Final Project

EMPLOYEE WELFARE MEASURES
A STUDY ON EMPLOYEE WELFARE

MEASURES
SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

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INTRODUCTION:-
HUMAN RESOURCE:
Human Resource is of paramount importance for the success of any organization. It

is a source of strength and aid. Human resources are the wealth of an organization which
can help it in achieving its goals. Human Resource management is concerned with the
human beings in an organization. It reflects a new outlook which views organizations
manpower as its resources and assets.
Human Resource is a resource like any other natural resource. It means that
management can get and use the skill, knowledge, ability, etc. Through the development
of skills, tapping and utilizing them again and again. Human Resource management is
that process of management which develops the human elements of an enterprise.
Employee welfare:
The concept of Employee welfare is not at all new for India because the Kotilya
Arthashastra speaks that for making Good Relations in industry and also increasing
productivity some welfare should be provided to the Working Class.
The concept of Employee welfare gained importance in India on account of Industrial

revolutions and it is also said that Employee welfare movement is to solve the Employee
problems on account of rapid Industrial growth revolution for the first time. The welfare
took place in England and Robert Owen is considered as Father of modern Welfare
measures incorporated in Factories Act. This measure may be made by the government or
by the employer or by the Trade Unions by Voluntary organization. The employee
welfare employs the welfare of man, his family, and his community. All these facts are
interrelated and work together in three dimensions.
The term “Employee Welfare” describes a modern concept conveying a specific

programmer’s for the wellbeing of workers. It is assumed that while workers are citizens,
the nature of their work, the level of their wage and education, their position in
employing organization and the demands of modern industries put them in a peculiar
position calling forth special attention.

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In the beginning when machines are invented, men and women workers were
required to adapt themselves to the needs of the machines. In the process of adjustment
workers suffered much bodily and mental agony.
It was slowly realized that workers are human beings and that they were more
valuable than machines. The story of Employee welfare all over the world is a story of
adjustment of the machines and working conditions to the human needs of workers.
According to Employee Welfare Organization Employee welfare as such

services facilities and amenities as may establish to enable the persons to perform their
work in healthy surroundings and provided amenities to create high morale.
The Oxford dictionary defines Employee welfare as efforts to make like worth
living for workmen.
Thus, the Employee welfare originated with desire for a humanitarian approach to
the suffering of the working people; later it became utilitarian philosophy, which worked
as a motivating force for Employee in India.
The concept of Employee Welfare is mainly due to:
1. The need to provide a better life for the workers.

2. The industrial expansion leads to the working classes as a source of a power
for mass production and steps to promote Employee welfare were a direct
recognition of the new situation.
3. Employee welfare is one of the major aspects of National Programmed
towards bettering lot of Employee and creating a life and work environment
of decent comfort for this class of population.
4. According to Industrial Employee Organization “Workers welfare should
be understood as meaning such services, facilities and amenities which may
be established in more in the vicinity of undertaking to enable the persons
employed them to perform their work in health and high morale.
5. Welfare work may be considered to include anything done for the
intellectual, physical and economical betterment of the workers whether by

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employer, by government or by any other agencies. In 1959 the Govt. of

India appointed a study to examine Employee Welfare activities.
In 1963 the committee of expansion WELFARE FACILITIES for industrial workers
conveyed by the ILO in 1963, adopt the following detailed classification under two
heads:
Employee welfare work aims at providing such service facilities and amenities which
enable the workers employed in an organization to perform their work in healthy
congenial surrounding conductive to good health and high morale.
Employee welfare is a comprehensive term including various services, benefits and

facilities offered by the employer. Through such generous fringe benefits the employer
makes life worth living for employees. The welfare amenities are extended in additional
to normal wages and other economic rewards available to employees as per the legal
provisions.
Welfare measures may also be provided by the government, trade unions and non-
government agencies in addition to the employer. “International Employee Organization
efforts to make life worth living for workers” According to the Oxford dictionary
“Welfare is fundamentally an attitude
of mind on the part of management influencing the method by which management

activities are undertaken.
Importance of Employee welfare activities:-
Employee welfare in India has a special significance as the constitution provides for
the promotion of welfare of the Employee for human conditions of work and securing to
all workers.
The various welfare measures provided by the employee will have immediate impact
on the health, physical and mental efficiency, alertness, morale and overall efficiency of
the workers and thereby contributing to the highest productivity.
Social security measure provided by employer will act as a protection to the workers.
Employee welfare means activities designed for the promotion of the economic, social

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and cultural well being of the employees. Employee welfare includes both statutory as
well as non-statutory activities undertaken by the employers, trade unions and both the
central and state governments for the physical and mental development of the workers.
Employee welfare enables workers to have richer and more satisfying life. It raises
the standard of living of workers by indirectly reducing the burden on their pocket.
Welfare measures improve the physical and physiological health of the employees, which
in turn enhance their efficiency and productivity.
Employee welfare promotes a sense of belongings among the workers, preventing

them from resorting to unhealthy practices like absenteeism, labour unrest strike, etc.
Welfare work improves the relations between employees and employers. It promotes a
real change of heart and a change of outlook of the part of both the employers and
employees.
Reasons for the Employee welfare activities in India:-
1) Increase in efficiency of employees:
Employee welfare activities increase in efficiency of employees to work. These facilities

help in developing the feeling of dedication among them. Due to the increase in
efficiency the production and the productivity of the enterprise increase considerably.
2) Helpful in reducing the state of poverty among employees:
Most of the workers in our country are unable in providing for base necessities for
themselves and to their family members. This is because of the extreme poverty among
Indian workers. Provision of Employee welfare activities plays an important role in
reducing such poverty and in providing essential amenities to the workers.
3) Establishment of Organizational peace:
Employee welfare activities help in establishing sound relations between employees and
employers. When the employees of the organization feels that they are getting all the
possible facilities and the employers are very caring to them, then such good feeling
increases enthusiasm among employees which will establish peace in the organization.

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4) Helpful in reducing the rate of absenteeism and Employee turnover:
The rate of absenteeism and Employee turnover is much higher in India as compared to
that of developed countries of the world. Provision of Employee welfare activities help in
reducing this because the workers feel themselves well settled at one place.
OBJECTIVES OF THE STUDY
 To examine the effect of inadequate welfare measures which affect worker’s

health, efficiency and industrial relations
 To analyze whether the workers are benefited with the company schemes, which
are available to them and to find out the opinions of the employers?
 To study the workers perception about welfare schemes provided by the
organization.
 To learn how welfare service provided to employees help organization to reduce
absenteeism and labour turnover.
 To study how the welfare facilities provided helps in increasing the productivity
and job satisfaction

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SCOPE OF THE STUDY
 People are at the heart of success of any organization. An organization to survive,

grow and compete in the market requires employee’s contributions like
productivity, efficiency, quality standard and loyalty. The Human Resource of the
organization comes with various needs, attitudes, behavior, aspirations and
perceptions.
 The study covers all the statutory welfare measures namely canteens, washing
facilities, resting facilities, dress and storing facilities, sanitary and drinking water
facilities and the non – statutory welfare measures namely education, housing,
cooperatives, transport and recreation.
 It also includes a study on issues like grievance handling and working
environment, which also have impact on the overall welfare of the worker.
The study is conducted only on employees of HYUNDAI MOTORS.

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NEED AND IMPORTANCE OF THE STUDY
 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 on factory or mine or a devices and
compensatory benefits have to be provided for the 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 welfare of the
workers. This can be referred to as the ‘long aim of the Job’.
 Regarding the aspect of ‘social invasion of the factory’ when a worker comes
to M S Working place, he is not an isolated individual but a member of society
having family members. Hence, the imperative needs to provide a welfare
services to satisfy his personal and family needs is felt.

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RESEARCH METHODOLOGY
RESEARCH PROBLEM:
A research problem in general refers to some difficulty, which a researcher experience in

the content of either the cortical or practical situation and wants to obtain a solution for
the same. According to this project the organization is facing some problem with the
workers regarding their welfare facilities, so the organization needs the level of
satisfaction and their opinions. So this topic is given to me for analysis.
2.1. RESEARCH DESIGN:
“A research design is the arrangement of conditions for collection and analysis of data in
a manner that aims to combine relevance to the research purpose with economy in
procedure.
Stratified Sampling:
Under stratified sampling the population is divided into several sub population that are
individually more homogeneous than that of the total population and then we select item
from each strain to constitute a sample.
Scaling technique:
Rating scale technique is used in this study. The rating scale involves qualitative
description of a limited no. of aspects of a thing or of the trades of person. When we use
rating we juke an object in absolute terms against some criteria.

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METHODES OF DATA COLLECTION:
PRIMARY DATA:
The primary data for the study will be collected using a structured questionnaire,
interview and discussions with the employees
SECONDARY DATA:
The secondary data will be collected from various sources, which are as follows
 Various companies of employee welfare

 Journals, news papers
 HR websites
 Reports of consultancies

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LIMITATIONS
 The survey was conducted within limited time frames so that a few short comings
may be expected.
 The respondent’s personal basis may be another factor which is incontrollable.
 The finding of the survey is strictly based on the responses of employees.
 The factory functions in shift system so all shift workers did not take part in the
sample.
 Due to lack of time, the surely was contacted only 65 Respondents.


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INDUSTY PROFILE

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INDUSTRY PROFILE
AUTOMOTIVE INDUSTRY IN INDIA
The automotive industry in India is one of the largest in the world with an

annual production of 23.96 million vehicles in FY (fiscal year) 2015–16, following a
growth of 2.57 per cent over the last year. The automobile industry accounts for 7.1 per
cent of the country's gross domestic product (GDP). The Two Wheelers segment, with 81
per cent market share, is the leader of the Indian Automobile market, owing to a growing
middle class and a young population. Moreover, the growing interest of companies in
exploring the rural markets further aided the growth of the sector. The overall Passenger
Vehicle (PV) segment has 13 per cent market share.
India is also a prominent auto exporter and has strong export growth expectations
for the near future. In FY 2014–15, automobile exports grew by 15 per cent over the last
year. In addition, several initiatives by the Government of India and the major automobile
players in the Indian market are expected to make India a leader in the Two Wheeler
(2W) and Four Wheeler (4W) market in the world by 2020.
Market size
The industry produced a total 14.25 million vehicles—including passenger vehicles (PV),
commercial vehicles (CV), and three- and two wheelers (3W and 2W)—in April–October
2015, as against 13.83 in April–October 2014, registering a marginal growth of 3.07 per
cent, year-to-year.
The sales of PVs grew by 8.51 per cent in April–October 2015 over the same period in
the previous year. The overall CVs segment registered a growth of 8.02 per cent in April–
October 2015 as compared to same period last year. Medium- and heavy commercial
vehicles (MCV and HCV) registered very strong growth of 32.3 per cent, while sales of

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light commercial vehicles (LCV) declined by 5.24 per cent during April–October 2015,
year-to-year.
In April–October 2015, overall automobile exports grew by 5.78 per cent. PVs, CVs,
3Ws, and 2Ws registered growth of 6.34 per cent, 17.95 per cent, 18.59 per cent, and 3.22
per cent, respectively, in April–October 2015, over April–October 2014.[2]
Investments
Interior of Tata Connect Next EV concept car at 2015 Geneva Motor Show
Tata Prima T1 truck at Buddh International Circuit
In order to keep up with the growing demand, several auto makers have started investing
heavily in various segments of the industry during the last few months. The industry has
attracted foreign direct investment (FDI) worth US$17.4 billion during the period April
2000 to June 2017, according to data released by Department of Industrial Policy and
Promotion (DIPP).
Some of the major investments and developments in the automobile sector in India are as
follows:

