Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

A
Project Report
On
Absenteeism of Employee
In
VIRAJ Exports Pvt Ltd. Noida
Submitted for the partial fulfillment of the requirement
for the award of

MASTER OF BUSINESS ADMINISTRATION

(MBA)

Submitted To: Submitted By:

Om Prakash Vishkrwa KANCHAN KUSHWAHA
Roll No. : 0901170062
MBA – IIIrdSem.

United Institute of Management UPSIDC

Inadustrial Area, Naini, Allahabad
1
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

DECLARATION

I Kanchan Kushwaha do hereby declare that this project

work entitled “ABSENTEEISM” is an outcome of my
study and is submitted in partial fulfillment of the
requirement for the award of the degree of MASTER OF
BUSINESS ADMINISTRATION at UNITED
INSTITUTE OF MANAGEMENT NAINI,
ALLAHABAD.

I have tried my best to follow the guidelines given by

the institute for preparing the project report.

Kanchan Kushwaha
United Institute of Management
Naini, Allahabad

2
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

PREFACE
There is a famous saying “The theory without practical is lame practical
without theory is blind.”
Absenteeism is a serious workplace problem and an expensive
occurrence for both employers and employees see mingle unpredictable in
nature. Human resource is an important part of any business and managing
them is an important task. Summer training is an integral part of the MBA
and student of Management has to undergo training session in a business
organization for 6 weeks to gain some practical knowledge in their
specialization and to gain some working experience.
Our institution has come forward with the opportunity to bridge the
gap by imparting modern scientific management principle underlying the
concept of the future prospective managers.
To the emphasis on practical aspect of management education the
faculty of United Institute of Management, Naini, Allahabad has with a
modern system of practical training of repute and following management
technique to the student as integral part of MBA. In accordance with the
above obligation under going project in “VIRAJ Exports Pvt Ltd. Noida”.
The title of my project is “Absenteeism of Employee”
Certainly this analysis explores my abilities and strength to its fullest
extent for the achievement of organization as well as my personal goal.

(Kanchan Kushwaha)

3
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

ACKNOWLEDGEMENT
“Acknowledgement is an art, one can write glib stanzas without meaning a
word, and on the other hand one can make a simple expression of gratitude”

Industrial training is an integral part of any MBA program and for that
purposes I had joined a private company name VIRAJ Exports Pvt. Ltd. Noida.
I take the opportunity to express my gratitude to all of them who in some or other way
helped me to accomplish this challenging project in Viraj Export Pvt. Ltd. Nodia. No
amount of written Expression is sufficient to show my deepest sense of gratitude to
them.

I would like to express my sense of gratitude to our principal sir Mr. T.B Singh. I
would also like to thank Mr, Rakesh kumar srivastava, head of the department,
UIM for supporting me during this project and providing me an opportunity to learn
outside the class room.

I am extremely thankful and pay my gratitude to Mr. Pranav Kumar

Singh(Head – Training & Placement Cell) United Institute of Management Naini,
Allahabad for his valuable guidance and support on completion of this project in its
presently.
I am greatly obliged to Dr. P. Kumar(Associate Director of “Viraj exports
Pvt. Ltd., Noida”) who accommodated me for training in this esteemed organization.
I am very thankful to Mr. Kailash Singh( HR Manager, Viraj Exports Pvt. Ltd.) for
their everlasting support and guidance on the ground of which I have acquired a new
field of knowledge.
A special appreciative “Thank you” in accorded to all staff of “Viraj Exports
Pvt. Ltd., Noida for their positive support. I also acknowledge with a deep sense of
reverence, my gratitude towards my parents and member of my family, who has
always supported me morally as well as economically.

Kanchan Kushwaha

4
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

CONTENTS
 Preface
 Acknowledgement
_______________________________________________________

Title

About Company

 Company Profile
 Selling leads

 Department in viraj exports pvt. Ltd.

 Other Information
 Recruitment and incentive policy
 Human resource department activities
 Organizational structure

Introduction

 Reason to Choose this Project

 Absenteeism

5
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

 Measurement of
Absenteeism
 Peculiar Features of Absenteeism
 Cause of Absenteeism
 Effect of Absenteeism on Industrial Progress
 The economic impact of absenteeism and quits
 Analysis of Causes
 Absenteeism – Types & Their Control
 Innocent Absenteeism
 Culpable Absenteeism
 Guidelines & Measures for Control of Absenteeism
 Dealing with Absenteeism and labour Turnover- a different
approach
 Flying squad
 The BRADFORD FACTOR & Absenteeism

Objectives of the project

Research Methodology

 Objectives
 Sample selection and size
 Date collection and statistical tool
 Assumptions in evaluation of the Absenteeism data

 Limitations of the Study

6
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Analysis & Interpretation

Conclusion & Suggestion
Questionnaire
Bibliography

7
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

COMPANY PROFILE

8
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

COMPANY PROFIL

BASIC INFORMATION:-

Company Name : Viraj Exports Pvt. Ltd.

Address : C-41, Sector 57, Noida

Phone No. : +91-120 2587891/92/93

Website : www.virajexports.com

City : Noida

State : Uttar Pradesh

Business Type : Manufacture

Product/Service (we sell) : Ladies Garments, Children

Garments

Product/Service (we buy) : Organic Cotton Fabrics

Brand : Muah

No of Employee/Worker : Above 1000

9
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

OWNERSHIP & CAPITAL

Year established : 1985

Registered Capital : US$501 Thousand – US$ 1

Million
Ownership type : Corporation /Limited
Liability Company

Legal Representative/Business Owner: SHIV BHARGAVA

FACTORY INFORMATION

Management : ISO 9001:2000 Others

Contract Manufacturing : Design Service Offered.

COMPANY PROFILE

Operating since 1984, Viraj Exports is a garment manufacturing and

exporting firm. The manufacturing plant of the company is equipped
with-in house facilities for embroidery, fabrication, finishing and packing
of goods.

The huge infrastructure has enabled us to deliver on time and hence won
over prestigious customers for us, with whom the company has
strengthened its relationship over the years by its excellent services.

10
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Sales Turnover : Not to be disclosed

Year Estd : 1985

Product : Blouse, Top, Shirt, Casual, Wear,

Top Jacket, Shirt, Dress, Vest ,
Tank.

Main Business Area : Garment Manufacturer

Other Area of Business : Manufacturer of Garment

11
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

SELLING LEADS
Vest :

We would like to present

ourselves as one of producer and
exporter of Vests.

Dress

We are leading and reputed

manufacturer and exporter of
Dresses.

Skirt

We wish to introduce ourselves

as one of the renowned producer
and export of Skirts

Jacket

We are renowned manufacturer

and exporter of Jackets.

Tank Top

We like to introduce ourselves as

manufacturer and exporter of
Tank Tops.

Casual Wear

We are glad to take this opportunity to introduce ourselves as a producer

and Exporter of Casual Wears.

Suit

We are well known producer and exporter of Suits.

12
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Shirt

We wish to present ourselves as manufacturer and exporter of Shirts.

Tops

We are professional producer and exporter of Tops.

Blouse

We take the pleasure in introducing ourselves as one of the leading

manufacturer and exporter of Blouses.

DEPARTMENT IN VIRAJ EXPORTS PVT. LTD.

There are 4 main Departments in the Company:

PRODUCTION DEPARTMENT: Stitching, Cutting, Washing,

and Pressing. Packaging etc.

SALES GROUP: Business Group.

ADMINISTRATION GROUP: Security, Internal Audit, Personnel

Department, Accounts, and Planning & Control Merchandiser
Department.

STORES: Cotton & Fabric Cotton

13
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

OTHER INFORMATIONS

DEPARTMENTS

1) H.R Department,

2) Finance Department,

3) Production Department,

4) R & D Department,

5) Merchandiser Department

RECRUITMENT AND INCENTIVE POLICY

Recruitment in the company is done by department heads of respective

department and final recruitment done by Honorable Associate Director
Dr P. Kumar.
In sales, incentive based on performance- with overall achievement
of target, volume wise and unit wise.

14
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

HUMAN RESOURCE DEPARTMENT

ACTIVITIES
The Functions of the Human Resource Department are:
1. EMPLOYMENT
 Man Power Planning
 Recruitment and Selection
 Induction
 Promotion and Transfer
 Separation
2. WAGE AND SALARY ADMINISTRATION
 Employee classification including job evaluation
 Rate determination
 Merit rating
 Supplemental compensation
3. INDUSTRIAL RELATIONS
 Communication
 Collective bargaining
 Employee discipline
4. ORGANISATION PLANNING AND CONTROL
 Organization planning
 Employee appraisal
 Human Resource Development
 Training

15
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

 Counseling

5. EMPLOYEE SERVICES
 Medical/Canteen services
 Recreation
 Safety, Security, Transport

ORGANISATIONAL STRUCTURE
(HIERARCHY)

Chief of Executive Officer (C.E.O.)

Associate Director

HR

Production

Finance Marketing Merchandiser

Store Fabric Store R&D Cutting Stitching Finishing Designer

Supervisor Supervisor Supervisor Supervisor Supervisor Supervisor

Worker Worker Worker Worker Worker Worker

16
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

INTRODUCTION

17
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

REASONS TO CHOOSE THE PROJECT

When I joined the training at VIRAJ EXPORTS PVT. LTD., NOIDA I was allotted
the project of “ABSENTEEISM OF EMPLOYEES”. Initially it appeared to me
quite a simple project, but as I started working on it only then I understood its real
significance.

It is often easier for the organizations to make arrangement to cover staffs, which are
going to be off for long periods. However, employees taking odd days off here and
there are more problematic, can have an immediate impact.

If remain unchecked, this type of absence can send out the wrong signals to
colleagues who, in some jobs, are likely to have to cover for those absent. If
employers fail to take action, a ‘buggies turn’ mentality may emerge. Frequent
absence may have serious repercussions where staff are employed in customer-facing
roles or employed on production lines. The impact of absence may be most directly
felt and the need to arrange cover at short notice may be paramount

18
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

ABSENTEEISM

CONCEPT OF ABSENTEEISM
It refers to workers absence from their regular task when he is normally schedule to
work. The according to Webster’s dictionary

“Absenteeism is the practice or habit of being an absentee and an absentee is

one who habitually stays away from work.”

