project on labour welfare on verka milk plant Mohali
the project is about my summer trainging at verka milk plant Mohali...
Executive summary I did my summer training in Verka Milk Plant, Mohali. Initially in the report the information about the PLant is given. Here we come to know that The Ropar District Cooperation Milk Producers’ Union Limited Milk Plant S.A.S. Nagar (Mohali)MILKFED was established in 1980 by Punjab Diary Development cooperation under the Punjab Sate Co-operative Act,1967 to safeguard commercial interest of milk producers farmers to save them from exploitation of middleman, with their participation in its management and to provide quality milk and milk products to consumers at competitive rates. Various work fields are describes in the report .. Information about various related facts are also given. Merger of varios agencies which put impact on verka is also describe.
Objectives, mission and vision of the verka plant are also given from where we can get to know that verka is a responsible plant.. It is responsible towards its consumers, society, employees, environment and shareholders. Various schemes are also given which shows what exactly it is doing for the environment and for the welfare of its employees.
The whole information about the range of the products it provides to its consumers is given and the historical aspects of the verka is also given.
Thereafter starts the main topic of the study. Labour Welfare is the topic.It provides information about the concept of labour welfare.After the conceptual study of the topic all the study is apply to Verka milk Plant and trying to find real application of aspect to the plant. The concept of Labour welfare is vary wide. It describe that what is the actually welfare of labour.It covers that what is labour welfare ? What are main constituents of labour welfare in the verka ?Which are main major agencies of labour welfare in the plant ? What are main principles of labour welfare? 1
In the research methodology along with the sources of data collection, the limitations and the constraints which I had to face during my training are also given. At the end analysis is done of the whole project. Which highlights that what are the actual application various aspects of labour welfare in the plant.In the end conclusion is done in which application of labour welfare is judged after taking various factor in consideration.Some observations and suggestions are also describe.
Chapter 1 1.1 Introduction of Verka THE PUNJAB STATE COOPERATIVE MILK PRODUCERS FEDRATION LIMITED; The Punjab State Co-operative Milk Producers’ Federation Limited(MILKFED) was established the in 1973 by Punjab Diary Development cooperation under the Punjab Sate Co-operative Act,1967 to safeguard commercial interest of milk producers farmers to save them from exploitation of middleman, with their participation in its management and to provide quality milk and milk products to consumers at competitive rates. It came into existence with a twin objective ; First to carry activities for promoting production, procurement and processing of milk for the economic development of milk producers by providing remunerative milk market to them at their door step. Second, provide quality milk and milk products to consumers at reasonable rates. Although the federation was registered much earlier, but it came to real self in the year 1983 when all the milk plants Punjab Dairy Development corporation Limited were handed over to cooperative sector and the entire State was covered under operation Food programme to give farmers to a better deal and our valued customers better products. Today, when we look back, Verka has fulfilled the promise to great extent. The setup of the organization is a three tier system, Milk Producers Cooperative Societies at the village level, Milk Union at District level and Milk Fedration as an apex body at a State level. Milk production is a very important part of agricultural economy in the State of Punjab. Punjab is one of smallest state in Indian Union with a total area of 50,362 Sq. km. Dairy Farming is an old subsidiary profession in the rural area of Punjab. Punjab is the second largest milk producing state in India, producing 10 % of country’ s milk. Some fact about verka 1 First Milk Plant of the State was setup at verka near the Amritsar. 2.The brand name of Milk and Milk Products was adopted as verka. 3. The Foundation stone of Milk Plant Ludhiana was laid by Hon. S . Parkash Singh Badal the CM of Punjab in 1970. 4. Commissioning of the Plant was done by Dairy Development Corporation in 1974. 3
5 Inauguration was done by Late Smt. Indra Gandhi the PM of India. 6 The capacity of plant was 1.00 lac. Liter per day, including power plant of 7MT and now the milk plant of 4.00 lac Liter per day. 7. Village level cooperative societies were also formed on “Anand Pattern”. The system was run by the farmers, of the farmers for the farmers.
1.2 HISTORY OF PLANT This plant has been established in 1980 by Punjab Dairy Development Corporation. The Punjab Dairy Development Corporation and Milkfed are the two Government Dairy Organizations which are running parallel to each other at this time. In 1982 these both organizations submerge into one organization which is named as Milkfed. Milkfed came into existence with twin objective of providing remunerative milk market to the milk producers in the state by value addition and marketing of produce one hand and to provide technical input to the milk producers for the enhancement of milk production on other hand. Set up of the organization is the three tier system, Milk Produce’s, Cooperative Societies at the village level, 11 Milk Union at District Level, and Federation as an Apex Body at State Level, Ropar Milk Union, Mohali includes about 860 milk producers* cooperative societies at the village level which are distributed under 12 zones. Milk Plant has installed capacity to process 2,00,000 ltrs of milk per day. Milk procurement is increasing gradually @ 5% per annum.
1.3 OBJECTIVES The specific objectives of the Federation are as under: a) To carry out activities for promoting production, procurement processing and marketing of milk and milk products for economic development of the farming community. b) To develop and expand such other allied activities as may be conducive for the promotion of the dairy industry, improvement and protection of milk animals and economic betterment of those engaged in milk production. c) To purchase and erect buildings, plants, machinery and other ancillary equipment to carry out business. d)To study problems of mutual interest related to production, procurement and marketing of dairy and allied products. 4
e) To purchase commodities from the member and deal with non-members for marketing, dairy and allied products subject to such conditions as may be decided by the Board from time to time. f) To establish research and quality control laboratories. g) To make necessary arrangements for transfer of milk, allied milk products and commodities. h) To market its products under its own trade name/brand name with its Member Union's trade mark/brand. i) To promote the organization of primary societies and assist members in organization of the Primary Societies. j) To plan development strategies and programme to increase the volume of procurement and production of the Federation and its members Unions and for its affective marketing. k) To give remunerative prices to farmers and to ensure permanent market for the whole year. i) To provide technical inputs like artificial insemination, to improve the breed of animals, animals health services, preventive disease treatment and awareness regarding farm management etc. m) To provide ISI marks good quality balanced Cattle feed and fodder seeds to the farmers.JOB
JOB FIELDS IN VERKA General Manager
Manager (D and HRD)
Deputy manager proc.
Labour wefare officer
Milk Procurement supeviser Milk procurement assitant Helper Peon
Manager quntity control
D. manager purchchse
Dy manager material
Jr mechanic Oilman ,carpainter drivers,helper
Dy manager MIS
1.5 Products and packaging
GHEE POLY PACK/MONO CARTON 500 gms. & 1 Kg. GHEE TIN PACK 500 gms., 1 Kg., 2 Kg., 5 Kg &15 Kg. TABLE BUTTER 10 gms., 100 gms. & 500 gms. 200/400 gms. Cekatainer, 200 gms. Singles, 400 gms Tin CHEESE & 1 Kg. Brick PIZZA CHEESE 200 gms. & 1 Kg. Pack VERKA VIGOUR 500 gms. Jar, 500 gms. Refill & 1 Kg. Jar DAIRY WHITENER 500 gms. Pkt. & 10 Kg. Tin 200 gms. & 500 gms. Bottle, 500 gms. Cekatainer SKIMMED MILK POWDER 1 Kg. Pkt. & 25 Kg. Bag WHOLE MILK POWDER 500 gms.Tin, 1 Kg. Tin, 10 Kg. Tin SWEETENED FLAVOURED MILK 200 ml. Bottle, 200 ml. Tetrapak SWEET LASSI 200 ml. Tetrapak MANGO RASEEELA 200 ml. Tetrapak PINE APPLE RASEEELA 200 ml. Tetrapak MILK CAKE /PEDA 200 gms Pkt. KAJU PINNI 50 gms. Pkt. MILK POUCHES Full Cream, Standardised, Toned, Double Toned & Skimmed. U.H.T. MILK 1 Lt. Tetrapak Standardised & Toned
Chapter 2 Objectives of the study:Some of the main objectives of the study are as follows: 1.To gain the knowledge about the concept of “LABOUR WELFARE”. 2. To know how this concept is related with HR. 3.To know the constituents of labour welfare. 4.To know the rules ,laws and policy of labour welfare
Chapter 3 3.1 LABOUR WELFARE “ Labour welfare activities benefit not only the workers but also the management in term of greater industrial efficiency”
3.2Introduction Labour play a very important role in the industrial production of the country. The human resource managers are really concerned with the management of people at work. It is necessary to secure the cooperation of labour in order to increase the production and earn higher profits. The of labour force is possible only when the are fully satisfied with their employer and the working condition on the job. In the course of time with the introduction of the concept of Human Resource Management ,psychological researches convinced them that the workers required some thing more important. In addition to providing monetory benefits, human treatment given to employee play a very important role in seeking their cooperation.