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 Global auto maker Ford plans to manufacture in India two families of engines by
2017, a 2.2 liter diesel engine code-named Panther, and a 1.2 liter petrol engine code-
named Dragon, which are expected to power 270,000 Ford vehicles globally.
 The world's largest air bag suppliers Autoliv Inc, Takata Corp, TRW Automotive
Inc and Toyoda Gosei Co are setting up plants and increasing capacity in India.
 General Motors plans to invest US$1 billion in India by 2020, mainly to increase
the capacity at the Talegaon plant in Maharashtra from 130,000 units a year to
220,000 by 2025.
 US-based car maker Chrysler has planned to invest Rs 3,500 crore (US$525
million) in Maharashtra, to manufacture Jeep Grand Cherokee model.
 Mercedes Benz has decided to manufacture the GLA entry SUV in India. The
company has doubled its India assembly capacity to 20,000 units per annum.
 Germany-based luxury car maker Bayerische Motoren Werke AG's (BMW) local
unit has announced to procure components from seven India-based auto parts makers.
 Mahindra Two Wheelers Limited (MTWL) acquired 51 per cent shares in France-
based Peugeot Motorcycles (PMTC).
Government Initiatives
Isuzu's newly inaugurated manufacturing plant in 2016 at Sri City, Andhra Pradesh, India
The Government of India encourages foreign investment in the automobile sector and
allows 100 per cent FDI under the automatic route.
Some of the major initiatives taken by the Government of India are:
 The Government of India aims to make automobile manufacturing the main driver
of "Make in India" initiative, as it expects the passenger vehicles market to triple to
9.4 million units by 2026, as highlighted in the Auto Mission Plan (AMP) 2016-26.

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 In the Union budget of 2015-16, the Government has announced plans to provide
credit of Rs 850,000 crore (US$127.5 billion) to farmers, which is expected to boost
sales in the tractors segment.
 The government plans to promote eco-friendly cars in the country—i.e. CNG-
based vehicles, hybrid vehicles, and electric vehicles—and also to make mandatory 5
per cent ethanol blending in petrol.
 The government has formulated a Scheme for Faster Adoption and Manufacturing
of Electric and Hybrid Vehicles in India, under the National Electric Mobility
Mission 2020, to encourage the progressive introduction of reliable, affordable, and
efficient electric and hybrid vehicles into the country.
 The Automobile Mission Plan (AMP) for the period 2006–2016, designed by the
government is aimed at accelerating and sustaining growth in this sector. Also, the
well-established Regulatory Framework under the Ministry of Shipping, Road
Transport and Highways, plays a part in providing a boost to this sector.[3]
History
A pre-Independence car showroom in Secunderabad
Indian Royalty were one of the largest buyers of luxury cars during pre-Independence
British India

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Kolkata street traffic in 1945
In 1897, the first car ran on an Indian road. Through the 1930s, cars were imports only,
and in small numbers.
An embryonic automotive industry emerged in India in the 1940s. Hindustan Motors was

launched in 1942, long-time competitor Premier in 1944, building Chrysler, Dodge,
and Fiat products respectively. Mahindra & Mahindra was established by two brothers in
1945, and began assembly of Jeep CJ-3A utility vehicles. Following independence in
1947, the Government of India and the private sector launched efforts to create an
automotive-component manufacturing industry to supply to the automobile industry. In
1953, an import substitution programme was launched, and the import of fully built-up
cars began to be restricted.
1947-1970
The 1949 Hindustan 10 built by Hindustan Motors under license from Morris Motors,
UK

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The Ambassador dominated India's automotive market from the 1960s until the mid-
1980s and was manufactured till 2014
Fiat 1100D, built under license by Premier Automobiles later re-christened 'Premier

Padmini' was the Ambassador's only true competitor
The 1952 Tariff Commission
In 1952, the government appointed the first Tariff Commission, one of whose
purposes was to come out with a feasibility plan for the indigenization of the Indian
automobile industry. In 1953, the commission submitted their report, which
recommended categorizing existing Indian car companies according to their
manufacturing infrastructure, with licensed capacity to manufacture a certain number of
vehicles, with capacity increases allowable, as per demands, in the future. The Tariff
Commission recommendations were implemented with new policies that would
eventually exclude companies that only imported parts for assembly, as well as those
with no Indian partner. In 1954, following the Tariff Commission
implementation, General Motors, Ford, and Rootes Group, which had assembly-only
plants in Mumbai, decided to move out of India.[5]
The Tariff commission policies, including similar restrictions that applied to other
industries, came to be known as the "license raj", which proved to be the greatest undoing

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of the Indian automotive industry, where bureaucratic red tape ended up causing demand
to outstrip supply, with month-long waiting periods for cars, scooters, and motorcycles.
Passenger Cars
 Hindustan Motors, Calcutta - technical collaboration with Morris Motors to

manufacture Morris Oxford models that would later become HM Ambassador.
 Premier Automobiles, Bombay - technical collaboration with Chrysler to
manufacture Dodge, Plymouth and Desoto models and with Fiatto manufacture the
1100D models which would later with Premier Padmini range.
 Standard Motor Products of India, Madras - technical collaboration
from Standard-Triumph to manufacture Standard Vanguard, Standard 8, 10 and
later Standard Herald.
Utility and Light Commercial Vehicles
 Vehicle Factory Jabalpur - started manufacturing Jonga Light Utility Vehicles and

Vahan 1 Ton (Nissan 4W73 Carriers) in India, under license from Nissan of Japan.
They were the main troop carriers of the Indian Armed Forces and much powerful
than any other vehicle of their class.
 Mahindra & Mahindra, Bombay - technical collaboration with Willys to
manufacture CJ Series Jeep.
 Bajaj Tempo, Poona now Force Motors - technical collaboration with Tempo
(company) to manufacture Tempo Hanseat, a three-wheeler and Tempo Viking and
Hanomag, later known as Tempo Matador in India.
 Standard Motor Products of India - technical collaboration from Standard has
license to manufacture the Standard Atlas passenger van with panel van and one-
tonne one tonne pickup variants.
Medium and Heavy Commercial Vehicles
 Vehicle Factory Jabalpur - started manufacturing Shaktiman trucks with technical

assistance from MAN SE of Germany. The trucks were the main logistics vehicle of
the Indian Army with several specialist variants. VFJ still is the sole supplier of B
vehicles to the Indian Armed Forces.

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 Heavy Vehicles Factory - was established in 1965 in Avadi, near Chennai to

produce tanks in India. Since its inception, HVF has produced all the tanks of India,
including Vijayanta, Arjun, Ajeya, Bhishma and their variants for the Indian Army.
HVF is the only tank manufacturing facility of India.
 Tata Motors, Poona, and then known as TELCO - technical collaboration
with Mercedes Benz to manufacture medium to heavy commercial vehicles both Bus
and Trucks.
 Ashok Motors, later Ashok Leyland, Madras - technical collaboration
with Leyland Motors to manufacture medium to heavy commercial vehicles both Bus
and Trucks. Ashok Motors also discontinued its Austin venture formed in 1948 to
sell Austin A40 and retooled the factory to make trucks and buses.
 Hindustan Motors - technical collaboration with General Motors to manufacture
the Bedford range of medium lorry and bus chassis.
 Premier Automobiles - technical collaboration with Chrysler to manufacture
the Dodge, Fargo range of medium lorry, panel vans, and mini-bus and bus chassis.
 Simpsons & Co, Madras - part of Amalgamations Group (TAFE Tractors) -
technical collaboration with Ford to manufacture medium lorry and bus chassis, but
did not utilize that option until the 1980s.
Scooters, Mopeds and Motorcycles
The Vespa 150 Sprint
Known as Bajaj Chetak, by Bajaj became the largest sold scooter in the world
 Many of the two-wheelers manufacturers were granted licenses in the early

1960s, well after the tariff commission was enabled.

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 Royal Enfield (India), Madras - technical collaboration with Royal Enfield, UK to

manufacture the Enfield Bullet range of motorcycles.
 Bajaj Auto, Poona - technical collaboration with Piaggio, Italy to manufacture
their best selling Vespa range of scooters and three wheelers with commercial option
as well.
 Automobile Products of India, Bombay (Better known for API Lambretta -
technical collaboration with Innocent of Milan, Italy to manufacture
their Lambretta range of mopeds, scooters and three-wheelers. This company was
actually the Rootes Group car plant that was bought over by M. A.
Chidambaram family.
 Mopeds India Limited, Tirupathi - technical collaboration with Motobécane,
France to manufacture their best selling Mobility mopeds.
 Escorts Group, New Delhi - technical collaboration with CEKOP of Poland to
manufacture the Rajdoot 175 motorcycle whose origin was DKW RT 125
 Ideal Jawa, Mysore - in technical collaboration with CZ - Jawa of Czechoslovakia
for its Jawa and Yezdi range of motorcycles.
1970 to 1983
However, growth was relatively slow in the 1950s and 1960s, due to
nationalisation and the license raj, hampered the growth of Indian private sector.
The beginning of the 1970s saw some growth potential and most of the collaboration
license agreements came to an end but with option to continue manufacturing with
renewed branding. Cars were still meant for the elite and Jeeps were largely used by
government organizations and some rural belts. In commercial vehicle segments some
developments were made by the end of the decade to cater improved goods movements.
The two-wheeler segment remained unchanged except for to increased sales in urban
among middle class. But more fillips were target towards farm tractors as India was
embarking on a new Green Revolution. More Russian and eastern bloc imports were
done to increase the demand.
But after 1970, with restrictions on the import of vehicles set, the automotive industry
started to grow; but the growth was mainly driven by tractors, commercial vehicles and
scooters. Cars still remained a major luxury item. In the 1970s, price controls were finally

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lifted, inserting a competitive element into the automobile market. However, by the
1980s, the automobile market was still dominated by Hindustan and Premier, who sold
superannuated products in fairly limited numbers. During the eighties, a few competitors
began to arrive on the scene.
The OPEC oil crisis saw increase need to install or redesign some vehicle to fit diesel
engines on medium commercial vehicle. Until the early 1970s Mahindra Jeeps were
on Petrol and Premier commercial vehicles had Petrol model options. The Defence sector
too had most trucks on Petrol engines.
1984 to 1992
First generation Maruti 800 launched in 1984
From the end of the 1970s to the beginning of the 1980s saw no new models but the
country continued with 2 decade old designs forcing government to encourage and let
more manufacturers into fray.
In 1984, the then Prime Minister of India, Indira Gandhi established the Ordnance

Factory Medak, near Hyderabad. It started manufacturing Infantry Combat
Vehicles christened as Sarath, the backbone of India's mechanised infantry. OFMK is
still the only manufacturing facility of ICVs in India. To manufacture the high-power
engines used in ICVs and main battle tanks, Engine Factory Avadi, near Chennai was set
in 1987. In 1986, to promote the auto industry, the government established the Delhi
Auto Expo. The 1986 Expo was a showcase for how the Indian automotive industry was
absorbing new technologies, promoting indigenous research and development, and
adapting these technologies for the rugged conditions of India. The nine-day show was
attended by then Prime Minister Rajiv Gandhi.

