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A Summer Training Project Report on Worker Absenteeism - Causes, effects & remedies at (Rajasthan Spinning and Weaving Mills,

Kharigram (Rajasthan))



Submitted to:
Mr. Sanjeev Modi Principal - GSM

Submitted By:
Mohit Madan BBA 5th Sem. Roll No.- 1045xxxxxxxx

S. No. 1 2 3 4 Index of tables Declaration Acknowledgement Preface 1.1 - Group Profile 1.2 - Company Profile 5 Title Page No. -i-iii-iv-v1 10 16 17 20 20 23 29

Chapter I - Introduction

1.3 - SWOT Analysis of RSWM, Kharigram 1.4 - Introduction to Project

Chapter II - Need &


2.1 - Need for study 2.2 - Objectives of study 3.1 - Recruitment Process 3.2 - Peculiar features of


Chapter III - Review of


absenteeism in India 3.3 - Procedure of attendance,


leave and 'late to work' 3.4 - Distribution of leaves 3.5 - Effects of Absenteeism 4.1 - Questionnaire Construction

30 31 31 36 37 37 37 37 37

Chapter IV - Research

4.2 - Defining the population 4.3 - Sampling Plan 4.4 - Sample Size 4.5 - Period of Survey 4.6 - Limitations of study

Design & Hypothesis Development

4.7 - Hypothesis Development 9 10 11

38 41 68 72 73 74 77 81

Chapter V - Data Analysis & Interpretation Chapter VI - Findings of the study Chapter VII - Conclusion & Proof of Hypothesis
7.1 - Conclusion 7.2 - Proof of Hypothesis

12 13 14

Chapter VIII - Suggestions and Recommendations

Questionnaire/Schedule Annexure/Bibliography

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28

Table Name
Table showing age of respondents Table showing sex of respondents Table showing respondents' educational qualification Table showing respondents' marital status Table showing position of the employee Table showing last leave taken by respondents Table showing experience of the respondents Table showing local v/s outsider respondent ratio Table showing transportation method of the respondents Table showing respondents ' boarding type Table showing other sources of income of respondents Table showing respondents' ability to communicate feelings Table showing respondents' loneliness level while working Table showing respondents' happiness while coming to work Table showing respondents' stress level at work Table showing respondents' attendance per month Table showing respondents' absents in a month Table showing respondents' ratings on basis of various factors Table showing respondents' awareness level towards company output Table showing respondents' skill utilization level Table showing respondents' salary satisfaction level Table showing respondents' flexibility and independence Table showing respondent reason for taking leave Table showing respondent absenteeism due to transport problems Table showing respondent absent due to health problems Table showing respondents' leave on requirement Table showing respondent help from company in personal problem Table showing respondent counseling from company in personal

Page No
42 42 43 43 44 45 46 46 47 47 48 49 50 51 52 52 53 55 56 56 57 57 58 59 59 60 60 61

problem 29 30 31 32 33 33 34 35 36 37 Table showing respondents' shift rotation preference Table showing respondent freedom of changing shifts Table showing respondents' shift timing preference Table showing respondents' expectations regarding facility from company Table showing respondents' leave for harvesting Last leave taken - Comparison chart (Local v/s Outsiders) Hosteller daily present-absent average Attendance graph on basis of experience Attendance pattern of respondents with other sources of income Labour losses for RSWM, Kharigram 62 62 63 63 64 64 66 66 67 67


I hereby declare that the work, which is presented in this project is partial fulfillment for the award of the degree of Bachelor Of Business Administrations (BBA), is an authentic record of work carried by me during the period from 4 June 2012 to 17 July 2012.

I further declare that no part of this project report has been submitted to any other university program or company to any other degree or certificate.

Mohit Madan Class-B.B.A. 5th semester Roll No.- 1045xxxxxxxx

Mrs. Amanpreet Kaur Chhabra Project Guide


A project is like a mission which can be successful only if all constituents work towards its completion with sincerity, synergy and follows sound professional principles. Many people have directly & indirectly played a very crucial role in planning and execution of this project work.

At the outset, I would like to express my gratitude to Rajasthan Spinning & Weaving Mills, Kharigram(Rajasthan), Mr. Rajeev Jain(COO) and Mr. N.K. Shrivastav, General Manager (HRD) for giving me this opportunity to learn with this organization. The unconditional help extended by Mr. Gourav Bakliwal(HRD) and Mr. Sunil Bhatnagar, DGM (Training) really deserves a mention at this platform. I would also like to thank Mr. Brijesh Joshi, General Manager (Personnel & Adm.), Mr. SS Shrishrimal, Asst. Manager (Personnel & Adm.) and Mr. Manish Khariwal (IT) for their immense support throughout the project.

I am thankful to our director Mr. Gurkirat Singh, Principal(GSM) - Mr. Sanjeev Modi, Head of Department - Dr. V.J. Rai, class in-charge - Mrs. Priyanka Makhija and my project guide Mrs. Amanpreet Kaur Chhabra for their inevitable guidance given to me from time to time. I would also like to thank all the teachers for every guidance given to me throughout the curriculum for their direct or indirect support.

The workers and other employees who were the focal center of my study have played an extremely important role by giving their inputs & suggestions. It is only through their feedback that an organization can improve and innovate. I would like to thank all the employees and departments of RSWM, Kharigram for their inputs and cooperation.

Mohit Madan


In completion of Bachelor of Business Administration degree program, a research project is necessary to be conducted to give students an opportunity to have experience of the practical field. Unless and until a student experience the novelty of practical work, his/her knowledge of what he/she study in theoretical course remains incomplete. The most important point in internship is that the student should spend his time in true manner and with the spirit to learn practical orientation of theoretical study framework.

Business Administration is relating to management in an organization, hereby research project for Business Administration course students should relate with management issues. Therefore I decided to conduct a study of worker absenteeism in the textile industry in the industrial area of Rajasthan at RSWM, Kharigram.

In order to sustain in this fast-paced competitive environment, management should not only focus on the profit but they should emphasize more on workers because workers are the most valuable assets in an organization. Hiring the suitable workers can enhance the organizations value. Thus, it is important to hiring the correct workers fit with the vacancy. By this way, the organizations problem such as absenteeism issues can be reduced. Such absenteeism issue has brought negative effect toward organization, like the increasing cost of lost work time and the declining of work efficiency.

This study will help to identify the reasons behind the worker absenteeism - cultural, gender based absenteeism, season-wise based absenteeism, etc., its effects on the organization - Productivity, administrative and financial effects and lays out the suggestions to control worker absenteeism. Hopefully, this study can help the company to gain better understanding of worker absenteeism and decide on the necessary actions that can be taken to avoid it.


Chapter I



Group Profile

"To me Bhilwara group is not a Business house, I see it is an institution that is committed to seek excellence." - L. N. Jhunjhunwala, Chairman - emeritus

Figure 1.1: LNJ Bhilwara group company map & brand leaflet

The LNJ Bhilwara group follows the belief of creating modern, stable and successful companies that benefit all its stakeholders and begets their prosperity. For decades, the group has been concentrating all its resources to bring greater enrichment in product designing, creativity, innovation and work practices, with continuous ethos of quality and excellence. Realizing the need for worldwide integration, the group's activities have been centered on quality, efficiency, customer satisfaction and sharing the ideas of people of all levels and going to great lengths to achieve them to bring the fruits of philosophy to a greater number of people, it has taken up the task of continuing to identify new focus areas that will drive the growth of the group in the years to come.


The Group: Salient Features

The LNJ Bhilwara group, founded by Mr. L. N. Jhunjhunwala is a business group with a global presence. It actively seeks growth and profitability by investing in variety of systematically identified business making. It is a multi-product conglomerate with interests in a range of industries such as textiles, graphite electrodes, power generation, sponge iron, information technology and IT enabled services.

The group started its operations in 1961. It has risen to become one of the largest business firms in the Indian federation, with over 25000 employees and production units positioned at strategic locations across the country. Following the success of their early power project the 15 MW at Tawa Nagar (M.P) in early 1997, the group has recently commissioned in July 2001, India s first hydroelectric IPP 86 MW Malana power project in a record time of 30 months at Kullu (H.P).

RSWML, the flagship company of the LNJ Bhilwara group, manufactures yarn (viscose, blended and cotton) and fabric, for domestic and export markets. The company has an installed capacity of 3,60,000 spindles spread over four locations - Kharigram, Banswara, Rishabdev and Bhilwara, in Rajasthan. RSWM has consolidated its position in spinning and weaving, by expanding capacities, modernizing existing operations and introducing new value added products, which are the key success factors in the highly competitive polyester viscose (PV) yarn industry.