3.3 Labour welfare a review There are various aspects of labour welfare in India but social security is consider one main of them in other words we can say social security is one of the pillars on which the structure of a welfare state rests, and it constitutes the hard core of social policy in most countries. It is through social security measures that the state attempts to maintain every citizen at a certain prescribed level below which no one is allowed to fall. It is the security that society furnishes through appropriate organization, against certain risks to which its members are exposed (ILO, 1942). Social security system comprises health and unemployment insurance, family allowances, provident funds, pensions and gratuity schemes, and widows’ and survivors’ allowances. The essential characteristics of social insurance schemes include their compulsory and contributory nature; the members must first subscribe to a fund from which benefits could be drawn later. On the other hand, social assistance is a method according to which benefits are given to the needy persons, fulfilling the prescribed conditions, by the government out of its own resources. The present section reviews labour welfare activities in India with particular emphasis on the 9
unorganized sector. Although provisions for workmen’s compensation in case of industrial accidents and maternity benefits for women workforce had existed for long, a major breakthrough in the field of social security came only after independence. The Constitution of India (Article 41) laid down that the State shall make effective provision for securing the right to public assistance in case of unemployment, old age, sickness and disablement and in other cases of underserved want. The Government took several steps in compliance of the constitutional requirements. The Workmen’s Compensation Act (1926) was suitably revised and social insurance programmes were developed for industrial workers. Provident funds and gratuity schemes were introduced in most industries, and maternity legislation was overhauled. Subsequently, State governments instituted their own social assistance programmes. The provisions for old age comprise pension, provident fund, and gratuity schemes. All the three provisions are different forms of retirement benefits. (Gratuity is a lump sum payment made to a worker or to his/her heirs by the company on termination of his/her service due to retirement, invalidity, retrenchment or death ).
3.4 Concept of labour welfare The concept of labour welfare is flexible and elastic and differs widely with time, region, industry, social values and customs, degree of industrialization, the general socio-economic development of the people and the political ideologies prevailing at a particular time . It is also molded according to the age-groups, socio-cultural background, marital and economic status and educational level of the workers in various industries In its broad connotation, the term welfare refers to a state of living of an individual or group in a desirable relationship with total environment – ecological, economic, and social. Conceptually as well as operationally, labour welfare is a part of social welfare which, in turn, is closely linked to the concept and the role of the State which is applicable in verka plant. The concept of social welfare, in its narrow contours, has been equated with economic welfare. As these goals are not always be realized by individuals through their efforts alone, the government came into the picture and gradually began to take over the responsibility for the free and full development of human personality of its population. Labour welfare is an extension of the term Welfare and its application to labour. During the industrialisation process, the stress on labour productivity increased; and brought about changes in the thinking on labour welfare. In its broad connotation, the term welfare refers to a state of living of an individual or group in a desirable relationship with total environment – ecological, economic, and social. Conceptually as well as operationally, labour welfare is a part of social welfare which, in turn, is closely linked to the concept and the role of the State. The concept of social welfare, in its narrow contours, has been equated with economic welfare. Pigou defined it as “that part of general welfare which can be broughtdirectly or indirectly into relations with the measuring rod of 10
money” (Pigou, 1962). According to Willensky and Labeaux, social welfare alludes to “those formally organised and socially sponsored institutions, agencies and programmes which function to maintain or improve the economic conditions, health or interpersonal competence of some parts or all of a population” (Willensky and Labeaux, 1918). As these goals may not always be realised by individuals through their efforts alone, the government came into the picture and gradually began to take over the responsibility for the free and full development of human personality of its population. Labour welfare is an extension of the term Welfare and its application to labour. During the industrialisation process, the stress on labour productivity increased; and brought about changes in the thinking on labour welfare. An early study under the UN observed as follows “in our opinion most underdeveloped countries are in the situation that investment in people is likely to prove as productive, in the purely material sense, as any investment in material resources and in many cases, investment in people would lead to a greater increase of the flow of goods and services than would follow upon any comparable investment in material capital”. The theory that welfare expenditure, especially expenditure on health and education, is productive investment has led to the view that workers could work more productively if they were given a fair deal both at the work place and in the community. The concept of labour welfare has received inspiration from the concepts of democracy and welfare state. Democracy does not simply denote a form of government; it is rather a way of life based on certain values such as equal rights and privileges for all. The operation of welfare services, in actual practice, brings to bear on it different reflections representing the broad cultural and social conditions. In short, labour welfare is the voluntary efforts of the employers to establish, within the existing industrial system, working and sometimes living and cultural conditions of the employees beyond what is required by law, the custom of the industry and the conditions of the market The constituents of labour welfare included working hours, working conditions, safety, industrial health insurance, workmen’s compensation, provident funds, gratuity, pensions, protection against indebtedness, industrial housing, restrooms, canteens, crèches, wash places, toilet facilities, lunches, cinemas, theatres, music, reading rooms, holiday rooms, workers’ education, co-operative stores, excursions, playgrounds, and scholarships and other help for education of employees’ children.
3.5 Definitions:(accepted by verka plant) Labour welfare has been defined in various ways, though unfortunately no single definition has found universal acceptance. The Oxford Dictionary defines labour welfare as “efforts to make life worth living for worker” Chamber’s Dictionary defines welfare as “a state of faring or doing well; freedom from calamity, enjoyment of health, prosperity.” The ILO report refers to labour welfare as “such services, facilities, and amenities, which may be established in, or in the vicinity of undertakings to enable persons employed therein to perform their work in healthy and congenial surroundings and provided with amenities conducive to good health and high morale”. 11
Features: On the basis of the various definitions, the basic characteristics of labour welfare work may be noted thus: 1. It is the work which is usually undertaken within the premises or in the vicinity of the undertakings for the benefit of the benefit of the employees and the members of their families. 2. The work generally includes those items of welfare which are over and above what the employees expect as a result of the contract of service from the employers. 3.The purpose of providing welfare amenities is to bring about development of the whole personality of the worker -his social, psychological, economic, moral,cultural and intellectual development to make him a good worker, a good citizen and a good member of the family. 4. These facilities may be provided voluntarily by progressive and enlightened entrepreneurs at their own accord out of their realization of social responsibility towards labour, or statutory provisions may compel them to make these facilities available; or these may be undertaken by the government or trade unions, if they have the necessary funds for the purpose. 5. Labour welfare is a very broad term, covering social security and such other activities as medical aid, crèches, canteens, recreation, housing, adult education, arrangements for the transport of labour to and from the work place. 6. It may be noted that not only intra-mural but also extra-mural, statutory as well as non-statutory activities, undertaken by any of the three agencies- the employers, trade unions or the government- for the physical and mental development of the worker, both as a compensation for wear and tear that he undergoes as a part of the production process and also to enable him to sustain and improve upon the basic capacity of contribution to the processes of production, “which are all the species of the longer family encompassed by the term ‘labour welfare’.
3.6Objectives 1. Enabling workers to live richer and more satisfactory lives; 2. Contributing to the productivity of labour and efficiency of the enterprise; 3. Enhancing the standard of living of workers by indirectly reducing the burden on their purse;
4. Enabling workers to live in tune and harmony with services for workers obtaining in the neighbourhood community where similar enterprises are situated; 5. Based on an intelligent prediction of the future needs of the industrial workers, designing policies to cushion off and 12
absorb the shocks of industrialisation and urbanisation to workers; 6. Fostering administratively viable and essentially developmental outlook among the workforce; and 7. Discharging social responsibilities.
3.7 Principles of labour welfare Certain fundamental considerations are involved in the concept of labour welfare. The following are the more important among them.
1.Social responsibility of industry This principle is based on the social conception of industry and its role in the society that is, the understanding that social responsibility of the state is manifested through industry. It is assumed that labour welfare is an expression of industry’s duty towards its employees. Social responsibility means that the obligation of the industry to pursue those policies, to take such decisions, and to follow those lines of action which are
desirable in terms of the objectives and values currently obtaining in the society. The values of the Indian community are enshrined in the constitution of the country. Labour welfare is not embroidery on capitalism nor the external dressing of an exploitative management; rather, it is an expression of the assumption by industry of its responsibility for its employees (Maurioce Bruce, 1961). Industry is expected to win the co-operation of the workers, provide them security of employment, fair wage, and equal opportunity for personal growth and advancement, and make welfare facilities available to them.
2.Democratic values The principle of democratic values of labour welfare concedes that workers may have certain unmet needs for no fault of their own, that industry has an obligation to render them help in gratifying those needs, and that workers have a right of determining the manner in which these needs can be met and of participating in the administration of the mechanism of need gratification. The underlying assumption to this approach is that the worker is a mature and rational individual who is capable of taking decisions for himself/herself.
