1.

PERFORMANCE APPRAISAL
2. GREIVANCE
3. DISCIPLINE
4. RECURITMENT
5. SELECTION
6. CAREER PLANNING AND DEVELOPMENT
7. EMPLOYEE TRAINING
8. COLLECTIVE BARGAINING
9. INDUSTRIAL CONFLICTS
10. PROMOTION TRANSFER DEMOTION
11. PARTICIPATIVE MANAGEMENT
PERFORMANCE APPRAISAL
MEANING OF PERFORMANCE APPRAISAL
performance appraisal may be understood as te assessment of indi!idual"s
performance in a systematic #ay$ te performance bein% measured a%ainst factors
suc as &ob 'no#led%e$ (uality and (uantity output$ initiati!e$ leadersip abilities$
super!ision$ dependability$ co)operation$ &ud%ment$ !ersatility$ ealt and te li'e*
Assessment sould be confined to past performance alone* Potentials of te employee
for future performance must also be assessed*
Performance appraisal is a metod of e!aluatin% te bea!ior of employees in te
#or' spot$ normally includin% bot te (uantitati!e and (ualitati!e aspect of &ob
performance* Performances ere refer to te de%ree of accomplisment of te tas's
tat ma'e up an indi!idual"s &ob* It indicates o# #ell an indi!idual is fulfillin% te
&ob demands* Often te term is confused #it effort$ but performance is al#ays
measured in terms of result and not efforts*
A formal definition of performance appraisal is +it is te systematic e!aluation of te
indi!idual #it respect to is or er performance on te &ob and is or er potential
for de!elopment*,
FEA-.RES OF PERFORMANCE APPRAISAL
Performance appraisal is te systematic description of an employee"s &ob rele!ant
stren%ts and #ea'nesses*
-e basic purpose is to find out o# #ell te employee is performin% te &ob and
establis a plan of impro!ement*
Appraisals are arran%ed periodically accordin% to a definite plan*
Performance appraisal is not &ob e!aluation* It refers to o# #ell someone is doin%
te assi%ned &ob* /ob e!aluation determines o# muc a &ob is #ort to te
or%ani0ation and tere for$ #at ran%e of pay sould be assi%ned to te &ob*
Performance appraisal is a continuous process in e!ery lar%e scale or%ani0ation*
PROCESS OF PERFORMANCE APPRAISAL
Performance appraisal is planned$ de!eloped and implemented trou% a series of
steps1
23 Establis Performance Standards*
Appraisal systems re(uire performance standards$ #ic ser!e as bencmar's a%ainst
#ic performance is measured* In order to be useful$ standards sould relate to te
desired results of eac &ob* Appraisals must a!e a clear) cut criteria* Performance
standards must be bot to te appraiser and te appraise* -e performance standards
of %oals must be de!eloped after a torou% analysis of te &ob* Goals must be #ritten
do#n* -ey must be measurable #itin certain time and cost considerations*
ES-A4LIS5ING PERFORMANCE
S-AN6AR6
CONN.NICA-ION OF
PERFORMANCE S-AN6AR6S
MEAS.REMEN- OF AC-.AL
PERFORMANCE
COMPARISON OF AC-.AL
PERFORMANCE 7I-5 -5E
S-AN6AR6S
FOLLO7 .P AC-IONS
83 Communicate te Standards*
Performance appraisal in!ol!es attract t#o parties9 te appraiser #o does te
appraisal and te appraise #ose performance is bein% e!aluated* 4ot are e:pected
to do certain tin%s* -e appraiser sould prepare &ob descriptions clearly$ elp
appraise set is %oals and tar%ets9 analysis results ob&ecti!ely9 offer coacin% and
%uidance to appraise #ene!er re(uired and re#ard %ood results* -e appraiser
sould be !ery clear about #at e is doin% and #y e is doin%* For tis purpose$ te
performance standards must be communicated to appraise and teir reactions are
noted initially* -ese standards must be re!ised or modified as and #en re(uired*
;3 Measure Actual Performance*
After te performance standards are set and accepted$ te ne:t step is to measure
actual performance* -is re(uires te use of dependable performance measures$ te
ratin%s used to e!aluate performance* Performance measures in order to be elpful
must be easy to use$ reliable and report on te critical bea!iors tat determine
performance* Generally$ mana%ers re%ardin% o# to measure actual performance use
four common sources of information1 personal obser!ation$ statistical reports$ oral
reports and #ritten reports*

<3 Compare Actual Performance #it Standards and 6iscuss te Appraisal*
Actual performance may be better tan e:pected and sometimes it may e!en %o off
te trac'* -e assessment of anoter person=s contribution and ability is not an easy
tas'* It as serious emotional o!ertones as it affects te self)esteem of te appraise*
Any appraisal as'ed on sub&ecti!e criteria is li'ely to be (uestioned by te appraisers
and lea!e im (uite de&ected and unappy #en te appraisal turns out to be ne%ati!e*
>3 -a'in% Correcti!e Action$ if Necessary*
Correcti!e action is of t#o types1 -e one$ #ic puts out te fires immediately and
te oter one$ #ic stri'es at e root of te problems permanently* Immediate action
sets tin%s ri%t and %et tin%s bac' or trac'$ #ereas te basic correcti!e action %ets
to te source of de!iations and seems to ad&ust te difference permanently* 4asic
correcti!e step see' to find out o# and #y performance de!iate*
ME-5O6S OF PERFORMANCE APPRAISAL1
Metods of Performance Appraisal
A3 -raditional Metods 43 Modern Metods
Confidential report 2* 5uman resource accountin%
Ran'in% 8* mana%ement by ob&ecti!e
Grapical ratin% scale ;* Assessment centre
Cec'lists <* 4ARS? 4ea!iorally
Forced distribution ancored ratin% scale 3
Critical incidents
Essay e!aluation
Group appraisals


-raditional metods1
Confidential report metod
It is mostly used in %o!ernment or%ani0ations* It is a descripti!e report %enerally
prepared at te end of te year$ by te employee"s immediate superior* -e report
i%li%ts te stren%ts$ #ea'nesses$ ma&or mista'es$ merits$ %ood #or' done etc* of
te subordinate* -e impression of te superior about te superior is merely recorded
ere* It does not offer any feedbac' to appraise* It is a narrati!e metod of
performance appraisal since te report is not made public and ence no freedom is
a!ailable$ te sub&ecti!e analysis of te superior is li'ely to be otly contested*
Ran'in% metod
-is is relati!ely easy metod of performance e!aluation* In it$ te ran'in% of an
employee in a #or' %roup is a%ainst tat of anoter employee* -e relati!e position of
eac employee is tested in terms of is or er numerical ran'$ for e:ample$ #en tere
are fi!e employees ?A$4$C$6$E3 to be compared$ ten A"s performance is compared
#it tat of 4"s and decision is arri!ed at as to #ose is te better or #orst* Ne:t$ 4 is
also compares #it all oters* Since A is already compared #it 4$ tis time 4 is to
be compared #it only C$ 6$ and E In tis e!aluation is as'ed to rate te employees
from i%est to lo#est on some o!erall criterion* It is easier to ran' te best and te
#orst employee$ it is !ery difficult to ran' te a!era%e employees*
Grapical ratin% scale
It is te oldest and te most commonly used metod of performance in tis$ a printed
form is used to e!aluate te performance of an employee* Four to t#el!e factors are
selected$ dependin% upon te cate%ory to #ic te employee belon%s* Some of tese
factors are (uantity of out put$ (uality of out put$ initiati!e$ inte%rity$ dependability
etc* tese factors and teir de%rees are mar'ed on a %rap paper pro!ided in te form*
-e rater as merely to cec' on te scale #ere e tin's te employee belon%s*
Cec'lists and #ei%ted cec'lists
-e cec'list is a simple ratin% tecni(ue in #ic te super!isor is %i!en a list of
statement or #orld and as' to cec' statement representin% te caracteristic and
performance of eac employee a cec'list represents a set of ob&ecti!e statement
about te employee and is bea!ior* A more recent !ariation of te cec'list is
#ei%ted list* .nder tis te !alue of eac (uestion may be #ei%ted more ea!ily
tan oters*
-e follo#in% are sample (uestions in te cec'list1
) Is te employee is really interested in te tas' assi%ned@ AesB No
) Is e respected of is collea%ues@ AesB No
) 6oes e follo# instructions properly@ AesB No
) 6oes e %i!e respect to is superiors@ AesB No
) 6oes e ma'e mista'es fre(uently@ AesB No
A ratin% score from te cec'list elps te mana%er in e!aluation of te performance
of te employee*
Forced distribution metod
It #as de!eloped to eliminate te bias and te preponderance of i% ratin%s tat
mi%t occur in some or%ani0ations* Its primary purpose is te correct tendency of te
rates to %i!e consistently i% and lo# ratin%s to all employees* -is metod ma'es
tose of se!eral sets of pair pases$ t#o of #ic are positi!e and t#o of tem are
ne%ati!e and te rates is as'ed to indicate #ic of te four prase is te most or least
descripti!e of a particular employee* Actually te statement items are %rounded in
suc a #ay tat te rater cannot #ic statement applies to te most effecti!e
employee* -e fa!orable (ualities earn a plus credit and te unfa!orable ones earn te
se!erest* In tis te o!erall ob&ecti!ity is increased in te employee"s performance
because te rater does not 'no# o# i% or lo# e is e!aluatin% te indi!idual$ as e
as no access to te storin% 'ey*
Critical incident metod
-e mana%er prepares test of statements of e!ery effecti!e and ineffecti!e
bea!ior of an employee* -ese critical incidents or e!ents represent te outstandin%
poor bea!ior of te employees* -e mana%er prepares records of te critical
incidents of te #or'er"s bea!ior* At te end of te ratin% period$ te recorded
critical incidents are used in te e!aluation of te #or'ers" performance*
Essay Appraisal
.nder tis metod te rater is as'ed to e:press te stron% as #ell as te #ea' points
of te employee"s bea!ior* -is tecni(ue is normally used #it a combination of
te %rapical ratin% scale because te rater an elaborately present te scale by
sustainin% an e:planation for is ratin%* In it$ te rater considers te follo#in% factors1
/ob 'no#led%e and potential of te employee*
Employees understandin% about te company"s pro%rammes$ policies$ ob&ecti!e$ etc*
-e employees %eneral plannin%$ or%ani0in% and controllin% ability*
-e employee"s relation #it te co)#or'ers and superiors*
-e attitude and perceptions of te #or'er$ in %eneral*
Group appraisal
In tis metod an employee is appraised by a %roup of appraisers* -is %roup consists
of te immediate super!isor of te employee$ oter super!isors #o a!e close
contact #it employee"s #or'$ mana%er or ead of department or consultant* -e
ead of department or mana%er may be te cairman of te %roup and te super!isor
may act as te coordinate for te %roup acti!ities* -e immediate super!isor enli%ten
oter members about te &ob caracteristics$ demand$ standards or performance etc*
ten te %roup appraise te performance of te employee$ compares te performance
#it te standards$ finds out te de!iation$ discusses te reasons$ terefore su%%ests
#ays for impro!ement of performance$ prepares an action plan$ studies te need for
can%e in te &ob analysis and standards and recommends can%es$ if necessary* -is
metod eliminates +personal bias, to a lar%e e:tent$ as performance is e!aluated by
multiple rates* 5o#e!er$ it is !ery time consumin% process*
43 Modern Metods1
5uman resource accountin%
5RA is a sopisticated #ay to measure in financial terms te effecti!eness of te
personal mana%er acti!ities and te use of people in an or%ani0ation* It is process of
accountin% people as an or%ani0ation resource* It tries to place a !alue on te
or%ani0ational uman resources as assets and not as e:penses* -is metod so#s te
in!estment te or%ani0ation ma'es in te people and o# te !alue of tese people
can%e o!er a time* -e ac(uisition of employee is compared #it te replacement
cost from time to time* In brief$ in tis metod te employees" performance is
e!aluated in terms of costs and contributions of employees*
Mana%ement by ob&ecti!es
It is te modern metod of e!aluatin% te performance of personnel* Mana%ers a!e
become increasin%ly a#are tat te traditional performance e!aluation systems are
caracteri0ed by facin% %oals* -e concept of M4O is actually te outcome te
pioneerin% #or' of 6ruc'er$ Mc%re%er and Odioine in mana%ement science* M4O
can be described as te process #ereby te superior and subordinate mana%er of an
or%ani0ation &ointly identify its common %oals$ eac indi!idual"s areas of operations$
responsibility in terms of results e:pected of im and use tese measures as a %uide
