1

A STUDY ON EFFECT OF WELFARE MEASURES ON EMPLOYEE

TABLE OF CONTENT

LIST OF TABLES LIST OF CHARTS PAGE NO. 1 8 16 17 21 42 44 45

CHAPTER
1 2 3 4 5 6 7 8

TITLE INTRODUCTION REVIEW OF LITERATURE OBJECTIVES OF THE STUDY RESEARCH METHODOLOGY DATA ANALYSIS AND INTERPRETATION FINDINGS, SUGGESTIONS AND RECOMMENDATIONS OF THE STUDY CONCLUSION LIMITATION OF THE STUDY AND SCOPE FOR FURTHER STUDY

ANNEXURES 1. QUESTIONNAIRE 2. BIBLIOGRAPHY

LIST OF TABLES

TABLE NO.

TITLE EXPERIENCE OF RESPONDENT LEVEL OF SATISFACTION OF SAFETY MEASURES LEVEL OF SATISFACTION OF MEDICAL FACILITY LEVEL OF SATISFACTION OF WORKING ENVIRONMENT LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN SUPERVISOR AND WORKER LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN WORKERS LEVEL OF MOTIVATION GIVEN TO EMPLOYEE LEVEL OF FREEDOM GIVEN TO THE EMPLOYEES STATUS OF GRIEVANCE HANDLING IN THE COMPANY WORK SATISFACTION LEVEL OF THE EMPLOYEE SATISFACTION OF EMPLOYEES ABOUT WELFARE MEASURES ANALYSIS OF OPINION OF RESPONDENTS REGARDING COMMUNICATION IN WORK PLACE AND WORK SATISFACTION (USING CHI-SQUARE) OBSERVED COUNT TABLE EXPECTED COUNT TABLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING WELFARE SATISFACTION AND WORK SATISFACTION (USING CHI-SQUARE) - OBSERVED COUNT TABLE EXPECTED COUNT TABLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING EXPERIENCE OF RESPONDENT AND WORK SATISFACTION (USING CHI-SQUARE) OBSERVED COUNT TABLE EXPECTED COUNT TABLE

PAGE NO.

5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11

21 22 23 24 25 26 27 28 29 30 31

5.12.1 5.12.2 5.12.3

32 32 32

5.13.1 5.13.2 5.13.3

34 34 34

5.14.1 5.14.2

35 35

LIST OF TABLES

TABLE NO.

TITLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING MOTIVATION GIVEN TO EMPLOYEE AND WORK SATISFACTION (USING CORRELATION) CORRELATION TABLE ANALYSIS OF RANKING GIVEN BY RESPONDENTS REGARDING SATISFACTION OF WELFARE MEASURES (USING WEIGHTED AVERAGE METHOD) WEIGHTED AVERAGE TABLE ANALYSIS OF OPINION GIVEN BY RESPONDENTS REGARDING SATISFACTION OF WELFARE MEASURES AND EMPLOYEE MORALE (USING REGRESSION METHOD) REGRESSION TABLE

PAGE NO.

5.14.3 5.15.1 5.15.2 5.16.1 5.16.2

36 37 37 39 39

5.17.1 5.17.2

40 40

LIST OF CHARTS

CHART NO.

TITLE

PAGE NO.

5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11

EXPERIENCE OF RESPONDENT LEVEL OF SATISFACTION OF SAFETY MEASURES LEVEL OF SATISFACTION OF MEDICAL FACILITY LEVEL OF SATISFACTION OF WORKING ENVIRONMENT LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN SUPERVISOR AND WORKER LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN WORKERS LEVEL OF MOTIVATION GIVEN TO EMPLOYEE LEVEL OF FREEDOM GIVEN TO THE EMPLOYEES STATUS OF GRIEVANCE HANDLING IN THE COMPANY WORK SATISFACTION LEVELOF THE EMPLOYEE SATISFACTION OF EMPLOYEES ABOUT WELFARE MEASURES

21 22 23 24 25 26 27 28 29 30 31

CHAPTER-1 INTRODUCTION
1.1 COMPANY PROFILE

6 1.2 INTRODUCTION TO THE STUDY The study was conducted in HIDESIGN in othiampet, puducherry to find the effect of welfare measures on employee morale. The study intends to see the satisfaction level of the employee on the facilities provided by the company and how these welfare measures boost the employee morale. The study on effect of welfare measure on employee morale gives the management an indication of the level of satisfaction among the employees regarding the general working condition and the other facilities provided by the organization. This helps the management to know the general morale of the employees.