The Rs. 25,575 million LNJ Bhilwara Group is engaged in various businesses like textiles yarn spinning, woven and knitted fabrics, knitted garments, fabric processing, manufacture of graphite electrodes, sponge iron and power generation. The other major companies in the group are HEG Limited (manufacture of graphite electrodes), Maral Overseas Limited (export of knitted garments), BSL Limited (spinning and weaving worsted yarn), Bhilwara Spinners Limited (spinning and weaving PV yarn), Bhilwara Processors Limited (textile processing) and Malana Power.


Kharigram, P.O. Gulabpura Dist. Bhilwara, Rajasthan. Pin 311021

Registered office

Head / Corporate office

Bhilwara Bhawan, 40-41 Community centre, New Friends Colony, New Delhi. Pin - 110065

Incorporation year


Ownership group

LNJ Bhilwara Group

Main activity

Cotton & blended yarn

Listed on

Bombay Stock Exchange, Calcutta Stock Exchange, Delhi Stock Exchange, National Stock Exchange

The founder of LNJ Bhilwara group is Shri Lakshmi Niwas Jhunjhunwala, set up a jute export company at the young age of 19 and within three years it had become one of the Indian top ten concerns. Diversifying into iron and steel manganese and iron ore in the next few years saw third largest Iron Exporter. In 1960 he ventured into another area i.e. cotton textiles under the name Rajasthan spinning and weaving mills Ltd. The flagship of LNJ Bhilwara group which started 4

with cotton, later diversified into synthetic and worsted woolen and knitted garments too. Simultaneously, the groups made its way into other areas like graphite, electrodes, sponge iron oil drilling, hydropower production and financial services. Today a group is all set to explore other areas like petrochemicals and telecommunications.

Figure 1.2: LNJ Bhilwara Group Business Family Tree


LNJ Bhilwara Group Companies

1.4.1 Textiles

Rajasthan Spinning & Weaving Mills Ltd. (RSWM) Plant Location 1. 2. 3. 4. 5. Kharigram (Rajasthan) Banswara (Rajasthan) Mandpam (Rajasthan) Rishabdev (Rajasthan) Ringas (Rajasthan) Fiber dyeing, Spinning dyed and grey yarn Spinning PV blended cotton and open end grey yarn Mlange cotton dyed yarn and yarn dyeing Spinning PV blended grey yarn Fiber Dyeing & Spinning dyed yarn Spinning, Weaving, Processing and finishing cotton 6. LNJ Nagar, Mordi (Rajasthan) ring and Open End spinning, Weaving & Rope Dyeing, processing and finishing Denim fabric

Maral Overseas Ltd. (MARAL) Plant Location 1. 2. 3. Maral Sarovar (100% EOU) Jammu (J&K) Noida Cotton spinning, knitting, dyeing and finishing knitted garments Cotton knitted fabrics and knitwear Knitwear and sweaters

BSL Ltd. (BSL) Plant Location 1. Bhilwara (Rajasthan) PV and worsted spinning, PV and worsted weaving and silk fabric

Maral Fashions Plant Location 1. New Delhi Readymade Garments Retailing

RSWM - SISA SA Plant Location 1. Barcelona, Spain Spinning cotton, viscose and acrylic dyed yarn

Cheslind Textiles Ltd. Plant Location 1. Bagalur Spinning cotton, compact, gassed and mercerized yarn and knitting Spinning cotton, compact, gassed and mercerized yarn and knitting



HEG Ltd.


Plant Location 1. 2. 3. Mandideep Tawa Durg (Madhya Pradesh) Graphite Electrodes, Captive thermal power generation Captive Hydro Electric Power Generation Sponge Iron, Waste heat recovery

Maral Overseas Ltd. Plant Location 1. Maral Sarovar Captive Thermal Power

RSWM Limited Plant Location 1. LNJ Nagar, Mordi (Rajasthan) Thermal Power generation



Bhilwara Energy Ltd. Plant Location 1. 2. Pathankot Tawang UBDC Stage - III Hydro electric power generation Nyam Jang Chuu Hydro Electric Power Generation

Malana Power Company Ltd. (MPCL) Plant Location 1. Malana - Kullu (Himachal Pradesh) Hydro Electric Power Generation

BSL Ltd. Plant Location 1. Jaisalmer Wind Power Generation

A D Hydro Power Ltd. Plant Location 1. Allian-Duhagan (Manali - Himachal Pradesh) Hydro Electric Power Generation

Indo-Canadian Consultancy Services Ltd. Plant Location 1. Noida (UP) Power Engineering Services


Information Technology

Bhilwara Scribe Pvt. Ltd. Plant Location 1. 2. Bhopal (Madhya Pradesh) Bengaluru Medical Transcription services Medical Transcription services

Bhilwara InfoTech Ltd. Plant Location



IT services



Corporate Office Office Location 1. Noida (Uttar Pradesh)

Regional/Marketing Office Office Location 1. 2. 3. 4. 5. 6. 7. Mumbai Kolkata Bangalore New Delhi Ludhiana Amritsar Bhilwara

Sales Depot - Office Locations 1. 2. 3. Delhi Ludhiana Bhilwara 4. 5. Tirupur Mumbai


Company Profile

RSWM Limited, the flagship company of LNJ Bhilwara Group, is a professionally managed, progressive and growth-oriented and one of the largest textile manufacturer in the country, primarily producing synthetic, blended, mlange, cotton & specialty yarn, fabric and denim.

RSWM was established in 1960, an IS/ISO 9001:2001 and SA 8000:2008 accredited Company, has 8 state-of-the-art manufacturing plants which moved from strength to strength and today, it operates about 3,60,000 spindles, having 1,10,000 MT yarn capacity. It is equipped with inhouse fabric weaving and processing facilities of about 35.6 MM for fabric and denim fabric. RSWM is self-reliant in Captive Power Generation of 46 MW that feeds all its integrated units spread across the state of Rajasthan. Modern technologies and world class skills have enabled the company to produce the finest quality adhering to stringent international norms.

The main competitive strength of the company is its innovative product range that includes specialty, functional, technical and eco-friendly yarn and fabric along with basic and commodity products. The company recently has shifted its focus to produce more and more natural textiles in order to meet the emerging needs of the market.

RSWM exports a complete range of yarn and fabric to over 70 countries worldwide, giving the company a large, visible presence across Europe, South Africa, North America, Australia, South Korea, Belgium, Singapore, Italy, Egypt and the Gulf countries. The Company holds the prestigious Three Star Export House status and has received Export Awards from the Synthetic and Rayon Textiles Export Promotion Council consecutively for several years. The Company is a recipient of the Rajiv Gandhi National Quality Award received from the Bureau of Indian Standards for the years 2006 and 2007. RSWM has also received "Niryat Shree" - Certificate of


Excellence (Non-SSI) award for the category of textile and textile products. RSWM is one of the leading brand `Mayur Suitings enjoys a high brand equity in its target segment in the country. The Gulabpura unit of RSWM has sprawling area of 62501 sq. meters, employing 1965 skilled and 296 unskilled manpower. The units annual production capacity of yarn is 14,400 tons and 12 million meters of fabrics.

1.5.1 Company Mission "With unique insight into consumer behavior, we strive to offer the best. Following distinct business strategies, the company will continue its tradition of manufacturing the finest products." 1.5.2 Company Vision "RSWM envisages itself as a trend setter of the textile industry. It is committed to introduce innovative products in the industry which will set new standards." 1.5.3 Company Policy Quality Policy: We, at RSWM Limited, engaged in the production of textiles commit ourselves to achieve total customer satisfaction. Consistently meeting the customer and other product related requirement. Using modern technology Continual improvements in the effectiveness of quality management system. Involvement of all concerns. Environmental Policy: We, at RSWM Limited, engaged in the production of textiles commit ourselves to: Preventing pollution through efficient use of resources and operational control Making continual improvement in our environmental performance by controlling various releases. Complying all applicable environmental legislations and regulations.

11 Certification A) International Organization for Standardization- ISO:

The ISO is an organization, which takes care of standardization of various systems all over the world. It basically came into existence because the Europeans were the most quality conscious class and demanded that the imports from the Third World Countries must have consistent quality. So to lay the stress on the quality assurance i.e. to assure the quality product to the customers and consumers, the nerve was held down the production line and there came into existence the Quality Assurance Mode.

a. ISO:9001 Quality Assurance in design, development, production, installation and servicing. This model is stringent in the product design and after sales service and cannot deviate the patterns. b. ISO:9002 Quality Assurance in production, installation and servicing. This model has an imbibed flexibility in it, which assures that the producers can be lithe in making their designs. The inspections so provided are at the elementary shop-floor level. Rajasthan Spinning & Weaving Mills Ltd. (Mayur Suitings) is the first integrated mill which is the recipient of ISO 9002 in Rajasthan. c. ISO:9003 Quality Assurance in the final inspection and test. from


Function of the Mill

RSWM workers work in 3 shifts. The production process is nonstop. The first shift timing is from 7:00 A.M. to 3.00 P.M. The second shift is from 3.00 P.M .to 11:00 P.M. And the third shift is from 11 P.M. to 7.00 A.M. Nearly 4679 workers are working in the mill.