for operatin% te unit and assessin% te contributions of eac of its members* M4O
tus represents more tan an e!aluation process*
-e M4O can be described in four steps1
-e first step is to establis te %oals eac subordinate is to attain* -e %oals typically
refer to te desired outcome to be acie!ed* -e %oals can be ten used to e!aluate
te employee performance
-e second step in!ol!es settin% of te performance standard fro te subordinates in a
pre!iously arran%ed time period*
In te tird step$ te actual le!el of %oal attainment is compared #it te %oals a%reed
upon* -e e!aluator e:plores te reasons or te %oals tat #ere not met and te %oals
tat #ere e:ceeded* -is step elps to determine te trainin% needs* It also alerts te
superior of te conditions tat may affect but o!er #ic te subordinate as no
control*
-e final step in!ol!es establisin% ne# %oals and$ possibly$ ne# strate%ies for %oals
tat pre!iously not attained* At tis point$ subordinate and superior in!ol!ement in te
%oal settin% may can%e* Subordinates #o successi!ely reac te establised %oals
may be allo#ed to participate more in te %oal settin% process te ne:t time* -e
process is repeated*
Assessment center
In tis approac indi!iduals from !arious departments are brou%t to%eter to
spend t#o or tree days #or'in% on an indi!idual or a %roup assi%nment similar to te
ones tey #ould be andlin% #en promoted* Obser!ers ran' te performance of eac
and e!ery participant in order to merit since assessment centers are basically meant
for e!aluatin% te potential of candidates to be considered for promotion$ trainin% on
de!elopment$ tey offer an e:cellent means for conductin% e!aluation process in an
ob&ecti!e #ay* All assesses %et an e(ual opportunity to so# teir talents and
capabilities based on merit*
4ea!iorally ancored ratin% scale
-is metod is also 'no#n as bea!ioral e:pectation scale* -is metod represent e
latest inno!ation in te performance appraisal* It is te combination of te ratin% scale
and critical incident tecni(ues of employee performance e!aluation* -e critical
incidents ser!e as te ancor statement on a scale and te ratin% form usually contains
si: to ei%t specifically defined performance dimensions*
;CDE PERFORMANCE APPRAISAL
-e appraisal may be any person #o as torou% 'no#led%e about te &ob contents$
contents to be appraised$ standards of contents and #o obser!es te employee=s by
performin% a &ob* -e appraisal sould be capable of determinin% #at is more
important and #at is relati!ely less important* 5e sould prepare reports and made
&ud%ments #itout bias* -ypical appraisals are super!isors$ peers* Subordinates$
employees temsel!es$ user of ser!ice and consultants* Performance Appraisal by all
tese parties is called ;CDE Performance Appraisal*
Super!isors
Super!isors include superiors of te employee$ oter superiors a!in% 'no#led%e
about te #or' of te employee and department ead or mana%er* General practice is
tat immediate superior appraises te performance$ #ic in turn is re!ie#ed by te
departmental eadB mana%ers* -is is because superiors are responsible free mana%in%
teir subordinates and tey a!e te opportunity to obser!e$ direct and control te
subordinate continuously* Moreo!er$ tey are accountable for te successful
performance of teir subordinates* Sometimes oter super!isors$ #o a!e close
contact #it employee #or' also appraise #it a !ie# to pro!ide additional
information*
Peers
Peer appraisal may be reliable of te #or'%roup is stable o!er a reasonably lon%
period of time and performs tas's tat re(uire interaction*
Subordinates
In de!eloped countries$ te concept of can%e superiors rated by subordinates in bein%
used in most or%ani0ations* Suc a metod can be useful pro!ided te relationsips
bet#een superiors and subordinates art cordial* Subordinate=s ratin%s in suc cases can
be (uite useful in identifyin% competent superiors*
Self)Appraisal
If indi!iduals understand te ob&ecti!es tey are e:pected to acie!e and te standards
by #ic tey are to be e!aluated$ tey are to a %reat e:tent in te best position to
appraise teir o#n performance* Also$ since employee de!elopment means self)
de!elopment$ employees #o appraise teir o#n performance may become i%ly
moti!ated*
.sers of Ser!icesBCustomers
-e customers on users of ser!ices can$ better &ud%e employee performance in ser!ice
or%ani0ations relatin% to bea!iors$ promptness$ speed in doin% te &ob and accuracy*
E:ample$ students better &ud%e a teacer"s performance*
Consultants
Sometimes consultants may be en%a%ed for appraisal #en employees or employers
do not trust te super!isory appraisal and mana%ement does not trust te self)appraisal
and te appraisal done by subordinates* In suc situation$ te consultants are trained
and tey obser!e te employee at #or' for sufficiently lon% periods for te purpose of
appraisal*
7en to appraise@
Informal appraisals are conducted #ene!er te super!isor or personnel mana%er feel
it necessary* 5o#e!er$ systematic appraisals are conducted on a re%ular basis9 say for
e:ample$ e!ery si: mont or annually*
P.RPOSES OF PERFORMANCE APPRAISAL
-o create and maintain a satisfactory le!el of performance*
-o contribute to te employee %ro#t and de!elopment tou%t trainin%$ self and
mana%ement de!elopment pro%rammes*
-o elp te superior to a!e a proper understandin% about teir subordinates*
-o %uide te &ob can%es #it elp to continuous ran'in%*
-o facilitate fair and e(uitable compensation based on performance*
-o pro!ide information for ma'in% decision re%ardin% lay off$ retrencment etc*

REF.IREMEN-S OF A GOO6 APPRAISAL SAS-EM1
It must be easily understandable1
If te system is too muc comple: or to time consumin%$ it may be ancored to te
%round by its o#n dead #ei%t of complicated forms #ic nobody but te e:perts
understand*
It musty as support of all line people #o administer it1
If te line people tin' tat tere role is not !ery important ten tey #ill not consider
te system seriously* Similarly$ if te people find tat te system is too teoretical$
too ambitious$ or tat as been foisted on tem by te i!ory)to#er staff consultants
#o a!e no compreension of te demand ten tey #ill recent it*
-e system sould be sufficiently %rounded in te re(uirement of te or%ani0ation1
It sould reflect te !alue system of te or%ani0ation* In fact functionin% as a
definition of performance$ it sould tell e employee #at set of acti!ities or #at
(ualities are considered desirable by te or%ani0ation* As suc it sould a!e lin'a%e
#it te &ob description*
-e system sould be bot !alid and reliable1
-e !alidity of te ratin%s is te de%ree to #ic tey are truly indicati!e of te
intrinsic merit of te employees* -e reliability of te ratin%s is te consistency #it
#ic te ratin%s are made$ eiter by different sectors$ one by one rater at different
times* 4ot !alidity and reliability result from ob&ecti!ity* -e appraisal system of
many or%ani0ations lac's tis ob&ecti!ity and bunces all employees into one or t#o
top ran's #itout ta'in% into account teir merits* -is raises outstandin%
performances but also raises doubts about te !alidity of te system*
-e system sould a!e built)in incenti!e1
-is means tat te re#ard sould follo# satisfactory performance* Many autors
o#e!er$ ad!ocate a%ainst te direct lin'a%e bet#een te appraisal and re#ards* In
teir opinion$ suc a connection trottles do#n#ard communication of performance
appraisal because superiors do not li'e bein% (uestioned by dis%runtled subordinates*
-e system sould be open and participati!e1
It sould in!ol!e employees in %oal)settin% process* -is elps in plannin%
performance better*
-e systems sould focus more on te de!elopment and %ro#t1
Of te employee tan on %eneratin% data for administrati!e decision ma'in% related to
promotions$ increments$ etc* te system must elp in identifyin% employee"s stren%ts
and #ea'nesses and indicate correcti!e actions* For e:ample it may re!eal tat %oals
need to be modified on9 tere is need for classification of duties or for additional
trainin% or &ob rotation or &ob enricment*
GREIVANCE
1! MEANING" DEFINITION #
-e concept GGrie!ance" as been defined in se!eral #ays by different autorities
some of te definition are follo#s1
4eac defines a %rie!ance as +any dissatisfaction or feelin% of in&ustice in
connection #it one"s employment situation tat is brou%t to te notice of te
mana%ement,$ #ere as Flippo indicate te %rie!ance as +a type of discontent #ic
must al#ays be e:pressed A %rie!ance is usually more formal in caracter tan a
complaint* It can be !alid or ridiculous$ and must %ro# out of sometin% connected
#it company operations or policy* It must in!ol!e interpretation or application of te
pro!ision of te labour contract*,
/ucius defines a %rie!ance as +any discontent or dissatisfaction$ #eter e:posed
or not$ #eter !alid or not$ arisin% out of anytin% connected #it company #ic
an employee tin's$ belie!es or e!en feels to be unfair$ un&ust or ine(uitable*,
A %rie!ance is more tan li'ely a !iolation of an employee=s ri%ts on te &ob$ a
ri%t tat is usually$ but not al#ays defined by te contract* In seein% a %rie!ance in
tis #ay$ #e can understand better tat te best place to loo' for a #ay to defend te
member is in te lan%ua%e of te contract* So for all practical purposes$ e!ery union
officer must %o bac' to te contract first #en a member comes in #it a complaint or
a problem* -e contract pro!ides us #it te stron%est ammunition in resol!in% te
issue for our member* Is te contract te only means to resol!e member=s %rie!ances@
Of course not* 4ut it is probably te stron%est le% you a!e to stand on* Lastly$ tere
are many %rie!ances tat fall into a lar%e cate%ory #ic #e say are discipline)related*
-e union can callen%e certain rules or teir application* 7e may ar%ue tat a
member is bein% disciplined #itout H&ust causeH or e or se is sufferin% from
disparate treatment* -e t#o e:pressions are simply an arbitrator=s or la#yer=s #ay of
sayin% te member is bein% disciplined unfairly*
So te best ad!ice tat can be offered in andlin% a member=s problem is to
cec' te contract first* If tere is any reasonable #ay of dealin% #it te issue as a
contract !iolation$ you ou%t to use it* Aou and your local union are only limited by
te contract$ te s'ills of te %rie!ance representati!es$ and te po#er of te local
union*
NEED FOR A GRIEVANCE PROCEDURE
Grie!ance procedure is necessary for any or%ani0ation due to te follo#in% reason1
Most %rie!ances seriously disturb te employees* -is may affect teir moral$
producti!ity and teir #illin%ness to cooperate #it te or%ani0ation* If an e:plosi!e
situation de!elops$ tis can be promptly attended to if %rie!ance andlin% procedure is
already in e:istence*
It is not possible tat all te complaints of te employees #ould be settled by first)
time super!isors$ for tese super!isor may not a!e ad a proper trainin% for te
purpose$ and tey may lac' autority* Moreo!er$ tere may be personality conflicts
and oter cause as #ell*
It ser!es as a cec' on te arbitrary action of te mana%ement because super!isors
'no# tat employees are li'ely to see to it tat teir protest dose reac te i%er
mana%ement*
It ser!es as an outlet for employees %ripes$ discontent and frustrations* It acts li'e a
pressure !alue on a steam boiler* -e employees are entitled to le%islati!e$ e:ecuti!e
and &udicial protection and tey %et tis protection from te %rie!ance redressal
procedure$ #ic also acts as a means of up#ard communication*
2!CONSIDERS GOOD PRACTICE IN $ANDLING DISCIPLINARY AND
GRIEVANCE ISSUES #
endorses te ACAS Code of Practice
2
for andlin% disciplinary and %rie!ance issues
summari0es te statutory procedures #ic came into force in October 8DD<
includes te CIP6 !ie#point*
S%&&'()
A summary of issues #ic can be addressed trou% te 4asic Grie!ance
Procedure include$ but are not limited to$ te follo#in%1 All alle%ations of
discrimination9 alle%ations of non)compliance #it te Personnel Rules9 impro!ement
of systems$ practices or procedures9 safety9 ealt9 #or'in% conditions9 materials or
e(uipment9 super!isory practices or procedures considered improper or unfair9
disciplinary actions suc as suspensions of <D ours or less$ reprimands or memos of
