the right to discuss, decide and vote as a citizen of a welfare state. This
concept gave rise to the philosophy of industrial democracy. And now, we
are in the final stage of the partnership concern where labour is regarded as
an equal and responsible partner in industry.

some of the prominent act are

1. Factories Act, 1948

2.Mines ACT,1952

3.Workermen's Compensation Act 1923.

4.Maternity benefits Act,1961.

5.Employee's State Insurance Act, 1948

6.Emplyee's provident Fund and Miscellaneous provisions Act,1952.

7.Payment of Gratuity Act 1972.

47
Factories Act.1948

The Main focus of the Act is on employees Health, welfate and

Safety. In so far is Welfare is concerned, the Act provides for provison of on
facilities for washing, storing and drying clothing, first aid, canteens,
shelters, rest rooms and lunch rooms, creche etc. It is the responsiblitiy of
the employer to provide the above statutory welfare facilities under this Act.

Mine's Act.1952

The aim of this Act is to provide a consolidated law relating to the

regulation and safety of labour in mines. The Act provides for safety, health,
and welfate amenities of persons working in minds.
The workmen's compensation Act 1923

This provides for the payment to the workmen compensation for

injury by accident, arising out of and in the course of employment. In case of
death/disablement, compensation is payable

Maternity benefit Act 1961

The object of the Act is to provide for Maternity Benefit and certain
other benefits 3 women employees working in factories and other
establishments. Leave with pay of 12 Weeks for the purpose of maternity
related confinement and six weeks for miscarriage/abortion is required to be
given by the employer to women employees, under this Act.

48
Employee's State Insurance Act 1948

The main objective of ESI Act is to provide the certain benefits to the
employee's case of sickness, maternity and employment injury. The Act
provides for sickness benefit, disablement benefit, and depended benefit
subject to periodicl payment by the injured employee. The ESI Act is
applicable to the employees working in the covered establishments of the
notified area.

Employee's provident Fund and Miscellaneous provisions Act 1952

The main object of this Act is to provide for provident Fund,

Employee pension id Deposit linked Insurance for employees working in
Factories and other establishment. The Act contemplates a contribution by
the employer towards PF. It also provides for an employee pension, out of
the contributions made by employer as prescribed in the Act and scheme.
Employees are allowed withdraws for certain specific purpose like, House
Building: Children's marriage/education etc.

Payment of Gratuity Act 1972

The Act provides for payment of gratuity to employees working in

factories, mines etc. The Act enjoins upon the employees to pay gratuity at
the rate of 15 days wages for every completed years of services with a
ceiling of 20 months wages (overall; ceiling Rs.3.5 Lakhs ) to employees
who have put in minimum period years of service. In case of death of an
employee the minimum period condition is relaxed.

49
AGENCIES OF LABOUR WELFARE IN INDIA

There are several agencies through which various labour

welfare measures are undertaken. However, the Central as well as the State
Governments are the important agencies through which labour welfare
activities are undertaken.

In accordance with the Article 44 of the Constitution,

various labour legislations have been enacted by the Central and State
Governments, which have laid down the minimum standard of working
conditions. Therefore, employers have to function as agencies of labour
welfare. Apart from the state and employers, workers organisations, local
bodies and social organisations are also functioning as agencies of labour
welfare.

WELFARE AND SOCIAL SECURITY MEASURES

ONGC draws its strength from 40,000+ strong manpower and
always values its people. As a 'Company that cares', it generously extends
several welfare benefits to its employees in the areas of medical care,
education, housing, recreation and social security.

To develop women employees, ONGC has set up a Women

Development Forum at every Asset/Basin of the Company to look after the
welfare, improvement in work in conditions, training and development, and
redressal of grievances of women employees.

50
LEAVE FARE ASSISTANCE

Employees and members of this families are eligible for leave fare
Assistance(LFA) after putting one year's service as under:

Employees posted at their home- Once in a block of four years to antny pl any
towns place in India.

Employees posted at other than Once in each calendar year to home-=town and
home-town once in a block of four years, in lieu of one LFA
for home, to any place in India than home-town,
However in any calendar year, LFA may be
availed of only once.