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Post-1992 liberalization
Tata Indica, launched in 1997
Mahindra Scorpio was launched in 2001
Maruti Suzuki Swift Dzire and its hatchback version are the largest selling cars in recent
years in India
Eventually multinational automakers, such as, Suzuki and Toyota of Japan

and Hyundai of South Korea, were allowed to invest in the Indian market, furthering the
establishment of an automotive industry in India. Maruti Suzuki was the first, and the
most successful of these new entries, and in part the result of government policies to
promote the automotive industry beginning in the 1980s. [7] As India began to liberalise its
automobile market in 1991, a number of foreign firms also initiated joint ventures with
existing Indian companies. The variety of options available to the consumer began to
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multiply in the nineties, whereas before there had usually only been one option in each
price class. By 2000, there were 12 large automotive companies in the Indian market,
most of them offshoots of global companies.[8]
Slow export growth
Exports were slow to grow. Sales of small numbers of vehicles to tertiary markets
and neighbouring countries began early, and in 1987 Maruti Suzuki shipped 480 cars to
Europe (Hungary). After some growth in the mid-nineties, exports once again began to
drop as the outmoded platforms provided to Indian manufacturers by multinationals were
not competitive.[9] This was not to last and today India manufactures low-priced cars for
markets across the globe. As of 18 March 2013, global brands such as Proton
Holdings, PSA Group, Kia, Mazda, Chrysler, Dodge and Geely Holding Group were
shelving plans for India due to the competitiveness of the market, as well as the global
economic crisis.[10]
Emission norms
In 2000, in line with international standards to reduce vehicular pollution, the

central government unveiled standards titled "India 2000", with later, upgraded
guidelines to be known as Bharat Stage emission standards. These standards are quite
similar to the stringent European emission standards and have been implemented in a
phased manner. Bharat Stage IV (BS-IV), the most stringent so far, was implemented
first in April 2010, in 13 cities—
Delhi (NCR), Mumbai, Kolkata, Chennai, Bangalore, Hyderabad, Ahmedabad, Pune, Sur
at, Kanpur, Lucknow, Solapur, and Agra—and then, as of April 2017, the rest of the
nation.
Local manufacture encouraged
India levies an import tax of 125% on electric cars, whiles the import tax on
components such as gearboxes, airbags, drives axles, and is 10%. Therefore, the taxes
encourage cars to be assembled in India rather than be imported as completely built units.

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Manufacturing facilities
The majority of India's car manufacturing industry is evenly divided into three
"clusters". Around Chennai is the southernmost and largest, with a 35% revenue share,
accounting for 60% of the country's automotive exports, and home of the operations
of Heavy Vehicles Factory, Engine Factory
Avadi, Ford, Hyundai, Renault, Mitsubishi, Nissan, BMW, Hindustan
Motors, Daimler, Caparo, Mini, and Datsun. Near Mumbai, Maharashtra, along
the Chakan corridor near Pune, is the western cluster, with a 33% share of the
market. Audi, Volkswagen, and Skoda are located in Aurangabad. Mahindra and
Mahindra have an SUV and engine assembly plant at Nashik. General Motors, Tata
Motors, Mercedes Benz, Land Rover, Jaguar, Fiat, and Force Motors have assembly
plants in the area.
The northern cluster is around the National Capital Region, and contributes

32%. Gurgaon and Manesar, in Haryana, are where the country's largest car
manufacturer, Maruti Suzuki, is based.
An emerging cluster is the state of Gujarat, with a manufacturing facility of General

Motors in Halol, and a facility for Tata Nano at their plant in Sanand. Ford, Maruti
Suzuki, and Peugeot-Citroen plants are also planned for Gujarat.
Kolkata with Hindustan Motors (inactive), Noida with Honda,
and Bangalore with Toyota are other automotive manufacturing regions around the
country.
Andhra Pradesh
Commercial and passenger vehicles
 Isuzu Motors India at Sri City, Andhra Pradesh

 Kia Motors India at Anantapur District, Andhra Pradesh
Two wheelers
 Hero MotoCorp at Satyavedu, Andhra Pradesh

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Off-highway vehicles
 Kobelco Cranes at Sricity, Andhra Pradesh
Exports
Mahindra Scorpio in service with Italy's CNSAS.
India's automobile exports have grown consistently and reached $4.5 billion in 2009, with
the United Kingdom being India's largest export market, followed by Italy, Germany,
Netherlands, and South Africa.
According to the New York Times, India's strong engineering base and expertise in the
manufacturing of low-cost, fuel-efficient cars has resulted in the expansion of
manufacturing facilities of several automobile companies
like Hyundai, Nissan, Toyota, Volkswagen, and Maruti Suzuki.
In 2008, South Korean multinational Hyundai Motors alone exported 240,000 cars made

in India. Nissan Motors plans to export 250,000 vehicles manufactured in its India plant
by 2011. Similarly, US automobile company, General Motors announced its plans to
export about 50,000 cars manufactured in India by 2011.
In September 2009, Ford Motors announced its plans to set up a plant in India with an

annual capacity of 250,000 cars, for US$500 million. The cars will be manufactured both
for the Indian market and for export. The company said that the plant was a part of its
plan to make India the hub for its global production business.[85] Fiat Motors announced
that it would source more than US$1 billion worth auto components from India.

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A Tata Safari on display in Poznan, Poland.
In 2009 India (0.23m) surpassed China (0.16m) as Asia's fourth largest exporter of cars
after Japan (1.77m), Korea (1.12m) and Thailand (0.26m).
In July 2010, The Economic Times reported that PSA Peugeot Citroën was planning to
re-enter the Indian market and open a production plant in Andhra Pradesh that would
have an annual capacity of 100,000 vehicles, investing € 700M in the operation. PSA's
intention to utilise this production facility for export purposes however remains unclear
as of December 2010.
The Maruti Ertiga, a model exported by Maruti Suzuki, India.
In recent years, India has emerged as a leading centre for the manufacture of small
cars. Hyundai, the biggest exporter from the country, now ships more than 250,000 cars
annually from India. Apart from Maruti Exports' shipments to Suzuki's other
markets, Maruti Suzuki also manufactures small cars for Nissan, which sells them in
Europe. Nissan will also export small cars from its new Indian assembly line. Tata
Motors exports its passenger vehicles to Asian and African markets, and is preparing to
sell electric cars in Europe in 2010. The firm is planning to sell an electric version of its
affordable car the Tata Nano in Europe and in the U.S. Mahindra & Mahindra is
preparing to introduce its pickup trucks and small SUV models in the U.S. market. Bajaj

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Auto is designing a low-cost car for Renault Nissan Automotive India, which will market
the product worldwide. Renault Nissan may also join domestic commercial vehicle
manufacturer Ashok Leyland in another small car project. While the possibilities for the
Indian automobile industry are impressive, there are challenges that could thwart future
growth. Since the demand for automobiles in recent years is directly linked to overall
economic expansion and rising personal incomes, industry growth will slow if the
economy weakens.
Top 10 export destinations
India exported $14.5 billion worth of automobiles in 2014. The 10 countries below
imported 47.8% of that total.[90]
Rank Country Value (US$) Share
1 United States 1.2 billion 8.4%
2 Mexico $1 billion 6.9%
3 South Africa $888.8 million 6.1%
4 United Kingdom $637.4 million 4.4%
5 Sri Lanka $596.9 million 4.1%
6 Bangladesh $592.1 million 4.1%
7 Turkey $580.4 million 4%
8 Nigeria $546.8 million 3.8%
9 United Arab Emirates $433.6 million 3%

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COMPANY PROFILE
COMPANY PROFILE

Page 29
Who We Are
Hyundai Motor India Limited (HMIL) is a wholly owned subsidiary of Hyundai Motor
Company, South Korea. HMIL is the country’s second largest car manufacturer and the
number one car exporter since inception and celebrated its 20 year journey in India in
May 2016.
HMIL has two 2 fully integrated state-of-the-art manufacturing plants which boast
advanced production, quality and testing capabilities. It currently has 9 models across
segments– EON, GRAND i10, ELITE i20, i20 ACTIVE, XCENT, VERNA, CRETA,
ELANTRA and TUCSON. HMIL has won 4 Indian Car of the Year awards; first in 2008
and the last 3 being in a row in 2014, 2015 and 2016.
Hyundai Ranked the ‘Number One position in After Sales Customer
Satisfaction’ with the all-time high score of 923 points in J.D.Power 2017 India
Customer Service Index (Mass market) Study. This result is a testimony of Hyundai
Quality products along with strong efforts and focus towards customer satisfaction
through Service Quality. Hyundai will continue to invest in achieving highest-level of
customer satisfaction to make Hyundai as the Most Loved and Trusted brand in Indian
market.
To support its growth and expansion plans, HMIL currently has 490 dealers and more
than 1,293 service points across India. In its commitment to provide customers with
cutting-edge global technology, Hyundai has built a modern multi-million dollar R&D
facility in Hyderabad.
MD & CEO
Mr. Y K Koo, MD & CEO - Hyundai Motor India Ltd

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Mr. Y K Koo is the MD & CEO of Hyundai Motor India Limited since Nov 2015. He
joined Hyundai Motor Company; South Korea in 1984
He has over 33 years of diversified work experience of global markets in different
assignments with Hyundai Motor Company.
Prior to Hyundai Motor India he was the CEO of Hyundai Motor CIS (Russia) for 3
years.
He had served Hyundai Motor India in his earlier stint for over 9 years
in two different roles for a period 1997-2001 and 2008-2011.
He is one of the founder members of Hyundai Motor India’s operation in 1997 and
played key role in building
sales and marketing operation from 2008-2011.
He is a visionary with big dreams and his thought leadership has strengthened Hyundai
Motor India’s brand image through consistent growth and great contribution to the Indian
Automobile Industry. His wisdom, foresightedness and business acumen has brought
significant changes and big innovations propelling Hyundai Motor India to pinnacle of
success and winning many distinguished and prestigious awards like Indian Car of the
Year (ICOTY) award for CRETA, Top Exporter of the Year Award, Manufacturer of the
Year Award, CSR Champion of the Year Award, Hyundai Motor Company Global
Distributor of the Year Award and secured Most Coveted.
R&D Centre
Hyundai Motor India Engineering (HMIE) is a fully owned subsidiary of Hyundai Motor
Company, South Korea, which is located at Hyderabad. It is located in the Hi-tech city
region of Hyderabad in Telangana State. Often referred to as India’s Silicon Valley,

Page 31
Hyderabad is the IT technology centre of India, hosting leading international IT

companies.
Hyundai Motor established HMIE in November 2006 in order to hire some of the talented
IT workers found in the region. HMIE has contributed to the development of Hyundai
Motor’s popular new models for the Indian market starting with the EON and followed
now by the “I” series and also in SUV segments like Creta.
HMIE Vision is to support Head Quarters Hyundai Motor Company, Namyang, South
Korea in the area of Research & Development support services, along with this,
enhancing support to Hyundai Motor India Limited, Chennai, India, in the area of Power
Train support, design support, evaluation and certification activities. Also focuses on
Indian unique car development activities.
HMIE is a centre with one of the most advanced research and development facilities
which focuses on state of the art product and design engineering and rigorous quality
enhancement. It will play an important role leading on the development of new models
for key emerging markets including India.