concern9 or any oter matters sub&ect to te autority of te A6OA 6irector and for
#ic no oter metod of redress is pro!ided or proibited in te Personnel Rules*
R*+,(-.,-/0+
An employee may not submit a %rie!ance callen%in% te follo#in% mana%ement
ri%ts$ but may submit a %rie!ance concernin% te manner of teir administration$
insofar as tese personally affect te employee1 -e a%ency=s ri%t to direct its
employees9 to ire$ promote$ transfer$ assi%n$ and retain employees9 and$ to maintain
efficiency of %o!ernment operations$ and to determine te metods$ means$ and
personnel by #ic tese operations are to be conducted*
An employee may submit a %rie!ance concernin% a specific performance factor ratin%
by utili0in% te EPAS Grie!ance Procedure* An employee may not submit a
%rie!ance concernin% te receipt of a performance decrease$ te non)receipt of a
performance increase or special performance a#ard$ te amount of any increase or
decrease$ or te use of any &ob)related supplemental ratin% factors to determine te
receipt or amount of an increase$ decrease$ or special performance a#ard* An
employee may submit a %rie!ance usin% te 4asic Grie!ance Procedure #itin 2D
days of receipt of a plannin% EPAS or #itin 2D days of failin% to recei!e$ after
#ritten re(uest$ a plannin% document*
N/01A223-.'43* M',,*(+
A summary of issues #ic cannot be addressed trou% eiter te 4asic or te
EPAS Grie!ance Procedure$ include$ but are not limited to$ te follo#in%1 Retirement
issues9 life insurance or ealt insurance issues9 suspension for more tan <D #or'in%
ours$ demotion$ or dismissal resultin% from disciplinary action9 any e:amination$
certification or appointment9 any classification action9 and any reduction in force
action and matters not sub&ect to te 6epartment of Administration control* Oter
a!enues e:ist to see' redress or remedy in!ol!in% tese actions*
A&*05&*0,+
Once a %rie!ance is referred to any step beyond te immediate super!isor$ it may
not be amended* If additional documentation is submitted by te %rie!ant after te
initiation of te %rie!ance$ te re!ie#in% official may remand te %rie!ance to te
appropriate pre!ious le!el for reconsideration* It is te employee=s responsibility to
pro!ide documentation to support te alle%ations raised in te %rie!ance*
C/06-5*0,-'3-,) '05 U+* /6 O66-.-'3 A%,7/(-,)
-e preparation$ submittal$ re!ie# and response to a %rie!ance are confidential*
Correspondence re%ardin% a %rie!ance sould be andled in a confidential manner$
and en!elopes containin% %rie!ance material sould be clearly labeled Hconfidential*H
No reference to te complaint sall be included in te employee=s official personnel
file*
Copies of #ritten responses sent at eac step of te procedure are limited to
respondents at te precedin% steps$ te a%ency ead or te a%ency ead=s desi%nee
unless it is necessary to notify additional personnel because te response re(uires
anoter indi!idual to ta'e some action*
No person sall directly or indirectly use any official autority or influence in any
manner to discoura%e te use of tis procedure* Any person found %uilty may be
sub&ect to penalty under A6OA Personnel Rule R8)>)>D2*
R*2(*+*0,',-/0
At any step of te %rie!ance procedure after te mandatory pre)%rie!ance oral
discussion ?see belo#3$ %rie!ant may select one representati!e to pro!ide ad!ice
andBor spea' for te %rie!ant at any meetin%s determined necessary by mana%ement in
te course of te %rie!ance process* An A6OA employee #o ser!es as a
representati!e is re(uired to re(uest and obtain prior appro!al for annual or
compensatory lea!e for any time de!oted as a representati!e durin% re%ular #or'in%
ours* If a representati!e is cosen$ te representati!e sall be identified on te
%rie!ance form
G(/%2 G(-*8'0.*
Sould a %roup of employees file a %rie!ance$ all employees of te %roup are
re(uired to si%n te %rie!ance and to clearly desi%nate$ on te %rie!ance form$ one
member #o #ill act as te %roup=s contact person* -e contact person #ill act as a
spea'er for te %roup in any meetin%s determined necessary by mana%ement*
P(*2'(',-/0 T-&*
6urin% te entire formal %rie!ance process ?after te oral discussion at Step I3$
employees are allo#ed up to four ours #it pay to prepare te %rie!ance andBor
confer #it teir official representati!e on te %rie!ance* Employees cannot use state
e(uipment for tis process* Employees must re(uest and obtain prior super!isory
appro!al for time off$ #ic #ill be sub&ect to te operational needs of te unit* -e
time an employee de!otes to attendin% any meetin%s sceduled by mana%ement to
discuss te %rie!ance is considered #or' time and is not included in te four)our
limitation specified abo!e*
E9,*0+-/0+
-e A6OA Personnel Rules re(uire tat te a%ency ead respond to a %rie!ant not
later tan <D #or'in% days after receipt of te %rie!ance at te first step* 7itin te
<D #or'in% days re(uirement$ te time at any step may be e:tended by te a%ency
ead #it concurrence of te %rie!ant* If at any step te response is not made #itin
te prescribed time and no e:tension as been a%reed upon$ te employee may submit
to te ne:t step*
M'05',/() O('3 D-+.%++-/0
In accordance #it Personnel Rule R8)>)ID8*A*2$ te employee is REF.IRE6 to
a!e an oral discussion #it te immediate super!isor prior to initiatin% a formal
%rie!ance* -e employee must clearly state to te super!isor te employee=s
intentions of filin% a formal %rie!ance$ te issues in!ol!ed$ and te re(uested
resolution* -e purpose of te meetin% is for bot parties to e:plore te issues and te
re(uested resolution* If te employee fails to ta'e tis step$ te %rie!ance 7ILL NO-
be accepted trou% te formal %rie!ance procedure* It is te employee=s
responsibility to remember tat te Step I %rie!ance must be submitted #itin 2D
#or'in% days after te occurrence of te action bein% %rie!ed$ and tat tese 2D days
are not e:tended by te date on #ic te oral discussion ta'es place*
-e employee may select a representati!e at any step after te oral discussion #it te
super!isor*
P(/.*5%(*+
7en an employee #ants to submit a basic %rie!ance$ te employee must1 .se te
appropriate form9 state te problem and outline all of te specific facts$ circumstances
and issues in!ol!ed9 pro!ide all te appropriate documentation to support te
alle%ations9 state te specific resolution #ic is sou%t9 of a Personnel Rule !iolation
is alle%ed$ te specific rule alle%ed to a!e been !iolated must be stated as #ell as an
e:planation of o# te rule #as !iolated9 and$ te employee must si%n te %rie!ance
at eac step and state #y te response at te pre!ious le!el #as not satisfactory*
-e employee must also meet te mandatory oral discussion re(uirement prior to
submittin% te complaint and adere to te re(uired time limitation for submittin% a
%rie!ance*
S,*2 I
-e Step I respondin% autority is te employee=s immediate super!isor*
-e time limit for submittin% te %rie!ance is 2D #or'in% days from te date of te
action bein% %rie!ed* If a suspension is bein% %rie!ed$ te date of te action is
considered to be te first day of te suspension* -e date te action occurred is not
counted #en determinin%
3!:$Y ARE DISCIPLINARY AND GRIEVANCE PROCEDURES
NECESSARY;
6isciplinary and %rie!ance procedures pro!ide a clear and transparent frame#or'
to deal #it difficulties #ic may arise as part of teir #or'in% relationsip from
eiter te employer=s or employee=s perspecti!e*
-ey are necessary to ensure tat e!erybody is treated in te same #ay in similar
circumstances$ to ensure issues are dealt #it fairly and reasonably and tat tey are
compliant #it current le%islation*
6isciplinary procedures are needed1
So employees 'no# #at is e:pected of tem in terms of standards of performance or
conduct ?and te li'ely conse(uences of continued failure to meet tese standards3*
-o identify obstacles to indi!iduals acie!in% te re(uired standards ?e*%* trainin%
needs$ lac' of clarity of &ob re(uirements$ additional support needed3 and ta'e
appropriate action*
As an opportunity to a%ree suitable %oals and timescales for impro!ement in an
indi!idual=s performance or conduct*
As a point of reference for an employment tribunal sould someone ma'e a complaint
about te #ay tey a!e been dismissed
G(-*8'0.* 2(/.*5%(*+ '(* 0**5*5#
-o pro!ide indi!iduals #it a course of action sould tey a!e a complaint
?#ic tey are unable to resol!e trou% re%ular communication #it teir line
mana%er3*
-o pro!ide points of contact and timescales to resol!e issues of concern*
T7* 3*<'3 2/+-,-/0
Most of te pro!isions %o!ernin% discipline and %rie!ances at #or' are to be found
in te Employment Act 8DD8 and te detailed re%ulations made to implement te
pro!isions of tat Act namely te Employment Act 8DD8 ?6ispute Resolution3
Re%ulations 8DD< ?SI8DD<BI>83*
Numerous oter pieces of le%islation cross refer to discipline and %rie!ance issues*
Some important e:amples include te1
Employment Ri%ts Act 2JJC as amended
Employment Ri%ts 6ispute Resolution Act 2JJK
Employment Relations Act 2JJJ*
-e statutory disciplinary$ dismissal and %rie!ance procedures
From 2 October 8DD<$ te Employment Act 8DD8 made it a le%al re(uirement for all
or%ani0ations to follo# minimum disciplinary$ dismissal and %rie!ance procedures in
certain circumstances* -ese statutory procedures amount to a minimum standard tat
must be follo#ed by all employers and employees*
T7* M'-0 F*',%(*+ O6 T7* P(/.*5%(*+ A(*#
-ree step statutory disciplinary$ dismissal and %rie!ance procedures #ic must
be follo#ed in most cases
failure to follo# te statutory procedures by te employer prior to dismissal #ill
render tat dismissal automatically unfair
employers #ill pay a potential increase in compensation of bet#een 2D)>DL if te
procedures are not follo#ed by te employer
an employee may be pre!ented from presentin% some types of claim in te
employment tribunal if tey a!e not follo#ed te %rie!ance procedure first
te procedures are non)contractual until furter notification by te 6epartment of
-rade and Industry unless an or%ani0ation cooses to incorporate te statutory
minimum into teir o#n contractual procedures*
T7*(* '(* ,=/ +*,+ /6 2(/.*5%(*+# standard$ and modified* It is en!isa%ed tat te
standard procedure #ill be used in all but te most e:ceptional circumstances* -ese
procedures apply in a #ide ran%e of circumstances #ic are not limited to issues
relatin% to te capability or conduct of te employee but$ for e:ample$ to dismissals
#ic occur on te e:piry of a fi:ed)term contract and in a smaller scale
redundancies*
-ere are some e:emptions to te statutory procedures$ for e:ample if one party
reasonably belie!es tere is a si%nificant treat$ arassment or it is not practical to %o
trou% te procedures for reasons beyond teir control$ or if tere are issues of
national security*
-e ACAS Code of Practice Disciplinary and Grievance Procedures
2
pro!ides
detailed %uidance for employers* CIP6 endorses tis Code*
CIP6 members can find out more on te le%al aspects of tis topic from our FAF on
in te Employment La# at 7or' area of our #ebsite*
-op of Form
G(-*8'0.* 2/3-.) '05 2('.,-.*
It is essential tat %rie!ances from employees are treated in te same fair manner*
Failure to address %rie!ances lea!es employees #it Gresidual an%er" and can lead to
%eneral unrest and disputes in te #or'place*
Employees must 'no# to #om tey can turn in te e!ent of a %rie!ance and te
support$ suc as counselin% or sources of ad!ice$ tat is a!ailable to tem* All line and
senior mana%ers must be familiar #it teir or%ani0ation"s %rie!ance procedure*
-ere are a number of additional factors to bear in mind #en dealin% #it %rie!ances
concernin% arassment* For furter details see our fact seet on
$'053-0< <(-*8'0.*+ -06/(&'33)
Indi!iduals sould be encoura%ed to discuss ordinary$ day)to)day issues informally
#it teir line mana%er* -is elps concerns to be eard and responded to as soon as
possible*
7ere tis as been unsuccessful$ or circumstances ma'e tis route inappropriate for
te indi!idual$ ten matters sould raised formally trou% te %rie!ance procedure*
$'053-0< <(-*8'0.*+ 6/(&'33)
Employees sould also be a#are of te formal route open to tem$ includin%1
te tree sta%es of te statutory procedure and any furter elements of te