The term "family members" for the purpose of LFA includes parents,
children residing with and wholly dependent on the employee. Unmarried
sisters and minor brothers are also included in the "family members' for
employees who joined ONGC on or before 1st June 1987.

EDUCATION FACILITIES

(a) Central school

ONGC take special interest in the overall development of the
children of its employees. In pursuance of this objective, ONGC has funded
setting up of Kendriya Vidyalayas (Central Schools) at its main work
Centres like Nazira, Sivasagar, Ankleshwar, Baroda, Mehsana, Dehradun,
Cambay, Agartal , Jorhat, Silchar, Lakwa, Ahmedabad, Panvel, Harzira and
Rajahmundry.

51
(b) Children Education Allowance:

In addition to setting up of schools, ONGC reimburses tution fee and

stationery charges to the employees.

(c) Merit Scholarship

ONGC grants Merit Scholarship to the meritorious students from vth

Standard to xth Standard, Intermediate, Graduate, Post-graduate and
Professional Courses.

(d)Journey Fare

Children of ONGC employees studying at a place other than the

place of posting of the employees are paid second class fare during approved
vacation twice a year from the educational Institution to join their parents at
the place of posting and back. This fare is admissible where journey is more
than 150 kms.

(e) Special Award scheme

In order to encourage brilliant and meritorious wards of the

employees and to include them to maintain and improve level of their
excellence, Special Awards are granted to those wards of the employees who
secure positions amongst first then on the merit list of the Board/University
examinations and all India competitions.

52
(f) Hostel Subsidy

ONGC grants Hostel Subsidy to the Children of ONGC's employees,

who stay in a hostel or residential school for the purpose of their academic
pursuits.

(g) Scholarships for SC & ST Students

As a social welfare measure, ONGC has introduced Scholarship

Scheme to encourage deserving students of SC/ST Community for
undertaking higher education. The Scholarships are granted to SC/ST
Students pursuing full-time studies in Graduate Engineering Courses from a
College or an Institution recognized by Central or State Government.

MEDICAL FACILITIES

ONGC has a generous medicare scheme for its employees, their family
members and dependent parents, which can be availed at specialized centres
of certain work centres and also at reputed medical centres in the country.

Medicare is also extended to all retired employees and their spouses, at

par with those in service, on a nominal contribution.

SOCIAL SECURITY

In order to provide adequate social security cover to the employees, ONGC

has introduced a Composite Social Security Scheme with effect from june
1998.

53
 The Scheme covers all the regular employees of ONGC as on the
date of its introduction. A contribution of Rs.260/- per month from the
executives and Rs.130/- per month from non-executives shall be dedicated
and equivalent amount be contributed from the company's fund.

The benefit to the dependents /employees on death while in service /

permanent total disablement resulting in separation from the Corporation is
Rs.10 Lakhs in the case of executives and Rs.5 Lakhs to non-executives.

COMPENSATION FOR ACCIDENT WHILE ON DUTY

The employees of ONGC who met with accident while on duty, are
eligible for compensation under the Workmen's Compensation Act, 1923.

The employees of ONGC who sustain permanent total disablement or

die due to accident or H2S exposure while on duty, are paid financial
assistance of Rs.1.8 lakhs to Rs.12.00 Lakhs depending on the case. This
amount is in addition to all other benefits / relief available to the employees
under various schemes.

GRATUITY
ONGC grants gratuity under ONGC (Death, Retirement & Terminal
Gratuity) Rules, 1995, to its employees for their good, efficient and faithful
services. This gratuity shall be payable to an employee on termination of
his/her employer on superannuation or on retirement or resignation or on
death or disablement due to accident or disease, after rendering continuous
service of not less than five years. The condition of five years services shall
not be necessary where termination of employment of any employee is due
to death or disablement.

54
 The extent of gratuity shall be equal to 15 days wage (all
emoluments including DA ) for each completed year of service or part
thereof in excess of six months.

CONTRIBUTORY PROVIDENT FUND

With the objective of making some provisions for the future of the
employee after his/her retirement and for the dependants in case his/her
early death and to cultivate a spirit among the employees, ONGC has
introduced contributory provident fund system. All the employees of ONGC
are regulated by ONGC Employees Contributory Provident Fund
Regulations. Every employee except a trainee or an apprentice has to be a
member of the Fund from the date of his/her joining ONGC.
Every employee has to subscribe equivalent of 12% of salary and
Corporation contributes an amount equivalent to the employees' compulsory
contribution.