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Sales and service network
HMIL has 475 dealers and more than 1,300 service points across India. HMIL also
operates its own dealerships known as Hyundai Motor Plazas in large metros across
India. HMIL has the second largest sales and service network in India after Maruti
Suzuki.
Hyundai Motor India Limited Annual Sales
Year Domestic sales Exports Total
1998 8,447 0 8,447
1999 17,627 20 17,647
2000 82,896 3,823 86,719

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2001 87,175 6,092 93,267
2002 1,02,806 8,245 111,051
2003 1,20,325 30,416 150,741
2004 1,39,759 75,871 215,630
2005 1,56,291 96,560 252,851
2006 1,86,174 1,13,339 299,513
2007 2,00,411 1,26,749 327,160
2008 2,45,397 2,43,919 489,316
2009 2,89,863 2,70,017 559,880
2010 3,56,717 2,47,102 603,819
2011 3,73,709 2,42,330 616,039
2012 3,91,276 2,50,005 641,281
2013 3,80,000 2,33,260 613,260
2014 4,10,000 1,91,221 601,221
2015 4,76,001 1,67,268 643,269

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2016 5,00,537 1,61,517 6,62,054
2017 5,27,320 1,50,901 6,78,221
2018 5,36,241 1,53,943 6,90,184
2019 5,45,153 1,62,105 7,07,348
Exports
HMIL currently exports vehicles to over 92 countries across Africa, Middle East, Latin

America, Australia and Asia. It has been India’s number one exporter for the last 10 years
consecutively. HMIL has been consecutively awarded "Top Exporter of the Year" for 10
years by EEPC. The Highest Exported volume was 2, 70,017 in years 2009. Now, it has
moved down as fourth largest car exporter followed by MSIL, Volkswagen, Nissan.
Sales performance
Hyundai Motor India Ltd (HMIL), the country’s second largest car manufacturer
and the largest passenger car exporter, registered 4.6% growth in exports for the month of
May 2013. The domestic sales accounted for 32,102 units and exports stood at 24,754
units. Sales 476000 in 2015 domestic sales 17.1% market share.
In 2016 it sold 30K units more thereby hitting the 5 lakh mark. Hence domestic sales
stood at 500537 which is an increase by 5.2% compared to last year, with 17.13% market
share. "2016 has been an Year of Excellence for Hyundai in India achieving various
milestones - Celebrating 20 years in India, the roll out of 7 Millionth car in November'16,
crossing the 5 lakh domestic sales in CY2016 and the fastest 50,000 unit sales in the
month of October," YK Koo, MD & CEO, Hyundai Motor India said, in a statement.
Hyundai's Holy trinity-the Grand-i10, Elite-i20&Creta has cumulatively achieved 1.3

Million sales in less than 4 years which includes 1.1 Million domestic and 0.29 Million
for exports.

Page 35
With exceeding 2, 50,000 sales in first quarter of 2017 Hyundai aims to target half
million sales in domestic market in 2017.
Awards and achievements
Indian Car Of The Year (ICOTY)
 2008 — Hyundai i10

 2014 — Hyundai Grand i10
 2015 — Hyundai Elite i20
 2016 — Hyundai Creta
 2018 -- Hyundai Verna
J D Power Appeal Awards 2016 demonstrating excellence of 'Made in India'

Products as per global standards for Grand-i10, Elite-i20 & Creta.
JD Power Indian Customer Satisfaction Award 2017 - For Ranking Number 1 in

After Sales Customer satisfaction. [9]
Hyundai Motor India Foundation
HMIF was formed in the year 2006 with the

purpose of 'giving back' to society and to initiate
Corporate Social Responsibility (CSR) activities in
the areas of Community Development, Health
Care, Educational and Vocational Training,
Environment, Road Safety, Art, Science, Technology, etc.

Page 36

Safe Move:
Hyundai Motor India Ltd, the country's leading premium car manufacturer and the largest
passenger car exporter launched its CSR initiative 'Safe Move-Traffic Safety
Campaign' in association with Ministry of Road Transport and Highways.
Safe Move is one of the key pillars of Hyundai's global CSR campaign on Traffic Safety
Campaign. Under the aegis of "Safe Move", HMIL in association with the Ministry of
Road Transport and Highways will promote the best practices of road and traffic safety
habits among children. Mr. Shah Rukh Khan to participate in Hyundai’s CSR initiatives
as Hyundai’s Corporate Brand Ambassador. Mr. Khan has been associated with Hyundai
since 1998 in India and has been instrumental in strengthening Hyundai brand in India.

Page 37
The Safe Move official Traffic Safety Campaign educates the children on the Traffic
Safety. Along with the TV airing, special School Contact and RWA (Residential Welfare
Association) programs have been designed to reach out and spread the Traffic Safety
message across the multiple cities in India. A ‘Kids Hyundai’ website
(www.kids.hyundai.co.in), a specially designed website for children on Traffic Safety is
developed. In order to enjoy all the convenience and joys of driving, we need to ensure a
safe environment for drivers and pedestrians alike.


Page 38
Happy Move:
Hyundai Motor India Ltd, the country’s second largest car manufacturer and the
largest passenger car exporter launched global CSR campaign- Happy Move in India.
Hyundai Motor India in association with Archaeological Survey of India (ASI) will
spread awareness on the Indian heritage monuments.
Happy Move is an integral part of Hyundai’s efforts to create a safe and happy world.
The theme of Happy Move program this year is “Save Our Heritage” and in this
program Hyundai conducted awareness drive (Jan11- 21, 2016) with 100 Happy Move
Global Youth Volunteers (80 from Korea and 20 from India) at the heritage sites of
Safdarjung Tomb, Firozshah Kotla, Qutub Minar and Old Fort. At these heritage sites, the
volunteers undertook activities to upkeep the amenities, maintenance of gardens and will
conduct awareness activities to educate the visitors on the value of heritage.
Further to spread the message amongst children, volunteers also conducted school contact
programmed at Sarvodaya schools at Chanakya Puri, Pandara Road, Mehrauli and INA
colony. As part of the initiative volunteers also undertook school premises cleaning,
school wall designing, maintenance of gardens and design competitions for a positive and
conducive study environment.

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OFFICE ADDRESSES:
Registered Office & Factory
 Location: Kanchipuram
 Add: Irrugattukottai, NH No. 4,
Sriperumbudur Taluk, Kanchipuram District,
Tamil Nadu - 602117
 Tele: 044 - 47100000

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 Fax: 044 - 47100500

Hyundai Motor India Engineering Pvt. Ltd.
 Location: Hyderabad
 Add: Survey No- 5/2 & 5/3,
Opp. Hi-Tech City Railway Station,
Ijjatnagar, RR District, Hyderabad- 500084
 Tele: 040-66574020
 Fax: 040- 66574099
Hyundai Motor India Limited
 Location: New Delhi

 Add: 2nd, 5th & 6th Floor, Corporate One
(Baani Building), Plot No.5,
Commercial Centre, Jasola,
New Delhi- 110025
 Tele: 011 - 66022000
 Fax: 011 - 66022201-02
Central Regional Office 1 & 3
 Location: New Delhi

 Add: Unit No. 602 - 605,
6th Floor, Elegance Tower,
Plot No.-8, Jasola,
New Delhi- 110025
 Tele: 011 - 66445000
 Fax: 011 - 66445010
Central Regional Office 2
 Location: Lucknow
 Add: 605, Ratan Square,
20 A, Vidhan Sabha Marg,
Lucknow, U.P. - 226001
 Tele: 0522 - 6714600
Page 41
 Fax: 0522 - 6714611

North Regional Office 1 & 3
 Location: Chandigarh
 Add: Unit No. C-113-114, 1st Floor,
Office Suites Elante, Plot No 178-178A, Industrial & Business Park Phase I,
Chandigarh-160002
 Tele: 0172 - 6605000
 Fax: 0172 - 6605020
LITERATURE REVIEW

Page 42
N Zill, C Trends – 1991 Organizations are made up of people. Without people,

organization cannot exist. The resource of men, money, material and machine are
collected, co-ordinate and utilized through people. These resources by themselves cannot
fulfill the objective of an organization, so some measure has to be taken to safe guard
them.
Employee welfare includes various services, benefits and facilities offered to employees
by the employer. Through such generous fringe benefits, the employer makes life worth
living for employees.
The welfare amenities are extended in addition to normal wages and other economic
rewards available to employees as per the legal provisions. According to
DR.PARANDIKAR, “Labour Welfare work is worth for improving the health, safety and
general wellbeing and the industrial efficiency of the workers beyond the minimum
standard lay down by lab our legislation”.
Welfare measures may also be provided by the government, trade unions and non
government agencies in addition to enrich the life of employees and keep them happy and
contented.
Welfare measures may be both statutory and voluntary. Labour laws require the employer
to extend certain benefits to employees in addition to wages. Voluntary benefits are the
result of employer’s generosity, enlightenment and philanthropic feeling.
MEM Barak, JA Nissly, a Levin - Social service review, 2001The significance of

welfare measures was accepted as early as 1931, when the royal commission on labour
stated the benefits are of great importance to the worker which he is able to secure by
him. The schemes of labour welfare may be regarded as a wise investment because these
would bring a profitable return in the form of greater efficiency.
The working environment in a factory adversely affects the health of employees because
of excessive heat or cold, noise, fumes, dust and lack of sanitation and pure air. Such
oppressive conditions create health problems for workers. These have to be contained
through preventive steps aimed at improving the lot of workers.

Page 43
A second reason in favour of welfare work is called the social invasion of factory.
Workers face lot of adjustment problems when they take up factory work. The congested
environs, noisy machines, slum area, monotonous job impact the psyche of rural ties that
come to cities in search of jobs. To escape from such trying conditions, the worker
absents himself, becomes irregular and show signs of indiscipline. Such changes-known
as the social invasion of the factor- call for extra inducements in the workplace in
addition to normal wages, so that the worker begins to enjoy a fuller and richer life.
DEFINITIONS:
The labour investigation committee defined labor welfare work as “anything done for the
intellectual, physical, moral and economic betterment of the workers, whether by
employers, by government or by other agencies, over and above what is laid down by law
or what is normally expected as part of the contractual benefits for which the workers
may have bargained.”
The Committee on Labor Welfare, 1969 further pointed out that, “ labour
welfare work includes such services, as facilities and amenities as adequate canteens, rest,
and recreating facilities, sanitary and medical facilities arrangements for travel to and
from workplace and for the accommodation of workers employed at a distance from their
homes, and such other services, amenities and facilities including social security
measures, as contribute to an improvement in the conditions under which workers are
employed. .
According to international labor organization, “workers welfare should be understood

as meaning with services, facilities and amenities which may be established in or in the
vicinity of undertakings to enable the persons employed in them to perform their work in
healthy and peaceful surroundings and to avail of facilities which improve their health
and bring high morale,”
According to N.M.Joshi, welfare work “covers all the efforts which employers make for
the benefit of their employees over and above the minimum standards of working
conditions fixed by the Factories Act and over and above the provisions of the social
legislations providing against accident, old age, unemployment and sickness.

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THEORETICAL FRAME WORK
EMPLOYEE WELFARE HYUNDAI MOTORS
For any organization the welfare facilities plays a vital role in job satisfaction and
motivation of employees. The good welfare adventitious give a positive motivation
towards work and increased employees and workers moral through the welfare facilities
the organization give life security and indirectly influence the words production and total
output.
So many organization give many importance to welfare facilities and motivate their
employees or workers .The HYUNDAI MOTORS also provides so many statutory and
non-statutory welfare facilities to their employees or workers and the workers are also the
fully satisfied with those welfare amenities because of this only t he turnover rate is very
low and the organization wants to implement new welfare schemes. The facilities provide
by organization as follows.
Welfare:
The HYUNDAI MOTORS limited .board collects certain amount as levy from the
registered employees. This levy is used for the welfare activities in HYUNDAI
MOTORS.
WELFARE ACTIVITIES AT HYUNDAI MOTORS
The following welfare measures continued to be extended during the year under view.
 Canteen facility on subsidized rates.