A dream that started small and grew on the wings of an embedding passion to grow, to lead, to show the way. A vision that saw a small textile unit pioneer a boom in the textile synthetic yarn market. It emerged as a leader in yarn and fabric overtime. A leader called Rajasthan Spinning and Weaving Mills Ltd. or RSWM, a name that stands for world class yarn and fabrics. They have an installed capacity of 131,376 spindles and 69 looms. They have also build Mayur, one of


the India's top textile brands. With a product range that includes P/V yarn and fabric, flameretardant fabric, specialty Tensile and Lycra blends. RSWM also do grey yarn, with strengths in P/C and other cotton blended yarns The unit provides employment to 4300- 4600 workers and to about 250-270 staff members including employees, personnel and executive. All the workers and staff members are governed by same rules which fall under the preview of Industrial employment standing orders act, 1946.

The Organization Structure of the company is given on the next page.



Organization Chart of RSWM, Kharigram

Figure 1.3: RSWM, Kharigram Organization Chart



Process of Manufacturing
Fiber Dyeing Fiber Dyeing is the process of dyeing the Grey fiber into colored fiber. The yarn can be produced in various colors according to the requirement of the customer. Mixing Mixing is the process of combining dyed fiber and grey fiber in a homogeneous manner to produce a particular colour for the yarn. The mixing process gives out a homogeneous mixture of dyed and grey fibers. Blow Room Fiber is received at the mill in highly compressed bales. Bales of different varieties are opened at time and layer of fiber from each bale is fed alternatively, into the machine with a view to obtain uniform blend. It is cleaned in blow room line. Carding The blow room lap is fed into carding machine. The fiber is subject to the action of sharp wire points of licker cylinder, doffer and flatter resulting in the further removal of neps and waste. After processing in, comes out in the cane. Drawing On the drawing frame, a uniform sliver lab is produced- by 6 to 8 card sliver and drafting them proportionately. Here parallelization of fibers is achieved and this process is repeated twice for carded yam and the sliver lab is then fed to the speed frame. Speed Frames This term' Speed frames' is used to designate a group of machines in which fiber in the form of drawing sliver is reduced to a much smaller size by drafting and a slight twist. Ring Frames The final yarn is spun on ring frames by drafting and twisting the rove from the speed frames. The drafts and twist .varies depending on the count and quality of yarn required. Doubling Generally two yarn threads are sending parallel on single cone on a doublers winding machine. Thereafter such yarn is twisted together on a ring doubling machine to form a double yarn.



SWOT Analysis of RSWM, Kharigram

1.11.1 Strengths RSWM is pioneer company of LNJ Bhilwara Group which is the largest exporter of polyester / viscose yarn. It has won SRTEPC, highest export award for polyester / viscose yarn exports in year 2001-02. RSWM has been accorded Golden Trading House since 1998. Its products known as quality product and bagged the premier in comparison of competitors product. RSWM is accorded with certificate of IS/ISO 9001:2000 and weighted for quality commitment and consistency. Its fabric is marketed with the well known brand name of Mayur. RSWM having high-speed looms for fabric production and more than 90% auto coners for yarn 100% captive & standby power generation. Trend setter in the industry for new Plant/Machinery and products. Continuous in house Research and Development cell and also Group R&D centre. Textiles future better after opening of quotas. 1.11.2 Weakness: Competition with the local process houses/independent loom units in piece dyed suiting qualities in view of their lower administering and other costs. Continuous product development will enable to compete with them. Proportionate lower percentage in the export looking to the overall production although the exports increased compared to the last year. RSWM is not able compete with local Bhilwara market with the reference of trading channel. Worker Absenteeism is one of the major weaknesses of all the industries in this belt. RSWM is no exception to this.

1.11.3 Opportunity:

RSWM has well-established marketing arrangement to sell its yarn all over India and worldwide.

RSWM marketed its fabric to dealers network spread throughout the India.


RSWM introducing the flame-retardant fabric, and yarn and in the leading position. Introduced Lycra yarn and fabric in PV yarn. Having vision to penetrate in the readymade market RSWM capable to enter into the high profile contract furnishing and decorative fabric and other value added fabric. Export to USA. 1.11.4 Threat: Opening of the import and duty reduction. Competition with the textured yarn being lower production cost and high durability. Increase trend of the readymade garment and fashion fabrics viz. cotton fabric as against individually stitching change

1.12 Introduction to Project

The human resources of an organization consist of all people who perform its activities. Human resource management (HRM) is concerned with the personnel policies and managerial practices and systems that influence the workforce. In broader terms, all decisions that affect the workforce of the organization concern the HRM function.

Absenteeism is the term generally used to refer to unscheduled employee absences from the workplace. Many causes of absenteeism are legitimate, for example personal illness or family issues, but absenteeism also can often be traced to other factors such as a poor work environment or workers who are not committed to their jobs. If such absences become excessive, they can have a seriously adverse impact on a business's operations and, ultimately, its profitability. The Labour Bureau of India defined the absenteeism rate as - "the total man-shifts lost because of absences as a percentage of the total number of man-shifts scheduled."

Absenteeism in Indian industries is not a new phenomenon. It is the manifestation of a decision by employees not to present themselves at their place of work, at a time when it is planned by the management that they should be in attendance. Many research reports reveal that there has been a phenomenal increase in absenteeism in some industrial sectors. The absenteeism becomes a


problem to organizational management particularly when employees stay absent from their work environment without giving sufficient notice and by justifying their stand by furnishing fake reasons.

The activities involved in HRM function are pervasive throughout the organization. Line managers, typically spend more than 50 percent of their time for human resource activities such hiring, evaluating, disciplining, and scheduling employees. Human resource management specialists in the HRM department help organizations with all activities related to staffing and maintaining an effective workforce. Major HRM responsibilities include work design and job analysis, training and development, recruiting, compensation, team-building, performance management and appraisal, worker health and safety issues, as well as identifying or developing valid methods for selecting staff. HRM department provides the tools, data and processes that are used by line managers in their human resource management component of their job.


Chapter II

Need and Objectives



Need for the study

The success of any manufacturing organization depends largely on the workers. The employees are considered as the backbone of Rajasthan Spinning & Weaving Ltd., Kharigram.

The study is on worker absenteeism in RSWM, Kharigram that has a high worker absent ratio, the highest being 18.19% in the financial year 2009-2010. The worker absenteeism is booming HR issue in many industries. It helps to find cause of employee absenteeism, based on certain factor like working condition, leadership style, work stress, leave days, work and local culture and salary level.

This study can be helpful to the management to improve its core weaknesses by the suggestions and recommendations prescribed in the project. The need of this study can be recognized when the result of the related study need suggestions and recommendations to the similar situation.


Objectives of the study

The main objective of the study is to find the various studies on absenteeism of man hour and suggestion to reduce absenteeism. To analyze the master attendance and to find the rate of absenteeism on the basis of various categories. To study the absenteeism on the basis of the hypothesis. To suggest controlling tools to reduce absenteeism. To find out the reason for avoidable and unavoidable absenteeism. To know the types of facilities and welfare activities for the employees benefit.


Chapter III

Review of Literature


The human resources of an organization consist of all people who perform its activities. Human resource management (HRM) is concerned with the personnel policies and managerial practices and systems that influence the workforce. In broader terms, all decisions that affect the workforce of the organization concern the HRM function.

The activities performed by HRM professionals fall under five major domains: (1) Organizational design, (2) Staffing, (3) Performance Management and Appraisal, (4) Employee and Organizational Development, and (5) Reward Systems, Benefits and Compliance

Recruitment, employee orientation, selection, promotion, and termination are among the activities that fit into the staffing domain. The performance management domain includes assessments of individuals and teams to measure, and to improve work performance. Employee training and development programs are concerned with establishing, fostering, and maintaining employee skills base don organizational and employee needs.

Reward systems, benefits and compliance have to do with any type of reward or benefit that may be available to employees. Labor law, health and safety issues and unemployment policy fall under compliance component.

In an increasingly dynamic business environment, the availability of the right information at the right time is of paramount importance for managing the various functions of an organization. Needless to state, that the most important resource in any organization are people. Managing the human resource is a mammoth task as the requirements are varied and often, unpredictable too. From the organizations point of view, a wide range of requirements need to be addressed such as recruitment, compensation and retirement.


3.1 Recruitment Process

Recruitment is the process of finding and attracting capable applicants for employment The process begins when new recruits are sought and when their applications are submitted , the result is a pool of applicants from which new employee are selected.