3.Adequacy of wages 13
The third principle of labour welfare is adequacy of wages; it implies that labour welfare measures are not a substitute for wages. It will be wrong to argue that since workers are given a variety of labour welfare services, they need be paid only low wages. Right to adequate wage is beyond dispute.
4.Efficiency The fourth principle of labour welfare lays stress on the dictum that to cultivate welfare is to cultivate efficiency. Even those who deny any social responsibility for industry do accept that an enterprise must introduce all such labour welfare measures which promote efficiency (Marshall, 1950). It has been often mentioned that workers’ education and training, housing, and diet are the three most important aspects of labour welfare, which always accentuate labour efficiency. Re-personalization Since industrial organization is rigid and impersonal, the goal of welfare in industry is the enrichment and growth of human personality. The labour welfare movement seeks to bring cheer, comfort, and warmth in the human relationship by treating man as an individual, with quiet distinct needs and aspirations. Social and cultural programmes, recreation and other measures designed after taking into consideration the workers’ interests go a long way in counteracting the effects of monotony, boredom, and cheerlessness.
5.Co-responsibility The fifth principle of labour welfare recognises that the responsibility for labour welfare lies on both employers and workers and not on employers alone (Moorthy, 1958). Labour welfare measures are likely to be of little success unless mutuality of interest and responsibilities are accepted and understood by both the parties, in particular the quality of responsibility at the attitudinal and organisational level. Totality of welfare The final principle of labour welfare is that the concept of labour welfare must permeate throughout the hierarchy of an organisation, and accepted by all levels of functionaries in the enterprise. 3.8 Scope of labour welfare work It is somewhat difficult to accurately lay down the scope of labour welfare work, especially because of the fact that labour class is composed of dynamic individuals with complex needs. In a world of changing values, where ideologies are rapidly undergoing transformation, rigid statements about the field of labour welfare need to be revised. Labour welfare work is increasing with the growing knowledge and experience of techniques. An able welfare officer 14
would , therefore, include in hiswelfare programme the activities that would be conducive to the well-being of the worker and his family. The test of the welfare activity is that it removes, directly or indirectly, any hindrance, physical or mental of the worker and restores to him the peace and joy of living the welfare work embraces the worker and his family The following list, which is by no means exhaustive, gives the items under which welfare work should be conducted inside and outside the work place:
(1)Conditions of work environment: The workshop sanitation and cleanliness, humidity, ventilation, lighting, elimination of dust, smoke, fumes and gases, convenience and comfort during work, operative postures, sitting arrangements etc; distribution of work hours and provision for rest times, breaks and workmen’s safety measures.
(2)Workers health services. These should include factory health centre; medical examination of workers, factory dispensary and clinic for general treatment; infant welfare; women’s general education; workers recreation facilities; education, etc;
(3)Labour welfare programme: These should cover factory council consisting of representatives of labour and employers; social welfare departments; interview and vocational testing; employment, follow-up, research bureau; workmen’s arbitration council.
(4)Labour’s Economic welfare programme: These should include co-operatives or fair price shops for consumer necessities; co-operative credit society, thrift schemes and savings bank; health insurance; employment bureau; etc.
(5)General welfare work: This should relate to housing and family care.
3.9 Labour welfare and Government Welfare of labour One of the major concerns of the Government has been the improvement of labour welfare with increasing productivity and provision of a reasonable level of social security. Social Security There are a variety of laws enacted and schemes established by the Central/State Governments with a view to provide for social security and welfare of specific categories of working people. The principal social security laws enacted centrally are the following: 1. The Workmen's compensation Act, 1923 (WC.Act.) 15
2. The Employees State Insurance Act, 1948 (ESI Act) 3. The Employees' Provident Funds and Miscellaneous Provisions Act, 1953 (EPF & MP Act) 4. The Maternity Benefit Act, 1961 (MB Act) 5. The Payment of Gratuity Act, 1972 (PG Act) The EPF and MP Act are administered exclusively by the Government of India through the EPFO. The cash benefits under the ESI Act are administered by the Central Government through the Employees State Insurance corporation (ESIC), whereas medical care under the ESI Act is being administered by the State Government and Union Territory Administration. The Payment of Gratuity Act is administered by the Central Government in establishments under its control, establishments having branches in more than one State, major ports, mines, oil fields and the Railways and by the State Governments and Union Territory Administrations in all other cases. In mines and circus industry, the provisions of the Maternity Benefit Act are being administered by the Central Government through the Chief Labour Commissioner (Central) and by the State Governments in factories, plantations and other establishments. The provisions of the WC Act are being administered exclusively by State Governments. Programmes of the State Sector Important programmes undertaken by the State Governments relate to diversification and expansion of the vocational training programme, improvement in the quality of training and extension of training opportunities for women, the World Bank-assisted Vocational Training Project, extension and modernisation of employment services, strengthening of labour administration, rehabilitation of bonded labour, welfare of rural and urban unorganised labour etc. Social security is the piller of labour welfare The concept of social security has been mentioned in the early Vedic hymn which wishes everyone to be happy, free from ill- health, enjoy a bright future and suffer no sorrow. The phrase social security is, therefore, a new name for an old aspiration. Today is based on the “ideals of human dignity and social justice”. Social security is defined as “the security that society furnishes, through appropriate organization, against certain risks to which its members are exposed”. These risks are essentially contingencies against which the individual, who has small means, cannot protect himself. These contingencies include employment injury, sickness, disablement, industrial disease, maternity, old age, burial, widowhood, orphan hood and unemployment. Social security is also broadly defined as “the endeavour of the community, as a whole, to render help to the utmost extent possible to any individual during periods of physical distress inevitable on illness or injury and during economic distress consequent on reduction or loss of earnings due to illness, disablement, maternity, unemployment, old age or death of working member”. Social security thus provides a self-balancing social insurance or assistance from public funds or a combination of both. Though social security programmes vary from country to country, their three major characteristics are: they are established by law; they provide some kind of cash payment to individuals to replace atleast a part of their lost income
that our due to such contingencies as unemployment, maternity, work injury, invalidism, sickness, old age and death; the benefits or services are provide in three major ways: 1 Social insurance, 2 Social assistance or 3 Public services.
Social insurance: The features of social insurance are: • It is financed entirely by or mainly from the common monetary contributions of workers, employers and the state. • The state and the employers make major contribution to this fund, while the employees pay only a nominal amount. • When there is total or partial loss of income, these benefits, within limits, ensure the maintenance of the beneficiary’s minimum standard of living. •Social insurance benefits are granted without an examination of an individual’s need and without any means test, without affecting the sense of self respect of the beneficiary. • These benefits are so planned as to cover, on a compulsory basis, all those who are sought to be covered. • Social insurance reduces the suffering arising out of the contingencies faced by an individual –contingencies which he cannot prevent. Social insurance is different from commercial insurance, for the latter is voluntary and is meant for the better paid section of the population, and its benefits are in proportion to the premiums paid; it offers protection only against individual risks and does not aim at providing a minimum standard of living.
Social assistance: Social assistance is provided as a supplement to social insurance for those needy person who cannot get social insurance payments, and is offered after a means test. The general revenues of the government provide the finance for social assistance payments, which is made available as a legal right to those workers who fulfil given conditions. Social assistance and social insurance go side by side. Social assistance programmes cover such programmes as unemployment assistance, oldage assistance, public assistance and national assistance. Social security is the 17
combination of social assistance and social insurance. Social insurance, however, falls midway between the two, for it is financed by the stste as well as by the insured and their employers;whereas social assistance is given gratis to the needy by the state or the community.
