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EMPLOYEE RELATIONS

By:
Abhishek Kamal
Anju Singh
Archana Singh
Faraz Javed
Harneet Kaur
Heena Gyanchandani
Himanshu Gupta
Hitesh Kakkar
Honey Shukla
Kalpana Kumari
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What is Employee Relations?

Employee Relations involves the body of work


concerned with maintaining employer-employee
relationships that contribute to satisfactory
productivity, motivation, and morale.  

Essentially, Employee Relations is concerned with


preventing and resolving problems involving
individuals which arise out of or affect work
situations

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Industrial visit at Canary London
AT DADANAGAR FACTORY

HIERARCHY LEVEL

MR. SARVESH
DUBEY CHAIRMAN

MR. HIMANSHU
JAIN CEO

MR. RAJEEV TYAGI

MR. ASHWANI MR. RAJNISH MR.


MR. RANJAN
LICENSING & MR. VIKAS VERMA YOGENDERA
MUKHERJEE
ESTABLISHING FRO STORE ACCOUNT
CASH HEAD
OFFICER MANGER HEAD

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INFORMATION GATHERED FROM THE FACTORY VISIT:

• Hiring of employees through word of mouth- a sample is given to


the employees on the basis of that the employees are employed

• Facilities provided to employees


- Festive bonus is provided
- PF 12% is deducted
- According to ESIC (employee state insurance
corporation)
insurance is given
- Free medical treatment is provided
- For women’s no maternity leave is given

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TOPICS COVERED

1. ETHICS, JUSTICE, AND FAIR TREATMENT IN HR MANAGEMENT

2. LABOR RELATIONS AND COLLECTIVE BARGAINING

3. EMPLOYEE SAFETY AND HEALTH

4. MANAGING GLOBAL HUMAN RESOURCES

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ETHICS, JUSTICE AND FAIR
TREATMENT IN HUMAN
RESOURSE MANAGEMENT  

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ETHICS - Ethics in business are nothing but the do’s
and don’ts by the business users in the business
 

Ethical decisions are always characterized by two


things.

1. NORMATIVE JUDGMENT
2. MORALITY

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ETHICS AND LAW
The law is not the best guide about what is ethical, because
something may be legal but not right.

JUSTICE

• DISTRIBUTIVE JUSTICE

• PROCEDURAL JUSTICE

• INTERACTIONAL JUSTICE  

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EIGHT GUIDELINES FOR MANAGING ETHICS IN THE
WORK PLACE

1. Recognize that managing ethics is a process.


2. The bottom line of an ethics program is accomplishing preferred
behaviors in the workplace.
3. The best way to handle ethical dilemmas is to avoid their occurrence in
the first place.
4. Make ethics decisions in groups, and make decisions public, as
appropriate.
5. Integrate ethics management with other management practices.
6. Use cross-functional teams when developing and implementing the
ethics management program
7. Value forgiveness.
8. Note that trying to operate ethically and making a few mistakes is better
than not trying at all. 

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ETHICS TOOLS: POLICIES AND PROCEDURES
• Update policies and procedures to produce behaviors preferred from the
code of conduct.  

• Include policies and procedures to address ethical dilemmas.


 
• Once a year, review all personnel policies and procedures.

• Consider establishing an ethics "hotline."    

ETHICS CODES

• Review any values need to adhere to relevant laws and regulations.

• Identify values needed to address current issues in your workplace.

• Identify any values needed based on findings during strategic planning.  


 

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THE ROLE OF HUMAN RESOURCE MANAGEMENT IN
FOSTERING ETHICS AND FAIR TREATMENT
HR Ethics Activities

• Staffing and selection


• Training
• Performance appraisal
• Reward and disciplinary systems
• Workplace aggression and violence

Ethics Standards

• Our Aim
• Mission
• Standards of Professional Conduct

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EMPLOYEE DISCIPLINE AND PRIVACY
BASICS OF A FAIR AND JUST DISCIPLINE PROCESS
• Rules and regulations
• Progressive penalties
• Formal disciplinary appeals processes: It includes following steps-
1. Management review
2. Officer compliant
3. Executive appeals review
• Discipline without punishment: It includes:
1. Issue an oral reminder
2. Issue an formal written reminder
3. Give a paid one day “decision making leave”
4. One day paid suspension
5. Issue dismissal

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The following issues are also a major concern:-
• Employee privacy
• Employee monitoring
• Restriction
• Legality

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MANAGING DISMISSALS

Dismissal:- Involuntary termination of an employees


employment with the firm.