3.1.1 Worker Recruitment In Rajasthan Spinning & Weaving Mills Ltd. Kharigram, there is a recruitment policy for apprentice and worker. Worker recruitment process is here under:

3.1.2 Sources of recruitment In Rajasthan Spinning and Weaving Mills Ltd. Kharigram, untrained persons are recruited from following options: (i) Internal Sources: The internal sources of the recruitment include personnel already on the pay roll and wish to return or whom the company may like to re-hire, like those who left their job voluntary or were laid-off. This kind of source offers several advantages: Selection and Placement of existing employees are simple and economical The employer is in a better position to appraise the skill and capability of present employees accurately It improves employee morale as internal promotions provide opportunities for advancement It promotes loyalty among the employees Persons already employed can be more easily inducted and trained for new jobs.

(ii) External Sources: These sources lie outside the organization, and usually include: Persons introduces and recommended by present and former employees or trade unions Employment exchanges and private employment agencies Open advertisements Education, technical and professional institutions Contractors and jobbers Gate hiring of unskilled workers 23

Casual applicants Temporary or Badli workers.

For this, the company uses the following options: A) Direct Recruitment: On every Monday people from the surrounding villages come at factory main gate. Recruitment officer of the mill visits at main gate and select suitable person as per factory norms and policy. B) Camp Interview: In case of excess shortage of workers, a recruitment camp is organized in Panchayat Samittee and suitable persons are recruited directly in this camp through company recruitment person. C) Rozgar Mela: Rozgar Mela is also organized through District Employment Office and suitable person is selected there for recruitment. 3.1.3 1. 2 3 4 5 6 Recruitment Norms 18 to 24 years Class 7th and above Transfer Certificate, Character certificate, Police record, two passport sized photographs and family photograph Minimum 45 Kg. Minimum 5 feet 5 inches Two guarantor of mill workers.

Age Education Documents Weight Height Guarantor Test Details: After verification of above documents, if any candidate found suitable, candidate is required to fill form in his own handwriting. After that, the following test are conducted: 1) Physical Test 2) Color Vision Test 3) Intelligence Test 4) Aptitude Test


5) General Test of Attitude and Behavior.

Once the workers are recruited, their wages are given as per the set standards of the company. The company has categorized the workers into three categories and provides wages to them on the set standards for each category. The wage structure is given below. Worker Category 1. 2. 3. Worker Jr. Badli Sr. Apprentice Wage rate per day Rs. 200 - 210 Rs. 190 - 200 Rs. 160 - 180

The workers receive these wages on the 10th of every month. These workers are also provided with bonuses and incentives based on the attendance and performance on every Independence Day and Republic Day at special functions. As per the RAMCO reports, the state-wise on roll position of the workers/recruits for the past four months is given in the table below: State March '12 On roll Rajasthan Uttar Pradesh Bihar Madhya Pradesh Maharashtra Orissa Nepal Jharkhand West Bengal 2795 286 96 239 1 53 1 7 4 % 80.22 8.21 2.76 6.86 0.03 1.52 0.03 0.20 0.11 April '12 On roll 2803 290 96 243 2 60 1 5 4 % 79.95 8.27 2.74 6.93 0.06 1.71 0.03 0.14 0.11 May '12 On roll 2825 299 98 256 2 67 1 5 7 % 79.31 8.39 2.75 7.19 0.06 1.88 0.03 0.14 0.20 June '12 On roll 2883 316 98 273 2 64 1 5 7 % 78.96 8.66 2.68 7.48 0.05 1.75 0.03 0.14 0.19


Gujarat Chattisgarh Total

1 1 3484

0.03 0.03 100

1 1 3506

0.03 0.03 100

1 1 3562

0.03 0.03 100

1 1 3651

0.03 0.03 100

As per the table, the on roll position for the local Rajasthani workers is very high as compared to the or roll position for workers that are from outside the state. The company aims at increasing the number of workers from outside Rajasthan and make it up to 40% as compared to 21.04% as in June 2012. Unlike every company in Rajasthan, RSWM faces a severe human resource crunch. The Rajasthan belt has been facing a problem of worker shortage due to the development in the eastern states of India like Bihar, Jharkhand, etc. The local people of Rajasthan have a severe problem of remaining absent from work due to various reasons that will be stated later in the project. As per the Labour Bureau of India, the absenteeism trend in various years throughout the industries in India is shown in the graph below:

12 10

8 6 4 2 0 2001 2002 2003 2004 2005







Absenteeism Percentage
Figure 3.1: Absenteeism Percentage in past 10 years in India (Labour Bureau Statistics)


Information regarding absenteeism amongst workers in an industry or an industrial establishment on account of reasons other than strikes, lockouts, lay-off, weekly rest or suspension, provide a sound database for gauging the employees morale, commitment and level of job satisfaction which have a direct bearing on productivity. The effects of high levels of absenteeism are wide ranging and affect everyone in the organization. It cannot be purely regarded as a management problem. Employers, workers and their representatives have an obligation towards the organization in ensuring that absence of workers do not jeopardize their prosperity or job satisfaction and or committed level of output. Absenteeism is also one of the indicators to evaluate and monitor various employees welfare programs and labour policies. With this aim in view, statistics on absenteeism amongst the directly employed regular workers are collected on a regular basis as a part of the Annual Survey of Industries by the Labour Bureau of India. Absenteeism rate amongst these workers in an industry or a state are worked out as percentage of mandays lost on account of absence to the mandays scheduled to work in the respective industry or state. The absenteeism data for the top four states with maximum and minimum absenteeism percentage categorized into public, joint and private sector is given in the table below.

Table for States with maximum absenteeism percentage (2008) 1 2 3 4 State / U.T. Andaman & Nicobar Islands Delhi Himachal Pradesh Kerala Public Sector (%) -14.63 11.01 11.42 Joint Sector (%) 17.03 23.83 28.99 12.80 Private Sector (%) 12.15 13.23 12.29 12.22 Overall (%) 14.01 13.21 12.29 12.21

Table for States with minimum absenteeism percentage (2008) 1 2 State / U.T. Manipur Nagaland Public Sector (%) --Joint Sector (%) --Private Sector (%) 1.34 2.23 Overall (%) 1.34 2.23


3 4

Orissa Tripura

5.33 --

9.08 --

2.44 3.05

2.74 3.05

The Labour Bureau of India also classifies the absenteeism data on the basis of industry. The industry wise data with the top three industries with the maximum and the minimum absent percentage is shown in the tables below. Table for industries with maximum absenteeism percentage (2008) 1 2 3 Industry Manufacture of sports goods Reproduction of recorded media Manufacture of tobacco Absent (%) 16.40 16.26 13.51

Table for industries with minimum absenteeism percentage (2008) 1 2 3 Industry Mining and Quarrying Sewerage Manufacture of basic Iron and Steel Absent (%) 4.48 5.49 5.57

In the state-wise absenteeism percentage, Rajasthan is ranked at 8th position with worker absent percentage of 11.51 %. At such a high worker absent ratio and being in Rajasthan, RSWM, Kharigram also faces this worker absenteeism problem. The absenteeism trend for RSWM, Kharigram for the years 2007 - 2011 is shown in the graph below:


20 18 16 14 12 10 8 6 4 2 0 2007 2008 2009 Year --> 2010 2011

Percentage (%) -->

Absent Percentage
Figure 3.2: Absenteeism percentage trends for years 2007-2011 in RSWM, Kharigram

On roll - Leave - Absent percentage table for three months at RSWM, Kharigram
Month March - 2012 April - 2012 May - 2012 On roll 3369 3295 3450 Leave (%) 5.50 6.72 4.84 Absent (%) 14.47 17.68 15.11

3.2 Peculiar features of absenteeism in India

On the basis of micro studies undertaken in different parts of the country, certain observations were made. a.) The rate of absenteeism is the lowest on pay day; it increases considerably on the days following the payments of wages and bonus. b.) Absenteeism is generally high among workers below 35 years of age. The younger employees are not regular and punctual, presumably because of the employment of a large number of newcomers among the younger age groups. While the older people are not able to withstand the strenuous nature of the work.


c.) The rate of absenteeism varies from department to department within a unit. As the size of the group increases, the rate of absenteeism goes up. This difference in the rate of absenteeism is believed to be due to the peculiar style and practices of management, the composition of the laborer force and the culture of the organization. d.) The percentage of absenteeism is generally higher in the day shifts. e.) The percentage of absenteeism is much higher in coal and mining industries than in organized industries f.) Absenteeism in India is seasonal in character. g.) It is the highest during March-April-may, when a land has to be prepared for monsoon saving, and also in the harvest season, when the rate goes as high as 40 percent.

3.3 Procedure of attendance, leave and 'late to work' at RSWM, Kharigram

To handle such a large plant, it is a very tedious task to keep track of each and every worker of a 5000+ family. In the modern era, the computers have replaced nearly everything that was previously done manually. At RSWM, Kharigram, the procedure of attendance is an easy task for the workers. Rajasthan Spinning and Weaving Mills Ltd., Kharigram is a completely automatic plant that is loaded with the latest technology for attendance and other human resource management. The plant has a special ERP based system that handles all the human resource managerial activities. This ERP is named as HRM Payroll that is developed and managed by RAMCO, an international company with its Indian headquarters based in Chennai. Each worker is assigned a unique ID number and provided with an electro-magnetic card that requires the worker to punch in his time for every shift. The other method for marking the attendance is based on finger-prints of the employee, making the plant's attendance system a completely bio-metric system that has negligible error factor.