Public service: Public service programmes constitute the third main type of social security. They are financed directly by the government from their general revenues in the form of cash payment and services to every member of the community falling within the defined category. This kind of public service is currently available in a number of countries in the form of national health service providing medical care for every person in the country, old-age pension, pension for invalidism, survivor’s pension to every widow or orphan, and a family allowance to every family having a given number of children. Although these social security programmes have different characteristics, it is not always easy to draw a line of demarcation among them. In many cases, two or even three programmes have common characteristics. Apart from state there are many other agencies which provide se4curity against contingencies. In many countries trade union have their own sickness, old-age, unemployment schemes. Saving funds, sickness benefits and old-age pensions have also been provided by a large number of organisations to their employees.“The underlying idea of social security measures is that a citizen, who has contributed, or is likely to contribute to his country’s welfare, should be given protection against certain hazards”. The 1952 ILO convention on social security (minimum standard)divided
Component of social security (a)Medical care: This should cover pregnancy,confinement, and its consequences and any disease which may lead to a morbid condition. The need for pre-natal and post-natal care, in addition to hospitalisation, was emphasized. A morbid condition may require general practitioner care, provision of essential pharmaceuticals and hospitalization. (b)Sickness benefit:This should cover incapacity to work following morbid condition resulting in loss of earnings. This calls for periodical payments based on the convention specification. The worker need not be paid for the first three days of suspension of earnings and the payment of benefit may be limited to 26 weeks in a year. (c) Unemployment benefit:This should cover the loss of earning during a worker’s unemployment period. When he is capable and available for work but remains unemployed because of lack of suitable employment. This benefit may be limited to 13 weeks payment in a year, excluding the first seven days of the waiting period. (d)Old-age benefit: This benefit provides for the payment-the quantum depending upon an individual’s working capacity during the period before retirement.-of a certain amount beyond a prescribed age and continues till death. 18
(e)Employment injury benefit: This should cover the following contingencies resulting from accident or disease during employment: • Morbid condition • Inability to work following a morbid condition, leading to suspension of earning; • Total o0r partial loss of earning capacity which may become permanent; • Death of the breadwinner in the family, as a result of which family is deprived of financial support. Medical care and periodical payment corresponding to an individual’s need should be available. (f)Family benefit: This should cover responsibility for the maintenance of children during an entire period of contingency. Periodical payment, provision of food, housing, clothing, holidays or domestic help in respect of children should be provided to a needy family. (g)Maternity benefit: This benefit should cover pregnancy, confinement and their consequences resulting in the suspension of earnings. Provision should be for medical care, including pre-natal confinement, post-natal care and hospitalization if necessary. Periodical payment limited to 12 weeks should be made during the period of suspension of earnings. (h) Invalidism benefit: This benefit, in the form of periodical payments should cover the needs of workers who suffer from any, disability arising out of sickness or accident and who are unable to engage in any gainful activity. This benefit should continue till invalidism changes into old-age, when old age benefits would become payable. (i) Survivor’s benefit: This should cover periodical payments to the family following the death of its breadwinner and should continue the entire period of contingency. The ILO has suggested various methods of organizing, establishing and financing various social security schemes. For the benefit of the less developed countries, it has fixed the level of benefits fairly low, so that the schemes may be practicable.
Chapter 4 Methodology used in the study:There were various sources of data collection used for this study. These are direct and indirect sources which are referred to as primary and secondary sources. These sources are as follows: Primary sources: Some of the primary sources of data collection are past records of workers, oral interviews, interaction with operators and guidance from officers.
Secondary sources: The secondary sources were used to gain basic and extra information regarding labour welfare. The secondary source used was internet source and the various rules of Milkfed. Mainly Various sites containing information regarding concerned topic are given in the bibliography. During the study of the topic I had to face some limitations and the constraints as well. Some of these limitations were:
1. The biggest limitation which I any HR trainee has to face in Verka Mlik Plant Mohali that no proper training is provided to HR students. That place is good for engineering and food technology students only as far as summer training is concerned. 2. Permission for conducting a proper survey was not given. 3. Sufficient time was not given to me to understand the exact nature and the concept of labour welfare. 4. The whole of the staff was less cooperative with me.
Chapter 5 WELFARE IN VERKA PLANT Verka is playing very important role in producing and selling milk products. The concept of labour welfare is fully adopted by the verka plant in order to satisfy employee needs. All the principles of labour welfare are accepted by the plant .Labuor welfare aspects are highly regarded with the view of human resources development. The importance of labour welfare has been recognized by the plant in order to seeking cooperation of employees.
5.1 CONSTITUENTS OF LABOUR WELFARE IN VERKA Social security is the main constituent of labour welfare in verka and the another are welfare included working hours, working conditions, safety, industrial health insurance, workmen’s compensation, provident funds, 21
gratuity, pensions, protection against indebtedness, industrial housing, restrooms, canteens, crèches, wash places, toilet facilities, lunches, cinemas, theatres, music, reading rooms, holiday rooms, workers’ education, co-operative stores, excursions, , and scholarships and other help for education of employees’ children.
5.2 AGENCIES OF LABOUR WELFARE IN VERKA MILK PLANT There are various agencies which are established rules related to labour welfare in verka plant these are following 1 Central Government 2 The Co-operative Milk Producer Union Employ Service Rules 3 State Government 4 Worker Union 5.Employer 6. Others
All these play important role in establishing labour welfare in verka plant
1 Central Government The central Government has passed various legislation for the welfare of different types of workers which are same applicable in verka some important legislation are 1. The Workmen's compensation Act, 1923 (WC.Act.) 2. The Employees State Insurance Act, 1948 (ESI Act) 3. The Employees' Provident Funds and Miscellaneous Provisions Act, 1953 (EPF & MP Act) 4. The Maternity Benefit Act, 1961 (MB Act) 22
5. The Payment of Gratuity Act, 1972 (PG Act) The EPF and MP Act are administered exclusively by the Government of India through the EPFO. The cash benefits under the ESI Act are administered by the Central Government through the Employees State Insurance corporation (ESIC), whereas medical care under the ESI Act is being administered by the State Government and Union Territory Administration. Main provision of laws related with welfare The Factories Act, 1948 The Factories Act, is a social legislation which has been enacted for occupational safety, health and welfare of workers at work places. This legislation is being enforced by technical officers i.e. Inspectors of Factories, Dy. Chief Inspectors of Factories who work under the control of the Chief Inspector of Factories and overall control of the Labour Commissioner, Government of National Capital Territory of Delhi It applies to factories covered under the Factories Act, 1948. The industries in which ten (10) or more than ten workers are employed on any day of the preceeding twelve months and are engaged in manufacturing process being carried out with the aid of power or twenty or more than twenty workers are employed in manufacturing process being carried out without the aid of power, are covered under the provisions of this Act. I.
Employment of young persons
Annual Leave with wages etc.
42. WASHING FACILITIES. - (1) In every factory - (a) adequate and suitable facilities for washing shall be provided and maintained for the use of the workers therein; (b) separate and adequately screened facilities shall be provided for the use of male and female workers; (c) such facilities shall be conveniently accessible and shall be kept clean. (2) The State Government may, in respect of any factory or class or description of factories or of any manufacturing process, prescribe standards of adequate and suitable facilities for washing. 23
43. FACILITIES FOR STORING AND DRYING CLOTHING. - The State Government may, in respect of any factory or class or description of factories, make rules requiring the provision therein of suitable places for keeping clothing not worn during working hours and for the drying of wet clothing.
44. FACILITIES FOR SITTING. - (1) In every factory suitable arrangements for sitting shall be provided and maintained for all workers obliged to work in a standing position, in order that they may take advantage of any opportunities for rest which may occur in the course of their work. (2) If, in the opinion of the Chief Inspector, the workers in any factory engaged in a particular manufacturing process or working in a particular room are able to do their work efficiently in a sitting position, he may, by order in writing, require the occupier of the factory to provide before a specified date such seating arrangements as may be practicable for all workers so engaged or working. (3) The State Government may, by notification in the Official Gazette, declare that the provisions of sub-section (1) shall not apply to any specified factory or class or description of factories or to any specified manufacturing process.
45. FIRST AID APPLIANCES. - (1) There shall in every factory be provided and maintained so as to be readily accessible during all working hours first-aid boxes or cupboards equipped with the prescribed contents, and the number of such boxes or cupboards to be provided and maintained shall not be less than one for every one hundred and fifty workers ordinarily employed at any one time in the factory. (2) Nothing except the prescribed contents shall be kept in a first-aid box or cupboard. (3) Each first-aid box or cupboard shall be kept in the charge of a separate responsible person who holds a certificate in first-aid treatment recognized by State Government and who shall always be readily available during the working hours of the factory. (4) In every factory wherein more than five hundred workers are ordinarily employed there shall be provided and maintained an ambulance room of the prescribed size, containing the prescribed equipment and in the charge of such medical and nursing staff as may be prescribed and those facilities shall always be made readily available during the working hours of the factory.
46. CANTEENS. - (1) The State Government may make rules requiring that in any specified factory wherein more than two hundred and, fifty workers are ordinarily employed, a canteen or canteens shall be provided and maintained by the occupier for the use of the workers.
(2) Without prejudice to the generality of the foregoing power, such rules may provide for - (a) the date by which such canteen shall be provided; (b) the standards in respect of construction, accommodation, furniture and other equipment of the canteen; (c) the foodstuffs to be served therein and the charges which may be made therefor; (d) the constitution of a managing committee for the canteen and representation of the workers in the management of the canteen; (dd) the items of expenditure in the running of the canteen which are not to be taken into account in fixing the cost of foodstuffs and which shall be borne by the employer; (e) the delegation to the Chief Inspector, subject to such conditions as may be prescribed, of the power to make rules under clause (c).