Termination at will:- It means that without a contract


either the employer or the employee can terminate at will
the employment relationship.

Wrongful discharge:- An employee dismissal that does


not comply with the contractual arrangement stated or
implied by the firm via its employment application forms,
employee manuals, or other promises.

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Grounds For Dismissal

• Unsatisfactory performance
• Misconduct
• Insubordination:- Some examples of insubordination
are-
1. Direct disregard of boss’s authority
2. Public criticism of boss
3. Deliberate defiance of stated company policies, rules,
regulations and procedures and all etc.

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• Fairness in dismissals:-
1. Give full explanations to employee being
dismissed.
2. Follow a formal multistep procedure.
3. Who actually does the dismissal is important.

• Security measures:- Facility security


measures are important whenever dismissals
occur.

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The Termination Interview:- The interview in which an
employee is informed of the fact that he or she has
been dismissed. Guidelines for termination interview
are as follows:-
1. Plan the interview carefully
2. Get to the point
3. Describe the situation
4. Listen
5. Review all elements of the severance package
6. Identify the next step.

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• Outplacement Counseling:- A systematic process by
which a terminated person is trained and counseled in
the techniques of self-appraisal and securing a new
position.

• Exit interviews:- Interviews with employees who are


leaving the firm conducted for the purpose of obtaining
information about the job or related matters, to give the
employer insight about the company.

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Downsizing/Layoff Guidelines

• Identify objectives and constraints


• Form a downsizing team
• Address legal issues
• Plan post-implementation action
• Address security concerns

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Merger Guidelines
• Avoid the rule of power and domination

• Avoid win-lose behavior

• Remain businesslike and professional in all dealings

• Maintain a positive feeling towards the acquired company

• Remember that the degree to which your organization


treats the acquired group with care and dignity will affect
the confidence, productivity, and commitment of those
who remain.

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LABOR RELATIONS
AND
COLLECTIVE BARGAINING

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The Labor Movement

• 1790–Skilled craftsmen organize into trade unions.

• 1869–The Knights of Labor seek social reform.

• 1886–American Federation of Labor pursues bread- and-butter and


improved working conditions.

• 1930s –National Industrial Recovery Act made it easier for labor to


organize unions.

• 1970s–Union membership peaks and begins to steadily decline.

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A Brief History Of Indian Labor Unions

• 1850 and 1870s – Origin of the Indian labor movement

• 1918 – The Madras labor Union was formed with mill workers as
members

• 1920 – All India trade Union Congress (AITUC) is formed which gave
a flip to the organized labor movement in India.

• 1926 – Introduction of Trade Union Act

• 1947-1948 – AITUC splits into Indian National Trade Union Congress


(INTUC) in 1947 and Hindustan Mazdoor Sabha (HMS) in 1948.

• 1976 – Amendment in Industrial Disputes Act

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Why Do Workers Organize?

• Unity
– To get their fair share of the pie.
• Improved wages, hours, working conditions, and
benefits
– To protect themselves from management whims.
• Conditions favoring employee organization
– Low morale
– Fear of job loss
– Arbitrary management actions

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What Do Unions Want?

Union Security

• Closed shop
• Union shop
• Agency shop
• Open shop
• Maintenance of membership arrangement
• Improved Wages, Hours, and Benefits

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The AFL-CIO

• The American Federation of Labor and Congress of


Industrial Organizations (AFL-CIO)
– A voluntary federation of about 100 national and
international labor unions in the United States.
• Structure of the AFL-CIO
– Local unions
– National unions
– National federation

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The Union Drive and Election

• Step 1. Initial contact


– The union determines employees’ interest in
organizing, and sets up an organizing committee.
– Labor Relations Consultants
– Union Salting

• Step 2. Obtaining authorization cards


– 30% of eligible employees in an appropriate
bargaining unit must sign cards authorizing the union
to petition the NLRB for an election.