 Welfare center
 Workmen’s Compensation
 Cultural association
 Medical facilities- ESI
 Credit society

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 Housing loans
 Vehicle loans
 Staff Transport
Welfare measure
Canteen:
The management Runs a subsidized canteen where snacks and beverages are supplied on
subsidized rates, vegetarian meals is supplied free of cost to the employees. The
HYUNDAI MOTORS provide a canteen facility to HYUNDAI MOTORS staff and
workers. The canteen is maintained free of cost and with spate lunch hall
Welfare center:
It is maintained in HYUNDAI MOTORS Company which tries to solve the various

problems faced by employees by forwarding their problems to the management, trade
unions, government institutions and state government. They will plan the various welfare
activities that have to be implemented for the employees in the organization. The welfare
center consists of members from all levels of different caders.
Staff Transport:
HYUNDAI MOTORS provide conveyance facilities to their employees from the place
of their residence to the place of work as most of the branches are located outside the
town and all employees may get the quarter facility how work for the company at
different branches .So it provides transport to the staff members for all the employees.
Housing Loans:
Of all the requirements of the workers, decent and cheap housing accommodation is of
great significance. The problem of housing is one of the main causes for fatigue and
worry among employees and this comes in the way of discharging their duties effectively.
Most of the organizations are usually located very far from towns where housing facilities
are not available. Hence most of the organizations construct quarters nearer to the factory
and provide cheap and decent housing facilities to their employees while a few
Page 46
organizations like HYUNDAI MOTORS provide for housing loans to employees and
encourage them to construct houses.
Cultural Association AT HYUNDAI MOTORS
Provides the cultural associations with a view to inculcating a sense of association,

belongingness, openness, and freedom among employees. These activities help
employees to understand other better. It provides other benefits like organizing games,
sports with awards, setting up of clubs, community service activities, Christmas gifts,
Deewali, Pongal & pooja gifts, birthday gifts, leave travel concession, annual awards,
productivity performance awards etc.
Credit Societies:
The objective of setting up of these societies is to encourage thrift and provide loan
facilities at reasonable terms and conditions, primarily to employees. HYUNDAI
MOTORS encourage employees to form co-operative credit societies with a view to
fostering self help rather than depending upon money lenders where as it also provides
loans to employees directly.
Workmen’s Compensation:
In addition to safety and health measures provision for the payment of compensation, has
also been made under workmen’s compensation act, 1923.The act is intended to meet the
contingency of invalidity and death of a worker due to an employment injury or an
occupational disease specified under the act at the sole responsibility of the employer.
The act covers the employee’s compensation depends on the nature of injury and monthly
wages of the employee. Dependent of the employee are eligible for compensation in case
of death of the employee.
Medical facilities at HYUNDAI MOTORS
The importance of industrial health and care in general has been emphasized by the
international labour Organization since 1919. The Royal commission on labour in 1931
and the labour Investigation committee in 1946 also emphasized the necessity of
Page 47
providing basic health and medical facilities to industrial workers, since it will help to
reduce the incidence of sickness and therefore, absenteeism among them and increase
productivity.
Prior to the medical facilities provided through the employees State Insurance
Corporation, cement factories, sugar factories, some large tanneries and several units in
the textile industry, had their own arrangements for the treatments for the workers. Small
size tanneries bide works and printing presses had no arrangements worth the name.
Family Security
It is the responsibility of the state to support the family in bringing up children. For this
purpose, family allowances are payable in respect of every child after the first or second
child. The effect is that the financial liability of bringing up one or two children falls on
parents; a substantial part of liability in respect of other children is taken over by the
state. One of the reasons which have influenced the adoption of this allowance is the
precariously low population of some of the countries. The allowances are payable till the
last eligible child reaches a prescribed age which is usually 15 years or more.
The concept of Employee welfare is not at all new for India because the Kotilya
Arthashastra speaks that for making Good Relations in industry and also increasing
productivity some welfare should be provided to the Working Class.
The concept of Employee welfare gained importance in India on account of Industrial

revolutions and it is also said that Employee welfare movement is to solve the Employee
problems on account of rapid Industrial growth revolution for the first time the welfare
took place in England and Robert Owen is considered as Father of modern Welfare
measures incorporated in Factories Act. This measure may be made by the government or
by the employer or by the Trade Unions by Voluntary organization. The employee
welfare employs the welfare of man, his family, and his community. All these facts are
interrelated and work together in three dimensions.
The term “Employee Welfare” describes a modem concept conveying a specific

programmer’s for the well being of workers. It is assumed that, while workers are

Page 48
citizens, the nature of their work, the level of their wage and education, their position in
employing organization and the demands of modern industries put them in a peculiar
position calling forth special attention.
In the beginning when machines are invented, men and women workers were required to
adapt themselves to the needs of the machines. In the process of adjustment workers
suffered much bodily and mental agony.
It was slowly realized that workers are human beings and that they were more valuable
than machines. The story of Employee welfare all over the world is a story of adjustment
of the machines and working conditions to the human needs of workers.
According to Employee Welfare Organization Employee welfare as such services

facilities and amenities as may establish to enable the persons to perform their work in
healthy surroundings and provided amenities to create high morale.
The Oxford dictionary defines Employee welfare as efforts to make like worth living for
workmen.
Thus, the Employee welfare originated with desire for a humanitarian approach to the
suffering of the working people; later it became utilitarian philosophy, which worked as a
motivating force for Employee in India.
The concept of Employee Welfare is mainly due to:
1. The need to provide a better life for the workers.
2. The industrial expansion leads to the working classes as a source of a power for mass
production and steps to promote Employee welfare were a direct recognition of the new
situation.
3. Employee welfare is one of the major aspects of National Programmed towards

bettering lot of Employee and creating a life and work environment of decent comfort for
this class of population.
4. According to Industrial Employee Organization “Workers welfare should be

understood as meaning such services, facilities and amenities which may be established

Page 49
in more in the vicinity of undertaking to enable the persons employed them to perform
their work in health and high morale.
5. Welfare work may be considered to include anything done for the intellectual, physical
and economical betterment of the workers whether by employer, by government or by
any other agencies in 1959 the Govt. of India appointed a study to examine Employee
Welfare activities.
In 1963 the committee of expansion WELFARE FACILITIES for industrial workers

conveyed by the ILO in 1963, adopt the following detailed classification under two
heads:
I. Welfare amenities within the premises if the organization:
1. Latrines and Urinals
2. Washing and bath facilities
3. Crèches
4. Rest room and canteen
5. Arrangement of drinking water
6. Arrangements
7. Health service including occupational safety
8. Administrative arrangement within the plant to look after welfare
9. Uniform
10. Shift allowances
II. Welfare outside the organization:
1. Maternity benefit
2. Social insurance measure including Gratuity, Pension, Pf and Rehabilitation

Page 50
3. Benevolent fund
4. Medical facilities
5. Educational facilities
6. Housing facilities
7. Recreational facilities
8. Co-operatives
9. Transport facilities
10. Other problems for the welfare of the woman, youth and children
CLASSIFICATION OF EMPLOYEE WELFARE:
It includes various activities relative to the different of working class. In brief these
activities may be divided into the following categories.
1. STATUTORY: These are in accordance with the provisions of the Factories Act, 1948
and are binding on the employers under law with a view to maintain a minimum standard
of health and safety etc. at the workers. The Government of the country enacts certain
the rules under various acts or ordinances, which have to abide by the employers in
respect of their workers. Such workers rules may relate to certain essential working
conditions, e.g. hour of work, sanitation, etc.
2. VOLUNTARY:
This category includes all those activities conductive to the welfare of the
workers, which are undertaken by the employers themselves of their own free will. Some
social organization also under takes this type of work. Those activities are included which
are primarily oriented to democratic value system. In the long run these activities increase
the efficiency of the workers and reduce the chances of conflicts between the employers
and the workers.

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3. MUTUAL:
It signifies corporate enterprises of the workers with a view to improve their lot.
Activities of the trade union, which are conductive to the welfare of these members, are
including under this category.
The aim of the welfare work is three-fold. It is party humanistic since it enables the
workers to enjoy richer and fuller life by providing them those amenities and
conveniences of life, which they themselves cannot provide.
Then it is partly economic, since it improves the efficiency of employee. Increases its
availability where it is scarce or helps to secure better class of workers, if it is not scarce
and by keeping the workers contended, to minimize the changes of any industrial strike.
Lastly, the aim is partly civic, since it develops a sense of responsibility and definite
among the workers and thus makes them worthy citizens.
INDUSTRIAL HEALTH:
Health is often taken to mean absence of ailment and disease. This is an erroneous
conception. Health is not merely a negative conception implying the absence of illness,
but it is a positive one involving the presence of vitality in the body and in the mind.
Sound health is necessary for all workers as for any other citizen. It is well said.
“Health is wealth”. Because enables the worker to complete his work in time
cheerfully. Sound health facilitates in the smooth operation of all the activities.
Under Factories Act 1948, Chapter 3 deals with the provisions regarding health (sec. 11
to sec 20).
Under Factories Act 1948, Chapter 4 deals with the provisions regarding safety (sec 21 to
sec41).
Under Factories Act 1948, Chapter 5 deals with the provisions regarding welfare (sec 42
to sec52).
OBJECTIVES:

Page 52
1. To study the welfare measures undertaken by the company.
2. To study the satisfaction level of all the workers regarding the welfare measures
undertaken by the company.
DUTIES OF WELFARE OFFICERS:
These duties of the welfare officers shall be:-
1. To establish contacts and hold consultations with a view to maintaining harmonious

relations between the factory management and workers;
2. To bring to the notice of the factory management the grievances of workers, individual
as well as collective, with a view to securing their expeditious reprisal;
3. To study and understand the point of view of Employee in order to help the factory
management to shape and formulate labor policies and interpret these policies to the
workers in a language they can understand;
4.To watch industrial with a view to using his influence to prevent a dispute arising
between the factory management and workers, and in the event of a dispute having
arisen, to help to bring about a settlement by persuasive efforts:
5. To advise workers resorting to illegal strikes and the management against declaring
illegal lockouts and to help in preventing anti-social activities; To maintain an impartial
attitude during legal strikes or lockouts and to help bring about a peaceful settlement;
6. To advise and assist the factory management in the fulfillment of various obligations,
statutory or otherwise. To establish liaison with the Factory Inspector and the Medical
service concerning medical examinations of employees, health records, supervision of
hazardous jobs; to visit workers when they are sick and convalescing; to take steps for the
prevention of accidents; to supervise the functioning of the safety committee; to supervise
also, plant inspection, safety education, investigation of accidents, maternity benefits and
workmen’s compensation;