Figure 3.3: Biometric system at RSWM, Kharigram


In case of a late entry, the system marks the worker as absent. To avoid the absent in the system, the worker needs to submit an application to the Time Office with proper reason for being late. The executives at the Time Office then modify the entry accordingly with a grant from the Personnel Department head. To apply for a leave, the workers need to give a written application to the personnel head. The data for the attendance is available in the form of RAMCO reports.

3.4 Distribution of leaves

RSWM provides its workers with a special leave system that allows them to take monetary benefits even when on leaves. The company gives the workers a time period for which they can remain unavailable from work in case of certain needs. The workers are allowed to take 1 paid leave(PL) per every 20 days present. The total number of PL that are allowed per year are 16. Apart from the PL, the company has a provision of Casual Leaves (CL) that are available as 1 CL for every 32 days. The workers can take about 8-10 CL every year.

Even with such a high-tech system for attendance, the absenteeism ratio at RSWM, Kharigram is very high. The data shows that the absenteeism was at 16.41% for the year 2011. This requires to give a detailed study to the causes of absenteeism and its impacts.

3.5 Effects of Absenteeism

Absenteeism of the workers have a high impact on various aspects of an organization. The basic impacts of absenteeism is not only on the company but also on the worker himself, his family, the society and the country. Absenteeism has impacts majorly on the following entities:



Effects of absenteeism

Family & Country

Figure 3.4: Effects of absenteeism



3.5.1 Effects of absenteeism on the company

Absenteeism Affects production targets Increases the work load of inexperienced & less experienced Increases the cost of administration Leads to rejection of finished products Increases the cost of production Lowers the Profit margin Affects Industrial growth Affects goodwill of the company Affects the stocks of the company

3.5.2 Effect of absenteeism on workers and family

Absenteeism Reduces his earnings Adds his indebtedness


Decreases the Purchasing power Leads to family problems Increases mental stress Leads to inefficiency in his job Loss of employment

3.5.3 Effects of absenteeism on the country

Absenteeism Lowers GDP Decreased credibility Decreases export Decreases annual income Lowers the value of rupee in world market


Chapter IV

Research Design & Hypothesis Development


Research study proposes to utilize both primary and secondary data for brining out certain empirical facts about Human Resource Management at Rajasthan Spinning & Weaving Mills Ltd.: To collect the Primary Data the following methods have been used :

Personal Interview of HR-Personnel. The heads of the HR and Personnel department were interviewed personally to find out about the structure of organization and the various policies that are in use.

Personal Interview of various workers. Questionnaires were prepared and personal interview was conducted. Most of the questions consisted of multiple choices. Proper care was taken to frame the interview schedule in such a manner it should be easily understood in view of educational level of the workers.

Observation Method Observation method was used to find out absenteeism amongst the workers. For this, the various data from the company were taken and studied.

To collect the Secondary Data the following methods have been used :

Various records available with HR Department The records of worker attendance and his profile were taken from the Time Office, HR and IT department in the form of RAMCO reports.

Various formats used to carry out tasks Various methods, procedures, rules in practice

4.1 Questionnaire Construction:

Questionnaires were constructed based on the following types:

Open ended questions Close ended questions Multiple choice questions


4.2 Defining the population:

The Population or Universe can be finite or infinite. The population is said to be finite if it consist of a fixed number of elements so that it is possible to enumerate it in its totality. This project consists of finite population of nearly 4800 workers working in the mill.


Sampling Plan:

A sampling plan is a definite design for obtaining a sample from the sampling frame. It refers to the technique or the procedure the researcher would adopt in selecting some sampling units from which inferences about the population is drawn. Sampling design is determined before any data are collected.

Convenient Sampling technique was adopted. In this method the researcher select those units of the population in the sample, which appear convenient to him or the management of the organization where he is conducting research.

4.4 Sample Size:

Nearly 150 samples were taken at the RSWM, Kharigram from two different mills.

4.5 Period of Survey:

The period was from June 2012 to July 2012.


Limitations of the study

Every study has its own limitations. This study is not excluded from that. During the study and the making of the project, a lot of problems were faced and many limitations implemented.

Time constraint is the major limitation of this study. The duration of study was not enough to find each and every detail of the problem.


The data collected through the surveys may not be accurate because some workers were not willing to co-operate in the study.

Another limitation can be counted as the sample taken. Random sampling technique was implemented along with sampling done according to convenience. The sample size is comparatively small as compared to the whole population.

Some of the policies/data of the company are confidential that cannot be revealed publicly. This has proved a major problem in making accurate studies.

4.7 Hypothesis Development

Absenteeism is the term generally used to refer to unscheduled employee absences from the workplace. The general theory categorizes the absenteeism into two types: Culpable Absenteeism Culpable absenteeism refers to employees who are absent without authorization for reasons which are within their control. For instance , an employee who is on sick leave even though he/she is not sick, and it can be proven that the employee was not sick, is guilty of culpable absenteeism. To be culpable is to be blameworthy. Innocent (Non-culpable) absenteeism Innocent absenteeism refers to employees who are absent for reasons beyond their control; like sickness and injury. Innocent absenteeism is not culpable which means that it is blameless.

K.G. Desai classified absenteeism in to two types viz., authorized absenteeism and unauthorized absenteeism. Authorized absenteeism is permitted absenteeism i.e., taking leave prior permission of an employer. Unauthorized absenteeism means taking leave without prior permission of an employer. Absence of worker on account of strike or lock out or layoff i.e., involuntary absent is not considered as absence for the purpose of absenteeism study.

During the induction program at RSWM Ltd., Kharigram, I had the opportunity to go inside the manufacturing plant and get a first hand experience of the manufacturing process and the place 38

where all the work is actually done. It was during this period that I realized the problem of absenteeism at worker level and the need to curb it. As per my own knowledge level and inputs from various employees, I figured out the possible causes for the worker absenteeism. These are the basic features on which the research is based. The causes are as mentioned below: 1. Habitual absenteeism This can be referred to as a worker's habit to skip work out of laziness or other reasons. 2. The physical health of the worker A worker who is not physically fit will remain absent from work, either in authorized or unauthorized manner.

3. Attitude A worker's attitude towards work matters a lot. A worker with a bad attitude towards the work will stay abstain from work much more than a worker with a good attitude. 4. Working conditions With proper working conditions and infrastructure, any worker would be motivated towards achieving a higher present rate. The working conditions includes facilities like cold water, good food at canteen, sanitation, proper toilet facilities and application of right skills at right places. It also includes job stress, worker relations, etc. 5. Social structure The most important cause for any working business is the social structure within which it's plant or facility is located. The social structure of Rajasthan may be one of the causes for high rate of absent workers. 6. Family circumstances Family circumstances may also prove to be a hindrance when it comes to reporting to work everyday. It is possible that a person may be having issues at home due to which (s)he may not be able to attend the work. 7. Financial problems of the worker It is highly possible that a person may be unable to report to work due to financial conditions. (S)He may be facing the crisis of the recession and downgrading of economy and increased inflation. 8. Other sources of income -


It is highly possible that a worker may have other sources of income that gives him more money in one day than he can earn in a month by working at the plant.

These are the basic causes that may be affecting the attendance of a worker in RSWM, Kharigram. The hypothesis is aimed at finding the main causes at the plant and the impacts it has and stating the probable solutions to the problem. To check the accuracy of the hypothesis, a detailed study was carried out. The analysis is shown further in the project.


Chapter V

Data Analysis & Interpretation



Age of the respondents

Age 18-25 26-35 36-45 45 - above Total Number of respondents 89 51 5 5 150 Percentage (%) 59.34 34 3.33 3.33 100

Age of respondents

60% 34% 3%
18-25 26-35 36-45 45 above


INFERENCE It has been inferred that 59.64% of workers who participated in the survey are in the age group 18-25 years old, 34% workers are in age group 26-35 years old and the age groups of 36-45 and 45 above have 3.33% workers each. The final inference is therefore that the company generally prefers to employ young people.


Sex of respondents
Gender Male Female Total Number of respondents 80 70 150
Gender of respondents

Percentage (%) 53.33 46.67 100

53% 47%



INFERENCE This infers that the 53% of workers who participated in the survey are males and the remaining 47% were females. Although this is to be noted that the random sampling technique was used and the respondents' gender ratio was chosen accordingly.