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The Organizing Drive

• Authorization cards
– Let the union seek a representation election.
– Designate the union as a bargaining representative in
all employment matters.
– State that the employee has applied for membership
in the union and will be subject to union rules and by
laws.

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The Organizing Drive (Cont’d)
• Employer responses to organizing
– Can attack the union on ethical and moral grounds and
cite the cost of union membership.
– Can inform employees of their right to revoke their
authorization cards.
– Cannot check to determine which employees have
actually signed or revoked their authorization cards.
– Cannot tell employees that they can’t sign a card.
– Can prepare a supervisors so they can explain what the
card actually authorizes the union to do.

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The Union Drive and Election (cont’d)

• Step 3. Hold a hearing


– Consent election
– Stipulated election
– Contest of the union’s right to an election

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The Union Drive and Election (cont’d)

• Step 4. The campaign

• Step 5. The election

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Factors which influence the certification
of election

•Union have a higher probability of success in


geographic area with a higher percentage of union
workers, in part because union employees higher
wages and benefits.
•High employment seems to lead to poorer results
for the union, perhaps because employees fear
that unionization efforts might result in reduced job
security or employer retaliation.

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The Supervisor’s Role

• Unfair labor practices by supervisors


– Could cause the NLRB to hold a new election after
the company has won a previous election.
– Could cause the company to forfeit the second
election and go directly to contract negotiation.

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Rules Regarding Literature and Solicitation

• Nonemployees can be barred from soliciting employees during


their work time.
• Employees can be stopped from soliciting other employees if
one or both employees are on paid-duty time and not on a
break.
• Employers can bar nonemployees from the building’s interiors
and work areas as a right of private property owners.
• On- or off-duty employees can be denied access to interior or
exterior areas for reasons of production, safety, or discipline.

Decertification:- Legal process for employees to terminate a


union’s right to represent them.

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WHAT IS COLLECTIVE BARGAINING?

The process through which representatives of


management and the union meet to negotiate a
labor agreement. In a plain language, this means
that both management and labor are required by
law to negotiate wage, hours and terms and
conditions of employment “in good faith”.

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WHAT IS GOOD FAITH?

Good faith bargaining is the cornerstone of


effective labor-management relations. It means
that both parties communicate and negotiate, that
they match proposals with counter proposals, and
that both make every reasonable effort to arrive at
an agreement. It does not mean that one party
compels another to agree to a proposal. Nor does
it require that either party make any specific
concessions.

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WHEN IS BARGAINING NOT IN GOOD FAITH?

As interpreted by the NLRB and the courts, a violation


of the requirement for good faith bargaining may
include the following:
1. Surface Bargaining
2. Inadequate Concessions
3. Imposing Conditions
4. Making Unilateral Changes in Conditions
5. Ignoring Bargaining Items
6. Committing Unfair Labor Practices During
Negotiations

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THE NEGOTIATING TEAM

1. Bargaining Items

2. Voluntary (Or Permissible) Bargaining Items

3. Illegal Bargaining Items

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BARGAINING STAGES

• FIRST
• SECOND
• THIRD
• FOURTH
• Finally, once everything is in order, the parties fine-
tune and sign a formal agreement.

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THIRD- TYPE INVOLVEMENT
Negotiators use three types of third –party
interventions to overcome an impasse:

1. Mediation,
2. Fact finding
3. Arbitration.

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ARBITRATION

There are two main topics of arbitration

1. Interest arbitration

2. Right arbitration

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STRIKE

There are three main types of strikes:

1. Economic Strike
2. Wildcat Strike
3. Sympathy Strike

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OTHER ALTERNATIVES

• A Corporate Campaign
• Boycott
• Inside Games
• Lockout
• Injunction

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GRIEVENCES

Sources of Grievances

• Absenteeism
• Insubordination
• Overtime
• Plant rules

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THE GRIEVANCE PROCEDURE

• The grievances procedure may contain various steps.