According to Labour Bureau of Shimla : - Absenteeism is the total man shifts

lost because of absence as percentage of total number of man shifts scheduled to
work.

In other words, it signifies the absence of an employee from work when he is

scheduled to be at work. Any employee may stay away from work if he has taken
leave to which he is entitled or on ground of sickness or some accident or without any
previous sanction of leave. Thus absence may be authorized or unauthorized, willful
or caused by circumstances beyond one’s control.

Maybe even worse than absenteeism, it is obvious that people such as

malingerers and those unwilling to play their part in the workplace can also have a
decidedly negative impact. Such team members need individual attention from
frontline supervisors and management.

Indeed, as prevention is better than cure, where such a problem occurs, it is

always important to review recruitment procedures to identify how such individuals
came to be employed in the first place. For any business owner or manager, to cure
excessive absenteeism, it is essential to find and then eliminate the causes of
discontent among team members.

19
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

If they find their supervisor or job unpleasant - really unpleasant - they look for
legitimate excuses to stay home and find them with things such as upset stomachs or
splitting headaches.

Any effective absentee control program has to locate the causes of discontent
and modify those causes or eliminate them entirely. In other
words, if we deal with the real reasons team members stay home it can become
unnecessary for them to stay away. Any investigation into absenteeism needs to look
at the real reasons for it.

Sometimes team members call in sick when they really do not want to go to
work. They would not call you up and say, “I’m not coming in today because my
supervisor abuses me.”

Or, “I’m not coming in today because my chair is uncomfortable.”

Or, “I’m not coming in today because the bathrooms are so filthy; it makes me sick to
walk into them.”

There are a few essential questions to consider at the outset if you want to
make a measurable improvement to your absenteeism figures.

Why is your present absenteeism policy ineffective?

Where and when is excessive absenteeism occurring? In many cases, under- trained
supervisors could be a contributing factor.
What are the real causes for absences?

It is commonly expected that low pay, poor benefits and high workloads will
be the major causes.

20
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

However, in numerous employee surveys absenteeism generally has been identified as

a symptom of low job satisfaction, sub-standard working conditions and consistent
negative and unfair treatment received by first-line supervisors.

How much formal training have your supervisors received on absenteeism

containment and reduction? If your answer is none or very little, maybe you have
found the solution. As with every other element within your organization, you cannot
ask a person to do a job he or she has never been trained to do.

Many human resources specialists have found that repetitive, boring jobs
coupled with uncaring supervisors and/or physically unpleasant workplaces are likely
to lead workers to make up excuses for not coming to work.

If your team members perceive that your company is indifferent to their needs,
they are less likely to be motivated, or even to clock on at all.

One way to determine the causes of absenteeism is to question your

supervisors about excessive absenteeism, including what causes it and how to reduce
it.

Of course, if your supervisors have made no efforts to get to know the team
members in their respective departments, they may not be able to provide reasons.

However, just the act of questioning may get the ball rolling and signal to your
supervisors that their involvement is important.

Once a manager finds the real reasons for absenteeism there is another
important step. Through open communication, you need to change the team member’s
way of reacting and responding to discontent.

21
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Other problems will no doubt
arise in the future. If the way of responding has not been reviewed, then the same
cycle is likely to start all over again. So often

absenteeism problems can be sheeted back to the supervisor level and to

unsatisfactory working conditions. Without improvement in these areas, you can
expect your high rate of absenteeism to continue.
Absenteeism refers to unauthorized absence of the worker from his job.
Absenteeism can be defined as failure of employees to report for work when they are
scheduled to work. Employees who are away from work on recognized holidays,
vacations, approved leaves of absence, or leaves of absence allowed for under the
collective agreement provisions would not be included.
In India, the problem of absenteeism is greater than other countries. When the
employee takes time off, on a scheduled working day with permission, it is authorized
absence. When he remains absent without permission or informing, it is willful
absence without leave.
In these days, when the needs of the country require greater emphasis upon
increase of productivity and the economic and rational utilization of time and
materials at our disposal, it is necessary to minimize absenteeism to the maximum
possible extent.

Recent surveys indicate the following trends in absenteeism:

1. The higher the rate of pay and the greater the length of service of the employee, the
fewer the absences.
2. As an organization grows, there is a tendency towards higher rates of absenteeism.
3. Women are absent more frequently than men.
4. Single employees are absent more frequently than married employees.
5. Younger employees are absent more frequently than older employees but the latter
are absent for longer periods of time.
6. Unionized organizations have higher absenteeism rates than non-union
organizations.

22
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

EFFECT OF ABSENTEEISM

Labour absenteeism is a harmful to both the employee and the worker as follow:

 Normal work – flow in the factory is disturbed.

 Overall production in the factory goes down.
 Causal workers may have to be employed to meet production schedules such
worker is not trained properly.
 Difficulty is faced in executing the order in time.

 Overtime allowance will increases considerably because of higher

absenteeism.
 When a number of workers absent themselves, there is extra pressure of work
on their colleagues who are present.
 Workers lose wages for the unauthorized absence from work.
 Habitual absentees may be removed from service causing them great
hardship.

23
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

MEASUREMENT OF ABSENTEEISM

For calculating the rate of absenteeism we require the number of people scheduled to
work and number of people actually present. Absenteeism can be find out of absence
rate method.

For Example:

a) Average number of employees in work force: 100

b) Number of available workdays during period : 20
c) Total number of available workdays (a x b): 2,000
d) Total number of lost days due to absences during the period: 93
e) Absenteeism percent (d [divided by] c) x 100: 4.65%

Since absenteeism is a major barometer of employee morale, absenteeism

above 5 percent has to be considered as very serious (across most industries 3 percent
is considered standard).

CAUSES:

Important factors leading to absenteeism can be summarized as follows:

1. Long hours of work.

24
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

2. Bad working conditions.
3. Boredom.

4. Lack of co-operation and understanding between management and workers.

5. Sickness.
6. Accidents.
7. Occupational disease.
8. Problem of transport facilities.
9. Low wages.
10. Lack of proper medical aid and health programmes.
11. Lack of canteen services, rest rooms, etc.
12. Bad housing conditions.
13. Evil of drinking.
14. Lack of marketing facilities.
15. Social or religious festivals.
16. Harvest seasons.
17. Marriages.
18. Education of children.
19. Domestic problems and consequent worries, etc.

Among these causes, in the existing Indian conditions, wage level in industries, has a
direct bearing on absenteeism. Sickness on account of bad housing conditions
contributes highest to industrial absenteeism. Social and religious causes can be
accounted as the second important contributing factor for absenteeism. Absenteeism

in industry varies from place to place, depending on the festival, marriage, harvest
season and other factors.

EFFECTS:
Absenteeism is one of the root causes of labour unrest. It affects the worker s earnings
as well as the company in the following manner:
1. Decrease in Productivity:

25
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

 Employees may be carrying an
extra workload or supporting new or replacement staff.

 Employees may be required to train and orient new or replacement workers.

 Staff morale and employee service may suffer.

2. Financial Costs:
 Payment of overtime may result.
 Cost of self-insured income protection plans must be borne plus the wage
costs of replacement employees.
 Premium costs may rise for insured plans.
3. Administrative Costs:
 Staff time is required to secure replacement employees or to reassign the
remaining employees.
 Staff time is required to maintain and control absenteeism.

The definition of absenteeism, its causes, its affects on productivity, and its costs in
terms of finances and administrative effectiveness are quite clear.

What is not as clear is how to take affirmative action to control absenteeism in

such a way as not to create mistrust, costly administration and systems avoidance.

Traditional methods of absenteeism control based only on disciplinary

procedures have proven to be ineffective. It is almost impossible to create a fair
disciplinary procedure because even well run disciplinary systems, which treat similar
actions in consistently similar ways, are usually seen as unfair. The reason for this is
discipline alone usually does not identify or address the root causes of absenteeism.

Every employee who takes time off in defiance of company regulations has
reasons, right or wrong, which justify to themselves the legitimacy of their actions.
Unless a management attendance program identifies and addresses the causes
of employee absenteeism it will be ineffective and unfair. Traditional disciplinary

26
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

programs alone can, at best, give the
illusion of control. It is no secret that there are

ways to beat even the best systems. The fear of discipline often only increases
the desire to avoid management systems.
If absenteeism is to be controlled, the physical and emotional needs of
employees must be addressed. Incentives can be introduced to discourage
absenteeism. Attendance bonus is awarded in certain establishments, merit increases
and promotions are linked to minimum attendance. Good leave record of the
employee is an important factor in considering him for more responsible positions.
These incentives, no doubt, will be effective inducements for regular attendance and
work which, in turn, will ensure efficient service. Habitual absenteeism must be
treated as misconduct and it must be stated that habitual absentees are liable for
disciplinary action.

27
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

PECULIAR FEATURES OF ABSENTEEISM

On the basis of studies undertaken certain observations may be made:

a) The rate of absenteeism is lowest on payday; it increases considerably on the days

following the payment of wages and bonus. The level of absenteeism is comparatively
high immediately after payday. When worker either feel like having a good time or in
some other cases return home to their villages family and after a holiday, has also
been found to be higher than that on normal days.

b) Absenteeism is generally high workers below 25 years of age and those above 40.
“The younger employees are not regular and punctual”. Presumably because of the
employment of a large no. of new comers among the younger age groups, while the
older people are not able to withstand the strenuous nature of the work.

c) The percentage of absenteeism is higher in the night shift than in the day shift. This
is so because workers in the night shift experience great discomfort and uneasiness in
the course of their work than they do during day time.

d) Absenteeism in India is seasonal in character. It is the highest during March-April-

May, when land has to be prepared for monsoon, sowing and also in harvest season
(Sept-Oct) when the rate goes as high as 40%.

28
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

CAUSES OF ABSENTEEISM

The Royal Commission Labour observed that high absenteeism among Indian labour
is due to rural orientation and their frequent urge for rural exodus. According to
Acharaya “In modern industrial establishment the incidence of industrial fatigue, mal
nutrition and bad working conditions aggravate that feeling for change among
industrial worker and some time impel them to visit their village home frequently for
rest and relaxation.”