or%ani0ation"s additional procedures
#it #om to raise te complaint and appropriate sources of support
timescales #itin #ic te or%ani0ation #ill see' to deal #it te complaint
details of te sta%es of te %rie!ance procedure e*%* o# a complaint may be raised
#it te ne:t le!el of mana%ement if a satisfactory resolution is not reaced*
An employee sould be %i!en te ri%t to be accompanied to %rie!ance earin%s by a
collea%ue or trade union representati!e as e:plained abo!e*
As in disciplinary matters$ record 'eepin% is important
4!GRIEVANCE PROCEDURES# T$E STANDARD T$REE1STEP
PROCEDURE
Aour employer"s %rie!ance procedure may a!e more tan tree steps$ but it must
include te follo#in%*
1. :(-,,*0 +,',*&*0,
Aou must set out your %rie!ance in #ritin% ?often called a Gstep one letter"3* Aour
employer"s %rie!ance procedure sould say #o to send your letter to* If tat"s te
person causin% te problem$ or if tey"!e i%nored pre!ious complaints$ send it to te
5R department or to te person"s boss*
2. M**,-0<#
Aour %rie!ance sould be loo'ed into in a fair and unbiased #ay* Aour employer
sould in!ite you to a meetin% ?sometimes called a earin%3 to discuss te problem$
and you sould attend if you can* If tere is someone else in!ol!ed$ tey mi%t also be
tere ?but you sould tell your employer if you are uncomfortable #it tis3*-e
meetin% sould be at a con!enient time for you and anyone else in!ol!ed* If you tin'
you"!e not ad enou% time to prepare$ as' for more time* If your employer doesn"t
a%ree ?and tey don"t a!e to3$ you sould %o to te earin%$ but ma'e sure tat your
lac' of preparation time is noted* Gater your tou%ts before te meetin%* 6on"t be
afraid to #rite do#n #at it is you #ant to say* -ere is notin% #ron% #it readin%
tis out at te meetin%* It is up to your employer #at format te meetin% ta'es but
tey #ill normally %o trou% te issues tat a!e been raised and %i!e you te
opportunity to comment* -e main purpose of te meetin% sould be to try to
establis te facts and find a #ay to resol!e te problem* -e Ad!isory$ Conciliation
and Arbitration Ser!ice ?Aces3 a!e a code of practice #ic sets out o# your
employer sould carry out a %rie!ance procedure* If you as' your employer
beforeand$ you a!e a le%al ri%t to ta'e a Gcompanion" ?#o is a collea%ue or trade
union representati!e3 to te meetin% #it you* If no collea%ue is #illin% to accompany
you$ and you"re not a union member$ as' if you can brin% a family member or a
Citi0en"s Ad!ice 4ureau #or'er ?but your employer does not a!e to a%ree to tis3*
-e companion can present andBor sum up your case$ tal' on your bealf and confer
#it you durin% te earin%* -ey"re protected from unfair dismissal or oter
mistreatment for supportin% you* -e meetin% must be at a con!enient time for your
companion* Aou can as' for a postponement of up to fi!e days if necessary to %et
your cosen companion tere* Aou sould be %i!en notes of te meetin%$ and copies
of any information %i!en by oter people* .nless tey need to in!esti%ate furter$
your employer sould tell you reasonably (uic'ly #at"s been decided$ and about
your ri%t to appeal if you"re not satisfied* Aou mi%t be told of te outcome !erbally
at first but it #ill usually be confirmed in #ritin%*
3. A22*'3 &**,-0<#
If you"re not satisfied #it te decision$ or you tin' te procedure follo#ed #as
seriously fla#ed$ you a!e te ri%t to an appeal* -is is usually eard by a i%er
le!el of mana%ement* If tat isn"t possible$ your employer could as' an Aces
mediator or oter independent person to ear it* -e appeal earin% is similar to te
ori%inal meetin%$ and you a!e a ri%t to a companion$ as before* Aour employer
sould %i!e you enou% time to appeal* If tey don"t$ ma'e your appeal any#ay$ and
say tat you"ll pro!ide more information later* If you are considerin% ta'in% your
issue to an Employment -ribunal you may #ant to appeal e!en if it seems pointless$
because a tribunal a#ard could be reduced if you don"t* If you can"t sort out te
dispute$ you can %et elp trou% mediation$ conciliation or arbitration$ if your
employer a%rees to it*
DISCIPLINE
1!INTRODUCTION#
6iscipline is re(uired for bot te or%ani0ation and te indi!idual* In te
or%ani0ation it is needed to re%ulate te bea!ior of people$ maintain peace and
cannel teir efforts to#ards or%ani0ational %oal* Sad to sate$ most people do not
e:ercise self discipline and tis fact ma'es e:ternal control necessary for brinin%
order #itin an or%ani0ation*
CONCEPT
6iscipline is not a %lamorous term* It is !ie#ed #it fear and suspicion in
or%ani0ation* -e multiple e:planation ad!anced by different e:pert in te filed a!e
only added to te pre!ailin% confusion*
NEGAIVE DISCIPLINE
-raditionally$ discipline is interpreted as a sort of cec' or restraint on te freedom
of person* 6iscipline is used to te act of imposin% penalties for #ron% bea!ior* If
employees fail to obser!e rules$ tey are punised* +6iscipline is te force tat
prompts an indi!idual or a %roup to obser!e te rules$ re%ulations and procedures
#ic are deemed to be necessary to te attainment of an ob&ecti!e$,
POSITIVE DISCIPLINE
Employees comply #it rules not out fear of punisment but out of an inerent
desire to cooperate and acie!e %oals* 7ere te or%ani0ational climate is mar'et by
t#o)#ay communication$ clear %oals$ effecti!e leadersip$ ade(uate compensation
employees need not be discipline in te traditional #ay* Positi!e discipline$ accordin%
to Sprie%el enables an employee$ +to a!e a %reater freedom in tat e en&oys a
%reater de%ree of self)e:pression in stri!in% to acie!e te ob&ecti!e$ #ic e
identifies as is o#n*,
2!DIFFEREANCE BET:EEN POSITIVE > NEGATIVE DISCIPLINE #
P/-0, N*<',-8* D-+.-23-0* P/+-,-8* D-+.-23-0*
C/0.*2, It is aderence to establised
norms and re%ulation$ out of
fear of punisment*
It is te creation of a
conducti!e climate in an
or%ani0ation so tat employees
#illin%ly confirm to te
establised rules
C/063-., Employees do not percepti!e
te corporate %oals as tere
o#n*
-ere is no conflict bet#een
indi!idual and or%ani0ational
%oals*
S%2*(8-+-/0 Re(uire intense super!isory
control to pre!ent employees
from %oin% off te trac'*
Employees e:ercise self)
control to meet or%ani0ational
ob&ect i!ies*
3!SELF DISCIPLINE AND CONTROL#
4ea!ioral scientist !ie# discipline as a self) control to meet or%ani0ational
ob&ecti!es* Me%%inson clarified te term tus* +4y self) discipline e mans te
trainin% tat correct$ moulds and stren%tens* It refers to one"s efforts at self control to
certain needs and demands* -is form of discipline is raised on to psycolo%ical
principles* First$ punisment seldom produce te desired result* Often$ it produce
undesirable result* Second$ a self) respectin% person tends to be a better #or'er tan
one #o is not*,
4!PROGRESSIVE DISCIPLINE#
-e concept o pro%ressi!e discipline states tat penalties must be appropriate to
te !iolation* If inappropriate bea!iour is minor in nature and as not pre!iously
occurred an oral may be sufficient* If te !iolation re(uires a #ritten #arnin%$ it must
be done accordin% to a procedure* After #ritten #arnin%s$ if te conduct of te
employees is still not alon% desired lines$ serious puniti!e steps could be initiated* In
case of ma&or !iolations suc as ittin% a super!isor may &ustify te termination of an
employee immdiately* In order to assist a mana%er to reco%ni0e te proper le!el of
disciplinary action$ some firms a!e formali0ed te procedure*
5!T$E RED $OT STOVE RULE#
7itout te continual support of te subordinate$ no mana%er can %et tin%s done*
4ut disciplinary action a%ainst a delin(uent employee is painful and %enerates
resentment on is part*
Accordin% to te Red 5ot Sto!e rule disciplinary action sould a!e follo#in%
conse(uences1
A? B%(0+ -&&*5-',*3)# If disciplinary action is to be ta'en$ it must occur
immediately so te indi!idual #ill understand te reason for it* 7it te passa%e of
time$ people a!e tendency to con!ince temsel!es tat tey are not fault*
B? 2(/8-5*+ ='(0-0<# It is !ery important to pro!ide ad!ance #arnin% tat
punisment #ill follo# unacceptable bea!iour* As you mo!e closer to ot sto!e you
are #arned by its eat tat #ill be burned*
C? B%(0+ -&2*(+/0'33)# 6isciplinary action sould be impersonal* -ere are no
fa!orites #en tis approac is follo#ed*
6!@USTICAL APPROC$ TO DISCIPLINE#
-e Industrial Employment Act #as passed in 2J<C #it a !ie# to impro!e te
industrial relation climate* -e Act re(uires tat all establisment must define te
ser!ice rules and prepare standin% order* -e term Standin% order refers to te rules
and re%ulation #ic %o!erns te condition of employment of #or'ers* -ey indicate
duties and responsibility on te part of bot te employer and te employees* -e
standin% order contains rules relatin% to classification of employees$ #or'in% ours$
olidays$ sift #or'in%$ attendance$ lea!e$ suspension$ stoppa%e of #or'$ redreassal of
tese terms and condition may lead to misconduct or indciplpine*
7!DISCIPLINARY ACTION#

-ou% tere is no ri%id and specific procedure for ta'in% disciplinary action$ te
disciplinary procedure follo#ed in Indian industries usually consist of te follo#in%
steps1
a* I++%-0< ,7* 3*,,*( /6 .7'(<* : 7en a employee commits an act of misconduct
tat re(uired disciplinary action$ te employee concerned sould be issue a car%e
seet* Car%es of misconduct or indiscipline sould be clearly and precisely stated
in te car%e seet*
b* C/0+-5*(',-/0 /6 *923'0',-/0 1 On %ettin% te ans#er for te letter of car%e
ser!ed$ te e:planation furnised be consider and if it is a satisfactory$ no
disciplinary action need be ta'en* On te contrary #en te mana%ement is not
satisfied #it te employees e:planation tere is a need for ser!in% a so#)cause
notice*
c* S7/=1.'%+* 0/,-.* 1 So#)cause notice is issued by te mana%er #en e belie!es
tat tere is a sufficient prima facie e!idence of employees misconduct* En(uiry
sould also initiated by first ser!in% im a notice of en(uiry indicatin% clearly te
name of en(uirin% officer$ time$ date and place of en(uiry etc*
d* $/35-0< /6 ' 6%33 63*5<* *0A%-() 1 -ese must be in conformity #it te principle
of natural &ustice$ tat is te employee concerned must be %i!en an opportunity$ of
bein% eard* 7en te process of en(uiry is o!er an findin%s of te same are
record$ te en(uiry officer sould su%%est te nature of disciplinary action*

8!DISCIPLINARY POLICY AND PRACTICE#1
U+-0< ,7* 5-+.-23-0'() 2(/.*++
-ere are t#o main areas #ere te disciplinary system is used1
capabilityBperformance and conduct*
C'2'4-3-,)"2*(6/(&'0.*
It is ine!itable tat at some sta%e all employers #ill encounter difficulties #it te
performance of teir employees in te #or'place ?tese can stem from difficulties on
te part of te or%ani0ation suc as insufficient trainin% and support$ or a lac' of
leadersip or inappropriate systems of #or'$ as #ell as te indi!idual #o is
stru%%lin% to fulfill teir responsibilities3* It is %ood practice and also more efficient
tat suc issues are addressed informally$ as and #en tey arise$ by mana%ers !ia
discussions #ic clarify =#at %ood performance loo's li'e=$ %oal settin%$ support
and timely positi!e feedbac' #ere appropriate* Only #en tese options a!e been
e:austed and #ere tere is no alternati!e sould mana%ers sould enter a more
formal disciplinary procedure*
Situations #ere an indi!idual is unable to do teir &ob because of ill)ealt also fall
into tis cate%ory* In tese instances an employee sould be dealt #it
sympatetically and offered support* 5o#e!er$ unacceptable le!els of absence could
still result in te employer ma'in% use of #arnin%s*

C/05%.,
Employee misconduct could ran%e from continued lateness$ failure to follo# a
reasonable mana%ement instruction$ abuse of te or%ani0ation"s computer system or
Internet access$ bullyin% bea!iour or creatin% a ostile #or' en!ironment$ trou% to
teft$ fi%tin% and committin% criminal offences* -e more %ra!e offences may
constitute %ross misconduct* In all cases$ e!en %ross misconduct$ an employer sould
attempt to follo# te statutory procedures*
Sta%es of te process
If disciplinary action is to be ta'en$ it sould al#ays a!e tree main sta%es1
1B L*,,*(
2B M**,-0<
3B A22*'3.