Educational Qualification
Qualification Below 7th 8th - 10th 11th - 12th Graduate Total Number of respondents 47 70 28 5 150 Percentage (%) 31.33 46.67 18.67 3.32 100

Educational Qualification
47% 31% 19% 3%
Below 7th 8th - 10th 11th - 12th Graduate

INFERENCE It is inferred that the 31% of the respondents taking the survey were educated up to 7th grade, 47% respondents were educated between 8th to 10th grade, 19% have completed their higher education and only 3% of them are graduate. This infers that the number of workers having the primary education is very low in the plant.


Marital Status
Status Single Number of respondents 33 Percentage (%) 22


Married Divorced Living Separately Total

112 0 5 150

74.67 0 3.34 100

Marital status

75% 22%

3% 0%
Single Married Divorced Living separately

INFERENCE It infers that the number of respondents taking the survey has a high percentage of married people being 75%, only 22% of them are still single, 3% of respondents are married but live away from their families and none of them are divorced. The final inference is that the workers are generally married by the time they reach the age of 25, the age group constituting highest portion of workers in the plant.


Position of the employee

Position Worker Badli Apprentice Total Number of respondents 113 5 32 150
Position wise respondents

Percentage (%) 75.33 3.33 21.34 100

75% 22% 3%
Worker Badli Apprentice


INFERENCE The chart infers that the respondents taking the survey was constituted of 76% of workers, 3% badli workers and 21% apprentices. The final inference being that the number of trainees being promoted to the permanent workers is very high. 5.6 Last Leave taken Period Less than 1 month ago Between 1-2 months Between 3-4 months Between 5-6 months More than 6 months ago Total Number of respondents 23 75 14 0 38 150 Percentage (%) 15.33 50 9.33 0 25.34 100

Last leave taken

0% 9% 26% 50% 15%

Less than 1 month ago Between 5-6 month

Between 1-2 month More than 6 months ago

Between 3-4 month

INFERENCE This chart infers that 51% of respondents had last taken their leave nearly 1-2 months ago, 9% of respondents last took leave 3-4 months ago, 25% said they took leave last time more than 6 months ago, 15% workers took leave in just the previous month. The final inference came out after checking up the RAMCO records that nearly 80% of the respondents were lieing in this regard.



Experience of the worker

Period Below 2 years 3-5 years Above 5 years Total Number of respondents 66 70 40 150 Percentage (%) 44 46.67 9.33 100

Experience of the respondents

44% 47% 9%

Below 2 years

2-5 years

Above 5 years

INFERENCE The studies inferred that the number of respondents working with the organization for more than 5 years was about 9%, those with 3-5 years of experience with the company was 47% and about 44% of respondents were comparatively new and working for less than 2 years. The final inference being that the ratio of new workers is very high as compared to the ratio of those associated for a long time.


Local workers v/s outsiders

State Rajasthan (Local) Outsider Total Number of respondents 92 58 150 Percentage (%) 61.33 38.67 100

Local v/s Outsider



Local Outsider


INFERENCE It infers that about 61% of respondents to the survey were locals, i.e., belonging to the state and only about 39% of them were belonging to other states. The final inference being that the ratio of local workers is very high as compared to the outsiders.


Transportation methods of respondents

Transportation type Bus Own vehicle Others Not required Total Number of respondents 36 8 23 83 150 Percentage (%) 24 5 16 55 100

5% 24%

Method of transportation

16% 55%


Own vehicle


Not required

INFERENCE It infers that 24% of the respondents taking the survey use the bus facility provided by the company, about 8% use their own vehicle as mode of transportation and about 16% of them had other methods of transportation while 55% did not require any transport services. The final inference is that quite a large number of workers prefer to avail bus facility that has concessions from the company.

5.10 Respondents' boarding type

Boarding type Hostel Non-hostel Total Number of respondents 67 83 150 Percentage (%) 44.67 55.33 100


Boarding type

45% 55%



INFERENCE The above chart infers that the number of respondents living in the hostel is about 45%, whereas the number of non-hostellers are 55%. Although, it is not a fact because of the limitation of sampling technique.

5.11 Other sources of income of respondents

Other sources? Yes No Total Number of respondents 51 99 150 Percentage (%) 34 66 100

Sources, If yes Harvesting Labour Cattle Other Total

Number of respondents 25 12 4 10 51

Percentage (%) 48.67 22 8.67 20.66 100


Other sources of income?





Other sources of income, if yes 49% 20% 9%

Harvesting Labour Cattle Other


INFERENCE The above charts infer that the total number of respondents consisted of about 34% people who had other sources of income apart from working in the company. The final inference being that nearly 1/3rd of the workers are not completely dependent upon the unit for their livelihood.

5.12 Ability to communicate feelings

Number of respondents Always Frequently Occasionally Rarely Never Total 117 18 5 5 5 150 Percentage (%) 78 12.01 3.33 3.33 3.33 100


Ability to communicate feelings

78% 12%

3% 3%
Always Frequently Occasionally Rarely


INFERENCE The above chart infers that about 79% of the respondents were always able to communicate their feelings with others, nearly 12% were frequent with it and about 3% each either occasionally, rarely or never communicated with others. The final inference being that a large portion of respondents are familiar with the people and have not had a communication gap amongst them. But there were still 10% people who require to find a way to communicate.

5.13 Loneliness while working

Number of respondents Always Frequently Occasionally Rarely Never Total 2 28 20 5 95 150
Loneliness while working

Percentage (%) 1.33 19 13.33 3.01 63.33 100

63% 3% 13% 19%

Always Occasionally Never

Frequently Rarely



INFERENCE This graph infers that the total number of respondents who always felt lonely while working was limited to just 1%, 19% frequently felt lonely, 13% occasionally felt lonely and about 67% rarely or never felt lonely. The final inference is that most of the workers never feel lonely while at work.

5.14 Happiness while coming to work

Number of respondents Strongly agree Agree Neutral Disagree Strongly disagree Total 37 106 5 1 1 150 Percentage (%) 24.66 70.69 3.33 0.66 0.66 100

Happiness while coming to work

71% 25%




Strongly Agree




Strongly Disagree

INFERENCE This chart infers that about 70% of respondents are happy while coming to work, about 25% are extremely happy while coming to work and about 5% respondents were either just ok or unhappy while they came to work.


5.15 Stress at work

Number of respondents Strongly agree Agree Neutral Disagree Strongly Disagree Total 19 84 5 37 5 150
Stress at work

Percentage (%) 12.68 56 3.33 24.67 3.33 100



25% 3% 3%
Strongly agree Agree Neutral Disagree Strongly disagree

INFERENCE The above chart indicates that nearly 56% of respondents felt stress at work, while 13% were overly stressed when at work. About 28% respondents said they were not stressed whereas 3% of them said they were just fine with the stress. The final inference is that a large section of workers are too stressed with their work.

5.16 Attendance per month

Number of days 20-22 23-25 26-28 29-31 Total Number of respondents 19 80 42 9 150 Percentage (%) 12.67 53.33 28 6 100


Attendance per month

53% 28% 13%

20-22 23-25 26-28 29-31

This infers that about 13% of respondents had an attendance of 20-22 days per month, nearly 54% had attendance of 23-25 days per month, 28% had attendance of 26-28 days per month and 6% had attendance of 29-31 days per month.

5.17 Absents in a month

No. of days 0 1-5 6-10 10-15 16-20 Total Number of respondents 4 125 19 1 1 150
Absents in a month

Percentage (%) 2.7 83.34 12.66 0.66 0.66 100


0 1 to 5 5 to 10 10 to 15

1% 12% 1%
16 to 20


INFERENCE This infers that about 3% of respondents were not absent for even one day in a month, about 83% said they were absent for 1-5 days every month. 13% respondents said they were absent for 6-10 days per month and 1% each said they were absent for 10-15 and 16-20 days per month.



Ratings on the basis of factors

Highly Satisfied (%) 16 Satisfied (%) Neutral (%) Dissatisfied (%) Highly Dissatisfied (%) 3.33 Total





Working Hours






Management Policy




Working Environment





Relationship with Superiors




Work Satisfaction










Canteen(Food, stock ration, etc)






Facilities provided







100 %

5.19 Do you think your leave affects output?

Number of respondents Yes No Total 89 61 150
Leave affecting company output

Percentage (%) 59.33 40.67 100




INFERENCE It infers that about 60% of respondents thought that their absence affected the company's output whereas 40% people did not believe that their absence affected the company's output in any manner.

5.20 Worker skill utilization by employer

Level Good Fair Poor Total Number of respondents 39 88 23 150
Worker skill utilization by employer

Percentage (%) 26 58.67 15.33 100

59% 26% 15%





INFERENCE This infers that about 26% of respondents believe that the employer / company is utilizing their skills at a good level, 59% believe that they can still do better work than they are doing now and 15% believe that their worker skills are being utilized poorly in by the unit.