47. SHELTERS, REST ROOMS AND LUNCH ROOMS. - (1) In every factory wherein more than one hundred and fifty workers are ordinarily employed, adequate and suitable shelters or rest rooms and a suitable lunch room, with provision for drinking water, where workers can eat meals brought by them, shall be provided and maintained for the use of the workers : Provided that any canteen maintained in accordance with the provisions of section 46 shall be regarded as part of the requirements of this sub-section : Provided further that where a lunch room exists no workers shall eat any food in the work room. (2) The shelters or rest rooms or lunch rooms to be provided under sub-section (1) shall be sufficiently lighted and ventilated and shall be maintained in a cool and clean condition. (3) The State Government may - (a) prescribe the standards in respect of construction, accommodation, furniture and other equipment of shelters, rest rooms and lunch rooms to be provided under this section; (b) by notification in the Official Gazette, exempt any factory or class or description of factories from the requirements of this section.
48. CRECHES. - (1) In every factory wherein more than thirty women workers are ordinarily employed there shall be provided and maintained a suitable room or rooms for the use of children under the age of six years of such women. (2) Such rooms shall provide adequate accommodation, shall be adequately lighted and ventilated, shall be maintained in a clean and sanitary condition and shall be under the charge of women trained in the care of children and infants.
(3) The State Government may make rules - (a) prescribing the location and the standards in respect of construction, accommodation, furniture and other equipment of rooms to be provided, under this section; (b) requiring the provision in factories to which this section applies of additional facilities for the care of children belonging to women workers, including suitable provision of facilities for washing and changing their clothing; (c) requiring the provision in any factory of free milk or refreshment or both for such children; (d) requiring that facilities shall be given in any factory for the mothers of such children to feed them at the necessary intervals. 49. WELFARE OFFICERS. - (1) In every factory wherein five hundred or more workers are ordinarily employed the occupier shall employ in the factory such number of Welfare officers as may be prescribed. (2) The State Government may prescribe the duties, qualifications and Conditions of service of officers employed under sub-section (1).
Plantation Labour Act,1951 Welfare aspects 11.Canteens. — (1)The State Government may make rules requiring that in every plantation wherein one hundred and fifty workers are ordinarily employed, one or more canteens shall be provided and maintained by the employer for the use of the workers. (2)Without prejudice to the generality of the foregoing power such rules may provide for(a)The date by which the canteen shall be provided; (b)The number of canteens that shall be provided and the standards in respect of construction, accommodation, furniture and other equipment of the canteen; (c) The foodstuffs which may be served therein and the charges which may be made therefor; (d)The constitution of a managing committee for the canteen and the representation of the workers in the management of the canteen;
(e)The delegation to the chief inspector, subject to such conditions as may be prescribed, of the power to make rules under clause (c).
12. Crèches. — (1) In every plantation wherein fifty or more women workers (including women workers employed by any contractor) are employed or were employed on any day of the preceding twelve months, or where the number of children of women workers (including women workers employed by any contractor) is twenty or more, there shall be provided and maintained by the employer suitable rooms for the use of children of such women workers. Explanation. - For the purposes of this sub-section and sub-section (1-A), “children” means persons who are below the age of six years.] (I-A) Notwithstanding anything contained in sub-section (1), if, in respect of any plantation wherein less than fifty women workers (including women workers employed by any contractor) are employed or were employed on any day of the preceding twelve months, or where the number of children of such women workers is less than twenty, the State Government, having regard to the number of children of such women workers deems it necessary that suitable rooms for the use of such children should be provided and maintained by the employer, it may, by order, direct the employer to provide and maintain such rooms and thereupon the employer shall be bound to comply with such direction. (2)[The rooms referred to in sub-section (1) or sub-section 1-A] 1 shall(a)Provide adequate accommodation; (b) Be adequately lighted and ventilated; (c)Be maintained in a clean and sanitary condition; and (d)Be under the charge of a woman trained in the care of children and infants. (3)The State Government may make rules prescribing the location and the standards of 3[the rooms referred to in sub-section (1) or sub-section (1-A) in respect of their construction and accommodation and the equipment and amenities to be provided therein.
13. Recreational facilities. -The State Government may make rules requiring every employer to make provision in his plantation for such recreational facilities for the workers and children employed therein as may be prescribed.
14.Educational facilities. -Where the children between the ages of six and twelve of workers employed in any plantation exceed twenty-five in number, the State Government may make rules, requiring every employer to provide educational facilities for the children in such manner and of such standard as may be prescribed.
15.Housing facilities. -- It shall be the duty of every employer to provide and maintain necessary housing accommodation(a)For every worker (including his family) residing in the plantation; (b)For every worker (including his family) residing outside the plantation, who has put in six months of continuous service in such plantation and who has expressed a desire in writing to reside in the plantation: Provided that the requirement of continuous service of six months under this clause shall not apply to a worker who is a member of the family, of a deceased worker who, immediately before his death, was residing in the plantation.]
16.Power to make rules relating to housing. -The State Government may make rule for the purposes of giving effect to the provisions of Section 15 and, in particular providing for-(a)The standard and specification of the accommodation to be provided; (b)The selection and preparation of sites for the construction of houses and the size of such plot; (c)The constitution of advisory boards consisting of representatives of the State Government, the employer and the workers for consultation in regard to matters connected with housing and the exercise by them of such powers, functions and duties in relation thereto as may be specified ; (d)The fixing of rent, if any, for the housing accommodation provided for workers; (e)The allotment to workers and their families of housing accommodation and suitable strips of vacant land adjoining such accommodation for the purposes of maintaining kitchen gardens, a and for the eviction of workers and their families from such accommodation;
(f)Access to the public to those parts of the plantation wherein the workers are housed. 16-A. Liability of employer in respect of accidents resulting from collapse of houses provided by him. -
(1)If death or injury is caused to any worker or a member of his family as a result of the collapse of a house provided under Section 15, and the collapse is not solely and directly attributable to a fault on the part of any occupant of the house or to a natural, calamity, the employer shall be liable to pay compensation. (2) The provisions of Section 4 of, and Schedule IV to, the Workmen's Compensation Act, 1923 (8 of 1923), as in force for the time being,, regarding the amount of compensation payable to a workman under that Act shall, so far as may be, apply for the determination of the amount of compensation payable under sub-section (1).
16-B. Appointment of Commissioners. - The State Government may, by notification in the Official Gazette, appoint as many persons, possessing the prescribed qualifications, as it thinks fit, to be Commissioners to determine the amount of compensation payable under Section 16-A and may define the limits within which each such Commissioner shall exercise the powers and discharge the functions conferred or imposed on him by, or under this Act.
16-C. Application for compensation. (1)An application for payment of compensation under Section 16-A may be made to the Commissioner(a)By the person who has sustained the injury; or (b)By any agent duly authorised by the person who has sustained the injury; or (c)Where the person who has sustained the injury is a minor, by his guardian; or (d)Where death has resulted out of the collapse of the house, by any dependant of the deceased or by any agent duly authorized by such dependent or, if such dependant is a minor, by his guardian. (2)Every application under sub-section (1) shall be in such form and shall contain such particulars as may be prescribed. (3)No application for compensation under this section shall be entertained unless it is made within six months of the collapse of the house: Provided that the Commissioner may, if he is satisfied that the applicant was prevented by sufficient cause from making the application within the aforesaid period of six months, entertain such application within a further period of six months. Explanation. - In this section, the expression “dependant” has the meaning assigned to it in clause (d) of Section 2 of the Workmen's Compensation Act, 1923 (8 of 1923). 29
16-D. Procedure and powers. (1) On receipt of an application under Section 16-C, the Commissioner may make an inquiry into the matter covered by the application. (2)In determining the amount of compensation payable under Section 16-A, the Commissioner may, subject to any rules that may be-made in this behalf, follow such summary procedure as he thinks fit. (3) The Commissioner shall have all the powers of a civil court while trying a suit under the Code of Civil Procedure, 1908 (5 of 1908) in respect of the following matters, namely: (a)Summoning and enforcing the attendance of any person and examining him on oath; (b)Requiring the discovery and production of any document; (c)Receiving evidence on affidavits; (d)Requisitioning any public record or copy thereof from I any court or officer; (e)Issuing commissions for the examination of witnesses or documents; (f)Any other matter which may be prescribed. (4)Subject to any rules that may be made in this behalf, the Commissioner may, for the purpose of determining any claim or compensation, choose one or more persons possessing special knowledge of any matter relevant to the inquiry to assist him in holding the inquiry.