-ere must al#ays be a full and fair in!esti%ation to determine te facts and to decide
if furter action is necessary*
R*./(51C**2-0<
All records sould be 'ept meticulously$ as tis #ill be !ital sould a case be
perused at an employment tribunal* Since te burden of proof is on te employer to
so# tat te dismissal is not unfair or unreasonable$ 'eepin% records is !ital* -ype of
records tat sould be 'ept by employers is minutes of meetin%s$ attendance$ notes of
telepone calls$ copies of correspondence etc*
$'05-0< 5-+.-23-0'() -0,*(8-*=+
All line mana%ers sould be trained and supported so tat tey are able to carry out
disciplinary meetin%s #it teir team* -e 5R department sould be able to assist
tem by pro!idin% a source of independent ad!ice on preparin% for and conductin%
te inter!ie#$ as #ell as sarin% 'no#led%e about similar cases in te or%ani0ation
and rele!ant le%islation*
-e 'ey points to consider are1
Ensure you a!e in!esti%ated all te facts in ad!ance ?includin% consultin% te
indi!idual=s personal file for rele!ant information3 and plan o# you #ill approac
te meetin%*
Ma'e sure te employee 'no#s from te letter in!itin% tem to te meetin% #y tey
a!e been as'ed to attend and tat tey a!e a ri%t to a!e a companion present*
Ma'e sure te indi!idual as reasonable notice$ ideally more tan <K ours9 so tat
tey a!e a cance to arran%e an appropriate representati!e if tey #is*
Ma'e sure anoter member of mana%ement can be tere to ta'e detailed notes and
elp.
C/05%., ,7* -0,*(8-*=.
Ne!er pre)&ud%e te outcome of te inter!ie# before earin% te employee=s
perspecti!e*
Start te inter!ie# by statin% te complaint to te employee and %i!in% appropriate
statements from people in!ol!ed*
Gi!e te employee ample opportunity to put for#ard teir side of te story and call
any supportin% #itnesses*
Aou can also call #itnesses$ but tey can only be in te room for te rele!ant part of
te inter!ie# ) not te duration*
Ma'e use of ad&ournments1 al#ays ta'e a brea' to consider and obtain any e:tra
information you need before reacin% your decision* Aou can also use if tin%s
become eated or people are upset durin% te inter!ie#*
6eli!er te decision ?and %i!e reasons$ ta'in% into account any miti%atin%
circumstances3$ confirm re!ie# periods and ensure you %i!e details of o# to appeal*
Confirm te decision in #ritin%*
It is important tat e!eryone in!ol!ed in disciplinary action understand te
importance of follo#in% te correct procedure$ as e!en if te case a%ainst an
employee seems pro!en$ tey can still be deemed to a!e been treated unfairly if te
correct procedures are not follo#ed*
An indi!idual is entitled to be accompanied by a #or' collea%ue or trade union
official at formal disciplinary and %rie!ance inter!ie#s$ and to select a companion of
teir coice* It #ould be %ood practice for an employer also to offer tis at any purely
in!esti%atory meetin%*
N/ '.,-/0
After te meetin%$ te employer may decide tat no action is necessary* For
e:ample$ if an employee #as unclear about #at #as e:pected from tem and tey
a%ree to try to resol!e te issue !ia additional support or counselin%*

:'(0-0<+
Alternati!ely$ te employer may decide to %i!e te employee a #arnin%* An
or%ani0ation"s policy sould outline e:actly #at #arnin%s #ill be %i!en$ but te
follo#in% are li'ely1
R*./(5*5 /('3 ='(0-0<
F-(+, =(-,,*0 ='(0-0<
F-0'3 =(-,,*0 ='(0-0<.
Clearly tese sta%es represent an increase in seriousness* 7it te e:ception of
e:treme e:amples of misconduct$ it #ould be inappropriate to =s'ip sta%es= in te
process* .ltimately$ failure to reac te or%ani0ation"s standards may result in
dismissal*
Any #arnin% sould also specify a re!ie# period durin% #ic te indi!idual recei!es
appropriate support and teir performance can be monitored*
6isciplinary #arnin%s sould normally a!e a specified =life= after #ic tey are
disre%arded #en considerin% any subse(uent #arnin%s* -ypical timescales for te
types of #arnin% are1
(*./(5*5 /('3 ='(0-0< 1 6 &/0,7+
6-(+, =(-,,*0 ='(0-0< 1 1 )*'(
6-0'3 =(-,,*0 ='(0-0< 1 2 )*'(+*
7ere misconduct as been !ery serious$ it may be appropriate for te #arnin% to
continue to be re%arded indefinitely*
RECURITMENT
Recruitment means to estimate te a!ailable !acancies and to ma'e suitable
arran%ements for teir selection and appointment* Recruitment refers to +6isco!erin%
potential applicants for actual or anticipated or%ani0ational !acancies* Recruitment is
a process +-o disco!er te source of manpo#er to meet te re(uirements of staffin%$
to employ effecti!e measures for attractin% potential manpo#er in ade(uate number,*
Recruitment is te process of identifyin% te sources for prospecti!e candidates and to
stimulate tem to apply for te &ob* It"s lin'in% acti!ity brin%in% to%eter tose #it
&obs and tose see'in% &obs* It locates te source of manpo#er to meet te
re(uirements and &ob specifications* In recruitment process a!ailable !acancies are
%i!en #ide publicity and suitable candidates are encoura%ed to submit application so
as to a!e a pool of eli%ible candidates for scientific selection*
In recruitment$ information is collected from interested candidates* For tese different
sources of recruitment suc as ne#spaper ad!ertisement$ employment e:can%e$
internal promotions$ etc* are used* In te recruitment$ a pool of eli%ible and interested
candidates is created for te selection of most suitable candidate* Recruitment
represents te first contact tat a company ma'es #it potential employees*
Recruitment is a positi!e function in #ic publicity is %i!en to te &obs a!ailable in
te or%ani0ation and interested candidates ?(ualified &ob applicants3 are encoura%ed to
submit applications for te purpose of selection*
DEFINITION OF RECREUITMENT
Accordin% to Ed#in Flippo$ +Recruitment is te process of searcin% for prospecti!e
employees and stimulatin% tem to apply for &obs in te or%ani0ation*
OBJECTIVES OF RECRUITMENT
-e ob&ecti!es of recruitment are as follo#s1
?i3 -o attract people #it multi)dimensional s'ills and e:periences tat suit
te present and future or%ani0ational strate%ies$
?ii3 -o induct outsider #it a ne# perspecti!e to lead te company$
?iii3 -o infuse fres blood at all le!els of te or%ani0ation$
?i!3 -o de!elop an or%ani0ational culture tat attracts competent people to te
company$
?!3 -o searc or ead untBead pouc people #ose s'ills fit te company"s
!alues$
?!i3 -o searc for talents %lobally and not &ust #itin te company*
PURPOSE OF RECRUITMENT
Recruitment as tree ma&or purposes1
23 to increase te pool of &ob applicants #it minimum cost*
83 -o meet te or%ani0ation"s le%al and social obli%ations re%ardin% te
demo%rapic composition of its #or'force*
;3 -o elp increase te success rte of te selection process by reducin% te
percenta%e of applicants #o are eiter poorly (ualified or a!e te #ron%
s'ills*
NEED FOR RECRUITMENT
-e need for recruitment may be due to te follo#in% reasonsBsituations1
?a3 Macancies due to promotions$ transfers$ retirement$ termination$ permanent
disability$ deat and labour turno!er*
?b3 Creation of ne# !acancies due to %ro#t$ e:pansion and di!ersification of
business acti!ities of an enterprise* In addition$ ne# !acancies are possible due
to &ob respecification*
SOURCES OF RECRUITMENT
-e sources of recruitment may be %rouped into1
I0,*(0'3 +/%(.*+
E9,*(0'3 +/%(.*+
INTERNAL SOURCES# As te term implies internal source of recruitment is for
tose #o are currently members or te or%ani0ation* 7ene!er any !acancy arises$
somebody from #itin te or%ani0ation may be loo'ed into$ follo#in% are te internal
sources of recruitment*
1! P(/&/,-/0+# 1 In order to moti!ate te e:istin% employees$ mana%ement
follo#s te policy of internal promotions* Promotion means siftin% of an
employee to a i%er position carryin% i%er responsibilities$ facilities$ status
and salaries* Marious positions in te or%ani0ation are usually filled up by
promotions of e:istin% employees on te basis of merit or seniority or a
combination of bot*
2! T('0+6*(+# ) -ransfer refers to a can%e in &ob assi%nment* It may in!ol!e a
promotion or demotion$ or no can%e in terms of responsibility or status* A
transfer may be eiter temporary or permanent$ dependin% te necessity of
fillin% &obs* E*%* transfer from ead office to branc office*
3! R*,-(*&*0,+# 1 At times$ mana%ement may not find suitable candidate in place
of te one #o ad retired$ after meritorious ser!ice* .nder tis circumstances
mana%ement may decide to call retired mana%er #it ne# e:tension*
4! R*.'33+# 1 7en mana%ement faces a problem$ #ic can be sol!ed only by a
mana%er #o as proceeded on lon% lea!e$ it may be decided to recall tat
person* After te problem is sol!ed$ is lea!e may be e:tended*
5! F/(&*( *&23/)**+# 1 Indi!iduals #o left for some oter &ob$ mi%t be
#illin% to come bac' for i%er #a%es incenti!es* An ad!anta%e #it tese
sources is tat te performance of te personBemployee is already 'no#n*
EDTERNAL SOURCES
As te term implies te e:ternal source of recruitment is of potential #or'ers #o are
not currently member of te or%ani0ation* It usually includes ne# entrants to te
labour force te unemployed and people employed in te oter or%ani0ation see'in%
te can%e* Company mana%ements a!e to use eternal sources for te recruitment of
super!isory staff and mana%ers as and #en necessary* -is may be #it a !ie# to
introducin% te Gne# blood" in te or%ani0ation* E:ternal recruitment is one #ay of
brin%in% into te or%ani0ation tat as ne# s'ills or abilities and different #ay of
approacin% &ob tas'* Follo#in% are te most common e:ternal source of mana%erial
recruitment*
1! N*=+2'2*( A58*(,-+*&*0,#1 Ne#spaper ad!ertisements are o!er#elmin%ly
popular source of recruitment* A messa%e containin% %eneral information
about te &ob and te or%ani0ation is placed in !arious ne#spapers* Ne#spaper
ad!ertisin% typically %enerates a lar%e applicant flo#* -ou% costly$ it
pro!ides #ide coice as it attracts a lar%e number of suitable candidates from
all o!er te country* -e best e:ample for ne#spaper ad!ertisement is te
-imes of India"s Asscent supplement #ic comes on e!ery 7ednesday and
contains bot domestic as #ell as international &obs*
2! C'&2%+ R*.(%-,&*0,# 1 Colle%e Campuses are anoter !ery popular
recruitment source* -e %ro#t of Mana%ement institutes$ IIts and Re%ional
En%ineerin% Colle%es as pro!ided a popular source of recruitment* Pri!ate
sector is able to attract many aspirants* It is an e:cellent source of recruitin%
mana%ement trainees* -e promisin% students %et &ob security immediately
after securin% de%rees due to suc campus inter!ie#sBrecruitment*
3) R*.(%-,&*0, ,7(/%<7 -0,*(0*,# 1 -e Internet as (uic'ly become a !ery
popular source of employment ad!ertisin%* -is source is (uic'ly %ro#in% in
popularity* Currently employers can post teir openin%s to any of se!eral
ne#s%roups for free* Most employment ad!ertisement firms can also post te
&obs on te Internet9 o#e!er$ tey car%e a fee* A lar%e and fast %ro#in%
proportion of employers use te internet as a recruitment tool* More and more
or%ani0ations are placin% information about open positions on te 7orld 7ide
#eb* -ere are many #eb sites trou% #ic recruitment ta'es place* Some
of te e:amples are ###*nau'ri*com$ ###*monster*com$ etc*
4! @/4 F'-(+# 1 /ob fairs are !ery effecti!e* A &ob fair is an e!ent sponsored by a
H&ob fairH company #o car%es a fee to participatin% employers* -e H&ob
fairH company #ill typically ad!ertise in local media to attract (ualified
applicants* 5irin% mana%ers can meet multiple candidates and conduct on)te)
spot inter!ie#s* 4ecause te applicants may be inter!ie#in% #it multiple
employers$ it is imperati!e to respond (uic'ly #it in!itations for in)plant
inter!ie#s of (ualified candidates* If a &ob fair results in &ust one ire it is
usually cost effecti!e*
5! E&23/)&*0, A<*0.-*+# 1 -e firm contacts an or%ani0ation #ose main
purpose is locate &ob see'ers* -e company pro!ides te a%ency #it