The general cause of absenteeism may be summarized as below:-

1) MALADJUSTMENT WITH FACTORY

In factory the worker finds caught within factory walls, he is bewildered by heavy
traffic, by strangers speaking different and subjected to strict discipline and is ordered
by complete strangers to do things which he cannot understand. As a result he is under
constant strain, which cause him serious distress and impairs his efficiency. All these
factors tend to persuade him to maintain his contacts with village
.

2) SOCIAL AND RELIGIOUS CEREMONIES

Social and religious ceremonies divert workers from workers to social activities. In
large number of cases incidence of absenteeism due to religious ceremonies is more
than due to any other reason.

3) HOUSING CONDITIONS

29
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Workers also experience housing
difficulties. Around 95% of housing occupied by industrial workers in India is
unsatisfactory for healthful habitations. This leads to loss the interest in work.

4) INDUSTRIAL FATIGUE
Low wages compel a worker to seek some part time job to earn some side income.
This often result inconstant fatigue, which compels to remain absent for next day.

5) UNHEALTY WORKING CONDITION

Irritating and intolerable working conditions exist in a factory. Heat, moisture, noise,
vibration, bad lighting, dust fumes and overcrowding all these affect the workers
health causing him to remain absent from work a long time.

6) ABSENCE OF ADEQUATE WELFARE ACTIVITIES

High rate absenteeism is also due to lack of adequate welfare facilities Welfare
activities include clean drinking water, canteen, room shelter, rest rooms, washing and
bathing facilities, first aid appliances etc.

7) ALCOHOLISM

Some of the habitual drunkards spend whole of their salary during first week of each
month for drinking purpose. Therefore 2 or 3 weeks after getting their salary absent
themselves from their work.

8) INDEBTNESS

All those workers who undergo financial hardships usually borrow money lenders at
interest rate which are very high, which often cumulates to more than 11 – 12 times

30
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

their actual salaries. To avoid the
moneylenders they usually absent themselves from work because they are unable to
return the money in stipulated time.

9) IMPROPER & UNREALISTIC PERSONNEL

POLICIES

Due to favoritism and nepotism which are in the industry the workers generally
become frustrated. This also results in low efficiency, low productivity, unfavorable
relationship between employee and supervisor, which in turn leads to long period of
absenteeism.

10) IN ADEQUATE LEAVE FACILITIES

Negligence on part of the employee to provide leave facility compel the worker to fall
back on ESI leave. They are entitled to 50 days leave on half on pay. Instead of going
without pay the worker avail themselves of ESI facility

31
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

EFFECTS OF ABSENTEEISM ON
INDUSTRIAL PROGRESS

It is quite evident from the above figures that absenteeism is a common feature of
industrial labour in India. It hinders industrial growth and its effect in two fold.

1) LOSS TO WORKER
Firstly due to the habit of being absenting frequently worker’s income is reduced to a
large extent. It is because there is a general principle of “no work – no pay”. Thus the
time lost in terms of absenteeism is a loss of income to workers

2) LOSS TO EMPLOYERS
On other hand, the employer has to suffer a greater loss due to absentees. It disturbs
the efficiency and discipline of industries consequently, industrial production is
reduced. In order to meet the emergency and strikes, an additional labour force is also
maintain by the industries. On certain occasions, those workers are employed who
present themselves at factory gates. During strikes they are adjusted in place of absent
workers. Their adjustment brings serious complications because such workers do not
generally prove themselves up to work. Higher absenteeism is an evil both for
workers and the employers and ultimately it adversely affects the production of
industries.

32
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

THE ECONOMIC IMPACT OF

ABSENTEEISM AND QUITS

Gauging precisely the cost impact of absenteeism and turnover is difficult. From its
collective experience, the study team identified the following effects of high levels of
absenteeism and turnover:

— Increased manpower complement to meet staffing needs.

— Loss of revenues from not meeting project schedules.
— Administrative cost to recruit process and train new employees.
— Lost efficiency in work crews with new or inexperienced members.
— Underutilization of capital investments (tools, equipment).
— Interruption of work flow and task accomplishment.
— Misallocation of skills and talents of employees.
— Increased demand for administrative time and resources for planning and
rescheduling.
— Increased overtime and employee fatigue.
— Lower morale.
The cost impact of many of these items will vary, depending on circumstances and
management's ability to recognize the problems and to deal with them effectively. The
wasted man-hours from certain direct effects, however, can be more readily estimated.
In making a conservative estimate of the cost improvement incentive, only these
direct, more easily quantifiable effects were considered.

The main direct impacts of absenteeism on productivity are:

33
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

1. Time spent by crew members (others) waiting for replacements.

2. Time spent moving replacements to and from other work locations.
3. Lost time by supervisory personnel in reassignment of work activities and locating
replacements.

The study team estimated that, on average, these direct effects result in a total of 12
man-hours of paid time wasted, for each worker absent. Thus, each 1% increase in
daily absenteeism produces a 1 1/2% increase in labor costs, as illustrated by the
following computation for a hypothetical 100- man job:

Added cost Non-productive man-hours

Due to 1% = =
Absenteeism Productive man-hours if no absences

1 man absent (1% x 100 men) x 12 man-hours

= 0.015
100 men x 8 hours 800

= 1 1/2 %

. . . Or a 15% increase in direct labor cost for 10% absenteeism.

Therefore, a reduction in average absenteeism from 10% to 5% would decrease labor
costs by 7 1/2 %.

For turnover, the principal cost effects are:

1. All of the absentee-costs plus:

2. Payroll and clerical (administrative) costs associated with terminating and hiring.
3. Workers non-productive time (portions of the first and last day).

34
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

4. Disruption of other workers on the
job site.
The study team estimated that these effects, on average, result in 24 man-hours of
paid time wasted for each resignation

ANALYSIS OF CAUSES

1) FAMILY ORIENTED & RESPONSIBILITES

It was observed that about 40% case absenteeism is family oriented and more
responsibilities of workers. It increases in harvesting season.

2) SOCIAL CEREMONIES

In 20 % cases it was found that social and religious functions divert worker from
work.

3) HOUSING FACILITY

In about 30% cases, the workers remain absent because there is no housing facilities
and the workers stay alone and great distance from factory.

4) SICKNESS AND ACCIDENT

In 20% case the workers remain absent due to ill health and disease and in 15% cases
workers remain absent due to accident.

5) TRANSPORTATION
35
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Most of the workers have to travel long distance to reach the work place. Most of the
workers are not satisfied with transport facilities.

6) WELFARE FACILITES
In 13% cases, the workers are not satisfied with welfare facilities.

7) WORKING CONDITIONS
In 21% cases, the workers feel that there is not good working condition, because they
work in standing position which causes to remain absence for relaxation.

8) MANAGEMENT SYSTEM

Near about 34% people are dissatisfied with management system because they feel
that their work is not being recognized and promotions are biased.

36
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

ABSENTEEISM - TYPES & THEIR

CONTROL

There are two types of absenteeism, each of which requires a different type of
approach.

1. INNOCENT ABSENTEEISM

Innocent absenteeism refers to employees who are absent for reasons beyond their
control; like sickness and injury. Innocent absenteeism is not culpable which means
that it is blameless. In a labour relations context this means that it cannot be remedied
or treated by disciplinary measures.

2. CULPABLE ABSENTEEISM

Culpable absenteeism refers to employees who are absent without authorization for
reasons which are within their control. For instance, an employee who is on sick
leave even though he/she is not sick, and it can be proven that the employee was not
sick, is guilty of culpable absenteeism. To be culpable is to be blameworthy. In a
labour relations context this means that progressive discipline can be applied.

37
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

For the large majority of
employees, absenteeism is legitimate, innocent absenteeism which occurs
infrequently. Procedures for disciplinary action apply only to culpable absenteeism.
Many organizations take the view that through the process of individual absentee
counselling and treatment, the majority of employees will overcome their problems
and return to an acceptable level of regular attendance.

COUNSELLING INNOCENT ABSENTEEISM

Innocent absenteeism is not blameworthy and therefore disciplinary action is not

justified. It is obviously unfair to punish someone for conduct which is beyond his/her
control. Absenteeism, no matter what the cause, imposes losses on the employer who
is also not at fault. The damage suffered by the employer must be weighed against the
employee's right to be sick. There is a point at which the employer's right to expect
the employee to attend regularly and fulfill the employment contract will outweigh the
employee's right to be sick. At such a point the termination of the employee may be
justified, as will be discussed.

The procedure an employer may take for innocent absenteeism is as follows:

1. Initial counselling(s)
2. Written counselling(s)
3. Reduction(s) of hours and/or job reclassification
4. Discharge

Initial Counseling

38
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Presuming you have communicated
attendance expectations generally and have already identified an employee as a
problem, you will have met with him or her as part of your attendance program and
you should now continue to monitor the effect of these efforts on his or her
attendance.

If the absences are intermittent, meet with the employee each time he/she
returns to work. If absence is prolonged, keep in touch with the employee regularly

and stay updated on the status of his/her condition. (Indicate your willingness to
assist.)

You may require the employee to provide you with regular medical assessments. This
will enable you to judge whether or not there is any likelihood of the employee
providing regular attendance in future. Regular medical assessments will also give
you an idea of what steps the employee is taking to seek medical or other assistance.
Formal meetings in which verbal warnings are given should be given as appropriate
and documented. If no improvement occurs written warning may be necessary.

Written Counseling

If the absences persist, you should meet with the employee formally and provide
him/her with a letter of concern. If the absenteeism still continues to persist then the
employee should be given a second letter of concern during another formal meeting.
This letter would be stronger worded in that it would warn the employee that unless
attendance improves, termination may be necessary.

Reduction(S) of Hours and or Job Reclassification

In between the first and second letters the employee may be given the option to
reduce his/her hours to better fit his/her personal circumstances. This option must be
voluntarily accepted by the employee and cannot be offered as an ultimatum, as a

39
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

reduction in hours is a reduction in pay
and therefore can be looked upon as discipline.