16-E. Liability to pay compensation, etc., to be decided by Commissioner. (1)Any question as to the liability of an employer to pay compensation under Section 16-A, or as to the amount thereof, or as to the person to whom such compensation is payable, shall be decided by the Commissioner. (2)Any person aggrieved by a decision of the Commissioner refusing to grant compensation, or as to the amount compensation granted to him, or to the apportionment thereof, may prefer an appeal to the High Court having jurisdiction over the place where the collapse of the house has occurred, within ninety days of the communication of the order of the Commissioner to such person: Provided that the High Court may entertain any such appeal after the expiry of the period aforesaid if it is satisfied that the appellant was prevented by sufficient cause from preferring the appeal within such period:
Provided further that nothing in. this sub-section shall be deemed to authorise the High Court to grant compensation in excess of the amount of Compensation payable under Section 16-A. (3)Subject to the decision of the High Court in cases in which an appeal is preferred under subsection (2), the decision of the Commissioner under sub-section (1) shall be final and shall not be called in question in any court.
16-F. Saving as to certain rights. -The right of any person to claim compensation under Section 16-A shall be without prejudice to the right of such person to recover compensation payable under any other law for the time being in force; but no person shall be entitled to claim compensation more than once in respect of the same collapse of the house. 16-G. Power to make rules. (1)The State Government may, by notification in the Official Gazette, make rules for giving effect to the provisions of Sections 16-A to 16-F (both inclusive). (2)In particular, and without prejudice to the generality of the foregoing power, such rules may provide for(i)The qualifications and conditions of service of Commissioners; (ii) The manner in which claims for compensation may be inquired into and determined by the Commissioner; (iii)The matters in respect of which any person may be chosen to assist the Commissioner under Section 16-D and tile functions that may be performed by such person; (iv) Generally for the effective exercise of any powers conferred on the Commissioner.]
17.Other facilities. -The State Government may make rules requiring that in every plantation the employer shall provide the workers with such number and type of umbrellas, blankets, rain coats or other tile amenities for the protection of workers from rain or cold as may be prescribed. 18. Welfare officers. (1)In every plantation wherein three hundred or more workers are ordinarily employed the employer shall employ such number of welfare officers as may be prescribed. (2)The State Government may prescribe the duties, qualifications and conditions of service of officers employed under sub-section (1). 31
Employees Provident Fund and Miscellaneous Provisions Act, 1952 5. Employees' Provident Funds Scheme (1) The Central Government may by notification in the Official Gazette frame a Scheme to be called the Employees' Provident Funds Scheme for the establishment of provident funds under this Act for employees or for any class of employees and specify the establishments or class of establishments to which the said Scheme shall apply and there shall be established as soon as may be after the framing of the Scheme a Fund in accordance with the provisions of this Act and the Scheme. (1A) The Fund shall vest in and be administered by the Central Board constituted under section 5A. (1B) Subject to the provisions of this Act a Scheme framed under sub-section (1) may provide for all or any of the matters specified in Sch. II. (2) A Scheme framed under sub-section (1) may provide that any of its provisions shall take effect either prospectively or retrospectively on such date as may be specified in this behalf in the Scheme.
The Minimum Wages Act, 1948 4. Minimum rate of wages (1) Any minimum rate of wages fixed or revised by the appropriate government in respect of scheduled employments under section 3 may consist of (i) a basic rate of wages and a special allowance at a rate to be adjusted at such intervals and in such manner as the appropriate government may direct to accord as nearly as practicable with the variation in the cost of living index number applicable to such workers (hereinafter referred to as the "cost of living allowance"); or (ii) a basic rate of wages with or without the cost of living allowance and the cash value of the concessions in respect of suppliers of essential commodities at concession rates where so authorised; or (iii) an all-inclusive rate allowing for the basic rate the cost of living allowance and the cash value of the concessions if any. (2) The cost of living allowance and the cash value of the concessions in respect of supplied of essential commodities at concession rate shall be computed by the competent authority at such
intervals and in accordance with such directions as may be specified or given by the appropriate government.
5. Procedure for fixing and revising minimum wages (1) In fixing minimum rates of wages in respect of any scheduled employment for the first time under this Act or in revising minimum rates of wages so fixed the appropriate government shall either (a) appoint as many committees and sub-committees as it considers necessary to hold enquiries and advise it in respect of such fixation or revision as the case may be or (b) by notification in the Official Gazette publish its proposals for the information of persons likely to be affected thereby and specify a date not less than two months from the date of the notification on which the proposals will be taken into consideration. (2) After considering the advice of the committee or committee appointed under clause (a) of sub-section (1) or as the case may be all representations received by it before the date specified in the notification under clause (b) of that sub-section the appropriate government shall by notification in the Official Gazette fix or as the case may be revise the minimum rates of wages in respect of each scheduled employment and unless such notification otherwise provides it shall come into force on the expiry of three months from the date of its issue : Provided that where the appropriate government proposes to revise the minimum rates of wages by the mode specified in clause (b) of sub-section (1) the appropriate government shall consult the Advisory Board also.
Apprentices Act, 1961 14. HEALTH, SAFETY AND WELFARE OF APPRENTICES. - Where any apprentices are undergoing training in a factory, the provisions of Chapters III, IV and V of the Factories Act, 1948 (63 of 1948), shall apply in relation to the health, safety and welfare of the apprentices as if they were workers within the meaning of that Act and when any apprentices are undergoing training in a mine, the provisions of Chapter V of the Mines Act, 1952 (35 of 1952), shall apply in relation to the health and safety of the apprentices as if they were persons employed in the mine.
Workmen's Compensation Act, 1923 3. EMPLOYER'S LIABILITY FOR COMPENSATION. - (1) If personal injury is caused to a workman by accident arising out of and in the course of his employment, his employer shall be liable to pay compensation in accordance with the provisions of this Chapter : 33
Provided that the employer shall not be so liable - (a) in respect of any injury which does not result in the total or partial disablement of the workman for a period exceeding three days; (b) in respect of any injury, not resulting in death or permanent total disablement, caused by an accident which is directly attributable to - (i) the workman having been at the time thereof under the influence of drink or drugs, or (ii) the willful disobedience of the workman to an order expressly given, or to a rule expressly framed, for the purpose of securing the safety of workmen, or (iii) the willful removal or disregard by the workman of any safety guard or other device which he knew to have been provided for the purpose of securing the safety of workmen, (2) If a workman employed in any employment specified in Part A of Schedule III contracts any disease specified therein as an occupational disease peculiar to that employment, or if a workman, whilst in the service of an employer in whose service he has been employed for a continuous period of not less than six months (which period shall not include a period of service under any other employer in the same kind of employment) in any employment specified in Part B of Schedule III, contracts any disease specified therein as an occupational disease peculiar to that employment, or if a workman whilst in the service of one or more employers in any employment specified in Part C of Schedule III, for such continuous period as the Central Government may specify in respect of each such employment, contracts any disease specified therein as an occupational disease peculiar to that employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section and, unless the contrary is proved, the accident shall be deemed to have arisen out of, and in the course of, the employment : Provided that if it is proved, - (a) that a workman whilst in the service of one or more employers in any employment specified in Part C of Schedule III has contracted a disease specified therein as an occupational disease peculiar to that employment during a continuous period which is less than the period specified under this sub-section for that employment, and (b) that the disease has arisen out of and in the course of the employment; the contracting of such disease shall be deemed to be an injury by accident within the meaning of this section : Provided further that if it is proved that a workman who having served under any employer in any employment specified in Part B of Schedule III or who having served under one or more employers in any employment specified in Part C of that Schedule, for a continuous period specified under this sub-section for that employment and he has after the cessation of such service contracted any disease specified in the said Part B or the said Part C, as the case may be, as an occupational disease peculiar to the employment and that such disease arose out of the
employment, the contracting of the disease shall be deemed to be an injury by accident within the meaning of this section. (2A) If a workman employed in any employment specified in Part C of Schedule III contracts any occupational disease peculiar to that employment, the contracting whereof is deemed to be an injury by accident within the meaning of this section, and such employment was under more than one employer, all such employers shall be liable for the payment of the compensation in such proportion as the Commissioner may, in the circumstances, deem just. (3) The Central Government or the State Government, after giving, by notification in the Official Gazette, not less than three months' notice of its intention so to do, may, by a like notification, add any description of employment to the employments specified in Schedule III, and shall specify in the case of employments so added the diseases which shall be deemed for the purposes of this section to be occupational diseases peculiar to those employments respectively, and thereupon the provisions of sub-section (2) shall apply In the case of a notification by the Central Government, within the territories to which this Act extends or, in case of a notification by the State Government, within the State as if such diseases had been declared by this Act to be occupational diseases peculiar to those employments. (4) Save as provided by Sub-sections (2), (2A) and (3), no compensation shall be payable to a workman in respect of any disease unless the disease is directly attributable to a specific injury by accident arising out of and in the course of his employment. (5) Nothing herein contained shall be deemed to confer any right to compensation on a workman in respect of any injury if he has instituted in a Civil Court a suit for damages in respect of the injury against the employer or any other person; and no suit for damages shall be maintainable by a workman in any Court of law in respect of any injury - (a) if he has instituted a claim to compensation in respect of the injury before a Commissioner; or (b) if an agreement has been come to between the workman and his employer providing for the payment of compensation in respect of the injury in accordance with the provisions of this Act.