information about te &ob$ #ic te a%ency ten passes alon% to its clients*
Clients may be eiter employed or unemployed* A%encies can eiter be public
or pri!ate* Fees may be car%ed to eiter or bot te client see'in% a &ob and
te company see'in% applicants*
6! :'3C1-0+ :(-,*1-0+ '05 T'3C -0+#1 -e most economical approac for
recruitment of candidates is direct applications* -e &ob see'ers submit
applications or resumes directly to te employer* -e ad!ertisement mentions
date$ day and timin% durin% #ic te applicant can G#al' in" for an inter!ie#*
7rite)ins are tose #o send #ritten in(uiries* -ese applicants a ra'ed to
complete application forms for furter processin%* -al')ins is no# becomin%
popular and te applicants are re(uired to meet te employer for detailed tal's*
-e applicant is not re(uired to submit any applications*
ADVANTAGES OF INTERNAL RECRUITMENT
23 Internal recruitment is economical*
83 -e present employees already 'no# te company #ell and are li'ely to
de!elop a loyalty for te same*
;3 It tends to encoura%e e:istin% employees to put in %reater efforts and to
ac(uire additional (ualification* -is means tere is moti!ation to employee
to de!elop and reac to i%er positions*
<3 It pro!ides security and continuity of employment*
>3 Internal recruitment elps to raise te morale of employees and de!elop
cordial relations at te mana%erial le!els*
C3 It reduces labour turno!er as capable employees %et promotion #itin te
or%ani0ations*
I3 Internal recruitment is a (uic' and more reliable metod*
K3 People recruited from #itin te or%ani0ation do not need induction or
trainin%*
DISADVANTAGES OF INTERNAL RECURITMENT
23 Internal promotions create a feelin% of discontent amon% tose #o are not
promoted*
83 It pre!ents te entry of youn% blood in te or%ani0ation*
;3 Promotion to certain 'ey post may not be possible due to non)a!ailability of
competent persons*
<3 -e or%ani0ation #ill not be able to attract capable persons from outside if
internal sources are used e:tensi!ely*
>3 It may encoura%e fa!oritism and nepotism*
C3 Promotions by seniority may not be al#ays beneficial to te or%ani0ation*
In brief$ internal metods of recruitment sould be used to e:tent possible but too
muc dependence on internal metods is undesirable and may pro!e costly to te
or%ani0ation in te lon% run*
ADVANTAGES OF EDTERNAL SOURCE OF RECRUITMENT
23 Entry of youn% blood in te or%ani0ation is possible*
83 7ide scope is a!ailable for selection* -is facilitates selection of people #it
ric and !aried e:perience*
;3 Selection can be made in an impartial manner as lar%e number of (ualified and
interested candidates are a!ailable*
<3 Scope for eartburn and &ealousy can be a!oided by recruitin% from outside*
>3 -e mana%ement can fulfill reser!ation re(uirements in fa!our of te
disad!anta%ed section of e society*
DISADVANTAGES OF EDTERNAL SOURCE OF
RECRUITMENT
23 E:ternal recruitment leads to labour turno!er particularly of s'illed$
e:perienced and ambitious employees*
83 -e relations bet#een employer and employee deteriorate leadin% to
industrial disputes and stri'es*
;3 -e present employees may lose teir sense of security* -eir loyalty to te
or%ani0ation may be ad!ersely affected*
<3 Employees feel frustrated due to e:ternal recruitment and teir morale is
ad!ersely affected*
SELECTION
MEANING AND DEFINITION OF SELECTION
Selection is one of te most important of all functions in te mana%ement of
personnel* Selection is more closely related to recruitment because bot are
concerned #it processin% indi!iduals to place tem in a &ob* Selection is ne:t to
recruitment* After identifyin% te sources of uman resources$ searcin% for
prospecti!e employees and stimulatin% tem to apply for &obs in an or%ani0ation$
te mana%ement as to perform te function of selectin% te ri%t employees at
te ri%t time* +Ri%t man at te ri%t &ob, is te basic principle in selection*
Selection is te process of collectin% and e!aluatin% information about an
indi!idual in order to e:tend an offer of employment* It is te process of lo%ically
coosin% indi!iduals #o posses te necessary s'ills$ abilities and personality to
successfully fill specific &obs in te or%ani0ation*
Selection means a process by #ic te (ualified personnel can be coosen from
te applicants #o a!e offered teir ser!ices to te or%ani0ation for employment*
-us selection process is ne%ati!e function because it attempt to eliminate
applicants$ lea!in% te best to be selected* In te #ords of 6ale Aode!$ +Selection
is te process in #ic candidates for employment are di!ided into t#o classes N
tose #o are to be offered employment and tose #o are not,* In sort$
selection is te process of coosin% a person suitable for te &ob out of se!eral
persons*
-e ob&ecti!e of te selection decision is to cose te indi!idual #o can most
successfully perform te &ob from te pool of (ualified candidates* -e selection
procedures are te system of functions and de!ices adopted in a %i!en company to
ascertain #eter te candidate"s specification is matced #it te &ob
specification and re(uirements or not* -e selection procedures cannot be
effecti!e until and unless1
23 Re(uirements of te &ob to be filled$ a!e been clearly specified ?&ob analysis$
etc3
83 Employee specifications ?pysical$ mental$ social$ and bea!ioral$ etc3 a!e
been clearly specified*
;3 Candidates for screenin% a!e been attracted*
-us$ te de!elopment of &ob analyses$ uman resource plannin% and recruitment
are necessary prere(uisites to te selection process* -e brea'do#n in any of
tese processes can ma'e e!en te best selection system ineffecti!e*
IMPORTANCE OF SELECTION
-e importance of selection may be &ud%ed from te follo#in% facts1)
1! P(/.%(*&*0, /6 E%'3-6-*5 '05 SC-33*5 :/(C*(+# 1 Scientific selection
facilitates te procurement of #ell (ualified and s'illed #or'ers in te
or%ani0ation* It is in te interest of te or%ani0ation in order to maintain te
supremacy o!er te oter competiti!e firms* Selection of s'illed personnel
reduces te labour cost and increases te production* Selection of s'illed
personnel also facilitates te e:pansion in te si0e of te business*
2! R*5%.* C/+, /6 T('-0-0< '05 D*8*3/2&*0,# ) Proper selection of candidates
reduces te cost of trainin% because (ualified personnel a!e better %raspin%
po#er* -ey can understand te tecni(ue of #or' better and in less time*
Furter$ te or%ani0ation can de!elop different trainin% pro%rammes for
different persons on te basis of teir indi!idual differences$ tus reducin% te
time and cost of trainin% considerably*
3! A4+*0.* /6 P*(+/00*3 P(/43*&+# ) Proper selection of personnel reduces
personnel problems in te or%ani0ation* Many problems li'e labour turno!er$
absenteeism and monotony sall not be e:perienced in teir se!erity in te
or%ani0ation* Labour relation #ill be better because #or'ers #ill be fully
satisfied by te #or'* S'illed #or'ers elp te mana%ement to e:pand te
business and to earn more profits and in turn mana%ement compensates$ te
#or'ers #it i% #a%es$ benefits etc*

SELECTION PROCEDURE
Selection procedure employs se!eral metods of collectin% information about te
candidate"s (ualification$ e:perience$ pysical and mental ability$ nature and
bea!iour$ 'no#led%e$ aptitude and te li'e for &ud%in% #eter a %i!en applicant is
or is not suitable for te &ob* -erefore$ te selection procedure is not a sin%le act but
is essentially a series of metods or sta%es by #ic different types of information can
be secured trou% !arious selection tecni(ues* At eac step$ facts may come to li%t
#ic are useful for comparison #it te &ob re(uirement and employee
specifications*
Selection procedure is len%ty and time consumin% particularly in te case of
super!isory post*
Follo#in% are te stepsB procedures of selection1
1! @/4 A0'3)+-+# 1 /ob analysis is te basis for selectin% te ri%t candidate*
E!ery or%ani0ation sould finali0e te &ob analysis$ &ob description$ &ob
specification and employee specification before proceedin% to te ne:t step of
selection*
2! A223-.',-/0 F/(&# 1 Application Form is also 'no#n as application blan'*
-e tecni(ue of application blan' is traditional and #idely accepted for
securin% information from te prospecti!e candidates* 7ere application
forms are use$ te data become a part of te employee"s record* -e
information is %enerally re(uired on te follo#in% items in te application
forms1 Personal bac'%round information$ Educational information$ 7or'
e:periences$ salary$ personal details$ e:pected salary and allo#ances etc*
3! P(*3-&-0'() I0,*(8-*=# ) Preliminary or initial inter!ie# is often eld in case
of +at te %ate, candidate* -is inter!ie# usually of sort duration and is
aimed at obtainin% certain basic information #it a !ie# to identifyin% te
ob!ious misfits or un(ualified* -us preliminary inter!ie# is useful as a
process of eliminatin% te undesirable and unsuitable candidate* If te
candidate seems to possess te basic minimum re(uirements for efficient &ob
performance$ e is %i!en an application form for bein% filled out by im*
4! S.(**0-0< A223-.',-/0 F/(&# 1 Information %i!en in te application form is
used for selection purposes* -e applicant #o seems to be not fit for te &ob
on te basis of information %i!en in te application blan' is re&ected out
ri%tly at tis sta%e* -e applicants #o a!e not furnised te re(uired
information may also be re&ected* Applications #ill not be accepted after te
close date* After te close date of te recruitment$ te /ob E:pert for te
irin% department and 5uman Resources #ill screen te application forms for
minimum education and (ualification re(uirements* A recruitment date may
be e:tended if tere are no (ualified candidates* Recruitments can also be
open until te position is filled9 in tis situation$ applicants are re!ie#ed and
inter!ie#ed on a re%ular basis until an eli%ible candidate can be selected and
appointed to te a!ailable position*
5! :(-,,*0 ,*+,#1 -e or%ani0ation a!e to conduct #ritten e:amination for te
(ualified candidates after tey are screened on te basis of te application
blan's so as to measure te candidate"s ability in aritmetical calculations$ to
'no# te candidate"s attitude to#ards &ob$ to measure te candidates aptitude$
reasonin%$ 'no#led%e in !arious disciplines$ %eneral 'no#led%e and En%lis
lan%ua%e* Intelli%ence test measures te indi!iduals capacity or reasonin%$
!erbal compreension$ numbers$ !ocabulary$ #ord fluency etc* aptitude test
measures indi!iduals capacity or talent ability to learn a &ob if e is %i!en
ade(uate trainin%*
6! F-0'3 -0,*(8-*=-0<# 1 F-0'3 inter!ie# is usually follo#ed by testin%* -is is
te most essential step in te process of selection* In tis step te inter!ie#er
matces te information obtained about te candidate trou% !arious means
to te &ob re(uirements and to te information obtained trou% is o#n
obser!ation durin% te inter!ie#* -e basic ob&ecti!e of te inter!ie# is to
measure te applicant a%ainst te specific re(uirements of te &ob* Inter!ie#
must be conducted in a friendly atmospere and te candidate must be made to
feel at ease* -e inter!ie#er sould not as' un#arranted (uestions #ic
ma'e te candidate ner!ous* It bein% te t#o #ay communication$ te
inter!ie#ee sould also be %i!en a cance to as' (uestions if e so li'es$ about
te &ob and te or%ani0ation*
7! R*6*(*0.* C7*.C+# 1 After completion of te final inter!ie#$ te personnel
department #ill en%a%e in cec'in% references* Candidates are re(uired to
%i!e te name of reference in teir application forms* -ese references may be
from te indi!iduals #o are familiar #it te candidate"s academic
acie!ement or from te applicant"s pre!ious employer$ #o is #ell !ersed
#it te applicant"s &ob performance$ and sometime from co)#or'ers* If
reference is cec'ed in te correct manner$ a %reat deal can be learned about a
person tat an inter!ie# or tests cannot elicit* A %ood reference cec' used
sincerely fetces useful and reliable information to te or%ani0ation*