CHAPTER -2 REVIEW OF LITERATURE

Human Resource Management is the process of procuring, developing, maintaining, and controlling human resources for effective achievement of organizational goals. This project is focused on employee welfare measure and employee morale. 2.1 EMPLOYEE WELFARE DEFINITION Employee welfare means the effort to make life worth living for workmen. When all basic facilities are provided and employees obtain satisfaction then the productivity can be increased and development of the organization will be possible CONDITIONS OF WORK ENVIRONMENT 1) Working conditions Temperature Ventilation Lighting Dust Smoke Fumes and gases Noise Humidity Posture simple Hazard and safety complex devices

2) Factory Sanitation and Cleanliness: Provision of urinals in factories Provision of spittoons Provision for the disposal of waste and rubbish Provision for water disposal (drainage) Provision of proper bathing and washing facilities Cleanliness, white- washing and repair of buildings and workshops

8 Care and maintenance of open spaces, gardens, roads, etc

3) Welfare Amenities Provision and care of drinking water Canteen services Lunch Rest room Crches Cloak rooms Other amenities

2.1.1 EMPLOYEES HEALTH SERVICES 1) Factory health services Medical examination of employees Factory dispensary and clinic treatment First aid and ambulance room Treatment of accidents and Health education and research

2) Recreation Playgrounds for physical recreation (athletics, games, gymnastics, etc) Social and cultural recreation (music, singing, dancing, drama, etc)

3) Workers education Education to improve skills and earning capacity Literacy Library, audio visual education, lecture programmes and Workers educational scheme and its working

4) Economic Services Employees co-operative societies Grain shops and fair price shops and Housing co-operatives

5) Housing for employees and community services

9 6) Study of the working of welfare Acts Factories Act Employees state insurance act Minimum wages act

7) Social Work in industrial Setting Family Planning Employee counseling

2.1.2 EMPLOYEE SERVICES AND BENEFITS These are concerned with the process of sustaining and maintaining the work force in an organization. They include 1) Safety provision inside the workshop 2) Employee counseling 3) The medical services 4) The recreational and other welfare facilities 5) Fringe benefits and supplementary items 2.1.3 EMPLOYEE MORALE - DEFINITION According to Yoder morale is a feeling, somewhat related to esprit de corps, enthusiasm or zeal.Fippo has described morale As a mental condition or attitude of individuals and groups which determines their willingness to co-operate. Good morale is evidenced by employee enthusiasm, voluntary conformance with regulations and orders, and a willingness to co-operate with others in the accomplishment of an organizations objectives. 2.1.4 FACTORS AFFECTING MORALE According to McFarland, the important factors which have a bearing on morale are The attitude of the executives and managers towards their subordinates. working conditions, including pay, hours of work, and safety rules effective leadership and an intelligent distribution of authority and responsibility in the organization the design of the organizations structure which facilities the flow of work and The size of the organization.

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2.1.5 CRITERIA THAT DETERMINES MORALE Several criteria seem important in the determination of levels of workers morale, such as The organization itself The nature of the work The level of satisfaction The supervision received The perception of the self Workers perception of the past awards and future opportunities for rewards The employees age The employees educational level and occupational level.

2.1.6 TYPES OF MORALE Morale is generally referred to as high morale. According to McFarland, high morale exists when employee attitudes are favorable to the total situation of a group and to the attainment of its objectives low morale exists when attitudes inhibit the willingness and ability of an organization to attain its objectives High morale is represented by the use of such term spirit, zest, enthusiasm, loyalty, dependability and resistance to frustration. Low morale, on the other hand, is described by such words and phrases as apathy, bickering, jealously, pessimism, fighting, disloyalty to the organization, disobedience of the orders of the leaders, dislike of, or lack of interest in, ones job, and laziness. 2.1.7 MORALE AND PERFORMANCE It has been pointed that there is a little evidence in the available literature that employee attitudes bear any relationship to performance on the job. First, there are some who assert that high satisfaction leads to high performance. The Hawthorne studies of 1930s seem to support this view, as do findings of other studies. Second, others take an opposite view. For example, Lyman Porter and Lawler say that satisfaction results from high performance, because most people experience satisfaction by accomplishing more tasks, like building a radio, or clinching a sale.