Employees are granted advances out of their own share of

contribution for meeting the expenses of the marriage of dependants, higher
education of children, religious ceremonies etc.

POST RETIREMENT BENEFIT SCHEME

The ONGC Self-Contributory post Retirement and Death in Service

Superannuation Benefit Scheme' (PRBS) has been in operation since
01.04.1990 for executives and from 16.11.1995 for non-executives of
ONGC, in order to meet Post-retirement needs of employees and to provide
safety net during the service. This is in lieu of Employees Pension Scheme,
1995 and has been implemented with due approval of the Ministry of

55
Petroleum and Natural Gas, Government of India, and the Trust thereof has
also been duty recognised by the Income Tax Authorities.

The Scheme is compulsory for all employees of ONGC and self-

contributory. ONGC also contributes Rs.100/- per annum. The employees
are admissible for pensionary benefits upto a maximum upto a maximum of
50% of salary depending upon reckonable service as computed in terms of
the Scheme. Eligibility for pensionary benefit requires minimum 10 years of
continuous and contributory service with ONGC. Refund of contribution is
also admissible to the employees in the event of cessation of employment
with out rendering minimum service of ten years.

'AGRANI SAMMAMN'M EX-GRATIA BENEFIT SCHEME

ONGC has recently introduced 'Agrani Samman Ex-gratia Benefit

Scheme for its employees of pre-15.10.1959 and post 14.10.1959, who have
superannuated / voluntarily retired / died while in service after rendering a
minimum ten years of service.

Under this Scheme the beneficiaries will be admissible for ex-gratia

ranging from Rs.750/- to Rs.6,000/- per month depending upon their pay
scales at the time of their separation from the Corporation.

After death of the ex-employee, the spouse is eligible to 50% of the

ex-gratia amount that was / would have been admissible to the deceased
employee.

56
HOUSING

ONGC strives to provide comfortable housing as far as possible to its

employees. ONGC has Constructed about 144 residential blocks for its
employees at its base complex at Rajahmundry. In addition, ONGC has also
provided accommodation to those employees, who could not bring their
families to their place of posting for various reasons like children education,
at a nominal rate of rent.

ONGC pays house rent allowance to those employees who reside in

their own houses or leased houses.

ADVANCES

ONGC encourages its employees to build / acquire residential

accommodation through a liberal House Building Advance at a nominal rate
of interest after they complete seven years of service.

The employees can also purchase a two-wheeler or a car by way of an

advance, for which they can claim the appropriate vehicle maintenance and
fuel cost reimbursement.

The employees of ONGC can also purchase a computer by way of an

advance.

57
REST & RECREATION
Holiday Home

ONGC promotes the culture of taking time off to relax any where in the
country for a period of ten days. Employees can visit any station in India
either alone or with their family members or can visit such place
independently but not more than in two batches/groups in all, once in a
block of two calendar years.

Clubs

ONGC has established Officers Clubs and Staff Recreation Clubs at a

nominal membership fee ) in almost all its work centres for informal get
together of its employees and their family members.

Sports Councils

ONGC places special emphasis on physical fitness and promotes a spirit of

competitiveness through employee's participation in various tournaments /
meets organised by the Sports Councils / Sports Control Board. ONGC is a
member of Petroleum Sports Council Board (PSCB). Excellent
infrastructural facilities exist for various sports like Squash, Tennis, Hockey,
Football, Badminton, Table Tennis, Billiards, Cricket etc.

ONGC Himalayan Association (ONGCHA)

Through the ONGC Himalayan Association, ONGC encourages

participation of its employees in adventure sports like mountaineering, river
rafting, desert safaris etc.

58
SPICMACAY-The Society for the promotion of Indian Classical Music
among youth

ONGC Chapter of SPICMACAY integrates our cultural diversities by

exposing ONGC families to performances by eminent artists / vocalists /
dancers / musicians.

Employees Welfare Committees

To organise, maintain and improve various welfare amenities, ONGC has

setup Employee Welfare Committees in all its work centres. These
Committees are responsible for promoting local sports and cultural activites
at respective work centres.