8! P7)+-.'3 E9'&-0',-/0# 1 -e candidates #o a!e crossed te abo!e urdles
are re(uired to %o for te medical e:amination* -is is !ery important because
of a person of poor ealt cannot #or' competently and te in!estment in im
may %o #aste* -us$ a torou% medical e:amination is essential*
9! S*3*.,-/0# 1 If a candidate successfully o!ercomes all te obstacles or tests
%i!en e #ould be declared selected* A appointment letter #ill be %i!en to im
mentionin% te terms of employment$ pay scales$ post on #ic selected etc*
MEANING AND DEFINITION OF PLACEMENT
Placement means offerin% of te &ob to te finally selected candidate* One te
employee is selected e sould be placed on a suitable &ob* Accordin% to Pi%ors
and Myres$ placement may be defined as +te determination of te &ob to #ic an
accepted candidate is to be assi%ned$ and is assi%nment to tat &ob* It is matcin%
of #at te super!isor as reason to tin' e can dos #it te &ob demands?&ob
re(uirements39 it is matcin% of #at e imposes?in strain$ #or'in% condition3 and
#at offers is te form of pay roll$ companionsip #it oter promotional
possibilities etc*, A proper placement reduced te employee turno!er$
absenteeism and accident rate and impro!es te morale* Placement is not an easy
process* It is !ery difficult for a ne# employee #o is (uite un'no#n to te &ob
and en!ironment* For tis reason$ te employee is %enerally put on a probation
period ran%in% from one year to t#o years* At te end of te probation period$ if
te employee so# a %ood performance$ e is confirmed as a re%ular employee of
te or%ani0ation* -us$ te probation period or trial period is a transition period at
te end of #ic mana%ement as to ta'e decision #eter te employee sould
be made re%ular or discar%ed from te &ob*
PRINCIPLE OF PLACEMENT
Follo#in% principles are follo#ed at te time of placement of an employee1
23 -e man sould be placed on te &ob accordin% to re(uirements of te &ob* -e
&ob sould not be ad&usted accordin% to te (ualifications or re(uirements of
te man* +/ob first$ man ne:t, sould be te principle of placement*
83 -e &ob sould be offered to te man accordin% to is (ualifications* Neiter
i%er$ nor lo#er &ob sould be offered to te ne# employee*
;3 -e employee sould be made con!ersant #it te conditions pre!ailin% in te
industry and all tin%s relatin% to te &ob* 5e sould also be made a#are of te
penalties if e commits a #ron%*
<3 7ile introducin% te &ob to te ne# employee$ an effort sould be mad to
de!elop a sense of loyalty and cooperation in im so tat e may reali0e is
responsibilities better to#ards te &ob and te or%ani0ation*
CAREER PLANNING AND DEVELOPMENT
INTRODUCTION#)
-e term career plannin% is fre(uently used in relation youn% boys and %irls
studyin% at te colle%e le!el* Colle%e students are e:pected to consider teir (ualities
?pysical and mental3$ psycolo%ical ma'e)up$ li'es and disli'es$ inclinations$ etc*
and decide #at tey #ant to be in teir life* In oter #ords$ tey sould decide #at
tey #ant to acie!e in teir life and ad&ust teir education and oter acti!ities
accordin%ly* -is means tey a!e to plan teir career* In suc career plannin%$
parents$ family members and colle%e teacers offer elpin% and and %uide youn%
boys and %irls in selectin% te most suitable career* Lot of literature$ psycolo%ical
tests etc* are also a!ailable on career plannin%* E!en lectures$ #or'sops and -M
pro%rammes are arran%ed for %uidin% students on career selection ?particularly after
te declaration of 5SC results3* Career plannin% enables tem to use teir
abilitiesB(ualities fully and ma'e teir life appy$ prosperous and ric in (uality* At
present$ e!en e:perts are a!ailable to elp yout in teir career plannin%* IF and oter
tests are also conducted for tis purpose*
-e term career plannin% and de!elopment is used e:tensi!ely in relation to
business or%ani0ations* It is ar%ued tat if te or%ani0ations #ant to %et te best out of
teir employees$ tey must plan te career de!elopment pro%rammes in teir
or%ani0ation effecti!ely* Suc pro%rammes offer benefits to employees and also to te
or%ani0ations* -e employees #ill de!elop ne# s'ills #ill be a!ailable to te
or%ani0ation* -is type of career plannin% can be described as or%ani0ational career
plannin%*
MEANING OF CAREER F:$AT IS CAREER;!#)
A career is a se(uence of positionsB&obs eld by a person durin% te course of is
#or'in% life* Accordin% to E5=-0 B. F3-22/ +a career is a se(uence of separate but
related #or' acti!ities tat pro!ide continuity$ order and meanin% to a person"s life,*
Career of an employee represents !arious &obs performed by im durin% te course of
is #or'in% life* -is is described as career pat* In te case of an ordinary #or'er$
te career pat includes te follo#in% &ob positions#
.ns'illed #or'er N Semi)s'illed #or'er N S'illed #or'er N 5i%ly s'illed
#or'er N Assistant foreman N Foreman*
Employees ?of all cate%ories3 #ant to %ro# in teir careers as tis pro!ides more
salary$ i%er status and opportunity to use 'no#led%e$ education and s'ills
effecti!ely* An indi!idual #it potentials &oins a firm not for &ob but for career
de!elopment* An or%ani0ation as to pro!ide better opportunities to its employees in
teir career de!elopment and also use teir efficient ser!ices for te benefit of te
or%ani0ation*
MEANING OF CAREER PLANNING F:$AT IS CAREER
PLANNING;!#)
Career plannin% is one important aspect of uman resource plannin% and
de!elopment* E!ery indi!idual #o &oins an or%ani0ation desires to ma'e a %ood
career for imself #itin te or%ani0ation* 5e &oins te or%ani0ation #it a desire to
a!e a bri%t career in terms of status$ compensation payment and future promotions*
From te point of !ie# of an or%ani0ation$ career plannin% and de!elopment a!e
become crucial in mana%ement process* An or%ani0ation as to pro!ide
facilitiesBopportunities for te career de!elopment of indi!idual employees*
If te or%ani0ations #ant to %et te best out of teir employees$ tey must plan
re%ularly te career de!elopment pro%rammes in teir or%ani0ations* In brief$ career
plannin% refers to te formal pro%rammes tat or%ani0ations implement to increase
te effecti!eness and efficiency of te uman resources a!ailable* Career plannin%
and de!elopment is te responsibility of te 5R department of te or%ani0ation* As
already noted$ e!ery person &oinin% an or%ani0ation as a desire to ma'e career as per
is potentiality$ ability$ s'ills and so on*
NEED"PURPOSE"OB@ECTIVES OF CAREER PLANNING#)
1! -o map out careers of employees as per teir ability and #illin%ness and to
train and de!elop tem for i%er positions*
2! -o attract and retain te ri%t type of persons in te or%ani0ation*
3! -o utili0e a!ailable mana%erial talent #itin te or%ani0ation fully*
4! -o acie!e i%er producti!ity and or%ani0ational de!elopment*
5! -o pro!ide %uidance and assistance to employees to de!elop teir potentials to
te i%est le!el*
6! -o impro!e employee morale and moti!ation by pro!idin% trainin% and
opportunities for promotion*
SCOPE OF ORGANISATIONAL CAREER PLANNING#)
-e follo#in% acti!itiesBareas are co!ered #itin te scope of or%ani0ational career
plannin%#
a) $UMAN RESOURCE FORECASTING AND PLANNING # )
5ere$ efforts #ill be made to identify te number of employees re(uired in
future* In addition$ te selection procedure #ill be ad&usted #it te o!erall
strate%ic %oals of te or%ani0ation*
b) CAREER INFORMATION # )
5ere$ information relatin% to career opportunities ?promotions$ trainin% for self
de!elopment$ etc3 #ill be supplied to employees* Supplyin% career
informationBopportunities as special si%nificance as tis moti!ates employees
to %ro# and reac to i%er position*
c) CAREER COUNSELLING # )
Suc counsellin% is ne:t to supplyin% career information* Career counsellin% is
possible by senior e:ecuti!es trou% periodic discussions #it teir
subordinates* Suc career %uidance encoura%es subordinate employees to ta'e
interest in certain areas #ere suitable opportunities of career de!elopment are
a!ailable* It is a type of internal %uidance and moti!ation of employees for te
selection of possible career pats* Suc counsellin% is needed #en employees
a!e to plan teir o#n careers and de!elop temsel!es for career pro%ress*
d) CAREER PAT$ING # )
Mana%ement no# plans &ob se(uences for transfers and promotions of teir
employees* -is ma'es transfers and promotions systematically #it ad!ance
information to employees* Career patin% creates suitable mental ma'e up of
employees for self de!elopment*
e) SGILL ASSESSMENT TRAINING # )
-rainin% is essential for career plannin% and also for manpo#er de!elopment*
Alon% #it &ob analysis$ or%ani0ational and &ob manpo#er re(uirement
analysis sould be underta'en by te mana%ement* -is prepares proper
bac'%round for te introduction of career plannin% pro%rammes for
employees*
ADVANTAGES OF CAREER PLANNING#)
A properly desi%ned system of career plannin% can pro!ide te follo#in% benefits#
i* Career plannin% elps an employee to 'no# te career opportunities a!ailable
in an or%ani0ation*
ii* Career plannin% encoura%es im to a!ail of te trainin% and de!elopment
facilities in te or%ani0ation so as to impro!e is ability to andle ne# and
i%er assi%nments*
iii* Career plannin% in!ol!es a sur!ey of employee abilities and attitudes* It
becomes possible$ terefore to %roup to%eter people tal'in% on a similar
#a!elen%t and place tem under super!isors #o are responsi!e to tat
#a!elen%t*
i!* Career plannin% anticipates te future !acancies tat may arise due to
retirement$ resi%nation$ deat$ etc* at mana%erial le!el* -erefore$ it pro!ides a
fairly reliable %uide for manpo#er forecastin%*
!* Career plannin% facilitates e:pansion and %ro#t of te enterprise* -e
employees re(uired to fill &ob !acancies in future can be identified and
de!eloped in time*
DISADVANTAGES"LIMITATIONS OF CAREER PLANNING#)
-e main problems in career plannin% are as follo#s#
-. Career plannin% can become a reality #en opportunities for !ertical ability
are a!ailable* -erefore$ it is not suitable for a !ery small or%ani0ation*
--. In a de!elopin% country li'e India$ en!ironmental factors suc as %o!ernment
policy$ public sector de!elopment$ %ro#t of bac'#ard areas$ etc* influence
business and industry* -erefore$ career plans for a period e:ceedin% a decade
may not be effecti!e*
---. Career plannin% is not an effecti!e tecni(ue for a lar%e number of employees
#o #or' on te sop floor$ particularly for illiterate and uns'illed #or'ers*
-8. In family business ouses in India$ members of te family e:pect to pro%ress
faster in teir career tan teir professional collea%ues* -is upset te career
plannin% process*
8. Systematically career plannin% becomes difficult due to fa!ouritism and
nepotism in promotions$ political inter!ention in appointments and
reser!ations of seats for sceduled castesBtribes and bac'#ard classes*
$O: TO INTRODUCE CAREER PLANNING PROGRAMME;
FPROCESS OF CAREER PLANNING!#)
It is not easy to introduce career de!elopment pro%ramme at te le!el of an
or%ani0ation* Moreo!er$ suc career de!elopment plannin% is a continuous acti!ity*
7at is appenin% in most of te or%ani0ations is tat tis concepts is %i!en only lip
ser!ice and teoretical importance* If te or%ani0ation #ants to %et te best out of
teir employees$ it must plan te career de!elopments pro%rammes continuously and
effecti!ely in its or%ani0ation*
DETAILS OF T$E STEP IN CAREER PLANNING#)
1! ANALYSIS OF PERSONEL SITUATION # )
-is is te first step #ic needs to be completed before te introduction of
career plannin% pro%ramme* -is relates to a time from #ic career plannin%
is to be introduced* 5ere$ te base line #ill be prepared to elp te planners to
ma'e pro&ections for te plannin% period and to elp in te e!aluation of
plans* In order to analy0e te present career situation$ te follo#in%
information #ill be re(uired#
-. -otal number of employees N teir a%e distribution$ (ualifications$
positions$ speciali0ations$ etc*