5.21 Salary paid by the company

Number of respondents Sufficient Moderately sufficient Neutral Insufficient Total 56 38 5 51 150
Salary satisfaction level

Percentage (%) 37.33 25.33 3.33 34.01 100

26% 37% 34% 3%


Moderately sufficient



INFERENCE This infers that about 38% of the respondents felt that the salary paid by the company is sufficient for them, 25% believed it was moderately sufficient, 3% thought that the salary was just fine and 34% said that the salary being paid is insufficient for them.

5.22 Flexibility and Independence allowed

Number of respondents Highly satisfied Satisfied Neutral Dissatisfied 51 85 5 7 Percentage (%) 34 56.67 3.33 4.67


Highly Dissatisfied Total

2 150
Flexibility and Independence allowed

1.33 100





Satisfied Neutral Dissatisfied Highly Dissatisfied

Highly Satisfied

INFERENCE It infers that 34% of respondents are highly satisfied with the flexibility allowed at work, 57% are satisfied, 3% think that it is just ok, 5% are dissatisfied and nearly 1% are highly dissatisfied with the flexibility and independence allowed at work.

5.23 Reason for taking leave

Reason Personal Problem Health Problem Financial Problem Working Environment Others Total Number of respondents 61 66 9 5 9 150
Reason for taking leave

Percentage (%) 40.67 44 6 3.33 6 100



Personal problem


Financial problem Working environment Other

Health problem


INFERENCE It infers that about 41% respondents took leave from work due to personal problems, 44% due to health problems, 6% due to financial problems, 3% because of the working environment and 6% had other reasons to take leave.

5.24 Absent due to transport problem

Periods In some cases Often Rare Not at all Not required Total Number of respondents 21 19 4 23 83 150
Absent due to transport problem

Percentage (%) 14 12.67 2.67 15.33 55.33 100

3% 13%

15% 55% 14%

In some cases Not at all

Often Not required


INFERENCE It infers that about 13% were often absent due to transport problem, 14% respondents were absent in some cases, 3% were rarely absent due to transport problem and 15% never took off due to transport problem and 55% do not use any transportation service at all.

5.25 Absent due to health problem

Number of respondents Always Often Rare 70 33 14 Percentage (%) 46.67 22 9.33


Not at all Total

33 150

22 100

Absent due to health problem


22% 9% 22%
Always Often Rare Not at all

INFERENCE This infers that about 47% of respondents remained absent from work due to health problems most of the times, 22% were absent quite often, 9% were rarely absent due to health problems and 22% were never absent due to health problems.

5.26 Leave on requirement

Reply Yes No Total Number of respondents 117 33 150
Leave on requirement

Percentage (%) 78 22 100

78% 22%



INFERENCE This infers that about 78% of respondents were able to get leave as and when required but 22% said they could not get leave on demand.


5.27 Help from company in personal problem

Reply In some cases Often Not at all Total Number of respondents 66 51 33 150
Help from company in personal problem

Percentage (%) 44 34 22 100

44% 22%


In some cases


Not at all

INFERENCE This infers that about 44% respondents get help from company in their personal problems in some cases, 34% get help often and 22% believed they never get any help from the company in their personal problems.

5.28 Counseling from company in personal problems

Reply Yes No Total Number of respondents 94 56 150
Counseling from company in personal problems

Percentage (%) 62.67 37.33 100

63% 37%




INFERENCE This infers that about 63% believed that they need counseling from the company in solving their personal problems and 37% believe they do not require any counseling.

5.29 Shift rotation preference (if adopted)

Shifts Weekly Fortnightly Monthly Total Number of respondents 56 75 19 150
Shift rotation preference

Percentage (%) 37.33 50 12.67 100



Weekly Fortnightly Monthly

INFERENCE It infers that 37% respondents would prefer weekly shift rotations, 50% would prefer fortnightly shift rotation and 13% prefer monthly shift rotations if implemented in the company.

5.30 Freedom of changing shifts

Reply Yes No Rarely Total Number of respondents 47 89 14 150
Freedom of changing shifts

Percentage (%) 31.33 59.34 9.33 100



Yes No Rarely


INFERENCE This infers that about 31% respondents said that they had freedom to change their shifts, 60% said they did not have freedom to change their shifts and 9% said they could rarely change their shifts.

5.31 Shift timing preference

Shifts Morning Afternoon / Evening Night Total Number of respondents 116 28 6 150
Attendance per month

Percentage (%) 77.33 18.67 4 100

77% 19%

Morning Afternoon / Evening Night

INFERENCE It infers that about 77% of respondents prefer morning shifts to just 19% who prefer afternoon/evening shits to only 4% who prefer night shifts.

5.32 Facilities expected from the company

Facilities Medical Transportation Other Total Number of respondents 66 60 24 150 Percentage (%) 44 40 16 100


Facilities expected from the company



Medical Transportation Other

INFERENCE It infers that about 44% respondents expect better medical facilities from the company, 40% expect better transportation services and 16% expect other types of facilities from the company.

5.33 Leave for harvesting?

Reply Yes No Total Number of respondents 47 103 150
Leave for harvesting

Percentage (%) 31.33 68.67 100





INFERENCE This infers that about 31% of respondents take off from work for harvesting on their fields while 69% respondents do not take off for harvesting.

5.34 Last leave taken - Comparison chart (Local v/s outsiders)

Period Less than 1 month ago (June) Local workers (%) 18.72 Outsiders (%) 3.28


1-2 month (April - May)



3-4 months (Feb - March) 5-6 months (December '11 January '12) More than 6 months ago (< December '11) Total





Last leave taken - Comparison chart (Local v/s outsiders)

40 35 30 25 20

15 10 18.72 5 0 0 1-Dec-11
12.48 18.72

12.48 3.28







Local workers


INFERENCE This infers that about 19% local workers were absent during the month of December-2011 that dropped down during the period of January to March. During the harvesting seasons, April and May, the ratio of local workers v/s the outsiders showed a large gap in their attendance. The data is as per the replies of the respondents.


5.35 Hosteller daily present-absent average

Hostellers Present-absent average
60.95% 70.00% 60.00% Percentage --> 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 39.05%



5.36 Attendance graph on the basis of experience

mont Abse 1-5 days in a


0 days


16-20 -



Experience Below 2 years 3-5 years Above 5 years EXPLANATION

5 14

61 56 -

5 9 -

This table shows the number of respondents who are working for various years in the company and their relation to the number of days absent in a month. For instance, the total number of workers having an experience of two or less than two years taking 1-5 days absent in a month is 61.




5.37 Attendance pattern of respondents with other sources of income

. of No da ys





Other source of income

Yes No






EXPLANATION The above table shows the relation between the number of days that the respondents having a second source of income were present. The percentages denote the percentage of people who were present for that particular number of days and then relates to their reply to a second source of income.

5.38 Labour losses for RSWM, Kharigram

S.No. 1 2 3 Month March - 2012 April - 2012 May - 2012 Labour Loss (in Lacs Rs.) 40.20 140.27 39.78


0 Mar-12 Apr-12 May-12 Labour loss







Chapter VI

Findings of the study



Findings of the study

The company prefers to employ young people. The younger generation takes much more off days than the older generation. The male-female worker ratio is 10:1, i.e., 10 male workers for every one female worker. Most of the workers in the organization have only elementary education. There are very few workers with higher education or graduation. It is a fact that educated workers take lesser leaves than those who are not highly educated. There is a high percentage of workers who are married at young age. Marriage generally brings along more family responsibilities and therefore causing them to take offs frequently. The company promotes large number of trainees to workers providing them work stability and security. The company has high number of workers that have joined in the recent years. Workers associated with the company take lesser workdays off than those who have joined recently. RSWM, Kharigram has a 80:20 worker ratio for local workers v/s the workers from other states. Local workers remain much more absent than the workers from other states. Out of nearly 1000 workers from other states, only a few hundred take the hostel facility. There is a wrong perception of the increased needs for the hostel facility. The local workers prefer to use bus facility provided by the company than any other facility. More of them are willing to take the bus facility provided that the concession provided is agreeable. A large number of workers remain absent from work due to health related issues. A large number of employees believe that their absenteeism does not affect the company in any ways. Therefore, they do not take much interest in coming to work. Many workers remain absent from work during the harvesting season as many of them believe that farming and other labour works outside the company provides them with more monetary benefits in lesser time period than working for 8-12 hours for a complete month in the unit.


The workers are just fine with the working conditions but believe that they can still be improved. The motivation level and the willingness to work is very high amongst the workers. They feel satisfied with the people of the organization and have good relationship and cooperation with the superiors.

Dissatisfaction with the food provided at the canteen is one of the reasons that most workers do not prefer to have lunch at the canteen. Majority of the workers are dissatisfied with the facilities provided within the premises. On being interviewed, a large number of them told that there is a need to improve the infrastructure for the workers in the unit.

Workers working in the departments requiring higher skill levels earn the same money as those working in departments requiring lesser skill level. This is one of the major causes of absenteeism within the unit.

Mostly workers prefer to come in the morning shifts than at night shifts. They also prefer if the shift rotation takes place fortnightly rather than monthly.