• The first step might be for the grievant and shop steward
to meet informally with the grievant’s supervisor to try
finding a solution. If they don’t find one, the employee files
a formal grievance, and there’s a meeting with the
employee, shop steward and the supervisor’s boss.
• The next step involves the grievant and union
representatives meeting with higher –level managers.
Finally, if top management and the union can’t reach
agreement, the grievances may go to arbitration.

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GUIDELINES FOR HANDLING GRIEVANCE

DO:

1. Investigate and handle each case as though it may


eventually result in arbitration.
2. Talk with the employee about his or her grievances; give
the person a full hearing.
3. Visit the work area of the grievance.
4. Fully examine prior grievance records.
5. Treat the union representative as your equal.

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GUIDELINES FOR HANDLING GRIEVANCE

Don’t
1. Hold back the remedy if the company is wrong.
2. Agree to informal amendments in the contract.
3. Give long written grievance answers.
4. Bargain over items not covered by the contract.
5. Settle grievance based on what is “fair”. Instead, stick
to the labor agreement.

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THE UNION MOVEMENT TODAY AND
TOMORROW

1. Why Union Membership Is Down

2. An Upswing for unions

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ORGANIZING PROFESSIONALS AND WHITE
—COLLAR EMPLOYEES

1. New Union Tactics

2. Improving Productivity through HRIS

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EMPLYEE SAFETY
AND
HEALTH

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What Is Health???
“The promotion and maintenance of physical, mental
and well being of workers in all occupation
Prevention among workers of ill – health caused by
the working condition”

Elements of safety and Health program

Management Commitment and Employee Involvement

Worksite Analysis

Hazard Prevention and Control

Training for Employees, Supervisors


and Managers

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Significance of industrial health …

To maintain and improve productivity and quality of


work
To minimize absenteeism and labour turnover

To reduce industrial unrest, indiscipline and


accidents

To improve employee motivation and morale

To reduce spoilage and cost of operations

To preserve the physical and mental health of


employees.
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Working Condition Occupational
Affecting Health Hazards& Diseases

• Cleanliness • Chemical substance


• Lighting • Biological Hazards
• Temperature and • Environment Hazards
Ventilation • Atmospheric
• Freedom from Noise condition
• Working space and
seating arrangement

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Statutory Provision Concerning Health are
as follows:-

• Disposal of Waste

• Artificial Humidification

• Over Crowding

• Room dimensions and space

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Employee safety
According to the Factories Act 1948 ,“an occurrence
in an industrial establishment causing bodily injury to
a person which makes him unfit to resume his duties
in the next 48 hours.”

In other words , it is an unexpected and sudden


event arising out of and in the course of
employment . However , self – inflicted injuries
,injuries inflicting with the consent of person cannot
be regarded as accidents.

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Duties of employers Hazard management
• Take all practicable steps to • Take all practicable steps to
ensure safety of employees at ensure safety of employees at
work work
• Provide and maintain safe working • Provide and maintain safe
environment working environment
• Ensure machinery and equipment • Ensure machinery and
is safe equipment is safe
• Ensure employees are not • Ensure employees are not
exposed to hazards exposed to hazards
• Develop procedures for dealing • Develop procedures for dealing
with emergencies with emergencies
• Ensure employees do not cause
• Ensure employees do not cause harm to others
harm to others
• Ensure employees are
• Ensure employees are adequately adequately trained
trained • Ensure employees do not cause
• Ensure employees do not cause harm to others in workplace
harm to others in workplace

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Measures to Ensure Industrial Safety are as
follows

• Safety policy

• Safety committee

• Safety Education and Training

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INTERNAL FACTORS prevailing in industry

JOB STRESS

Diversity and discrimination Sexual harassment, violence, and incivility

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Measurement and Records of Accidents
Two main measurement ratios used to measure accidents
are frequency rate and severity rate . Accident frequency
rate is the number of time lost accidents or injuries per
employee per 1000000 man hours worked . Accident
severity rate means the total number of days charged or
lost because of accidents per 1000000 man hours worked.