Associations

ONGC encourages dialogue with various association which look after the
interest of diverse groups of the ONGC family. For instance there are
Association of Scientific & Technical Officers (ASTO), All India SC/ST
Employees Welfare Association, Employees Union, WIPS (Forum of
Women in public Sector ) etc. ONGC also provides equal opportunities and
en empowering environment to its women employees.

Social Development

Apart from its objectives and mission to achieve self-reliance, ONGC pays
social attention to the social development and economic upliftment of the
local populace and environment in which it operates. ONGC has adopted

59
villages, assisted local bodies in building roads, bridges, school buildings
and provided assistances to various minority groups through community
development programmes.

CLEANLINESS

The Rajahmundry Asset of ONGC has shifted its administrative office to

its won premises constructed as its Base Complex. The Building is
maintained cleanly in good hygienic conditions by engaging about 60
labourers.

LATRINES, URINALS, WASH BASINS

The new office building consists of three floors, divided into three wings.
Each wing has been provided with adequate number of latrines, urinals,
wash basins at appropriate places and are maintained regularly.

VENTILATION AND LIGHTING

The new office premises is built in the midst of a beautiful mango garden
and all the rooms are spacious and sufficient ventilation and lighting is
provided in each and every room. The entire office premises are being
Centrally air-conditioned shortly.

CANTEEN
A full-fledged canteen with all infrastructure facilities is provided at base
office for the employees of the Asset. The canteen is being run by a
contractor and tea, coffee, Snacks, meals etc. are provided to the employees
on payment basis.

60
 At the drill sites and other installations, catering facilities are provided to
the employees, round-the-clock at free of cost.

DRINKING WATER

Drinking water facilities are provided adequately at base office as well as

drill sites and other installations. Drinking water is supplied through electric
water purifiers.

REST ROOMS

There is a rest room for lady employees in the base office with all required
facilities and at drill sites, air-conditioned accommodation is provided to the
employees working there.

REMOVAL OF WASTES AND ENVIRONMENT PROTECTION

Wastes and effluents are removed from time to time both at drill sites and
at offices. For this purpose of number of house-keeping personnel are
appointed to maintain good hygienic conditions.

KITS & LIVERIES

ONGC is always in forefront to provide safety to its employees. The

Corporation is providing its employees, working at drill sites, uniform,
shoes, helmets, dungarees. socks, gloves etc for the safety of its employees.
ONGC is spending more than sixty lakh rupees a year on account of kits &
Liveries.

61
Safety and Environment Management (SEM)

Safety and Environmement Management set up in Rajahmundry Asset

of ONGC with a multidisciplinary approach ensures that safety and
environment protection are integrated at all work places.

TREE PLANTATION

Tree plantation - A sure step towards environment protection.

Realising the importance, tree plantation has been taken up a regular activity
in ONGC. Every year, a take plantation, but also to spread awareness among
public to give due regard and respect to trees and concern for overall
environment protection.

Training

There is a Staff Training Institute in the ONGC Rajahmundry Asset

is imparting training to employees to sharpen their knowledge, skills and
abilities. Non-executives were sent for trainings conducted by Central Board
of Workers Education at Visakhapatnam under Ministry of Labour,
Government of India.

WOMEN DEVELOPMENT FORUM

The Women Development forum in the Asset was established in

1998. Since then, the Forum has played a constructive role in the activities
of the Asset

62
ONGC MAHILA SAMITI

The Mahila Samiti is an association of the wives of ONGC

employees. The Mahila Samiti is making pioneering efforts in helping
women from poor families, old age homes and physically challenged
women. The association is closely working with the Rajahmundry Asset in
the implementation of its socio-economic development programmes.

VOCATIONAL EDUCATION CENTRE FOR WOMEN

ONGC Rajahmundry Asset started Vocational Education Centre for

Women at Rajahmundry and Amalapuram in 1998. Presently the vocational
Education Centre is conducting Tailoring, Beauty Culture, Embroidery and
Fabric Painting, Spoken & Written English and Computer Awareness
Courses and Distributing Certificates and scholarships to the trained women.