If the nature of the illness or injury is such that the employee is unable to fulfil
the requirements of his/her job, but could for example benefit from modified work,
counsel the employee to bid on jobs of such type if they become available. (N.B. It is
inadvisable to "build" a job around an employee's incapacitates particularly in a
unionized environment. The onus should be on the employee to apply for an existing
position within his/her capabilities.)

Discharge
Only when all the previously noted needs and conditions have been met and
everything has been done to accommodate the employee can termination be
considered. An Arbitrator would consider the following in ruling on an innocent
absenteeism dismissal case.

a) Has the employee done everything possible to regain their health and return to
work?
b) Has the employer provided every assistance possible? (i.e. counseling,support,time
off.)
c) Has the employer informed the employee of the unworkable situation resulting
from their sickness?
d) Has the employer attempted to accommodate the employee by offering a more
suitable position (if available) or a reduction of hours?
e) Has enough time elapsed to allow for every possible chance of recovery?
f) Has the employer treated the employee prejudicially in any way?

As is evident, a great deal of time and effort must elapse before dismissal can take
place.

40
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

These points would be used to substantiate or disprove the following two fold test.

1. The absences must be shown to be clearly excessive.

2. It must be proven that the employee will be unable to attend work on a regular basis
in the future.

CORRECTIVE ACTION FOR CULPABLE

ABSENTEEISM

As already indicated, culpable absenteeism consists of absences

where it can be demonstrated that the employee is not actually ill and is able to
improve his/her attendance.

Presuming you have communicated attendance expectations generally, have

identified the employee as a problem, have met with him/her as part of your
attendance program, made your concerns on his specific absenteeism known and have
offered counseling as appropriate, with no improvement despite your positive efforts,
disciplinary procedures may be appropriate.

The procedures for corrective/progressive discipline for culpable absenteeism

are generally the same as for other progressive discipline problems. The discipline
should not be prejudicial in any way. The general procedure is as follows: [Utilizing
counseling memorandum]

1. Verbal Warning(s)

41
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

2. Written Warning(s)
3. Suspension(s)
4. Discharge

Verbal Warning

Formally meet with the employee and explain that income protection is to be used
only when an employee is legitimately ill. Advice the employee that his/her
attendance record must improve and be maintained at an improved level or further
disciplinary action will result. Offer any counselling or guidance as is appropriate.
Give further verbal warnings as required. Review the employee's income protection

records at regular intervals. Where a marked improvement has been shown, commend
the employee. Where there is no improvement a written warning should be issued.

Written Warning
Interview the employee again. Show him/her the statistics and point out that
there has been no noticeable (or sufficient) improvement. Listen to the employee to
see if there is a valid reason and offer any assistance you can. If no satisfactory
explanation is given, advise the employee that he/she will be given a written warning.
Be specific in your discussion with him/her and in the counselling memorandum as to
the type of action to be taken and when it will be taken if the record does not improve.
As soon as possible after this meeting provide the employee personally with the
written warning and place a copy of his/her file. The written warning should identify
any noticeable pattern

If the amount and/or pattern continue, the next step in progressive discipline may be a
second, stronger written warning. Your decision to provide a second written warning
as an alternative to proceeding to a higher level of discipline (i.e. suspension) will
depend on a number of factors. Such factors are, the severity of the problem, the
credibility of the employee's explanations, the employee's general work performance
and length of service.

42
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Suspension (only after consultation with the appropriate

superiors)

If the problem of culpable absenteeism persists, following the next interview period
and immediately following an absence, the employee should be interviewed and
advised that he/she is to be suspended. The length of the suspension will depend again
on the severity of the problem, the credibility of the employee's explanation, the
employee's general work performance and length of service. Subsequent suspensions
are optional depending on the above condition.

Dismissal (only after consultation with the appropriate

superiors)

Dismissals should only be considered when all of the above conditions and
procedures have been met. The employee, upon displaying no satisfactory
improvement, would be dismissed on the grounds of his/her unwillingness to correct
his/her absence record.

43
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

GUIDELINES & MEASURES FOR

CONTROL OF ABSNTEEISM

Absenteeism is a disease that appears whenever a company fails to inoculate itself

through the use of sound management practices. To cure excessive absenteeism, one
has to know the exact causes and then examine the available, workable and proven
solutions to apply against those causes.

To embark upon a successful absenteeism reduction program, you need to

make sure you have some basic information and facts about absenteeism in your
company. Consider the following four questions, which should help you further focus
your ideas and put a plan into action.

Q. Why is your present absenteeism policy ineffective?

Absenteeism policies vary in effectiveness. Most ineffective policies I have reviewed

have a common denominator: They allow "excused" absences, whereas those that do
work are "no fault" policies.

Q. Where and when is excessive absenteeism occurring?

44
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Numerous studies have concluded that under trained supervisors is one of the main
causes of absenteeism. Therefore, any company experiencing absenteeism of greater
than 3 percent should consider supervisors as a potential contributor to the problem.
Given that this may be the case, you first should check the percentage of employee
absenteeism by supervisor to see if it is concentrated around one or two supervisors. If
it is, you've begun to uncover the obvious--undertrained supervisors. If, however,
your research reveals that the rate of absenteeism is almost equally distributed
throughout your factory, you will need to investigate other possible causes.

Q. What are the real causes for absences?

People-oriented companies are very sensitive to employee opinions. They often
engage in formal mini-studies to solicit anonymous employee opinions on topics of
mutual interest. These confidential worker surveys commonly ask for employee
opinion regarding higher-than-normal absenteeism.

In other words, employees revealed that repetitive, boring jobs coupled with
uncaring supervisors and/or physically unpleasant workplaces led them to make up
excuses for not coming to work, such as claiming to be sick.

One way to determine the causes of absenteeism is to question your

supervisors about their employees' excessive absenteeism, including what causes it
and how to reduce it.

Q. How much formal training have your supervisors received on

absenteeism containment and reduction?

If you find that your supervisors hesitate to provide meaningful answers to your
questions, then you're on the right track toward a solution. Ask yourself, "How much
formal training have I given my supervisors in the areas of absenteeism reduction and
human resources skills?" If your answer is none or very little, your solution can't be

45
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

far behind. The fact of the matter is, you
cannot ask a person to do a job he or she has never been trained to do.

Following are the measures to control

absenteeism:-

1) ADOPTION OF A WELL DEFINED RECRUITMENT

PROCEDURE

The selection of employees on the basis of command, linguistic and family

consideration should be avoided. The management should look for aptitude and
ability in the prospective employees and should not easily yield or pressure of
personal likes and dislikes. Application blanks should invariably be used for a
preliminary selection and tools for interviews. The personal officer should play more
effective role as coordinator of information, provided that he has acquired job
knowledge in the function of selection. Employers should also take into account the
fact that selection should be for employee’s development, their reliance. They should
as far as possible rely on employment exchange.

2) PROVISION OF HEALTHFUL AND HYGENIC

WORKING CONDITION

46
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

In India, where the climate is warm and most of the work involves manual labour, it is
essential that the workers should be provided with proper and healthy working
conditions. The facilities of drinking water, canteens, lavatories, rest rooms, lighting
and ventilation, need to be improved. Where any one of these facilities is not
available, it should be provided and all these help in keeping the employee cheerful
and increase productivity and the efficiency of operations throughout the plant.

3) PROVISION OF REASONABLE WAGES AND

ALLOWANCE AND JOB SECURITY TO WOTRKERS

The wages of an employee determine his as well as his family standard of living. This
single factor is important for him than other. The management should, therefore pay
reasonable wages and allowances, taking into account the capacity of the industry to
pay.

4) MOTIVATORS WELFARE AND SOCIAL MEASURES

The management should consider the needs of workers and offer them adequate and
cheap housing facilities, free of subsidized food, free medical and transport facilities,
free education facilities for their children and other monetary benefits. As for social
security is concern, the provision of Provident Fund, SBI facilities, Gratuity and
Pension, all those need to be improved.

5) IMPROVED COMMUNICATION AND PROMPT REDRESSAL

OF GRIEVANCES

Since a majority of the workers are illiterate or not highly educated bulletins and
written notices journals and booklets are not easily understood by them. Meetings and
concealing are called for written communication becomes meaningful only when

47
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

workers can readied understood them,
too many notices should be avoided only the essential ones should be put on the
boards, which should be placed near the entrance inside the canteen and in areas
which are frequently visited by the workers so that they are aware of the policies of
the company and any sort changes being made.

6) LIBERAL GRANT OF LEAVE

The management’s strict attitude in granting leave and holidays even when the need
for them is genuine, tempts workers to go on E.S.I. leaves for under this scheme, they
can have 56 days leaves in years on half pay. An effective way of dealing with
absenteeism is to liberalize leave rules.

7) SAFETY AND ACCIDENT PREVENTION

Safety at work can be maintained and accidents can be prevented if the management
tries to eliminate such personal factors as negligence, overconfidence, carelessness,
vanity, etc and such material factorizes unguarded machinery and explosives,
defective equipment and hand tools. Safe methods of operation should be taught. In
addition consistent and timely safely instruction, written instructions (manual) in the
regional language of the area should be given to the work force.

8) CORDIAL RELATIONS BETWEEN SUPERVISORS AND

WORKERS

The supervisor should be recognize that industrial work is a group’s task and cannot
be properly done unless discipline is enforced and maintained. Cordial relations
between the supervisors and these workers are therefore essential for without them,
discipline cannot be increased. One of the consequences of unhealthy relations
between supervisors and subordinates is absenteeism.

9) DEVELOPMENT OF WORKERS BY TRAINING

48
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

The system of worker’s education should be so designed as to take into account their
educational needs as individuals for their personal evaluation, as operatives for their
efficiency and advancement, as citizens for happy integrated life in the community, as
members of a trade union for the protection of their interests. The educational
programs according to their national commission on Labour should be to make a
worker:-

a) A responsible, committed and disciplines operative.

b) Aware of his rights and obligations.
c) Lead a calm, clean and health life, based on a firm ethical foundation.
d) A responsible and alter citizen.

Dealing with Absenteeism and labour Turnover-

a different approach
If you can’t eliminate the cause just minimize its effect.