4. AMOUNT OF COMPENSATION. - (1) Subject to the provisions of this Act, the amount of compensation shall be as follows, namely :- (a) where death results an amount equal to fifty from the injury cent of the monthly wages of the deceased workman multiplied by the relevant factor; or an amount of fifty thousand rupees, whichever is more; (b) where permanent total an amount equal to disablement results from sixty the injury per cent of the monthly wages of the injured workman multiplied by the relevant factor, or an amount of sixty thousand rupees, whichever is more.
Explanation I : For the purposes of clause (a) and clause (b), "relevant factor", in relation to a workman means the factor specified in the second column of Schedule IV against the entry in the first column of that Schedule specifying the number of years which are the same as the completed years of the age of the workman on his last birthday immediately preceding the date on which the compensation fell due; Explanation II : Where the monthly wages of a workman exceed two thousand rupees, his monthly wages for the purposes of clause (a) and clause (b) shall be deemed to be two thousand rupees only; (c) where permanent partial disablement results from the injury (i) in the case of an injury specified in Part II of Schedule I, such percentage of the compensation which would have been payable in the case of permanent total disablement as is specified therein as being the percentage of the loss of earning capacity caused by that injury, and (ii) in the case of an injury not specified in Schedule I, such percentage of the compensation payable in the case of permanent total disablement as is proportionate to the loss of earning capacity (as assessed by the qualified medical practitioner) permanently caused by the injury; Explanation I : Where more injuries than one are caused by the same accident, the amount of compensation payable under this head shall be aggregated but not so in any case as to exceed the amount which would have been payable if permanent total disablement had resulted from the injuries; Explanation II : In Assessing the loss of earning capacity for the purposes of sub-clause (ii) the qualified medical practitioner shall have due regard to the percentages of loss of earning capacity in relation to different injuries specified in Schedule I; (d) Where temporary a half monthly payment of the sum disablement, whether equivalent to twenty-five per cent of total or partial, results monthly wages of the workman, to from the injury be paid in accordance with the provisions of sub-section (2). (1A) Notwithstanding anything contained in sub-section (1), while fixing the amount of compensation payable to a workman in respect of an accident occurred outside India, the Commissioner shall take into account the amount of compensation, if any, awarded to such workman in accordance with the law of the country in which the accident occurred and shall reduce the amount fixed by him by the amount of compensation awarded to the workman in accordance with the law of that country. (2) The half-monthly payment referred to in clause (d) of sub-section (1) shall be payable on the sixteenth day - (i) from the date of disablement where such disablement lasts for a period of twenty-eight days or more; or 36
(ii) after the expiry of a waiting period of three days from the date of disablement where such disablement lasts for a period of less than twenty-eight days; and thereafter half-monthly during the disablement or during a period of five years, whichever period is shorter : Provided that - (a) there shall be deducted from any lump sum or half-monthly payments to which the workman is entitled the amount of any payment or allowance which the workman has received from the employer by way of compensation during the period of disablement prior to the receipt of such lump sum or of the first half-monthly payment, as the case may be; and (b) no half-monthly payment shall in any case exceed the amount, if any, by which half the amount of the monthly wages of the workman before the accident exceeds half the amount of such wages which he is earning after the accident. Explanation : Any payment or allowance which the workman has received from the employer towards his medical treatment shall not be deemed to be a payment or allowance received by him by way of compensation within the meaning of clause (a) of the proviso. (3) On the ceasing of the disablement before the date on which any half-monthly payment falls due, there shall be payable in respect of that half-month a sum proportionate to the duration of the disablement in that half-month. (4) If the injury of the workman results in his death, the employer shall, in addition to the compensation under sub-section (1), deposit with the Commissioner a sum of one thousand rupees for payment of the same to the eldest surviving dependant of the workman towards the expenditure of the funeral of such workman or where the workman did not have a dependant or was not living with his dependant at the time of his death to the person who actually incurred such expenditure. Payment of Bonus Act, 1965 Eligibility i) Every person (other than an apprentice) drawing salary up to RS 3,500 per month. Ii) Every person drawing salary between RS 2,501/- and RS 3,500/- per month. The bonus payable to him is to be calculated as if his salary were RS 2,500/- p.m
Benefits i) Subject to other provisions :— Minimum bonus shall be 8.33% of salary/wages earned or RS 100 whichever is higher. Ii) If allocable surplus exceeds the amount of minimum bonus, then bonus shall be payable at higher rate subject to a maximum 20% of salary/wages. 37
Iii) Computation of bonus is to be worked out as per Schedule I to IV of the Act.
Payment of gratuity act,1972 Maximum amount of gratuity payable is Rs The Act provides for the payment of gratuity to workers employed in every factory, shop & establishments or educational institution employing 10 or more persons on any day of the proceeding 12 months. A shop or establishment to which the Act has become applicable shall continue to be governed by the Act even if the number of persons employed falls bellow 10 at any subsequent stage. All the employees irrespective of status or salary are entitled to the payment of gratuity on completion of 5 years of service. In case of death or disablement there is no minimum eligibility period. The amount of gratuity payable shall be at the rate of 17 days wages based on the rate of wages last drawn, for every completed year of service. The. 3,50,000/-.
2.The Co-operative Milk Producer Union Employ Service Rules The another main agency of labour welfare in verka is the The Co-operative Milk Producer Union Employ Service Rules the following are the main provision regarding the labour welfare
Sec. 2(f)- Definition of employee “Employee” means a person employed on the post under the Milk Union, but does not include a casual worker or apprentice, trainee or part time.
Sec 15- Pay and allowances Except as provided otherwise in these rules an employee is appointed to a post shall be allowed to draw basic pay at the minimum of the pay scale of the post to which he is appointed.
Sec-15.3 The annul increment in the pay scale shall accrue normally to an employee after he has completed one year’s service at stage in the pay scale unless it has been withheld for reasons of unsatisfactory work or conduct by authority or any other officer authorized to section annual increment. The competent authority may withhold the annual increment provisionally in case where any charges with regard to unsatisfactory work or conduct are under investigation. Annual increment in the case of employee who is under the probation shall be allowed only after the concerned employee complete probation period satisfactory.
Sec-16 Travelling allowance 38
Travelling allowances shall be admissible to an employee according to the TA, DA, rules, instructions approved by RCS Punjab and adopted by board from time to time.
Sec-17 Provident Fund Employee of the Milk Union shall be entitled to the membership of the employees Provident Fund and Miscellaneous Act, 1952 irrespective of the pay drawn by him. Reemployed persons shall be governed by the terms of their appointment.
Sec- 18 Bonus Employees of the Milk Union shall be entitled to payment of the Bonus under the payment of Bonus Act,1965 as amended and re-enacted from time to time.
Sec-19 Gratuity Every employee of the Milk Union irrespective of the post held and salary drawn by him shall entitle to payment of gratuity as provision entitled contained in the payment of gratuity Act,1972 and the rules framed hereunder as may be in the force from time to time. The calculation of gratuity shall be made on the basis of wages last drawn by him.
Sec-20 Medical Benefits An employee as and when covered under the EST ACT/ SCHEME shell get medical benefits as provided therein. An employee not covered under this EST scheme or act shall be entitled to medical benefits as may be decided by the Board from time to time with concurrence of the Milkfed. Provided that as and when an employee not covered the EST act or scheme he shall automatically cease to get medical benefits admissible under the rules of Milk Union.
Sec -21 Home travelling concession The employee shall be entitled to Home Travelling Concession as may be decided by the Board from time to time with concurrence of Milkfed.
Sec-22 Allowances Dearness Allowances, Additional Dearness allowances, house rent allowances, Rural allowances and other compensatory allowances shall be admissible to the employee of the Milk Union as per the decision of the Board with concurrence of the milkfed and approval of the Registrar. 39
Sec -23 Benefits admissible in the event of the death of an employee during service In the case of death of an employee while in the service of Milk Union his family members shall be entitled to following benefits/ facilities/ at thte rate scale as termed as approved by the Board from time to time with concurrence of milkfed. Ex-gratia grant House rent allowances To Encashment of pay leave Priority of employment to window/ dependent of deceased employee Special ex gratia grant to the family members of an employee to the Milk Union.