Employees Welfare Committee

As part of the ONGC policy on welfare measures to its employees,

Rajahmundry Asset has setup an 'Employees Welfare Committee' to
organise, maintain and improve various welfare amenities. This committee
is responsible for provision of indoor and outdoor games, sports, athletic
activity, cultural activity, library-cum-reading room etc.

LIBRARY

A full-fledged library with all relevant technical, scientific, general books

and periodicals has been established Rajahmundry Asset for knowledge and
reference of the employees.

63
SPORTS

Rajahmundry Asset of ONGC is marching ahead in development the

infrastructure facilities for sports and excelling in the sports arena of ONGC.
At Rajahmundry there are numerous sporting facilities like lawn tennis,
table tennis, squash, indoor badminton, golf, skating, football, basket ball.
At ONGC Base Complex there is a fully equipped gymnasium and a
children park.

64
1.Are you aware of the welfare measures provided by ongc?

Serial Number Responses No. of Responses % of responses

1 YES 190 95%
2 NO 0 0%
3 PARTIALLY 10 5%
TOTAL NO. 200 100%
OF
RESPONSES

Source: Questionnaire

The above table depicts respondent’s viewpoint to the extent of awareness of

welfare measures. 95% % of them are totally aware of the welfare
measures. 5% Of them partially aware of the welfare measure and 0%
are not aware of the welfare.

From the above analysis we can know that all of them are totally aware of
the welfare measures providing for employees in the O.N.G.C but, very few
are not aware due to the communication gap and also few of them are not
clear but what comes under welfare measures.

65
 5%
0%
YES
NO
PARTIALLY
95%

2.How do you come to know about the new welfare measures being
introduced in the organization?

Serial Number Responses No. of Responses % of Responses

1 Through your 0 0%
superiors
2 Co-Workers 10 5%
3 Circulars 180 90%
4 Unions 10 5%
Source:Questionnaire
From the above table we can depict that 90% of the employees come to
know about the new welfare measures being introduced in ONGC through
circulars and next comes to the 5 % of the employees come to know by
workers shown in the table . Rest of the responders comes to know 5%
through unions, and 0% from their superiors.

66
 0% 5% THROUGH YOUR
5% SUPERIORS
CO-WORKERS

CIRCULARS

90% UNIONS

[1] Statutory Welfare measures

1.Canteen Facilities

Responses Very Good Good Satisfied Poor

a.Food 10 50 80 60
% of Responses 5% 25% 40% 30%
b.Environment&Hygiene 10 80 70 40
% of Responses 5% 40% 35% 20%

Source:Questionnaire
[a] Food
From the above table we can depict that above 70 % of the employees are
above the satisfaction level regarding the canteen facilities providing in the

67
organization. And 30% of the responders are not satisfied with the facilities
providing in the O.N.G.C

5%
30% 25% VERY GOOD
GOOD
SATISFIED
POOR
40%

68
 20% 5%
VERY GOOD
GOOD
40% SATISFIED
35% POOR

[b]Drinking Water

Serial Number Responses No. of Responses % of Responses

1 Very Good 10 5%
2 Good 50 25%
3 Satisfied 60 30%
4 Poor 80 40%
Total No. of 200 100%
Responses

Source:: Questionnaire
From the above table we can depict that that 60% of the respondents are
above the satisfaction level regarding the water facilities providing for the
employees at their shop floors.And 40% of the employees are not satisfied
with the drinking water facilities providing for them.

69
 5%
VERY GOOD
40% 25%
GOOD
SATISFIED
POOR
30%

4.First Aid Facilities

Serial Number Responses No. of Responses % of Responses

1 Very Good 30 15%
2 Good 100 50%
3 Satisfied 60 30%
4 Poor 10 5%
Total No. of 200 100%
Responses

Source:: Questionnaire
From the above table we can depict that 15 % of them are saying that the
first aid facilities providing at work area are very good and 50 % saying
good with the facilities . 30% of the employees are satisfied with the
facilities.And lastly 5 % of the respondents are poor with facilities.