Accident frequency rate = no. of injuries *1000000


total no. of man hours worked

Accident severity Rate = no. of man days lost * 1000000


total no. of man hours worked

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Accident ratios

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Causes Of Industrial Accidents

1. Unsafe Condition: these refers to work related or


technical causes .
(a) The job itself : some jobs are inherently more
dangerous than others.
(b) Work schedules: Night shift is more accident
prone than day shift due to fatigue and sleepiness.
(c) Psychological condition : Emotional disturbance
and mental preoccupation often cause accidents
.over – work , monotony , bordom , anxiety , fatigue
and frustration disturb concentration and mental
alertness leading to accidents.

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Causes Of Industrial Accidents…

2. Unsafe Acts : These arise due to lack of knowledge and skills


,bodily defects and faulty attitudes . Some examples are given
below :

(a) operating without authority


(b) failure to use safety devices
(c) failure to use listen to warning
(d) operating at unsafe speeds
(e) using unsafe equipment
(f) lifting things improperly

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HR Responses

• Organizational health and safety interventions can be


classified into two general categories:

– Initiatives that reduce and prevent strain and injury


from occurring in the first place

– Initiatives that help to rehabilitate individuals who


have already experienced strain and injury

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• Preventative Interventions

• Compensation

• Employee Involvement and Job Enrichment

• Diversity Training

• Work-Life Balance Initiatives

• Safety Management

• Employee Assistance Programs

• Health Promotion

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REAL STATISTICAL DATA

Estimated prevalence of self-reported work-related illness

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Health seen by specialist doctors

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MANAGING GLOBAL
HUMAN RESOURCES

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INTRODUCTION

1990s, with the pace of globalization accelerating,


national systems regulating the employment relationship
appear to be passé.

The process of globalization - the integration of


markets, new markets (e.g. China and India) increased
foreign direct investment by MNCs, and cross-border
integration of production and services.

The proliferation of interest in both international HRM


and comparative HRM springs directly from globalization
and from strategic management theory.

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The HR Challenges of
International Business
• Deployment
– Easily getting the right skills to where we need
them, regardless of geographic location.
• Knowledge and innovation dissemination
– Spreading state-of-the-art knowledge and practices
throughout the organization regardless of where
they originate.
• Identifying and developing talent on a global basis
– Identifying can function effectively in a global
organization and developing his or her abilities.

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Intercountry Differences Affecting HRM

• Cultural Factors

• Economic Systems

• Legal and Industrial Relations Factors

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A Global HR System

• Making the global HR system more acceptable


– Remember that global systems are more accepted
in truly global organizations.
– Investigate pressures to differentiate and
determine their legitimacy.
– Try to work within the context of a strong corporate
culture.

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A Global HR System (cont’d)
• Developing a more effective global HR system
– Form global HR networks.
– Remember that it’s more important to standardize
ends and competencies than specific methods.

• Implementing the global HR system


– Remember, “You can’t communicate enough.”
– Dedicate adequate resources for the global HR
effort.

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Staffing the Global Organization
• International staffing: Home or local?
– Expatriates (expats): Noncitizens of the countries
in which they are working.
– Home-country nationals: Citizens of the country
in which the multinational company has its
headquarters.
– Third-country nationals: Citizens of a country
other than the parent or the host country.
• Offshoring
– Having local employees abroad do jobs that the
firm’s domestic employees previously did in-
house.

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Staffing the Global Organization (cont’d)

• Offshoring
– Having local employees abroad do jobs that the
firm’s domestic employees previously did in-
house.
• Issues in offshoring
– Having an effective supervisory and management
structure in place to manage the workers.
– Screening and required training for the employees
receive the that they require.
– Ensuring that compensation policies and working
conditions are satisfactory.

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Values and International Staffing Policy
• Ethnocentric
– The notion that home-country attitudes, management style,
knowledge, evaluation criteria, and managers are superior to
anything the host country has to offer.
• Polycentric
– A conscious belief that only the host-country managers can
ever really understand the culture and behavior of the host-
country market.
• Geocentric
– The belief that the firm’s whole management staff must be
scoured on a global basis, on the assumption that the best
manager of a specific position anywhere may be in any of
the countries in which the firm operates.