Absenteeism and labour turnover have long been major cause of worry among the
garment manufacturers. Everyone on board the apparel industry bandwagon has been
putting efforts to find a permanent solution for this problem. Unfortunately, there is
no magic spell; various steps at different levels have to be taken to bring this problem
under control.

This article takes a two prong approach to tackle this problem. The first part attempts
to highlight issues that can attack on the root cause and reduce the problem and the
second part devises a system to minimize its effect on the floor. It does not
fundamentally solve the problem but of course it is a way forward.

Company Policy

49
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

It is a well known fact in the Northern
India that many companies have a policy to release labour every 6 months and then
re-employ them after a month’s break; the question needs to be asked whether this
policy helps or harms. In lure of immediate benefits are we ignoring long term losses.

This policy should be re-considered if India is to reach the efficiency performance

levels necessary to compete with the rest of the world.

The effect of this policy on the workers must be considered, why should they have
any loyalty to the company if the company has no loyalty to them? How would you
like to work in a situation where your job stops every 6 months and you have to find
new employment, how would you get any stability into your life?

Many companies in the country work without the above policy. I asked the managing
director of one of the larger and well respected companies (who employ their people
on a continuous basis) what they do in the periods where work is in short supply, his
response was that labour turnover solved the problem since they just stopped
employing new operators during this period, so although the offer of permanent
employment does not solve the labour turnover issue completely, it does reduce it,
and in times of short supply of work the labour force can be reduced easily to
minimize financial losses without resorting to firing off the entire staff.

The role of the Personnel Department

There is no doubt personnel departments must assist in a much more pro-active way
to solve the problems and I would like to suggest that members of this department
become responsible for the absenteeism and labour turnover for sections of the
factory, and for the fundamental labour disciplines required to make the company
more productive, these disciplines to be handled as follows

50
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

1. One personnel person to handle a
number of sewing lines and produce figures showing the labour statistical information

2. To be responsible for operators on the sections allocated to them, to see that they
start on time, to discipline late comers, and for this they need to be on the factory
floor BEFORE starting time. A late start of 15 mins in a factory of 500 operators is
equivalent to a loss of 3% productivity!

3. To ensure that managers and supervisors are in place BEFORE starting time

4. To interview all absentees on their return to establish their reasons

5. To establish how the company can reduce the current absentee levels The above
was actually done in one of the factories we were involved with and it had the effect
of reducing the absenteeism by 50%

The effect on Production Managers and Supervisors

It is extremely difficult to increase efficiency in an assembly process when an

absenteeism level of 10 -16% Is the order of the day. The supervisors job is difficult
enough without having to cope with such a daily operator replacement situation, and
with the industry still growing the pool of highly skilled labour that waits outside your
door in the hope of employment is growing smaller and smaller. The industry has
moved away from “Tailors” (people who can make the
whole garment) to “Operators” (people who can perform up to 3 operations to a
satisfactory performance level) and with buyers demanding lower and lower prices
the pressure on companies to improve productivity performance and to lower lead
times is ever increasing

The effect of high labour turnover and absenteeism is as follows:

1. The supervisor has to show the new operator how to do the job

51
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

2. Assuming the line has 50 operators (machinists and others) then an absentee level
of 15% means 7- 8 replacements

3. How can we expect the supervisor to cope with training these new people AND
obtain a satisfactory level of efficiency and quality?

4. At least 50% of the first day is lost before the new operator is working on the
operation they have been employed for

5. The efficiency of the new employee is generally much lower than the person he/she
is replacing
6. The quality level is immediately suspect and repairs will occur - the repair rate will
increase, which will lower efficiency whilst faulty garments are corrected.

7. A bottleneck is created due to the newness of the operators

8. Operations following the one replaced will slow down due to the lack of supply

9. Overtime has to be worked to correct these effects overtime is paid at double pay
rates.

10. Efficiency levels drastically reduce during overtime.

Flying Squad

What is it?

52
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

The introduction of a team of multi skilled people who are on the company role, not
allocated to any specific section of the factory who can be used to plug the gaps
caused by absentees, help to maintain productivity levels.

a) It is a team of highly multi skilled operators who are intended to replace daily
absenteeism and to help to eliminate bottlenecks and help to train poor performers on
the factory floor

 High level performers

 Good attendance record
 Co-operative and helpful personality
 Able to perform more than 6 operations and a satisfactory performance level

b) It is necessary to establish the level of Absenteeism to determine the size of the

group

c) Flying squad operators will be paid at a higher rate than normal operators

d) They will be expected to wear a specifically colored overall / Cap to signify their
position

How does it work?

1- IE in charge will be responsible to distribute them daily in consultation with

Production manager.

2- The operators to be included in the flying squad will be taken from the production
floor, is a good idea to advertise the offer and select from those who apply.

53
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

3- Operators used in Flying squad will
be replaced by good operators in the line who are not doing important jobs; these will
be replaced with the best trainees available

4- Flying squad operators will be distributed proportionally to each area of the factory

5- Every morning flying squad operators will be distributed by the Production

manager of the relevant department in conjunction with the Workstudy head of that
department.
6- There will be a board in front of every section with 10 red lights on it, the
supervisor will indicate the number of people he/she require replacements for and
switch on the appropriate number of lights.

7- There will be a clipboard adjacent to the lights with the following checklist which
will be designed to last for one month.

a. Date

b. Section Name

c. Supervisor

d. Replacements required

e. Replacements given

f. Time given

g. Balance

h. Remarks

54
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

i. Supervisor signature

j. Checked by

8- Supervisor will make a request for FS operators daily in a duplicate book, this entry
to be signed by W/S and a copy detached for the allocation of operators and a second
copy retained in the book – this to be done within 20 minute of the starting time

9- Work-study head will allocate required operators to every line from flying squad.
This to be done immediately.
10- W/S analyst will check the method employed by the FS operator to ensure
maximum efficiency

11- If there are any operators left after allocation they will be at the disposal of the
Production manager for allocation.

12- After replacement supervisor will switch off the light. If replacement has not been
done lights will be left on to show the number of operators missing from the section.

13- All of the above processes to be completed within 40 minutes of the starting time.

14- After the first hour the Production manager and the W/S head will visit every
department to ensure that sufficient corrective action has taken place

15- It is the responsibility of the Production manager / Line in charge to assist with
the line balancing of any section who has not received the number of operators
required to replace the absentees

55
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

16- Flying squad operators will only be
allocated to an operation for a period of 3 days, after this time the training school
must provide a replacement for the missing operator.

17- Flying squad operators will be included in the section in Pro-Man reports

18- A weekly report must be produced by the W/S department listing the performance
of the FS operators, this to be discussed with General Manager and W/S head to
ensure that FS personnel are performing to a satisfactory level.

19- If FS personnel do not perform satisfactorily they will not be allowed to continue
in the FS and will be transferred back to their original section.

We feel that a system such as this requires proper disciplines to make it work in the
longer term, there is no point in setting this up without the necessary backing
otherwise it will work for a short time and then stop.

The effects of such a system will produce excellent results

THE BRADFORD FACTOR &

ABSENTEEISM
The Bradford Factor is a Human Resources tool used by many organizations to
measure and identify areas of absenteeism. The theory is that short, frequent and
unplanned absences are more disruptive than longer absences.

It is based on the fact that it is normally easier to make arrangements to cover for
staffs who are going to be off for long periods, and which are more likely to be
suffering from a genuine illness.

56
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

However, employees taking odd unplanned days off here and there actually
cause more disruption to the business. If this pattern is repeated regularly, the
employee will have a high Bradford Factor score; which may raise questions about
how genuine the illness actually is.

The formula for the Bradford Factor is:

E x E x D = Bradford Factor Score

Where E is the number of episodes of absence and D is the total number of days
absent in a rolling 52 week period.

So, for employees with a total of 10 days absence in one year, the
Bradford Factor score can vary enormously, depending on the number of episodes of
absence involved. For example:

One absence episode of 10 days is 10 points (i.e. 1 x 1 x 10)

Five absence episodes of two days each is 250 points (i.e. 5 x 5 x 10)
Ten absence episodes of one day each is 1,000 points (i.e. 10 x 10 x 10)

How do organizations use the Bradford Factor?

There are no set rules for using the Bradford Factor; it is down to each organization to
determine the ways in which it uses the score. However, used effectively, the
Bradford Factor can reduce absenteeism dramatically, serving as a deterrent and a
method for tackling persistent absenteeism.

57
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Studies have shown that by
educating staff about the Bradford Factor, and then showing them their score on a
regular basis, absenteeism can be reduced by over 20%. This is largely down to staff
understanding that taking the odd day off here and there will quickly multiply their
Bradford Factor score. The Bradford Factor places a value on the absence which an
employee can clearly see. Where the absence is not absolutely necessary, this can
serve to deter absenteeism. When this is used in conjunction with a points system the
Bradford Factor can be effectively utilized to deter unnecessary absenteeism.

For example the Bradford Factor can be utilized by creating “triggers” whereby
certain actions are taken when an employee’s Bradford score reaches a certain point.
For example, the UK Prison Service has used the following triggers:

 51 points – verbal warning.

 201 points – written warning
 401 points – final warning
 601 points – dismissal

Setting these triggers is entirely dependent on the organization using the Bradford
Factor. It is usually advisable to use the Bradford Factor as one of a number of
absence policies. However, setting these triggers and making staff aware of them, in
addition to taking action, resulted in the Prison Service reducing absenteeism by 18%.

By implementing mandatory procedures for tackling absenteeism across an

organization led by the Bradford Factor, an organization can remove the potential for
differences across teams and management and remove the difficulties and reluctance
that line managers often face when having to discipline a close staff member.

58
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

The Bradford Factor can provide
organizations with a two pronged method for tackling absence: proactively deterring
absence in the first place and utilizing a set procedure to identify and tackle persistent
absenteeism.

Implementing the Bradford Factor

Calculating the Bradford Factor for one member of staff over a given period is not a
difficult proposition. However, calculating the Bradford Factor over a rolling 52 week
period, across multiple teams and locations and considering different types of absence
is a very difficult task.

As a result of the exponential nature of the formula {E x E x D}, even the slightest
mistakes in calculation can result in a wide variance of an employee’s Bradford
Factor score.