70
 5% 15%
VERY GOOD
30%
GOOD
SATISFIED
POOR
50%

5.Toilets

Serial Number Responses No. of Responses % of Responses

1 Very Good 30 15%
2 Good 100 50%
3 Satisfied 60 30%
4 Poor 10 5%
Total No. of 200 100%
Responses

Source: Questionnaire

71
From the above table we can depict the regarding the toilets in the ONGC
Organization are about 95 % of them responded above the satisfaction level
and 5 % of them are not satisfied . once if we see the analysis that most of
the employees responded above satisfaction level regarding the maintenance
of the toilets in ongc. But 5 % of them are not satisfied with the toilets
because of poor maintenance and they should be clean for every short period
of time.

5% 15%
VERY GOOD
30%
GOOD
SATISFIED
POOR
50%

6.Leave Facilities

Serial Number Responses No. of Responses % of Responses

1 Very Good 120 60%
2 Good 50 25%
3 Satisfied 30 15%
4 Poor 00 0%
Total No. of 200 100%
Responses

Source:Questionnaire

72
The above table depicts that the respondents are very much satisfied with the
number of leaves they are having. And we cannot take those number into
count who are not satisfied because as it was very minute percentage below
1%. We can say that the leaves for ONGC employees are more than they
required. As the employees are having adequate number of leaves they are
totally satisfied in this welfare measures.

15% 0%
VERY GOOD
GOOD

25% SATISFIED
60%
POOR

7.Safety Provisions

Serial Number Responses No. of Responses % of Responses

1 Very Good 50 25%
2 Good 90 45%
3 Satisfied 50 25%
4 Poor 10 5%
Total No. of 200 100%
Responses
Source:: Questionnaire
From the above table we can depict that the respondents about safety
provisions are mostly 95 % of them are above the satisfaction, and 5% of

73
them have responded that the t of safety facilities are poor with that of
safety providing in the O.N.G.C

5% 25% VERY GOOD

25%
GOOD
SATISFIED
POOR
45%

[2]Non-Statutory welfare measures

1.Educational Facilities For Employee Children

Serial Number Responses No. of Responses % of Responses

1 Very Good 110 55%
2 Good 80 40%
3 Satisfied 10 5%
4 Poor 00 0%
Total No. of 200 100%
Responses

Source:: Questionnaire

The above table depicts that 45% of the employees are satisfied with the
educational facilities provided to them. 55 % of gave an excellent opinion
over the educational facilities..

74
 5% 0% VERY GOOD
GOOD
40% 55% SATISFIED
POOR

2.Medical Facilities

Serial Number Responses No. of Responses % of Responses

1 Very Good 150 75%
2 Good 50 25%
3 Satisfied 00 0%
4 Poor 00 0%
Total No. of 200 100%
Responses

Source: Questionnaire
Almost all of the employees are satisfied with the medical facilities.
75 % are highly satisfied with facilities provided by O.N.G.C. There is no
unsatisfied employees. As a major portion of the employees are satisfied

75
with the medical facilities due to free treatment.

0%
25% 0% Very Good
Good
Satisfactory

75% poor

3.Housing Facilities

Serial Number Responses No. of Responses % of Responses

1 Very Good 100 50%
2 Good 90 45%
3 Satisfied 10 5%
4 Poor 00 0%
Total No. of 200 100%
Responses

Source:Questionnaire

76
From the above table we can depict that 50 % of the employees have
responded that the housing facilities are very good and 45 % have
responded they are good 5 % are satisfied and only few of % are not
satisfied with the facilities providing for the employees at quarters.
From the above analysis we can conclude that most of hem are above the
satisfaction level regarding the facilities at quarters.

5% 0% Very Good
Good

45% 50% Satisfactory

poor

4.Co-operative Society

Serial Number Responses No. of Responses % of Responses

1 Very Good 30 15%
2 Good 90 45%
3 Satisfied 70 35%
4 Poor 10 5%
Total No. of 200 100%
Responses

Source:: Questionnaire

77
The above table depicts that 95 % of the employees are above satisfied with
the co-operative societies due to the nearness from resident, discounted
price.35 % of the employees are satisfied. A negligible 5 % are unsatisfied.
This figure suggests that 95% of total employees are satisfied with the co-
operative societies due to large number of items available at a has a co-
operative store .so it very near to all residents.