Page 53
7. To promote relations between factory management and workers which will ensure
productive efficiency as well as amelioration in their working conditions and to help
workers to adjust and adapt themselves to their work environments;
8. To encourage the formation of works and joint production committees,

cooperative societies, safety first and welfare committees, and to supervise their work;
9. To advise on, and assist factory management in, the provision of amenities, such
as canteens, shelters for rest, crèches, adequate latrine facilities, drinking water facilities,
sickness and benevolent payments, pension and superannuation funds, and gratuity
payments;
10. To help the factory management in regulation the grant of leave with wages and
explain to the workers the provisions relating to leave with wages and other leave
privileges, and to guide them in matters of submission of applications for the grant of
leave, and for regulating unauthorized absence;
PROVISIONS RELATING TO HEALTH, SAFETY AND WELFARE
UNDER FACTORIES ACT, 1948
HEALTH OF WORKERS IN FACTORIES
Sec. 11 to 20 of the Factories Act, 1948 contains provisions regarding creation of healthy
working conditions for workers. There are examined below:
1. SECTION 11: CLEANLINESS
Every factory shall be kept clean and free from effluvia arising from any drain,
privy, of the nuisance, and in particular:
• Accumulation of dirt and refuse shall be removed daily by sweeping of by any

other effective method from the floors and benches of work rooms and from staircases
and passages, and disposed of in a suitable manner;
• The floor of every workroom shall be cleaned at least once in every week by
washing using disinfectant, where necessary, or by some other effective method;

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2. SECTION 12: DISPOSAL OF WASTES AND EFFLUENTS
Effective arrangements shall be made in every factory for the treatments of wastes
and effluents due to the manufacturing process carried on there in so as to render them
innocuous, and for their disposal.
3. SECTION 13: VENTILATION AND TEMPERATURE
Effective and suitable provision shall be made in every factory for securing and
maintaining in every workroom:
• Adequate ventilation by the circulation of fresh air, and
• Such a temperature as will secure to workers therein reasonable conditions of

comfort and prevent injury to health, and in particular.
4. SECTION 14: DUST AND FUME
• In every factory in which, by reason of the manufacturing process carried on, there is
given off any dust of fume or other impurity of such a nature and to such an extent as is
likely to be injurious or offensive to the measures shall be taken to prevent its inhalation
and accumulation in any workroom, and if any exhaust appliance is necessary for this
purpose, it shall be applied as near as possible to the point of origin of dust, fume or other
impurity, and such point shall be enclosed so far as possible.
• In any factory, not stationary internal combustion engine shall be operated unless
the exhaust is conducted into the open air and no other internal combustion engine shall
be operated in any room unless effective measure have been taken to prevent such
accumulation of fumes there from as are likely to be injurious to workers employed in the
room.
5. SECTUIB 15: ARTIFICIAL HUMIDIFICATION
• In respect of all factories in which the humidity of the air is artificially increased,
the state Government may make rules;
• Prescribing standards of humidification;

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• Regulating the methods used for artificially increasing the humidity of the air;
6. SECTION 16: OVERCROWDING
• No room in any factory shall be overcrowded to an extent injurious to the health

of the workers employed therein.
• Without prejudice to the generality of sub-section (1), there shall be in every
Work room of a factory in existence on the date of the commencement of this Act at least
three hundred fifty cubic feet of space for every worker employed therein, and for the
purposes of this sub-section, no account shall be taken of any space which is more than
fourteen feet above the level of the floor of the room.
7. SECTION 17: LIGHTING
• In every part of a factory where workers are working or passing, there shall be
provided and maintained sufficient and suitable lighting, natural or artificial, or both
• In every factory, all glazed windows and skylights used for the lighting of the
workrooms shall be kept clean on both the inner and outer surfaces.
• In every factory, effective provision shall, so far as is practicable, be made for the
prevention of;
• Glare, either directly from a source of light or by reflection from smooth or

polished surface;
• The formation of shadows to such an extent as to cause eyestrain or the risk of

accident to any worker.
8. SECTION 18: DRINKING WATER
• In every factory, effective arrangements shall be made to provide and maintain at

suitable within twenty feet of any washing place, urinal or latrine unless a shorter
distance is approved in writing by the chief inspector.

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• In every factory wherein more than two hundred and fifty workers are ordinarily
employed, provisions shall be made for cooling drinking water during not weather by
effective means and for distribution thereof.
1. SECTION 19 LATRINES AND URINALS
In every factory:
• Sufficient latrine and urinal accommodation of prescribed types shall be provided

conveniently situated and accessible to workers at all times while they are at the factory.
• Separate enclosed accommodation shall be provided for male and female workers;
2. SECTION 20: SPITTOONS
In every factory, there shall be provided a sufficient number of spittoons in convenient

places and they shall be maintained in a clean and hygienic condition.
SAFETY OF WORKERS IN FACTORIES
The safety provisions are contained in section 21 to 41 of the Factories Act, 1948
The provisions are to be followed by every factory covered by this Act. They are
obligatory in their character. The requirements prescribed under the Act are absolute and
are in no way dependent upon previous notice or warning from the inspector of Factories.
The provisions dealing with the safety of workers in different states are supplemented by
Rules framed by each State Government of that state must be referred to.
WELFARE OF WORKERS IN FACTORIES
Sections 42 to 50 deals with the provisions of welfare under the factories act, 1948
1. SECTION 42: WASHING FACILITIES
• In every factory adequate and suitable facilities (separate and adequately screened
for the use of male and female workers) shall be provided and maintained for the use of
workers therein
• Such facilities shall be conveniently accessible and shall be kept clean.

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• The State Government may prescribe standards of adequate and suitable facilities
for washing.
2. SECTION 43: FACILITIES FOR STORING AND DRYING CLOTHES
The State Government may make rules requiring the provisions of suitable place
for keeping clothes not worn during working hours and for the drying of wet clothing, in
respect of any factory or class of factories.
3. SECTION 44: FACILITIES FOR SITTING
• In every factory, Suitable arrangements for sitting shall be provided and

maintained for all workers who are obliged to work in standing position.
• If the workers in any factory engaged in a particular manufacturing process or

working in a particular room are able to do their work efficiently in a sitting position,
the Chief Inspector may require the occupier of the factory to providing such seating
arrangements as may be practicable.
• The State Government may, by notification in the Official Gazette, exempt any
factory or class of factories or manufacturing process from the application of the
provisions of this Section.
4. SECTION 45: FIRST-AID APPLIANCES
• In every factory, there shall be provided and maintained first aid boxes or
cupboards with the prescribed contents. There shall be at least one such box for every one
hundred fifty workers. Such boxes shall be readily accessible during all working hours.
• Only the prescribed contents shall be kept in a first aid box or cupboard,
responsible who holds a certificate in the first aid treatment recognized by the State
Government and who shall always be readily available during the working hours of the
factory.
5. SECTION 46: CANTEENS

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• The State Government may make rules requiring that in a specified factory
wherein more than 250 workers are ordinarily employed, a canteen or canteens shall be
provided and maintained by the occupier for the use of workers.
• Such rules may provide for the following:
• The date by which canteen shall be provided;
• The standards in respect of construction, accommodation, furniture and other

equipment of the canteen;
• The foodstuffs to be served therein and the charges which may be made thereof
SECTION 47: SHELTERS, REST ROOMS AND LUNCH ROOMS
• In any factory wherein more than 150 workers are ordinarily employed, there
shall be a provision for shelters, rest rooms and a suitable lunchroom where workers can
eat meals brought by them with provision for drinking water.
• Any canteen maintained in accordance with the provisions of Sec.46 shall be

regarded as part of this requirement.
• Where a lunchroom exists, no worker shall ear any food in the workroom.
• The shelters or rest rooms or lunchrooms shall be sufficiently lighted and

ventilated and shall be maintained in a cool and clean condition.
7. SECTION 48: CRECHES
• In any factory wherein more than thirty women workers are ordinarily employed,
there shall be provided and maintained a suitable room or rooms for use of the children
under the age of 6 years of such women.
• Such rooms shall provide adequate accommodation, shall be adequately lighted

and ventilated, shall be maintained in a clean and sanitary condition and shall be under
the charge of women trained in the care of children and infants.

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• The State Government may make rules prescribing the location and the standards
in respect of construction, accommodation, furniture and other equipment of rooms to be
provided.
• The State Government may also make rules for the provision of additional
facilities for the care of children belonging to women workers, including suitable
provision of facilities:
8. SECTION 49: WELFARE OFFICERS
• In every factory wherein 500 or more workers are ordinarily employed, occupier
shall employ in the factory such number of welfare officers as may be prescribed.
• The State Government may prescribe the duties, qualifications and conditions of
service of such officers.
9. SECTION 50: POWER TO MAKE RULES
The State Government may makes rules exempting, subject to compliance with such
alternative arrangements for the welfare of
Workers as may be prescribed, any factory or class or description of factories from

compliance with any of the provisions of sections 42-49
Principle of Employee Welfare;
Following are the principles of Employee welfare.
Principle of Adequacy of Wages: Employee has a right to adequate wages. But high
wage alone cannot create healthy work environment. At the same time welfare measures
cannot be substituted for wages. A combination of both-wages and welfare measures
would improve workers satisfaction, moral and motivation.
Principle of the Social Responsibility of Industry: According to this principle,

industry has an obligation or duty towards its employees to look after their welfare.
Employee welfare is also highlighted as a state policy in the Directive Principles of
Indian Constitution.

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Principle of Efficiency: Employers accept the responsibility for implementing slouch

Employee welfare measures which they con-wider will increase their efficiency.
Principle of Re-personalization: This principle emphasizes the development of human

personality as the aim of welfare measures. Hence, it is necessary to implement
Employee welfare services both inside and outside the factory via intra-mural and extra-
mural welfare services.
Principle of Totality of Welfare: According to this principle the necessity of Employee

welfare must be felt and convinced by all levels of management. This requires reduction,
retraining and re-orientation of mangers at all levels.
Principle of Integration and Coordination: The coordinated approach is essential

throughout the organization so that full benefit is derived out of welfare measures. This
come out of systems approach where organization consists of sub-systems integrated
together as one whole system.
Principle of Participation: The underlying principle is that the welfare measures must
have the support and consent of workers. In other words, it highlights the democratic
principles of mutual consultation and mutual agreement. Examples are committees for
canteen, sports etc.
Principle of Responsibility: Both employer and employees are responsible for

Employee welfare. No one can shirk his responsibility. Trade union leaders, as the
workers representatives must play a positive role in this respect. They must cooperate
with management to provide essential welfare measures without hampering the economic
viability of the establishment. Management on their part must be prepared to delegate
required authority with union representatives so that parity of authority and responsibility
is established among them. Examples are union participation in committees like canteen
committee and sports committee.
Initially humanitarianism or social awareness motivated Employee welfare activities

Driven by the desire for greater efficiency and output offer workers, and with a view to
attracting better workers, employers offer extra incentive in the form of lour welfare
schemes such schemes also make it possible for employers to persuade workers to accept