11 Third, still others claim that there is no consistent relationship between morale and performance. Vroom found significant relationship between morale and performance in only 5 out of 22 studies undertaken by him. 2.1.8 WARNING SIGNS OF LOW MORALE Among the more significant of the warning signals of low morale are High rate absenteeism Tardiness High Labour turnover Strike and sabotage Lack of pride in work and Wastage and spoilage.

2.1.9 IMPROVING MORALE A three-fold action may be initiated. In the first place, it is essential to change the policy or to correct it immediately. Employees do not lose their respect for the boss who admits his mistakes but they cannot respect one who makes too many, and they may have contempt for one who refuses to admit his mistakes. Second, misconceptions should be removed, and the correct position should be explained to the employees. Third, a reasonable attempt should be made to educate and convince the employees.

12 2.2 REVIEW OF LITERATURE FROM JOURNALS AND ARTICLES Preserving Employee Morale during Downsizing Karen E. Mishra, Gretchen M. Spreitzer and Aneil K. Mishra Topic: Human Resource Management and Industrial Relations Reprint 3927; winter 1998, Vol. 39, No. 2, pp. 8395 Mishra propose a four-stage approach to downsizing, gleaned from interviews and surveys that will retain workers' trust and sense of empowerment. The company should consider all stakeholders' needs survivors, laid-off employees, the community, local and national press, and any affected government agencies. honest. How to Boost Employee Morale By Betsy Gallup April 9, 2006 The following are the ways to boost the employee morale. Treat employees with respect Show interest in your employees' personal lives Allow your employees to gain ownership of their jobs by being part of the decisionmaking process Create a pleasant work environment Establish an employee recognition program Give clear direction and set priorities. Stand behind your employees. Be their greatest advocate. The implementation of all the above, is the most important. Management should communicate frequently and be open and

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Boost Employee Morale with an Employee Incentive Program By: Trevor Marshall Good managers know from their own observations that employee attitude affects their work and eventually the companys output. It is essential that your incentive program will actually inspire and motivate them to work efficiently and not just be competitive with each other. Healthy competition among the companys employees is good but too much of it may also cause the company to disintegrate. The company should still be very much hands-on with the whole employee incentive program to ensure that the outcome of the employee incentive program will be good. Employee Welfare By Regina Barr Employee Welfare program is based on the management policy which is aimed shaping perfect employees. Therefore the concept of employee welfare includes to aspects namely physical and mental welfares 1. Applications of merit system or work performance system as the basis for employee rewarding. 2. Providing the retired employees with the old age allowance. 3. Employee insurance program to provide the employee with better security. 4. Improvement in health security for the employees and their families so that they can work confidently and productively. 5. Increase in basic salaries and pension as adjustment to the needs providing all work units and their officials with vehicles to help support smooth mobility.

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2.3 DIAGRAMATIC REPRESENTATION OF THE STUDY

CANTEEN FACILITY

MEDICAL FACILITY

MOTIVATION
Effect of welfare

JOB SATISFACTION

SAFETY

WELFARE MEASURES
measure on morale

EMPLOYEE MORALE

INFRA STRUCTURE

CREDIT FACILITY

INTER RELATIOSHIP

WORK ENVIRONMENT

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CHAPTER-3 OBJECTIVES OF THE STUDY

To study and analyze the safety and welfare measures of the employee. To evaluate the effect of the welfare measures on employee morale. To evaluate the satisfaction level of employee about the work environment. To find the level of satisfaction of employee about the facilities given by the company.

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CHAPTER -4 RESEARCH METHODOLOGY

4.1 RESEARCH MEANING Research is an art of scientific investigation. According to Redmen and Mary defines research as a systematic effort to gain knowledge. Research methodology is way to systematically solve the research problem. It is a plan of action for a research project and explains in detail how data are collected and analyzed. This research study is a descriptive research study. 4.2 RESEARCH DESIGN A research design is a plan that specifies the objectives of the study, method to be adopted in the data collection, tools in data analysis and hypothesis to be framed. A research design is an arrangement of condition for collection and analysis of data in a manner that aims to combine relevance to research purpose with economy in procedure. 4.3 NATURE OF DATA 4.3.1 Primary data The primary data are collected from the employees of HIDESIGN through a direct structured questionnaire. 4.3.2 Secondary data Company profiles, websites, magazines, articles were used widely as a support to primary data. 4.4 SAMPLING SIZE AND TECHNIQUE 4.4.1 Size of the sample It refers to the number of items to be selected from the universe to constitute as a sample. In this study 50 employees of HIDESIGN in Puducherry was selected as size of sample.