5% 15%
Very Good
35% Good
Satisfactory

45% poor

5.Recreation Facilities

Serial Number Responses No. of Responses % of Responses

1 Very Good 40 20%
2 Good 60 30%
3 Satisfied 50 25%
4 Poor 50 25%
Total No. of 200 100%
Responses

Source:: Questionnaire

78
From the table we can depict that an overall 75% of the employees are
respondendthat the recreation facilities providing in the O.N.G.C are above
the satisfaction level. But 25% of the employees are not satisfied.

25% 20%
Very Good
Good
Satisfactory

25% 30% poor

6.Are The Welfare Officers Helpful To You?

Serial Number Responses No. of Responses % of responses

1 YES 140 70%
2 NO 00 0%
3 PARTIALLY 60 30%
TOTAL NO. 200 100%
OF
RESPONSES

Source:: Questionnaire

79
The above table depicts that the 70 % of the employees responded in a way
that the welfare officer are helpful for them but 30% of them are not
satisfied with the welfare officer. From the above analysis we can say that
from the respondents about 70 % of them are agreed with the point that the
welfare officer are helping the employees. The welfare officers by name it
self say that they are here to look after the welfare of the employees working
in the organization. But30 % of them are not satisfied because the reasons
may be personal. When ever they didn’t get their work done or things may
not happen in their favour the responses will be negative regarding the
welfare officers.

30%
YES
NO
0% PARTIALLY
70%

7.Are You Satisfied With All The Welfare Measures Providing In The
ONGC
Serial Number Responses No. of Responses % of responses
1 YES 160 80%
2 NO 0 0%
3 PARTIALLY 40 20%
TOTAL NO. 200 100%
OF
RESPONSES
Source:: Questionnaire
The above table depicts that most of the employees responded that80 %
have agreed that welfare measures providing to the employees in the ongc

80
are good and they are satisfied. But20 % of them are not satisfied with the
welfare measures providing to them

20%
0% YES
NO
PARTIALLY
80%

FINDINGS

1. The Welfare Measures Provided by the company are Good and

81
Satisfactory.

2. 95% Of the Employees are aware of all the Welfare Measure

Provided by O.N.G.C

3. The Employees are Satisfied With Their Job and also with the Welfare
Facilities Provided to them.
4. The Employees are treated with greater respect and taking care of
their Employees.

5. The Employees are Satisfied with the Incentives given by the

company.

6.The Employees are Satisfied with the Medical Facilities Provided by

the Company.

7.The Cleanliness of work area in the company it is Maintained with

high cleanliness.

8.The Employees are not satisfied with the Canteen facility providing by the
company.

SUGGESTIONS

1.There Should be Permanent Display about the Welfare Measures in

the O.N.G.C to make
aware of the Employees.

82
2.Railway Reservation Facility to be made available with in the Company.

3. Lift facility is not provided in the Office building. If this facility is

considered, it would be useful for the employees like physically
handicapped, pregnant ladies, old aged persons who visit the offices for
their work etc.

4.Canteen facilities should be improved. The quality of the food and the
cleanliness in the canteens should be maintained.

5.It is suggested to provide drinking water through a centralized water

purified system instead of the water coolers, as there may be technical
problems in some of the water purifiers in some blocks or there may be
some other related problems.

6.ONGC has provided generous medical facilities to its employees.

However as most of the employees are residing in the town, the dispensary
is functioning in the town, which is three kilometers away from the based
office and residential colony. If a medical doctor and first aid facility is
provided at the base complex, it would be useful for the employees,
school children during emergencies.

7.There should be provide ATM Facilite with in the premises.

8.There is no guest house facility in Rajahmundry for the employees or for

the employees who visit Rajahmundry from other work centres. Whenever

83
they visit the office, thery are provided accommodation in the hotels. If a
guest house is provided, it would be convenient for the employees and also
reduce the expenditure on accoujnt of arranging accommodation in hotels.

9. Even though there is a residential complex for the teachers of

Kendriya Vidyalaya and the employees of ONGC at base complex, there is
no shopping complex, even for essential commoties like milk, provisions,
and vegetables. For all these things, the residents of the colony are to go
about 2-3 kilometers. If a shopping complex is provided, it would help the
residents at a greater extent and the residential blocks which are still
vacant can be occupied by the employees.

84