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mechanization. Sometimes, Employee welfare is used by employers to combat the

influence of outside of their employees. Employee welfare measures are often
undertaken with a view to avoiding payment of tax on surplus and simultaneously
building up better relation with employees.
The desire to show off and advertise their concern for Employee are also factors which
play their parting persuading employers to go in for Employee welfare schemes. The
bigger the organization the larger is the expenditure incurred on such advertisement. The
motives that lie behind Employee welfare schemes are therefore, often complex’s, or
human nature varies from person to person. Certain motivating characteristics, however,
dominate in each successive period of the development of Employee welfare movement,
and this is clearly seen in the broad historical perspective of industrial welfare It often
happens that is an organization gets interested in Employee welfare and initiates measure
for this purpose, other organizations in the same industrial area may follow suit, and so
assist in the spread of Employee welfare movement in and around that particular
industrial area.
OBJECTIVES IF EMPLOYEE WELFARE
1) To give expression to philanthropic and paternalistic feelings.
2) To win over employees loyalty and increase their morale.
3) To combat trade unionism and socialist ideas.
4) To build up stable Employee force, to reduce Employee turnover and absenteeism.
5) To develop efficiency and productivity among workers.
6) To save oneself from heavy taxes on surplus profits.
7) To earn good will and enhance public image.
8) To reduce the threat of father Government intervention.
9) To make recruitment more effective.
3.2 TYPES OF WELFARE ACTIVITES:

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The meaning of Employee welfare may be made clearer by listing the activities
which are referred to as welfare measures.
“A comprehensive list of welfare activities is given by Morrthy in his,

monumental work on Employee welfare. He divides welfare measures into two broad
groups, namely: 1. Welfare measures inside the work place; and
2. Welfare measures outside the work place.
Each group includes several activities.
“Memorial C.B ‘personal management’ Himalaya publishing house, t\Third edition,

Bombay, 1980
1. Welfare Measures inside the Work place
I. Conditions of the Work Environment:
a. Neighborhood safety and cleanliness; attention to approaches.
b. Housekeeping; up keeping of premises--compound wall, lawns, gardens, and so

forth, egress and in and ingress, passage and doors; white washing of walls and floor
maintenance.
c. Workshop (room) sanitation and cleanliness; temperature, humidity, ventilation,

lighting, elimination of dust, smoke, fumes, gases.
d. Control of effluents.
II. Convenience
 Urinals and lavatories, wash basins, bathrooms, provision for spittoons; waste
disposal.
 Provision of drinking water; water coolers.
 Canteen services: full meals, mobile canteen
III. Workers’ Health Services:

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Factory health centre; dispensary, ambulance, emergency aid, medical

examination for workers; health education,
IV. Women and Child Welfare:
Antenatal and postnatal care, maternity, Aid, create and child care; women’s
general education; separate services for women workers, that is, lunch rooms, urinals, rest
rooms, women’s recreation. Indoor games; strenuous games to be avoided during
intervals of work.
V. workers’ Recreation:
Indoor games; strenuous games to be avoided during intervals of work.
VI. Worker’s education
Reading room, library circulating library; visual education; literary7 classes, adult
education, social education; daily news review; factory news bulletin; Co-Operation with
workers in education services.
WELFARE ACTIVITIES BY THE TRADE UNIONS
Employee unions have contributed their share for the betterment of the employees.
Mention may be made here of the Textile Employee Association of Ahmadabad and the
Railway men’s Union and the Mazdoor Sabha of Kanpur, which have rendered
invaluable services in the field of Employee welfare. The activities of the Textile
Employee association, Ahmadabad, are worth nothing. The Association runs.
1. Twenty five cultural and social centers.
2. Schools for worker’s children, reading rooms, libraries, gymnasia.
3. Dispensaries and maternity homes.
4. A co-operative bank, with which a number of housing societies, consumer’s

societies and credit societies are affiliated.
5. Office offering legal help to members.

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6. Training programs in the principles and practices of the trade unionism.
7. A bi-weekly, the Mazdoor Sandesh.
APPROACHES TO EMPLOYEE WELFARE
The various approaches to Employee welfare reflect the attitudes and beliefs of the
agencies, which are engaged in welfare activities. Welfare facilities may be provided on
religious, philanthropic or some other grounds. Moreover, the different approaches to
Employee welfare reflect the evolution of the concept of welfare. In bygone days, the
government of the land had to compel the owner of an industrial establishment to provide
such basic amenities as canteens, test rooms, drinking water, good working conditions
and so forth, for their employees.
Such compulsion was necessary because the employer believed in exploiting Employee
and treating it an unfair manner. But times have changed and the concept of welfare to
has undergone changes. Many progressive managements today provide welfare facilities,
voluntary and with enlightened willingness and enthusiasm. In fact, welfare facilities are
not restricted to the workers alone. They have now been extended to the society in
general. In other words, Employee welfare has been extended to include social welfare.
THEORIES OF EMPLOYEE WELFARE
The Police Theory of Employee Welfare:
The religious Theory of Employee Welfare. This has two aspects:
a. Atonement
b. Investment aspects
(i). The Police Theory:
This is based on the contention that a minimum standard of welfare is necessary

for Employee. Here, the assumption is that without compulsion, periodical supervision
and fear of punishment, employees will not provide even the minimum welfare facilities
for the workers. Apparently, this theory assumes that man is selfish and self-control, and
always wise to achieve his own ends, even at the cost of the welfare of others.

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(ii). The Religious Theory:
This is based on the concept that man is essentially “a religious animal” even today;
many acts of man are related to religious sentiments and beliefs. These religious feelings
sometimes prompt and employer take-up welfare activities in the expectation of further
benefits, either in this life or in some future life. According to this theory, any good work
is considered “an investment” both the benefactor and the beneficiary are rewarded.
Advantages of Employee Welfare
Following are the advantages of Employee Welfare:
1. Industrial Harmony: Welfare measures create a good impression of workers on

employers and state. This will enhance their sense of belongings and motivation.
Ultimately it improves union-management relations and secures industrial peace.
2. Real Income Reduces inflation: Welfare measures indirectly increase the real
income of workers. Examples are subsidized food in the canteens, free medical and
educational facilities etc being paid in kind reduces inflation.
3. Stability of Employment: Welfare measures and reduces the Employee turnover,

absenteeism and sometimes even the strikes which deprive them those facilities.
4. Improve Mental Health: Welfare measures improve mental health b7 providing

scope for promoting hidden talents like music, arts and other extra- curricular activities.
5. Physical Health: Welfare measures like sports improve physical health.
6. Quality of Work Life (QWL): Medical facilities, educational opportunities and

social security go a long way in increasing quality of work life (QWF).
7. Increase Productivity: Points mentioned at points (2), (4), (5) and (6) above will
increase the living standard, efficiency and productivity of workers.
8. Empowerment: Empowerment involves interest, commitment and competence

and intrinsic motivation.

Page 66
Health of Workers:
1. Cleanliness
2. Disposal of wastes and effluents
3. Ventilation and temperature
4. Dust and fume
5. Artificial humidification
6. Overcrowding
7. Lighting
8. Drinking water
9. Latrines and urines
10. Spittoon
Welfare of Workers:
The factories act contains provision about the welfare of workers.
These are follows
a. There shall be separate and adequa5tely screened washing facilities for the use of male
and female workers.
b. There shall be suitable places provided for clothing not worn during working hours and
for the drying of wet clothing.
c. There shall be suitable arrangement for all workers to sit for taking rest if they are
obliged work in a standing position.
d. There shall be provided the required number of first-aid boxes or cupboards equipped
with the prescribed contents readily available during the working hours of the factory.

Page 67
e. The state government make rules requiring that in any specified factory employing
more than 250 workers, a canteen shall be provided and maintained by the occupies for
the use workers
3) Certificate of fitness (Section 69)
a) By the young person himself
b) By the parent or guardian of such young person
c) By the manager of the factory.
4. Section 71 and 73 laid the following further restriction on employment of

children:
a) A child shall not be required or allowed to work for more than 4.5 hours in a day.
b) A child shall not be permitted to work during might, i.e., between 10 p.m.
c) The period of work shall be limited to two shifts only.
d) These shifts shall not overlap.
e) Shifts should not spread over more than 5 hours each.

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DATA ANALYSIS AND INTERPRETATION

Page 69
1. WHAT IS THE OPINION ABOUT WORK ENVIRONMENT?
TABLE:
Grade No. of Respondents Percentage
Satisfied 8 8
Highly Satisfied 28 28
Average 64 64
Dissatisfied 0 0
Highly dissatisfied 0 0
Total 100 100
GRAPH:
OPINION ABOUT WORK ENVIRONMMENT
70
60
50
40
30 64
20
28
10
8 0 0
0
Satisfied Highly Average Dissatisfied Highly
Satisfied Dissatisfied
PARTCULARS
INFERENCE:
From the above table it is inferred that 8% of people responded to satisfied,
28% of people responded to highly satisfied, 64% people to average, and 0% of people
responded to dissatisfied and highly dissatisfied.

Page 70
2. WHAT IS THE OPINION ABOUT VENTILATION & LIGHTING AT WORK

PLACE?
TABLE:
Excellent 12 12
Good 52 52
Average 36 36
Bad 0 0
Very Bad 0 0
Total 100 100
GRAPH:
OPINION ABOUT VENTILATION

&
LIGHTING AT WORK PLACE
60
50
40
30
52
20 36
10
12 0 0
0
Excellent Good Avearge Bad Very Bad
PARTICULARS
INFERENCE:
From the above table it is inferred that 12% of people responded to excellent, 52% of
people responded to good, 36% people to average, and 0% of people responded to bad
and very bad.

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3. WHAT IS THE OPINION ABOUT SALARIES/BENEFITS?
TABLE:
Satisfied 20 20
Average 18 18
Dissatisfied 0 0
Total 100 100
GRAPH:
OPINION ABOUT SALARIES/BENEFITS
70
60
50
40
30 62
20
10 20 18 0 0
0
Satisfed Highly Avearge Dissatisfied Highly
PARTICULARS
INFERENCE:

Page 72
4. WHAT IS THE OPINION ABOUT TIMINGS/SCHEDULES?
TABLE:
Satisfied 20 20
Average 8 8
Dissatisfied 0 0
Total 100 100
OPINION ABOUT TIMINGS/SCHEDULE
80
70
60
50
40
72
30
20
10 20 8 0 0
0
PARTICULARS
GRAPH:
INFERENCE:
5. WHAT IS THE OPINION ABOUT SAFETY MEASURES AT WORK PLACE?

Page 73
TABLE:
Satisfied 64 64
Average 19 19
Dissatisfied 9 9
Total 100 100
OPINION ABOUT SAFETY MEASURES AT WORK PLACE
70
60
50
40
30 64
20
10 19
4 9 4
0
Satisfed Highly Satisfied Avearge Dissatisfied Highly
Dissatisfied
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 64% of people responded to satisfied, 4%
of people responded to highly satisfied, 19% people to average, 9% of people responded
to dissatisfied and 4% of people responded to highly dissatisfied.
6. WHAT IS THE OPINION ABOUT PRESENCE OF SAFETY COMMITTEE?
TABLE:

Page 74
Yes 60 60
No 40 40
Total 100 100
OPINION ABOUT PRESENCE OF SAFETY COMMITTEE
70
60
50
40
30 60
20 40
10
0
Yes No
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 60% of people responded to yes for
presence of safety committee and 40% of people said no.
7. WHAT IS THE OPINION ABOUT SAFETY INSTRUCTIONS?
TABLE:

Page 75
Yes 72 72
No 28 28
Total 100 100
OPINION ABOUT PRESENCE OF SAFETY INSTRUCTIONS
80
70
60
50
40
72
30
20
28
10
0
Yes No
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 72% of people responded to Yes for
safety instructions and 28% of people said no.
8. WHAT IS THE OPINION ABOUT ACCIDENT PREVENTION MEASURES?
TABLE:
Page 76
Good 12 12
Very Good 40 40
Average 36 36
Bad 7 7
Very Bad 5 5
Total 100 100
OPINION ABOUT ACCIDENT PREVENTION MEASURES
50
40
30
20 40
36
10
12
7 5
0
Good Very Good Avearge Bad Very Bad
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 12% of people responded to good, 40%
of people responded to very good, 36% people to average, 7% of people responded to bad
and 5% of people responded to very bad.
9. WHAT IS THE OPINION ABOUT FIRST – AID FACILITY?
TABLE:

Page 77
Good 38 38
Very Good 22 22
Average 28 28
Bad 10 10
Very Bad 2 2
Total 100 100
OPINION ABOUT FIRST – AID FACILITY
40
35
30
25
20 38
15 28
10 22
5 10
2
0
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 38% of people responded to good, 22%
of people responded to very good, 28% people to average, 10% of people responded to
bad and 2% of people responded to very bad.