For example: For an employee who has had 10 days off in a year in total, on two
separate occasions:

2 X 2 X 10 = 40 {which does not trigger a warning – fewer than 50}

However, if their absence is either not recorded correctly, or is calculated wrong by

just one day:

3 X 3 X 10= 90 {which does trigger a warning – over 50}

You can see that their score is more than double, despite the small mistake. Getting
the formula the wrong way round can have even more significant results:

10 X 10 X 2 = 200 {which would trigger disciplinary proceedings – over 200}

59
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

If an organization wants to tackle
absenteeism effectively, using the Bradford Factor, including using an employee’s
Bradford Factor score in potential disciplinary proceedings, then the process for
calculating the Bradford Factor has to be full proof, consistent and equal.

To achieve this, an organization will need to ensure:

Absence reporting and monitoring is consistent, equal and accurate

both over time and across the whole organization.

The calculation of an employee’s Bradford Factor score is based on

these accurate, equal and updated absence records.

Management and staff have access to updated Bradford Factor

scores.

Without these processes in place the calculation of the Bradford Factor is extremely
difficult and time consuming. In addition to this; unequal processes for reporting and
calculating the Bradford Factor could be discriminatory; everyone’s Bradford Factor
score should be subject to the same, indisputable criteria.

60
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

OBJECTIVES OF THE PROJECT

OBJECTIVES OF THE PROJECT

The objectives of the project are:
To understand and analyze:
1. To know the main causes of absenteeism Viraj Exports Pvt. Ltd.?
2. To the effects of the unauthorized absenteeism by the employees in the company?
3. To know the current disciplinary actions taken by the HR dept. for reducing
absenteeism?

61
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

4. To know the attitude of employees
towards these disciplinary actions?
5. To know what factors to be considered in order to reduce absenteeism?

Thus, the above objectives have been observed and analyzed in a detailed
manner in this project report. I have made an attempt to go into root causes of the
subject by using the various techniques of Research Methodology.

62
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

RESEARCH
METHODOLOGY

RESEARCH METHODOLOGY

A project is like a journey and it is always better to have at least the faintest of ideas
of the probable direction of our destination. Initially we have to decide upon the
general area of interest or the aspect of the subject to inquire into. This decision is
rather broad and not very precise. It is crude indication of the purpose of the study and
is of little help for further planning and organization of the study.

63
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

The research reveals that one of
the major problems is absenteeism in our industry. Absenteeism hinders planning,
production, efficiency and functioning of the organization. In fact high rates of
absenteeism affect an organization state of health and also supervisory and managerial
effectiveness.

Research Methodology is defined as a more systematic activity directed

towards discovery and the development of an organized body of knowledge. An
efficient research contributes to the evaluation of a proper decision, which ultimately
affects the path the organization will choose. The data collected is of paramount
importance and hence the research process has to be effective and an efficient one.

Research Methodology involves adopting various techniques which are best

suited for the research and study of the problem, for investigation and analysis of the
problem. It starts with data collection from various sources i.e., primary and
secondary sources, data analysis and interpretation and finally the findings or
conclusion from the analysis.

In this project, Primary data was collected by Questionnaire Survey. The

workmen selected for the interview purpose were from the hourly rated workmen
segment, which affect the production directly, in case they remain absent. A random
selection of samples from the workmen segment was done in the company. There are
289 hourly rated workmen, from which 25 groups of 11 members each were formed.
From these groups, one workman was selected randomly as sample to avoid any bias.

Thus, 50 workmen were selected for survey through the questionnaires

prepared. This helped to be fair to all by not keeping in view the past record of
absenteeism of individuals.

The secondary data was collected from:

 Monthly absenteeism data.
 Yearly absenteeism report.

64
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

 Leave records of employees.

After the collection of data, the response of the 50 individuals were arranged in a
chronological pattern and then evaluated. Many inferences could be drawn from both
the primary as well as secondary data available which are put forth in the analysis
section.

It is often beneficial to undertake an intensive study of a few well selected

instances of the phenomenon of interest. The method demands for great sensitivity
and receptivity on our part. As new information pours in, the study is reformulated
and redirected.

Hence, to be on the safer side, it would always be wise to work keeping a

particular method in mind.

1) OBJECTIVES OF RESEARCH

i. To identify the rate of absenteeism of “worker”.

ii. To identify the causes of absenteeism.
iii. To suggest any measures to reduce the rate of absenteeism

2) SAMPLE SELECTION AND SIZE

The population for the study comprised of absentees for current year, the total sample
50 workers.

3) DATE COLLECTION AND STATISTICAL TOOL

65
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

The sources of data for the purpose of
study were both primary and secondary. Primary data was collected through
questionnaire which was mainly close-ended questionnaire and discussion with
workers whereas secondary data was collected from records maintained by personal
department and time office. Percentage method is used for the analysis of data and bar
graphs are used to present that data

ASSUMPTIONS IN EVALUATION OF THE

ABSENTEEISM DATA
1. As per the objectives of the project, the analysis is to be done to find out the causes
of absenteeism and also to know the disciplinary action taken against them. The
following data was referred to draw the inferences:

 Monthly Absenteeism data.

 Yearly Absenteeism report.
 Leave record of the employees.

2. From the monthly and yearly data, the monthly trends of absenteeism can be
observed by division of leaves in the following 2 categories:

 Paid Leave: Privilege Leave (PL), Casual Leave (CL), Sick Leave (SL).
 Unpaid leave: Authorized Leave (AL), Certified Sickness Leave (CS), and
Unauthorized Absence (UA).

3. The leave record is maintained from the month of January to December.

The monthly salary is calculated from 20th of the starting month to the 21st of the next
month with reference to the leave record.

66
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

4. The settlement agreement mentions
the consumption of leave by an individual worker per annum as:
 Privilege Leave 20 p.a.
 Casual Leave 8 p.a.
 Sick Leave 10 p.a.

LIMITATION OF THE STUDY

There are some limitations for research which are as follows:-

a) As it was not possible to visit each department the true picture of working
condition could not be judged.

b) The workers were busy with their work therefore they could not give enough time
for the interview.

c) The personal biases of the respondents might have entered into their response.
d) Some of the respondents give no answer to the questions which may affect the
analysis.
e) Respondents were reluctant to disclose complete and correct information Because
of a small period of time only small sample had to be considered which doesn’t
actually reflect and accurate and intact picture

67
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

ANALYSIS &
INTERPRETATION

Q.1 For how many years you are working with Viraj Exports Pvt.
Ltd.?
a) 0 to 1 Year b) 1 to 2 Year

c) 2 to 4 Year d) >5 Year

68
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b
c d Total
Response 5 13 15 17 50

% 10 26 30 34 100

WORKER
35%
30%
25%
20% WORKER
15%
10%
5%
0%
0-1 1-2 2-4 >5
years years years years

INTERPRETATION – It can be seen that 34% of the workers at Viraj

Exports Pvt. Ltd. are working within more than 5 Years, 26% worker are working
within 1 to2 yrs, 30% worker are working within 2 to 4 yrs, whereas 10% are
working within 1 yrs.

Q.2 How often you remain absent in a month?

a) Nil b) Once

c) Twice d) >Twice

Option A b c d Total
Response 26 10 7 5 50

69
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

% 56 20
14 10 100

NO OF ABSENTS IN A MONTH
60

50

40

NO OF ABSENTS IN A
30 MONTH

20

10

0
NILL
ONCE
TWICE
>TWICE

INTERPRETATION - It can be seen that 56% of the workers do not remain

absent.

Q.3 According to you what are the main reasons for employees
absent?
a) Health Problem b) Stress

c) Work Dissatisfaction d) Working environment

70
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Op a b c d Tot
tio al
n
Re 25 11 5 9 50
spo
nse
% 50 22 10 18 100

Reason for being absent

50%
40%
30%
20%
10% Reason for being
0% absent
s t
em es it o
n en
o bl St
r
ic nm
f
Pr is iro
lth s at n v
ea is E
H D g
k n
or rki
W o
W

INTERPRETATION - According to 50% workers, Health problem is the

reason for being absent. 22% think that stress can also be the reason for absent being.

Q.4 Your views regarding present Absenteeism Policy of Viraj

Exports Pvt. Ltd.?
71
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

a) Excellent b)
Good
c) Fair d) Don’t Know

Option a b c d Total
Response 12 18 11 9 50
% 24 36 22 18 100

View regarding absenteeism policy

40%
35%
30%
25%
View regarding
20%
absenteeism
15% policy
10%
5%
0%
nt d ir w
elle oo F a no
G
E xc 'tK
o n
D

INTERPRETATION - It can be seen that 36% workers rate the present

absenteeism policy as good whereas 24% rate it as excellent.

Q.5 Are you clear about your work / job responsibilities?

a) Well Clear b) Good

c) Fairly Clear d) Don’t Know

72
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Response 21 16 8 5 50
% 42 32 16 10 100

Clearty regarding work

45%
40%
35%
30%
25% Clearty
regarding work
20%
15%
10%
5%
0%
Well Good Fairly Don't
Clear know

INTERPRETATION - It can be seen that 42% of the workers at Viraj

Exports Pvt. Ltd. are clear regarding their work responsibilities.

Q.6 Are you satisfied with your work?

a) Well satisfied b) Good

c) Fair d) Not Satisfied

Option a b c d Total
73
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Response 19 15
11 5 50
% 38 30 22 10 100

satisfaction regarding work

40%
35%
30%
25%
20% satisfaction
15% regarding work
10%
5%
0%
ied
d ir ied
isf oo F a
isf
at G at
S S
ell N
ot
W

INTERPRETATION - 38% of the workers are fully satisfied with their

work whereas 30% workers think their work as good.

Q.7 Your Views regarding working environment of Viraj Exports

Pvt. Ltd.?
a) Excellent b) Good

c) Fair d) Poor

74
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Response 14 18 12 6 50
% 28 36 24 12 100

views regarding working environment

40%
35%
30%
25% views regarding
20% working
15% environment
10%
5%
0%
nt d ir o r
elle oo F a
Po
G
E xc

INTERPRETATION - 36% workers feel that the working environment at

Viraj Exports Pvt. Ltd. is good & 28% feel it as excellent.