Chapter VII

Conclusion & Proof of Hypothesis




Absenteeism is a problem that affects not just the company but also the worker and the country. The problem of absenteeism is persistent in the organization. A large number of workers are dissatisfied with the facilities provided in the plant. Most of them believe in earning fast money even though the expenditure is very low amongst them. In order to earn fast money, they take up other jobs in the villages nearby even while enrolled in the company. A major reason for this is their thinking and irresponsibility towards work as many think that their absent does not affects the company in any way. The workers have high motivation levels but this is not enough to keep them coming to work daily because majority of them are dissatisfied with their paychecks and want an increase in the average monthly income.

The local workers have a tendency to take more leaves than the workers from other states because the workers from other states do not have a secondary source of income apart from the farms at their hometowns. The workers from other states also do not have a particular reason to take leave from work in any other reasons than health problems. The only time they take leave is during the festive seasons or the harvesting seasons when they head back home to spend time with their families. On the other hand, the local workers have a tendency to take more leaves due to secondary sources of 'quick' income, family issues and other reasons.

Also, there is a high rate of absenteeism in the departments that require higher skill levels than those departments that require lower skill levels. The reason being the same - salary. The workers have a static wage rate in all the departments but different workloads. New wage system needs to be implemented in order to keep a check on this.

There is also a belief that female workers are more dedicated to the work than the male workers. A part of this is true, but the problem lies with the regional culture where women have to take care of the family and men have no liabilities to take care of the family. This amounts to female workers taking equal or more leaves as compared to their male counterparts.


Although the workers are very familiar with the policies implemented for them on the basis of attendance and the proper methods of taking leaves, there is a problem with them in not taking proper interest in the work because of an attitude problem. The worker shortage in the Rajasthan belt is also a major cause of the workers believing that their work position is safe even after taking much leaves because the company has to eventually function which is not possible without them.


Proof of Hypothesis

The above conclusion is also a proof of hypothesis. The major reasons stated in the hypothesis have been proved correct. There is also an addition to the theory that was earlier taken as. The final proof being the conclusion above.


Chapter VIII

Suggestions & Recommendations



Suggestions and Recommendations:

In order to minimize the rate of absenteeism, the company should take care of the worker's health, and provide them awareness regarding the importance of health and sanitation. This will not just help them in maintaining a healthy lifestyle but also make the company's premises even more sanitized. During the internship period, it was found that the workers did not have a proper seating facility for them in the premises where they can take rest. The water coolers are also far away from the place of work. The company should provide the workers with a proper seating facilities with fans or coolers across the manufacturing unit where they can take rest, drink cold water and maybe even have something to eat. This will help the workers to maintain their energy levels which will keep their efficiency levels constant. The company's mess facility does not have adequate food facilities. The food provided in the worker's mess is below the desired quality and is also tasteless. It is suggested that the concerned department should look after this and improve the quality of food provided to the workers. "A healthy worker is a profit earner." During the period of survey, it was found that a large number of workers do not believe that they have certain responsibilities towards the company and that their absenteeism from work affects the organization. The company should tell the workers their importance and also the effects of absenteeism on not just the company but also the workers themselves through a proper training program. There are many workers who insist that they should be provided with a proper counseling in order to help them reduce family stress and problems. It is also a major problem of the workers to feel stressed due to work. This dual stress pressure is a bit too much for the workers to handle. The company should provide the workers with a proper counseling program and also try to reduce their work stress to a certain level. A major factor that generally boosts productivity is competitiveness. It was found that workers do not have a sense of competitiveness amongst them to work better. It is suggested that a new method of increasing the competitiveness is followed by making teams within a plant and assigning team leaders under whose guidance a team would work. The teams should then be made to work in a competitive manner and the team 75

with higher rating points based on certain guidelines would win. The winning team from amongst the various teams should receive a better salary for that month which would be a part of their reward for good work. The guidelines should include less absenteeism as one of its factors in measuring a better team. This will not only boost the productivity and increase competitiveness but also help in doing a better control function. Another method to control the absenteeism amongst the workers is to make their wages according to hour based target attendance. It is suggested that the company implement a target hour attendance for the workers for each month that has to be achieved within the month. The maximum limit for work at one time per day should be limited to 7 hours at a stretch, i.e., a worker can work for 7 hours continuously and then return to work after a break of another 7 hours and work again for a maximum of 7 hours on the same day as per his wish. The worker would need to let the supervisor know about his working hours in advance so that the supervisor can pre-plan the assignment of workers on different machines This will maintain his efficiency and also let him attain his working hours target. On the fulfillment of this target the worker shall receive his wage and also a bonus, but the failure to do so would make him to lose a certain amount of money from his salary. The worker should be taken to work only after he agrees to work on these conditions in order to avoid any confusions later on. This method will pressurize the worker to be present at work more and also give him flexibility on not just work timings but also the amount of money he can earn in a month.


A STUDY ON EMPLOYEES ABSENTEEISM IN RSWM, KHARIGRAM Personal Details: 1. Name 2. Age: a.) 18 - 25 b.) 26 - 35 c.) 36 - 45 d.) 45 - above

3. Gender: Male / Female 4. Educational Qualification: 5. Marital Status: a. Single 6. Job / Department: 7. Position: Worker / Badli / Apprentice 8. Last Leave Taken: 9. Experience a.) Below 2 years 10. State: 11. Mode of transportation: a) Bus b) Own Vehicle 12. Hostel: Yes / No 13. Family: a. No. of children: i.) Boy ii.) Girl 14. Other sources of income (if any): Other Details: Q1. Are you able to communicate your feelings to others? 1. Always 2. Frequently 3. Occasionally 4. Rarely 5. Never c) Other d) Not required b.) 3 - 5 years c.) above 5 years b. Married c. Divorced d. Living separately

Q2. Do you feel lonely while working with others? 1. Always 2. Frequently 3. Occasionally 4. Rarely 5. Never

Q3. Do you feel happy while coming to work? 1. Strongly agree 2.Agree 3.Neutral 4. Disagree 5. Strongly Disagree


Q4. Stress is a part of my work life 1. Strongly agree 2.Agree 3.Neutral 4. Disagree 5. Strongly Disagree

Q5. What is your attendance in number of days per month: a) 20 - 22 b) 23 - 25 c) 25 - 28 d) 29 - 31

Q6. How many days are you absent in a month? a) 0 b) 1-5 c) 6-10 d)10-15 e)16-20

Q7. Rate the factors below according to the satisfaction level:

Highly Satisfied
Workload Working Hours




Highly Dissatisfied

Management Policy Working Environment Relationship with Superiors Work Satisfaction Motivation Canteen(Food, stock ration, etc) Facilities provided

Q8. Do you think your leave affects the company output? a) Yes b) No

Q9. How much does your company utilize your skills? a) Good b) Fair 78 c) Poor

Q10. About the salary paid by the company? a) Sufficient b) Moderately sufficient c) Neutral d) Insufficient

Q11. Flexibility and Independence allowed at work a) Highly Satisfied e) Highly dissatisfied Q12. What is the procedure for taking leave in your organization? a) Giving a leave letter c) Asking a permission Q13. Reason for taking leave? a) Personal Problem d) Working environment b) Health problem c) Finance problem b) Not giving a leave letter d) No leave b) Satisfied c) Neutral d) Dissatisfied

e) Others, Please mention ______________

Q14. How often are you absent due to transportation problem? a) In some cases b) Often c) Rare d) Not at all e) Not required

Q15. Do you often remain absent from work due to health problems? a) Always d) Not at all Q16. Is it possible to get leave whenever you want? a) Yes b) No b) Often c) Rare

Q17. What type of motivation techniques adopted for employees regular to the work? a) Incentives b) Bonus c) Allowances

Q18. Does the company helps in your personal problem? a) In some cases b) Often c) Not at all

Q19. Do you need counseling in the company for your personal matter affecting you in taking leave often? a) Yes b) No

Q20. To reduce absenteeism which shifts do you prefer if it is adopted? a) Weekly Shift b) Fortnightly Shift c) Monthly shift

Q21 Do you have freedom to change your shift for your convenience? a) Yes Q22. Which shifts do you prefer? b) No c) Rare


a) Morning

b) Afternoon/Evening

c) Night

Q23. What type facilities do you expect from the management to reduce absenteeism? a) Medical facilities b) Transport facilities c) Others, please specify____ Q24. Do you take leave for harvesting? a) Yes b) No

Q25. Any suggestion to reduce absenteeism _____________________________


Books Kothari, C.R., Research Methodology - Methods & Techniques, New Age international (P) Ltd., Publishers, New Delhi ,Second Edition ,2004. Aswathappa.k, Human Resource and Personnel Management, Tata Mc Graw Hill, New Delhi, 1999.


Others Official group profile - RSWM Ltd. RAMCO reports Data sources from time office