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10. WHAT IS THE OPINION ABOUT ORGANIZATION HEALTH
CHECK – UPS?
TABLE:
Yearly 30 30
Half Yearly 20 20
Quarterly 20 20
Monthly 20 20
Not at all 10 10
Total 100 100
OPINION ABOUT ORGANIZATION HEALTH CHECK - UPS
35
30
25
20
15 30
10 20 20 20
5 10
0
Yearly Half Yearly Quarterly Monthly Not at all
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 30% of people responded to yearly, 20%
of people responded to half yearly, 20% people to quarterly, 20% of people responded to
monthly and 10% of people responded to not at all.

Page 79
11. WHAT IS THE OPINION ABOUT CANTEEN FACILITIES WITHIN THE

ORGANIZATION?
TABLE:
Yes 68 68
No 32 32
Total 100 100
OPINION ABOUT CANTEEN FACILITIES
80
70
60
50
40
68
30
20
32
10
0
Yes No
PARTICULARS
GRAPH:
INFERENCE: From the above table it is inferred that 68% of people responded to yes
to canteen facilities in organization and 32% of people said no.

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12. WHAT IS THE OPINION ABOUT HOUSING FACILITIES TO

EMPLOYEES?
TABLE:
Yes 33 33
No 67 67
Total 100 100
OPINION ABOUT HOUSING FACILITIES
80
70
60
50
40
67
30
20
33
10
0
Yes No
PARTICULARS
GRAPH:
INFERENCE:
housing facilities in organization and 67% of people said no.
13. WHAT IS THE OPINION ABOUT P.F. BENEFITS?

Page 81
TABLE:
Satisfied 40 40
Average 44 44
Dissatisfied 4 4
Total 100 100
OPINION ABOUT P.F. BENEFITS
50
40
30
44
20 40
10
12
4 0
0
PARTICULARS
GRAPH:
INFERENCE:
12% of people responded to highly satisfied, 44% people to average, 4% of people
responded to dissatisfied and 0% of people responded to highly dissatisfied.
14. WHAT IS THE OPINION ABOUT TRANSPORTATION?
TABLE:

Page 82
Satisfied 28 28
Average 18 18
Dissatisfied 20 20
Total 100 100
OPINION ABOUT TRANSPORTATION
35
30
25
20
15 32
28
10 18 20
5 2
0
PARTICULARS
GRAPH:
INFERENCE:
15. WHAT IS THE OPINION ABOUT INSURANCE FACILITIES?

Page 83
TABLE:
Satisfied 40 40
Average 44 44
Dissatisfied 4 4
Total 100 100
OPINION ABOUT INSURANCE FACILITIES
50
40
30
44
20 40
10
12 4 0
0
PARTICULARS
GRAPH:
INFERENCE:
16. WHAT IS THE OPINION ABOUT RETIREMENT BENEFITS?
TABLE:

Page 84
Satisfied 16 16
Average 52 52
Dissatisfied 12 12
Total 100 100
OPINION ABOUT RETIREMENT BENEFITS
60
50
40
30
52
20
10 16 20
12 0
0
PARTICULARS
GRAPH:
INFERENCE:
17. WHAT IS THE OPINION ABOUT PRESENCE OF WELFARE OFFICER?
TABLE:

Page 85
Yes 80 80
No 20 20
Total 100 100
OPINION ABOUT PRESENCE OF WELFARE OFFICER
90
80
70
60
50
40 80
30
20
10 20
0
Yes No
PARTICULARS
GRAPH:
INFERENCE:
presence of welfare officer in organization and 20% of people said no.
18. WHAT IS THE OPINION ABOUT WELFARE PROVISIONS?
TABLE:
Satisfied 40 40
Average 40 40
Dissatisfied 4 4

Page 86
Total 100 100
OPINION ABOUT WELFARE PROVISIONS
50
40
30
20 40 40
10
12
4 4
0
PARTICULARS
GRAPH:
INFERENCE:
From the above table it is inferred that 40% of people responded to satisfied, 12% of
people responded to highly satisfied, 40% people to average, 4% of people responded to
dissatisfied and 4% of people responded to highly dissatisfied.
19. WHAT IS THE OPINION ABOUT REST PERIODS?
TABLE:
Satisfied 4 4
Average 60 60
Dissatisfied 8 8

Page 87
Total 100 100

OPINION ABOUT REST PERIODS
70
60
50
40
30 60
20
28
10
4 8 0
0
PARTICULARS
GRAPH:
INFERENCE:
20. WHAT IS THE OPINION ABOUT RESPONDING IN CASE OF

EMERGENCIES?
TABLE:
Good 40 40
Very Good 4 4
Average 32 32
Bad 24 24
Very Bad 0 0

Page 88
Total 100 100

OPINION ABOUT RESPONDING IN CASE OF EMERGENCIES
50
40
30
20 40
32
24
10
4 0
0
PARTICULARS
GRAPH:
INFERENCE:

Page 89
FINDINGS & SUGGESTIONS

Page 90
FINDINGS
1. The study shows that 75% of the respondent’s opined adequate safeties
training Programmes are conducted at HYUNDAI MOTORSPVT. LTD. and
25% of them opined it is not.
2. The study shows that 62% of the respondents have attended safety training
programmes and 38% of them have not.
3. The study shows that 10% of the respondents have rated the training
programmes as highly effective, 84% have rated it as effective, 5% have no
opinion and 1% says it is ineffective.
4. The study shows that 91% of the respondents opined that the management
provides safety awareness and 9% opined that it does not.
5. The study sho2ws that 36% of the respondents feel that the safety goggles
provided are inadequate and 34% feel that the safety measures provided while
working on cranes are inadequate.
6. The study shows that 45% of the respondents say that they always make use
of the safety measures provided to them, 54% uses them sometimes and 1%
never uses it.
7. The study shows that 55% of the respondents opined that the machines,
equipments and tools are well designed, 58% opined that they are well
maintained and 57% opined that they are well guarded.
8. The study shows that 35% of the respondents believe that the layout of the
workplace is designed to avoid accidents, 21% says it is not so and 44%
believe that to an extent the workplace is designed to avoid accidents.

Page 91
SUGGESTIONS
 It is suggested that the company should maintain their canteen in the same way in
the future.
 It is suggested that the lunch Room should be maintained with the all facilities
like drinking water, dining table, chairs, wash basins etc.
 It is suggested that the company should improved toilet facilities. Because of
some of the employees asked some improvement in toilet facilities in the future.
 It is suggested that uniform item facilities maintain to the same level of future.
 It is suggested that hospital facilities maintain to the same level of future.
 It is suggested that fire and warning system facilities maintain and improvement
in future.
 It is suggested that the internal and external training program as well as improve
in future.
 It is suggested that safety measures most of employees wanted improve in future.

Page 92
CONCLUSION AND BIBILOGRAPHY

Page 93
CONCLUSION
It is understand the study that the frequent Welfare facility on “need based” imported by
the Company helps employees to enhance their knowledge level and help their to
concentrate in their work devotionally with full enthusiasm
The management tries to provide each and every facility to the employee, but still there is
a bit of dissatisfaction among the employees because its fact that human wants can never
be satisfied. As the needs increases the demands for the various facilities also increases.
Although the management make efforts to satisfy the employees but still the efforts
needs to be done more efficiently.
Welfare schemes’ are such facilities, services and amenities, which may be established in
or in a vicinity of undertaking to enable the person employed in them to perform their
work in healthy, congenial surroundings and provided with amenities conductive to good
health & high morale.
1. It is pertinent for every company to motivate the workers. So welfare measures play an
important role and this is forming the responses given by the workers.
2. The welfare measures will help more self-review and realization of the workmen.
3. The welfare activities, which are present in the memorandum of settlement, is only
monologue. So the company policies and procedures with regard to welfare activities
should be implemented in a professional manner.

Page 94
BIBILIOGRAPHY
 Memoriam C.B. ‘Personal management’ Himalaya Publishing House,Third

Edition, Bombay, 1980
 Tripathi P.C”personal management and industrial relations”, Sultan Chand &
Sons, 17th revised edition, New Delhi, 2004
 Kothari C.R. Research Methodology, 2nd edition, Wishwa Prakasham, New
Delhi, 1990
 Dr. V. Balu” personal management” Sri Venkateshwara Publishing, Second
edition, New Delhi, 1998
 Aswathappa,” personal management and industrial relations”, Sultan Chand
&Sons, 3rd edition, New Delhi, 2004.

Page 95

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EMPLOYEE WELFARE MEASURES

A STUDY ON EMPLOYEE WELFARE

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Human Resource is of paramount importance for the success of any organization. It

The concept of Employee welfare gained importance in India on account of Industrial

The term “Employee Welfare” describes a modern concept conveying a specific

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

According to Employee Welfare Organization Employee welfare as such

The concept of Employee Welfare is mainly due to:

1. The need to provide a better life for the workers.

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

employer, by government or by any other agencies. In 1959 the Govt. of

Employee welfare is a comprehensive term including various services, benefits and

of mind on the part of management influencing the method by which management

Importance of Employee welfare activities:-

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Employee welfare promotes a sense of belongings among the workers, preventing

Reasons for the Employee welfare activities in India:-

1) Increase in efficiency of employees:

Employee welfare activities increase in efficiency of employees to work. These facilities

2) Helpful in reducing the state of poverty among employees:

3) Establishment of Organizational peace:

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

4) Helpful in reducing the rate of absenteeism and Employee turnover:

OBJECTIVES OF THE STUDY

 To examine the effect of inadequate welfare measures which affect worker’s

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

SCOPE OF THE STUDY

 People are at the heart of success of any organization. An organization to survive,

The study is conducted only on employees of HYUNDAI MOTORS.

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

NEED AND IMPORTANCE OF THE STUDY

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

A research problem in general refers to some difficulty, which a researcher experience in

2.1. RESEARCH DESIGN:

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

METHODES OF DATA COLLECTION:

 Various companies of employee welfare

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

AUTOMOTIVE INDUSTRY IN INDIA

The automotive industry in India is one of the largest in the world with an

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Tata Prima T1 truck at Buddh International Circuit

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Some of the major initiatives taken by the Government of India are:

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

A pre-Independence car showroom in Secunderabad

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Kolkata street traffic in 1945

An embryonic automotive industry emerged in India in the 1940s. Hindustan Motors was

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

Fiat 1100D, built under license by Premier Automobiles later re-christened 'Premier

The 1952 Tariff Commission

SANSKRITHI SCHOOL OF BUSINESS-PUTTAPARTHI

 Hindustan Motors, Calcutta - technical collaboration with Morris Motors to

Utility and Light Commercial Vehicles