Q.8 How are your relations with your superiors/Co-worker?

a) Excellent b) Good

c) Fair d) Poor

Option a b c d Total
Response 10 25 9 6 50

75
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

% 20 50
18 12 100

relations with superiors

50%
45%
40%
35%
30% relations with
superiors
25%
20%
15%
10%
5%
0%
Excellent Good Fair Poor

INTERPRETATION - 50% workers have good relations with the superiors

whereas 20% have excellent relations with the superiors.

Q.9 Yours superiors behavior towards your problem?

a) Excellent b) Good

c) Fair d) Poor

Option a b c d Total

76
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Re 20 13 11 6 50
spo
nse
% 40 26 22 12 100

superiors behaviour towards your problems

40%
35%
30% superiors
25% behaviour
towards your
20%
problems
15%
10%
5%
0%
Excellent Good Fair Poor

INTERPRETATION - 40% workers think that their superior’s behavior

toward their problems is excellent & 26% workers consider it as good.

Q. 10 Yours views regarding facilities provided Viraj Exports Pvt.

Ltd.?
a) Excellent b) Good

c) Fair d) Poor
77
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Response 5 25 15 5 50
% 10 50 30 10 100

facilities provided at Company

50%
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
Excellent Good Fair Poor

INTERPRETATION – 50% workers consider that facilities provided to them

are good whereas 10% consider them as excellent.

Q.11 Is your salary structure adequate?

a) Yes b) No

Option a b Total
Response 26 24 50

78
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

% 52
48 100

Salary Structure

a
b
48%
52%

INTERPRETATION – 52% of the workmen are satisfied with their salary

structure while 48% of them are not happy about the present salary structure as it is
not adequate for them.

Q.12 How is your family condition and family atmosphere?

a) Satisfactory b) Average

c) Unsatisfactory

Option a b c Total

79
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Response 20
12 18 50
% 40 24 36 100

family condition and family atmosphere

36%
40% a
b
c

24%

INTERPRETATION – It can be observed that 40% of the workmen s family

condition is satisfactory while 24% of them are unsatisfied.

Q.13 Disciplinary actions taken by management on absenteeism have

reduced absenteeism in our company.

a) Not at all b) To some Extent

c) To great highly d) Extent True

80
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Respons 0 8 24 18 50
e
% 0 16 48 36 100

Disciplinary actions

16%

a
36%
b
c
d

48%

INTERPRETATION –It can be observed from the above chart that 48% of
workmen accept that disciplinary actions taken by management have reduced
absenteeism to a very great extent. The company has very strict rules policy. However
those who have breached the rules are given warnings, show cause notices or
suspension.

Q 14. How many paid leaves are availed by you per annum?

a) 1 to 2 days b) 3 to 5 days

c) 6 to 10 days d) More than 10 days

81
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Response 2 4 26 18 50

% 4 16 52 36 100

Paid Leaves

4%
8%
a
36% b
c
d

52%

INTERPRETATION – It can be seen that 52% of workmen take around 6 -10

days of paid leaveswhile 36% of the workmen avail more than 10 days paid leave per
annum

Q.15 How many unpaid leaves are availed by you per annum?

a) 1 to 2 days b) 3-5 days

c) 6 to10 days d) More than 10 days

82
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b
c d Total
Response 8 12 26 4 50

% 16 24 52 8 100

Unpaid Leaves
8%
16%

a
b
c
d
24%

52%

INTERPRETATION –It can be observed that 52% of the workmen take 6-10
days of unpaid leave while 24% of workmen avail 3-5 days leave per annum.

Q.16 Are you aware of the leave rules of the company?

a) Not at all c) To some Extent

b) To great strongly d) Extent Aware

83
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b
c d Total
Response 4 10 14 22 50

% 8 20 28 44 100

Aware of the leave rules

8%

a
20% b
44% c
d

28%

INTERPRETATION –From the above chart, it is observed that 44% of the

workmen are strongly aware of the leave rules while 8% of the workmen are not at all
aware of the leave rules.

Q. 17 Reason for taking employment:

a) To spend time. b) Forced by family Members.

c) To take care of my family.

d) Liking of the work.

84
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b c d Total
Response 0 8 22 20 50
% 0 16 44 40 100

Reason for taking employment

16%

a
40% b
c
d

44%

INTERPRETATION – From the above chart, it is clear that 44% of the

workmen come to the company to support their family while 40% of workmen have a
liking towards their work.

Q.18 The cause of my absenteeism is taking smoking.

a) Not True b) Partially True

c) Almost True d) Highly True

85
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b
c d Total
Response 26 24 0 0 50

% 52 48 0 0 100

Taking smoking

a
b
c
48% d
52%

INTERPRETATION – It is observed that 48% of workmen are addicted to

smoking but it has no relevance to their remaining absent at the company.

Q.19 The cause of my absenteeism is taking alcohol.

a) Not True b) Partially True

c) Almost True d) Highly True

86
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Option a b
c d Total
Response 22 16 10 2 50

% 44 32 20 4 100

Taking alcohol.

4%
a
20% b
c
44% d

32%

INTERPRETATION – From the above chart, it can be seen that 32% of the
workmen are addicted to alcohol.

Q.20 Is this involvement in business a cause of your absenteeism?

a) Sometimes b) Mostly

c) Not at all

Option a b c Total

87
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Response 20 12
18 50
% 40 24 36 100

involvement in business a cause of

absenteeism

a
b
36% c
40%

24%

INTERPRETATION – From the above chart, it is clear that involvement in

some business is not related to the absenteeism in the company. 40% of the workmen
feel that sometimes this involvement affects.

88
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Conclusion &
Suggestion

CONCLUSION

Finding and analysis reveals the following conclusion

1) Almost 30 % of the workers at viraj exports Pvt. Ltd. are working for 4 to 5 years
whereas 34% are working for more than 5 yrs.

89
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

2) Almost 56% of the workers do not remain absent.

3) According to 50% workers, health problem is the reason for being absent. 22%
think that stress can also be the reason.

4) Almost 36% workers rate the present absenteeism policy as good whereas 24% rate
it as excellent.

5) Almost 42% of the workers at Viraj Exports Pvt. Ltd. are clear regarding their
work responsibilities.

6) 38% of the workers are fully satisfied with their work whereas 30% workers think
their work as good.

7) 36 % of the workers have good view regarding working environment with Viraj
Exports Pvt. Ltd whereas 30% workers have excellent view regarding working
environment.

8) 50 % workers have good relations with the superiors whereas 20% have excellent
relations with the superiors.

9) 40% workers think that their superior’s behavior towards their problems is
excellent & 26% workers consider it as good.

10) 50% worker thinks that good facilities provided by Viraj Exports Pvt. Ltd.
Whereas 30% consider it’s as fair

11) 52% of the workmen are satisfied with their salary structure while 48% of them
are not happy about the present salary structure as it is not adequate for them.

90
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

12) It can be observed that 40% of the workmen s family condition is satisfactory
while 24% of them are unsatisfied.

13) It can be observed from the above chart that 48% of workmen accept that
disciplinary actions taken by management have reduced absenteeism to a very great
extent. The company has very strict rules policy. However those who have breached
the rules are given warnings, show cause notices or suspension.

14) It can be seen that 52% of workmen take around 6 -10 days of paid leaves while
36% of the workmen avail more than 10 days paid leave per annum

15) It can be observed that 52% of the workmen take 6-10 days of unpaid leave while
24% of workmen avail 3-5 days leave per annum.

16) From the above chart, it is observed that 44% of the workmen are strongly aware
of the leave rules while 8% of the workmen are not at all aware of the leave rules.

17) It is clear that 44% of the workmen come to the company to support their family
while 40% of workmen have a liking towards their work.

18) It is observed that 48% of workmen are addicted to smoking but it has no
relevance to their remaining absent at the company.

19) It can be seen that 32% of the workmen are addicted to alcohol.

20) It is clear that involvement in some business is not related to the absenteeism in
the company. 40% of the workmen feel that sometimes this involvement affects.

91
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

Thus, it can be observed that
absenteeism can be controlled and reduced to a great extent if the workers are
committed and are supported by all levels of management. An effective attendance
record-keeping system, consultation and open communication by the management can
create a healthy productive work environment in the company. This would reduce
grievances and give greater employee satisfaction.

Only when the positive approach is unsuccessful does the company need to
use the remedial approach to deal with habitual abusers or with excessive absentee
cases. In all cases the company's actions must be fair and reasonable and consistently
applied.

While tackling workplace absenteeism by direct action may alleviate the

problem in the short- term, addressing the cause of the problem will provide long term
benefits.

Based on the findings reflecting the workers' views, reasons

for absenteeism and turnover fall into two broad categories:

1. Controllable
— Relationship with the boss
— Unsafe working conditions
— Excessive rework
— Poor craft supervision
— Poor overall management
— Poor planning

— Excessive surveillance by owner

— Inadequate tools and equipment

92
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

2. Uncontrollable
— Travel distance from the residence to the job
— Overtime availability on another job
— Personal and family illness

 The controllable reasons for absenteeism and turnover involve the ingredients
of the environment of a construction site. In addition, each ingredient is
important in its own right, quite apart from its effect on absenteeism and
turnover. Careful attention to planning, safety, interpersonal relationships, and
other management fundamentals will not only reduce absenteeism and
turnover, but will have other positive effects on job costs and schedules.

 A relatively small portion of the work force is causing most of the absenteeism
and turnover. Eighty-six percent of the workers surveyed reported quitting
fewer than three jobs in the last two years. Similarly, 67% of the work force
reported missing work fewer than five days per year3. This reinforces a
conclusion that prompt management action with respect to chronic offenders
can be very effective.

 The size of the work force does not appear to be a significant factor since
about half of the workers stated preferences for jobs with less than 500
workers while the other half preferred jobs with a work force of 500 - 1000.
(The survey was conducted at worksites ranging from 125 to 3,000 workers.)
Some independent observations indicate that work forces smaller than 100
tend to be more stable.

 Distance from a worker's home to the jobsite seemed to have an effect on

turnover at arrange of 50 to 100 miles.

 Excessive absenteeism is an indicator of future turnover problems.