17 4.4.2 Sample design The sampling technique used in this study is simple random sampling method. This method is also called as the method of chance selection. Each and every item of population has equal chance to be included in the sample. 4.4.3 Population design The population of this study is the total employee in the company. It is finite population. There are four production centers for the organization for this study I have taken only employees in one production centre. 4.4.3 Questionnaire The questions are arranged logical sequence. The questionnaire consists of a variety of questions presented to the employees for the response. Dichotomous questions, multiple choice questions, rating scale questions were used in constructing questionnaire. 4.5 STATISTICAL TOOLS USED To analyze and interpret collected data the following statistical tools were used. 1) Percentage method 2) Weighted average method 3) Chi-square analysis 4) Correlation 5) Regression 4.5.1 Percentage method The percentage is used for making comparison between two or more series of data. It is used to classify the opinion of the respondent for different factors. It is calculated as No. of respondents favorable x 100 Percentage of respondent = Total no of respondents

18 4.5.2 Weighted average method The weighted average method can be calculated by the following formula. This tool is used to find the rank given by the respondents to the welfare measures. It can be calculated as XW = WX / X

Here XW represents the weighted average X represents the value of variable W represents the weight given to the variable. 4.5.3 Chi-square analysis Chi-square analysis in statistics is to test the goodness of fit to verify the distribution of observed data with assumed theoretical distribution. Therefore it is a measure to study the divergence of actual and expected frequencies. The formula for computing chi-square is as follows. Chi-square = {(O-E)2 / E}

The calculated value of chi-square is compared with the table of chi-square for the given degrees of freedom at the specified level of significance. If the calculated value is greater than the tabulated value then the difference between the observed frequency and the expected frequency are significant. The degrees of freedom is (n-2) where n is number of observed frequencies and in case of contingency table the degrees of freedom is (C-1) 1) where C is number of columns and R is number of rows. It is used to find the relation between communication in work place and work satisfaction. It is used to find the relation between welfare satisfaction and work satisfaction it is used to find the relation between experience of respondents and work satisfaction (R-

19 4.5.4 Correlation The correlation analysis deals with association between two or more variables. The correlation does not necessary imply causation or functional relationship though the existence of causation always implies correlation. By itself it establishes only co- variance. It is used to find the degree of relationship between motivation and work satisfaction. Cov(x, y) = 1/n x y x y x = 1/n x2 x 2 y = 1/n y2 y 2 Cov(x, y) r= Here, r = co-efficient of correlation 4.5.5 Regression The Regression analysis deals with the nature of association between two or more variables. In regression analysis we are concerned with the estimation of one variable for a given value of another variable on the basis of an average mathematical relationship between the two variables. Y= a + bX x X y

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CHAPTER- 5 DATA ANALYSIS AND INTERPRETATION HAPTER -6

6.1 FINDINGS OF THE STUDY

Most of the employees in the company are female. More than 50% of respondent are working for more than 10 years. Most of the respondents are highly satisfied with the medical facility. Most of the respondents are dissatisfied with the safety measure and only few are satisfied. Most of the employees are satisfied with the working condition. Most of the respondents are satisfied with the motivation given by the company. Most of the respondents are satisfied with the relation between supervisor and workers. Most of the employees are satisfied with the relation between workers. Most of the respondents are satisfied with the work. Most of the respondents are satisfied with the welfare measures. Most of the respondents are satisfied with the canteen facility. Most of the respondents are satisfied with the credit facility. The communication in work place has no effect on work satisfaction. The welfare measure satisfaction has no effect on work satisfaction. The increase in employee motivation will increase the work satisfaction. The effect of welfare measures is about 25% on employee morale.

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6.2 SUGGESIONS AND RECOMMENDATIONS

Since most of the employees are married the company can concentrate on crche facility. The company can improve the grievance handling system so that they can increase the employee satisfaction. The company can provide safety equipments to the employees. The salary increment for employees will increase the employee satisfaction and which in turn increase the employee morale.