3. State The State Government provide various welfare facilities to workers. The implementation of many provision of various labour laws also rest with the state government. The state government run health and family planning centers, centers for education, vocational guidance ,recreational activities and training of workers and other welfare centers. The state government also keep a vigil on the employers that they are operating welfare schemes made obligatory by the state or central govt. The state government also has been empowered to prescribe rules for welfare of workers and appoint appropriate authorities for the enforcement of welfare provisions under various Acts.
4 Worker Union Worker union is the another main agency of labour welfare in the verka milk plant. He acts as a care taker of employee’s rights. The worker unions in verka held the care of all the aspects of welfare. Worker Union always seeks better cooperation from the employer in providing welfare facilities. The Union may go against the authority if any unsound policy or rule regarding welfare is passed.
5 Employer Employer is the another main agency of labour welfare in the verka. Gm of the plant consider labour welfare thing important. He is act as care taker of all the aspects of labour welfare.In addition of it a canteen committee is
established for taking care of quality of the food. Various problems related the to canteen are discussed by the committee.GM organizes a meeting of worker union after every 15 days in which problems of labour are discussed. In addition to it mange-ment is paid half of the meal rate on coupon base system.
4.6 Other The another agency of labour welfare in verka are 1Labour welfare officer 2Employee welfare committee
1 Labour welfare officer Labour welfare is main consideration for development of labour.Thats why labour welfare officer is appointed in the verka.Labour welfare officer play an important rule in verka plant.He has foolowing duties which are helpful in providing welfare
General duties of welfare officer The general duties of the Welfare Officer shall be(a) to ensure rules and laws are properly follow (b) to ascertain what further welfare facilities are needed, how best they can be provided and make suggestions for their establishment; (c) to make sure that the available welfare facilities provided under the Regulation or otherwise are being properly maintained and utilized. (d) to ensure adequate supervision of the amenities provided, especially as regards canteens, rest rooms, washing and toilet facilities and drinking water; (e) to examine grievances voiced by the workers in respect of welfare facilities and other amenities; (f) to ensure first aid, medical treatment and other assistance for workers who are injured in the course of their employment in work and are in need of vocational rehabilitation due to disablement caused due to injury;
2 Employee welfare committe 41
The Punjab State Co-operation Milk Producer Fed Ltd constitute a Employee Welfare Fund. For the purpose of it a committee is constituted which has following members 1 Adminstrative Manager(HR manager) 2 Manager(MIS) 3 Deputy Manager Acconts 4 Working Union Members Role of employee welfare fund in welfare of employee 1 At the time of accident 1000-2000 Rs. are paid to employee from this fund. 2 A party is organized at the time of retirement of employee from this fund. 3 A ring of gold and ‘kumble” is given to employee at the time of retirement.
Chapter 6 Analysis of the study Labour welfare has been defined in various ways, though unfortunately no single definition has found universal acceptance. The Oxford Dictionary defines labour welfare as “efforts to make life worth living for worker” Chamber’s Dictionary defines welfare as “a state of faring or doing well; freedom from calamity, enjoyment of health, prosperity.”If we go through the scope of labour welfare it is vary wide which cover social as well as economic aspect of labour welfare. So after study of various aspect of labour welfare we come to analysis that verka consider labour welfare is the subject of paramount importance.Various agencies are responsible for providing labour welfare like laws, employer, state ,worker union etc.All these are main weapons of labour welfare in the verka.In other words we can say that all these agencies are care taker of labour welfare in the plant.Various legislations play a vary important role in providing facilities regarding welfare of employees.All these laws cover the major portion of labour welfare like the workshop sanitation and cleanliness, humidity, ventilation, lighting, elimination of dust, smoke, fumes and gases, convenience and comfort during work, operative postures, sitting arrangements distribution of work hours and provision for rest times, breaks and workmen’s safety measures. These also include factory health centre; medical examination of workers, factory dispensary and clinic for general treatment; infant welfare; women’s general education; workers recreation facilities; education, etc. All these laws are properly apply in verka milk plant and all the above facilities are provided in verka. So in this way Government play an important role in establishing labour welfare in the verka plant. The state government also keep a vigil on the employers that they are operating welfare schemes made obligatory by the state or central govt. On the other hand State Government also play an important rules by favoring these legislation.The state government also has been empowered to prescribe rules for welfare of workers and appoint appropriate authorities for the enforcement of welfare provisions under various Acts. Worker unions acts as protector of rights of employees. Worker come together when any needs arise in regard of it. The Co-operative Milk Producer Union Employ Service Rules is a written draft of rules which cover various aspects of labourer,s social and economic
comforts like paying fare wages, medical leaves , medical benefits, travelling allowances, gratuity payment, provident funds etc. All these facilities are provided in the plant In the verka plant labour welfare commatte is also constituted which have only one purpose that to provide welfare facilities to the employees like At the time of accident 1000-2000 Rs. are paid to employee from this fund., party is organized at the time of retirement of employee from this fund and a ring of gold and ‘kumble” is given to employee at the time of retirement. Management also play a active role in providing welfare to the labour as half of the amount of the meal is paid by the management by coupen system. Labour welfare officer is a person in the verka milk plant which is responsible in establishing all these rules and laws. So in short we say verka milk plant provide almost all the facilities of labour welfare. All the employee from upper level to lower level are treated under the same roof of welfare. All these above said agency of verka are responsible for establishing labour welfare. Labour welfare has properly established by these agencies.
Chapter 7 Recommendations and suggestions:•
Rules and regulations are strictly followed.Everybody is invited to put forward their ideas for the improvement of the plant good at many things which make it one of best of all such factories in India. Some of the areas which are really needed to be appreciated are:
There is a Co-operative work culture.
Workers are motivated in good way.
But still I felt some of the things and areas where there is actually required some sort of improvement. For this some of the suggestions are: Foremost important suggestion is that should provide trainees with proper training and should give the knowledge regarding actual working in the HR department as it is the core department of any organization. A little more cleanliness is required in the area canteen. There are some of the parts in the plant where electricity is wasted. This thing should be taken care of. Motion sensors are suggested by me in such areas which will solve the problem of energy scarcity. 45
Special program must be started for creating awareness among the employee related to labour laws
There is a need of promoting recreational activities.
Chapter 8 Observations There were many things which can be observed . Apart from the main topic there were many other aspects related to HR in the verka plant which came into light not only through my topic but also through a small interaction with workers. The main observations are:
Workers are promoted on the basis of experience.
Mostly employees are satisfy with policies related to welfare.
As far as job satisfaction is concerned all the employees are not satisfied with their jobs because of promotion and salary policies.
Workers in verka are very punctual.
Cooperation can be seen from upper level to lower level.
No specific qualification is required to work as a workmen or an operator in the plant.
Experience of working comes by working under somebody else’s supervision and initially no formal training is provided to any worker.
HR department is less active.
Chapter 9 Conclusion:This summer training gave a lot to me. With this summer training we got the exposure to industrial environment. I got the opportunity to closely experience the working in the big organizations. Talking about the topic for the study which is ‘Labour Welfare’, initially I had no idea what exactly a labour welfare is. My officers in the verka plant told me about this concept. It is old concept used in various organizations to protect the rights of employees. At the end when If we conclude the topic we can say that scope of labour welfare is vary wide.All the social , economic and other means which satisfy the labour at during employing and after employing are mian which come under its coverage. After the study of conceptual aspects I am trying it to apply to verka milk plant. The concept of Labour welfare has its own importance in the plant. Various agencies of labour welfare are play a vary active role e.g. Government makes rules and laws which are follow in the verka and the have there own rules which emphasis on welfare other agencies like worker union are also very active.
Labour welfare in verka milk plant has properly established. That’s why a post of Labour Welfare is added in the job fields of plant. So agency of labour welfare in verka
efforts to make life worth living for worker. As for as the topic concern it comes under the scope of HRM. Labour welfare is a that type of concept which make sure that there rigts are protected durig and after the job. Surety of welfare motivate the employees to do there work properly without any partiality and discrimination concern. So in the end we can say that ‘labour welfare’ is properly established in the VERKA MILK PLANT,MOHALI.
Bibliography a. For Books:
Joshi, Rosy (2008);Human resource management, Kalyani, Delhi. b. Internet resources:
http://www.verkafoods.com/download.htm http://milkfed.nic.in/ http://www.vakilno1.com/ http://www.scribd.com/ c. Other sources: The Co-operative Milk Producer Union Employ Service Rules