93
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

 Older and more experienced
workers exhibited lower turnover, but higher absenteeism. This leads to
interesting deductions— that jobs that do not challenge or provide satisfaction
for a highly skilled, experienced craftsman will produce absenteeism, and that
younger, less experienced workers seem to change jobs rather than cope with
unpleasant situations.

 No significant differences in reasons for absenteeism and turnover were cited

by union and open-shop workers. Union workers reported lower turnover and
higher absenteeism rates, but the differences were too small to justify any
conclusions.

94
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

SUGGESTIONS AND
RECOMMENDATIONS

Absenteeism is a serious problem for management because it involves heavy

additional expenses. The management should take the following measures to reduce
the rate of absenteeism:-

1) Provide Incentives- An incentive provides an employee with a boost to

their motivation and avoid unnecessary absenteeism. Incentives like two hours of
bonus pay for every month of perfect attendance can improve a lot.

2) Employee Assistance Program- If you confront an employee about

his or her frequent absenteeism and you find out that it is due to personal problems
refer them to EAP.

3) Sickness Reporting – Tell employees that they must phone in as early as

possible to advise why they are unable to make it to work and when they expect to
return.

4) Return to Work Interview- When an employee returns to work then

ensure that they have a ‘return to work interview’.

5) Bradford factor can also be used to identify and cure excessive

absenteeism. In the end to conclude this report I would like to specify that the project
allotted to me on ABSENTEEISM was of immense help to me in understanding the
working environment of an organization, thereby providing a firsthand practical
experience.

95
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

A variety of steps have been found to be effective in decreasing absenteeism and

turnover on construction jobs. Those which are most appropriate will vary with the
circumstances of each job— its size, duration, remoteness, type of work, labor
demand in the locale, labor practices in the area, etc. Serious consideration of the
following actions is recommended with recognition that some may already be in
effect and others may not fit a given job situation:

6) Non Monetary Awards: A notice board could be put up at the shop

floor displaying the name of the workmen and his department who is being conferred
this award. This award could be like: Worker of the month award based on Efficiency.
A quarterly attendance award. Disciplinary awards can be given to workers against
whom there are no reports of misconduct.

7) Conduct Workshops: Identify the chronic absentees and conduct a

workshop focusing on their areas of interest in work and their job satisfaction
definitions. This response can be discussed with the subordinates openly and they can
be placed in their respective departments of work so that their talents and capabilities
can be utilized efficiently.

8) Training to Supervisors: They must be given training on their

behavioral aspects with the workers and they must be given a human oriented
approach so that they prove to be good friends of the workers and the working
environment becomes pleasant.

9) Job Rotation: Workers must be given different jobs at different shifts so

that his job does not become monotonous, repetitive and boring.
Flexi-time can also be allowed within certain limitations.

10) Verification of Medical certificate: It is generally observed that

workers take unauthorized leave and then provide a medical certificate. The leave

96
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

then becomes authorized. Thus, the medical certificates must be verified by the
management for their authenticity.

11) Counseling: The Union representatives could visit the houses of the
absentee worker and counsel them about the ill effects of their being absent. E.g. their
financial losses, their importance in the production of the company, their family
conditions, etc.

12) Company as a second home: The management could display the

worker s names on the notice boards at the shop floor, wishing them on their birthdays
or encouraging them in company s activities like sports, etc. this creates a sense of
belonging among the workers towards the company.

13) Wage Link: Wages could be directly linked to attendance and their
performance at work.

14) Disciplinary Action: If all the above measures fail to improve

attendance of a worker then strict disciplinary action is the only option against him.

15) Attendance Management Programme: The purpose of this

programme is to develop willingness on the part of all the workers to attend work
regularly and to assist them in motivating their co-workers to attend work regularly.
This can be done through: Addressing the physical and emotional needs of the
workers. Communicating the attendance goals of the organization so employees can
understand and identify with them. Dealing with cases of excessive absenteeism
effectively and fairly so deterrence can occur.

97
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

For Action by Contractors

 Screen applicants. Examine work histories. Reject those who are poorly
qualified or who have a history of job hopping.
 Keep attendance records for all employees. Monitor to identify trouble spots.
Establish a clear policy of firing chronic absentees, and communicate this to
all employees when they are hired.

 Maintain good communications with workers. Sense worker moods,

understand their concerns, provide feedback from management, and prompt
action where appropriate; to show that worker concerns are heard. Bulletin
boards, newsletters, tool-box meetings, and suggestion boxes are all helpful,
but face-to-face communication on the job by top contractor supervision is
indispensable.
 Use the latest behavioral-science techniques for organizational effectiveness,
including:
— Train supervisors in motivation and interpersonal skills.
— Create small work groups with as much autonomy as possible.
— Communicate goals for the organization and for each work unit (including
attendance goals).
 Keep craftsmen informed of how their accomplishments compare with the
job's goals:
 Be creative in developing incentives for employees to stay with the job and
have good attendance. Emphasize attendance rather than absenteeism.

Bumper stickers, job posters, and helmet decals can be used to stimulate interest.
Awards to each individual after periods of perfect attendance by an entire crew
can develop peer pressure to improve attendance. Bonuses to workers who remain
until job completion may be helpful in reducing turnover during the critical final
stages.

98
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

For Action by Owners:

 Require contractors to make periodic reports on absenteeism and turnover.

Mutually develop goals for improvement and actions to achieve them.
 Encourage and support innovative efforts by contractors in communicating
with and motivating the workforce.
 Assure that contractors have well-planned and well-executed safety programs.
 Mutually with contractors, identify and alleviate irritants ("dissatisfies")
within the control of owners that may contribute to absenteeism and turnover
among contractor employees. Examples: parking lots in disrepair or
unreasonably located, undue limitations on smoking, unnecessary limitations
on contractor's starting and quitting times, inadequate areas for eating lunch,
and insufficient facilities for checking in and out.

For Action by Unions:

 Recognize that active involvement in discouraging absenteeism and turnover

is in their self-interest.
 Modify referral procedures to discourage absenteeism and turnover.
Example: For a pre-determined period (say, 30 days) prohibits referral to
another job of any worker who has quit a job without good cause or who was
fired for excessive absenteeism. The survey suggests that most workers would
support such action so long as it is administered fairly and equitably.

In this project while identifying the reasons of absenteeism of the workers of

Viraj Exports Pvt’ Ltd. Noida got an opportunity to interact with workers to observe
their behavior and attitude.

99
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

In the end I would once again like to thank the people of Viraj Exports Pvt. Ltd.
Noida who helped me in accomplishing this project and boosting my morale by
appreciating and recognizing my efforts. At last I would like to say the whole
experience was very good and I would like to work with this organization again.

100
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

QUESTIONNAIRE

101
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

QUESTIONNAIRE

PERSONAL INFORMATION

NAME…………………………………………………………………………..

AGE……………………………….. SEX……………………………….

JOB STATUS…………………………………………………….......................

(Please tick any one option with honestly)

1. For how many years you are working with viraj exports Pvt. Ltd.?

1. 0 to 1 Year 2. 1 to 2 Year
2. 2 to 4 Year 4. >5 Year

2. How often you remain absent in a month?

1. Nil 2. Once

3. Twice 4. >Twice

3. According to you what is the main reason for employees absent?

1. Health Problem 2. Stress

3. Work Dissatisfaction 4. Working environment

102
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

4. Your view regarding the absentees of viraj exports Pvt. Ltd.?

1. Excellent 2. Good

3. Fair 4. Don’t Know

5. Are you clear about your work / job responsibilities?

1. Well Clear 2. Good

3. Fairly Clear 4. Don’t Know

6. Are you satisfied with your work?

1. Well satisfied 2. Good

3. Fair 4. Not Satisfied
7. Your views regarding the working environment of viraj exports Pvt. Ltd.?

1. Excellent 2. Good
3. Fair 4. Poor

8. How are your relations with your superiors / co-workers?

1. Excellent 2. Good

3. Fair 4. Poor

9. Your superior’s behavior towards your problems?

1. Excellent 2. Good

3. Fair 4. Poor

10. Your view regarding the facilities provided to you by viraj exports Pvt. Ltd

1. Excellent 2. Good
3. Fair 4. Poor

11. Is your salary structure adequate?

1-Yes 2- No

103
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

12. How is your family condition and family atmosphere?

1. Satisfactory Average 2. Average

3. Unsatisfactory

13. Disciplinary actions taken by management on absenteeism have reduced

absenteeism in our company.

1. Not at all 2.To some Extent

3. To great highly 4. Extent True

14. How many paid leaves are availed by you per annum?

1. 1 to 2 days 2. 3 to 5 days

3. 6 to 10 days 4. More than 10 days

15. How many unpaid leaves are availed by you per annum?

1. 1 to 2 days 2. 3-5 days

3. 6 to10 days 4. More than 10 days

16. Are you aware of the leave rules of the company?

1. Not at all 2.To some Extent

3. To great strongly 4.Extent Aware

17. Reason for taking employment:

1. To spend time. 2. Forced by family Members.

3. To take care of my family.

4. Liking of the work.

18. The cause of my absenteeism is taking smoking.

a) Not True b) Partially True

c) Almost True d) Highly True

104
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

19. The cause of my absenteeism is taking alcohol.

a) Not True b) Partially True

c) Almost True d) Highly True

20. Is this involvement in business a cause of your absenteeism?

a) Sometimes b) Mostly

c) Not at all

Any Suggestion & Comments

_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________
_____________________________________________________________________

105
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

BIBLOGRAPHY

106
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

BOOKS PREFERED

Book’s Name : Author’s Name

 Industrial Relation : T.N. Chhabra, R.K. Suri

 Practice of Principal and : L.M. Prasad

Management

 Research Methodology : C.R. Kothari

 Industrial Relations and : Prof. Dr. M.V. Pylee and

Personnel Management A. Simon George

 Human Capital : Magazine March 2005

Issue

107
 Viraj Exports Pvt. Ltd.

Garment Manufacturer - India

INTERNET SURFING

 www.google.com

 www.virajexports.com

 www.scribed.com

 www.wikkipidia.com

 www.egnou.com

 www.nhindia.com

 www.employer-employer.com

108