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CHAPTER - 7 CONCLUSION
The study on effect of welfare measure on employee morale helps the management to know the satisfaction level of the employees about the welfare measure provided by the company. From this study we can infer that the majority of the employees are satisfied with the welfare measures. The company can concentrate on other facility like crche facility, uniform, and safety measures to boost the employee morale. The employee morale is good in the company. It is found that the effect of welfare measure on employee morale in this study is about 25%.

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CHAPTER -8 8.1 LIMITATIONS OF THE STUDY

The time period of the study is very short, so elaborate study was not made. Only certain factors are considered in this study to measure the effect of welfare measure on employee morale. The conclusions and suggestions were formed based on employees spot response. Some false information may be given by the employee

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8.2 SCOPE FOR FURTHER STUDY

The sample size taken for this study is only 50, it can be extended to a larger sample The study can be done by considering some other factors to measure the employee morale This study can be used to measure the satisfaction level of employee. This study can also be extended to the other production centers of the company.

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APPENDICES ANNEXURE -1 A STUDY ON EFFECT OF WELFARE MEASURES ON EMPLOYEE MORALE QUESTIONNAIRE

PERSONAL DATA

1. Name 2. Age (a) 18-25 3. Gender (a) Male

: : (b) 26-35 : (b) Female : (c) UG (c) 5-10 Yrs (d) PG (d) Above 10 Yrs (b) Hr Sec (b) 1-5 Yrs : : : (c) 36-45 (d) Above 45

4. Educational Qualification (a) Below Hr Sec 5. Experience (a) 0-1 Yrs 6. Total Salary 7. Designation 8.1. :

8. Safety Measures

Are you satisfied with the safety appliances in work place? a) Highly satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied 9. Medical Facility 9.1 Specify the level of satisfaction a) Highly satisfied b) Satisfied c) Neutral d) Dissatisfied e) Highly Dissatisfied

9.2

Is there any periodical medical check up given to you (a) Yes 10. ESI Benefits (a) Yes (a) Yes : (b) No (b) No 10.1 Do you have ESI car 10.2 Do you get all the ESI benefits? (b) No

26 11. Canteen facility Specify the level of satisfaction Highly Satisfied Cleanliness Hygienic Serving Price 12. Credit facility 12.1. Is any Advances and loan given to you are satisfied (a) Very high b) high c) moderate d) low e) very low Specify the level of satisfaction of other allowances Highly Satisfied Transport allowance Attendance allowance Punctuality allowance Education allowance 13. Infra-structural facility : Specify the level of satisfaction Highly Satisfied Rest room Drinking water Ventilation Lighting Toilets Working environment Transportation 14. Inter-relationship: 14.1. Relationship between co-workers (a) Cordial (b) Moderate (c) Indifferent Satisfied Neutral Dissatisfied Highly Dissatisfied Satisfied Neutral Dissatisfied Highly Dissatisfied Satisfied Neutral Dissatisfied Highly Dissatisfied

14.2. Relationship between supervisor and workers.

27 (a) Cordial (b) Moderate (c) Indifferent

14.3. Level of communication between supervisor and employee (a) High (b) Very high (c) Low (d) Very low (e)Moderate 15. Level of motivation given to employee (a) High b) Very high (c) Low (d) Very low (e) Moderate

16. Are u informed about all the management policies? (a) Always (b) Sometimes (c) Rarely (d) Never

17. Does the management solve all your grievances? (a) Always (b) Sometimes (c) Rarely (d) Never

18. Level of freedom to express your ideas? (a) High (b) Very high (c) Low (d) Very low (e) Moderate 19. Are you satisfied with the work you do. (a) Always (b) Sometimes (c) Rarely (d) Never

20. In general are you satisfied with the welfare and safety measures given by Management? (a) Yes 21. Suggestion for Improvements (b) No

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ANNEXURE-2 BIBLIOGRAPHY

BOOKS 1. Kothari C.R., Research methodology, published by Tata Mc Graw-Hill Publishing Company Ltd., 13th Edition, 1982. 2. Gupta, S.P., and Gupta, M.P., Business Statistics, Published by Sultan Chand & Sons, 7th Edition, 1989. 3. Personnel Management by C.B.Mamoria & S.V.Gankar, Published by Himalaya Publishing House.

WEBSITES 1. www.ncr.com