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Why Expatriate Assignments Fail

• Personality
• Personal intentions
• Family pressures
• Inability of the spouse to adjust
• Inability to cope with larger overseas responsibility.
• Lack of cultural skills

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Selecting Expatriate Managers

• Adaptability screening
– Assessing the assignee’s (and spouse’s) probable
success in handling the foreign transfer.
– Overseas Assignment Inventory
• A test that identifies the characteristics and
attitudes international assignment candidates
should have.
• Realistic previews
– The problems to expect in the new job as well as
about the cultural benefits, problems, and
idiosyncrasies of the country.

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Orienting and Training for
International Assignment
• There is little or no systematic selection and
training for assignments overseas.
• Training is needed on:
– The impact of cultural differences on business
outcomes.
– How attitudes (both negative and positive) are
formed and how they influence behavior.
– Factual knowledge about the target country.
– Language and adjustment and adaptation skills.

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Trends in Expatriate Training
• Rotating assignments that permit overseas managers
to grow professionally.
• Management development centers around the world
where executives hone their skills.
• Classroom programs provide overseas executives
with educational opportunities similar to stateside
programs.
• Continuing, in-country cross-cultural training
• Use of returning managers as resources to cultivate
the “global mind-sets” of their home-office staff.
• Use of software and the Internet for cross-cultural
training.

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Compensating Expatriates
• The “Balance Sheet Approach”
– Home-country groups of expenses—income taxes,
housing, goods and services, and discretionary
expenses—are the focus of attention.
– The employer estimates what each of these four
expenses is in the expatriate’s home country, and
what each will be in the host country.
– The employer then pays any differences such as
additional income taxes or housing expenses.

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Incentives

• Foreign service premiums


– Financial payments over and above regular base
pay, and typically range between 10% and 30% of
base pay.
• Hardship allowances
– Payments to compensate expatriates for
exceptionally hard living and working conditions at
certain foreign locations.
• Mobility premiums
– Lump-sum payments to reward employees for
moving from one assignment to another.

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Appraising Expatriate Managers

• Challenges in appraising oversea managers


– Determining who should appraise the manager.
– Deciding on which factors to base the appraisal.
• Improving the expatriate appraisal process
– Stipulate the assignment’s difficulty level, and
adapt the performance criteria to the situation.
– Weigh the evaluation more toward the on-site
manager’s appraisal than toward the home-site
manager’s.
– If the home-office manager does the actual written
appraisal, use a former expatriate from the same
overseas location for advice.
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EMPLOYEE RELATIONS
AT
“TATA”

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INTRODUCTION

People come first at Tata Steel, with mutual trust


and co-operation the most outstanding characteristic
of its employee relations. The Tata Workers’ Union
and the Management of Tata Steel have created a
75-year old legacy of harmonious industrial
relations. The Company adopted path breaking
welfare schemes, instituted Joint Consultation
through a landmark agreement in 1956 and created
housing, sanitation, roads, a hospital, schools, parks
and gardens for them as it built the Steel Works.

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Employment Generation

Today, Tata Steel has a total permanent workforce of about 40,000.


However, through outsourcing of various activities in its operational
areas and projects, there has been an increase in employment within
the Steel Works.

The Company provides free medical services through a Company-run


hospital and supports educational facilities for the employees and their
families. Besides benefits such as the employee family benefit
scheme, early separation scheme, the Company continues to provide
benefits beyond those legally mandated to ensure an excellent quality
of life for its employees. These include housing, free water and
medical services, subsidised electricity, housing, metro allowance,
rewards and recognitions as well as special allowances.

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Leader in employee relations

A pioneer in the area of Joint Consultations in India,


Tata Steel has a three-tier Joint Consultation System
that ensures participation of employees at all levels
including the top management.

The Company has been rated as Among India’s Best


Employers and holds the 2nd place in the Asia Pacific
in Leadership Development.

It also provides benefits beyond those legally


mandated to ensure an excellent quality of life.

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THANK YOU

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