--. Structure N broad as #ell as detailed and te (ualifications re(uired for
eac %rade*
---. Personnel need of te or%ani0ation* ?Cate%ory #ise3
-8. Span of control a!ailable #itin te or%ani0ation*
8. Field staff at ead office #it necessary details$ and
8-. Facilitates a!ailable for trainin% and de!elopment #itin and outside
te or%ani0ation*
-e information collected on tese aspects ser!es as te base for te preparation of
career de!elopment plan for te future period*
1. ANALYSIS OF PESONNEL SITUATION
2. PRO@ECTION OF PERSONNEL SITUATION
3. IDENTIFYING CAREER NEEDS
4. SELECTION OF PRIORITIES
5. DEVELOPMENT OF CAREER PLANS
6. :RITE UP OF FORMULATED CAREER PLANS
7. MANAGERIAL PLANNING
8. IMPLEMENTATION
9. REVIE: AND EVALUATION
10. FUTURE NEEDS
2! PRO@ECTION OF PERSONNEL SITUATION # )
In tis second step$ an attempt is bein% made to find out te situation li'ely to
de!elop after te completion of career de!elopment plan* -is can be done on
te basis of assumption #ic can predict #at is li'ely to appen at te close
of te career de!elopment plan*
3! IDENTIFYING OF CAREER NEEDS # )
In tis tird step of career de!elopment plan$ efforts are made to find out
precisely te career de!elopment needs of te future period* It is possible to
identify te scope and limitations of career de!elopment needs on te basis of
te data collected ?trou% personnel in!entory of te or%ani0ation$ employee
potentials$ and appraisal of employees3*
4! SELECTION OF PRIORITIES # )
It is rater difficult to meet all te needs of te employees and te or%ani0ation
for career de!elopment immediately i*e* trou% one career de!elopment plan*
Naturally$ tere is a need to select te pressin% and ur%ent problems of
employees and or%ani0ation* In addition$ oter factors suc as tecnical$
financial and administrati!e must be ta'en into consideration #ile finali0in%
te priorities*
5! DEVELOPMENT OF CAREER PLAN # )
-is is te most important step in te #ole process of career de!elopin% plan*
Suc plan must describe te follo#in% in concrete formBforms#
'. 7at is to be attainedBacie!ed@
4. -e e:tent to #ic it is to be attained$
.. -e employees in!ol!ed$
5. -e department in #ic te proposed plan #ill operate H
*. -e len%t of time re(uired te acie!in% te %oals*
In order to e:ecute te career de!elopment plan$ te or%ani0ation sould#
'! Introduce systematic policies and pro%rammes of staff trainin% and
career de!elopment for all cate%ories of employees so as to enable
tem to#
I. Impro!e teir le!el of s'ill and 'no#led%e H
II. Gain #ider e:periences H and
III. Assume i%er responsibilities*
4! Establis and effecti!ely implement a system of study lea!e H
.! 6e!elop te e:perience of te employees by encoura%in% teir rotation
from one re%ion to anoterH
5! -a'e positi!e steps to encoura%e career de!elopment$ suc as #
I. Pro!idin% #itin te or%ani0ation H
II. Gi!in% priorities in te fillin% of !acancies in te follo#in% order for #
1. promotion #itin te or%ani0ation H
2. -ransfer #itin te or%ani0ation H
3. Outside recruitment*
III. Remo!in% artificial barriers to promotion H
IV. Establisin% a re%ister of employees for promotion on merit)cum)
seniority basisH
6) :RITE1UP OF FORMULATED PLAN # )
After decidin% te priorities of career de!elopment plan$ te ne:t ma&or step is
to prepare a #rite up ?brief report3 of te career plan* -is #rit)up sould
contain all necessary details suc as scedule ?time se(uence of plan3$
procedures and oter details so tat te e!aluation of te plan #ill be easy and
meanin%ful*
7) MONITORING PLANNING -.*. MONITORING OF CAREER
DEVELOPMENT PLAN#)
Monitorin% of te plan is essential for its effecti!e e:ecution* E:pected
resultsBbenefits #ill be a!ailable only #en te plan is implemented properly*
Planned ?e:pected3 tar%ets and tar%ets actually acie!ed can be compared
trou% suitable monitorin% of te plan* -e %ap bet#een te t#o ?i*e* sort
falls3 can be located (uic'ly* In addition$ suitable remedial measures can be
ta'en to rectify te sortfalls*
8) IMPLEMENTATION FOF CAREER DEVELOPMENT PLAN! # )
ImplementationBe:ecution of te plan is an inte%ral aspect of plannin% process
itself* For effecti!e implementation$ co)operation and co)ordination at all
le!els is necessary* -e implementation needs proper monitorin% so as to
a!oid possible sortfalls*
9) REVIE: AND EVALUATION OF CAREER PLANS # )
A plan needs periodical re!ie#* Suc e!aluation a!oids mista'es$ deficiencies$
etc durin% te implementation sta%e* It is built)in de!ice to measure te
effecti!eness of te plan* Actual benefits a!ailable #ill be 'no#n only trou%
suc re!ie# and e!aluation* Suc e!aluation sould be done by e:perts* It
sould be conducted systematically and also impartially*
10)FUTURE NEEDS # )
-is is te last stepBsta%e of te current career de!elopment plan and te first
stepBsta%e of te ne:t plan* 5ere$ on te basis of te acie!ements of te
current plan$ te career needs of te future period ?of employees and also of
te or%ani0ation3 are estimated* -e ne# priorities are decided and te details
of te ne# career de!elopment plan are prepared* Plannin% is a continuous
processBacti!ity* -is rule is applicable to career de!elopment plans of an
or%ani0ation*
CAREER STAGES#)
Education is tou%t of in terms of employment* People %o for scool and colle%e
education and prepare for teir occupation* Mery fe# people stic' to te same &ob
trou%out teir life* Most of tem s#itc &ob eiter #itin te or%ani0ation or in
some oter or%ani0ation* Cances are tey can%e &obs$ dependin% on a!ailable
opportunity$ se!eral times before retirement* 7ere opportunity is restricted tey
continue #it te same &ob* -ey %o trou% te follo#in% sta%es#
1! EDPLORATION # )
Almost all candidates #o start #or'in% after colle%e education start around
mid)t#enties* Many a time tey are not sure about future prospects but ta'e up
a &ob in anticipation of risin% i%er up in te career %rap later* From te
point of !ie# of or%ani0ation$ tis sta%e is of no rele!ance because it appens
prior to te employment* Some candidates #o come from better economic
bac'%round can #ait and select a career of teir coice under e:pert %uidance
from parents and #ell)#isers*
2! ESTABLIS$MENT # )
-is career sta%e be%ins #it te candidate %ettin% te first &ob %ettin% old of
te ri%t &ob is not an easy tas'* Candidates are li'ely to commit mista'es and
learn from teir mista'es* Slo#ly and %radually tey become responsible
to#ards te &ob* Ambitious candidates #ill 'eep loo'in% for more lucrati!e
and callen%in% &obs else#ere* -is may eiter result in mi%ration to anoter
&ob or e #ill remain #it te Same &ob because of lac' of opportunity*
3! MID1CAREER STAGE # )
-is career sta%e represents fastest and %ainful leap for competent employees
#o are commonly called +climbers,* -ere is continuous impro!ement in
performance* On te oter and$ employees #o are unappy and frustrated
#it te &ob$ tere is mar'ed deterioration in teir performance* In oter to
so# teir utility to te or%ani0ation$ employees must remain producti!e at
tis sta%e* +climbers, must %o on impro!in% teir o#n performance*
Autority$ responsibility$ re#ards and incenti!es are i%est at tis sta%e*
Employees tend to settle do#n inn teir &obs and +&ob oppin%, is not
common*
4! LATE CAREER # )
-is career sta%e is pleasant for te senior employees #o li'e to sur!i!e on
te past %lory* -ere is no desire to impro!e performance and impro!e past
records* Suc employees en&oy playin% te role of elder statesperson* -ey are
e:pected to train youn%er employees and earn respect from tem*
5! DECLINE STAGE # )
-is career sta%e represents te completion of one"s career usually
culminatin% into retirement* After decades of ard #or'$ suc employees a!e
to retire* Employees #o #ere climbers and acie!ers #ill find it ard to
compromise #it te reality* Oters may tin' of +life after retirement,*
5IG5 EOPLORA-ION ES-A4LIS5MEN- MI6)CAREER LA-E CAREER 6ECLINE
LO7 8> ;> <> >> CD
AGE
STAGES IN CAREER DEVELOPMENT
CONCEPT"INTRODUCTION TO CAREER DEVELOPMENT#)
Career de!elopment consists of te personal actions one underta'es to acie!e a
career plan* -e terms Gcareer de!elopment" and Gemployee de!elopment" need to be
differentiated at tis sta%e* Career de!elopment loo's at te lon%)term career
effecti!eness of employees #ere as employee de!elopment focuses of effecti!eness
of an employee in te immediate future* -e actions for career de!elopment may be
initiated by te indi!idual imself or by te or%ani0ation*
INDIVIDUAL CAREER DEVELOPMENT#)
Career pro%ress and de!elopment is lar%ely te outcome of actions on te part of
an indi!idual* Some of te important steps tat could elp an indi!idual cross te
urdles on te #ay Gup" may include#
I. PERFORMANCE # )
Career pro%ress rests lar%ely on performance* If te performance is sub)
standard$ e!en modest career %oals can"t be acie!ed*
II. EDPOSURE # )
Career de!elopment comes trou% e:posure$ #ic implies becomin% 'no#n
by tose #o decide promotions$ transfers and oter career opportunities* Aou
must underta'e actions tat #ould attract te attention of tose #o matter
most in an or%ani0ation*
III. NET:ORGING # )
Net#or'in% implies professional and personal contacts tat #ould elp inn
stri'in% %ood deals outside ?e*%*$ lucrati!e &ob offers$ business deals$ etc*3* for
years men a!e used pri!ate clubs$ professional associations$ old)boy
net#or's to %ain e:posure and acie!e teir career ambitions*
IV. LEVERAGING # )
Resi%nin% to furter one"s career #it anoter employer is 'no#n as
le!era%in%* 7en te opportunity is irresistible$ te only option left is to
resi%n from te current position and ta'e up te ne# &ob ?opportunity in terms
of better pay$ ne# title$ a ne# learnin% e:perience$ etc*3* o#e!er$ &umpin% te
&obs fre(uently ?&ob)oppin%3 may not be a %ood career strate%y in te lon%)
run*
V. LOYALTY TO CAREER # )
Professionals and recent colle%e %raduates %enerally &ump &obs fre(uently
#en tey start teir career* -ey do not tin' tat career)lon% dedication to
te same or%ani0ation may not elp tem furter teir career ambitions* -o
o!ercome tis problem$ companies suc as Infosys$ NII-$ 7IPRO ?all
information tecnolo%y companies #ere te turno!er ratios are %enerally
i%3 a!e come out #it lucrati!e$ inno!ati!e compensation pac'a%es in
addition to employee stoc' option plans for tose #o remain #it te
company for a specified period*
VI. MENTORS AND SPONSORS # )
A mentor is$ %enerally spea'in%$ an older person in a mana%erial role offerin%
informal career ad!ice to a &unior employee* Mentors ta'e &unior employees
under teir protP%P and offer ad!ice and %uidance on o# to sur!i!e and %et
aead in te or%ani0ation* -ey act as role models* A sponsor$ on te oter
and$ is someone in te or%ani0ation #o can create career de!elopment
opportunities*
ORGANISATIONAL CAREER DEVELOPMENT#)
-e assistance from mana%ers and 5R department is e(ually important in
acie!in% indi!idual career %oals and meetin% or%ani0ational needs* A !ariety of tools
and acti!ities are employees for tis purpose*
'! SELF1ASSESSMENT TOOLS # )
5ere te employees %o trou% a process in #ic tey tin' trou% teir
life roles$ interests$ s'ills and #or' attitudes and preferences* -ey identify
career %oals$ de!elop suitable action plans and point out obstacle tat come in
te #ay* -#o self)assessment tools are (uite commonly used in te
or%ani0ations* -e first one is called te career)plannin% #or'sop* After
indi!iduals complete teir self)assessment$ tey sare teir findin%s #it
oters in career #or'sops* -ese #or'sops tro# li%t on o# to prepare
and follo# trou% indi!idual career strate%ies* -e second tool$ called as a
career #or'boo'$ consists of a form of career %uide in te (uestion)ans#er
format outlinin% steps for reali0in% career %oals* Indi!iduals use tis company
specific$ tailor)made %uide to learn about teir career cances* -is %uide$
%enerally tro#s li%t on or%ani0ation"s structure$ career pats$ (ualifications
for &obs and career ladders*
4! INDIVIDUAL COUNSELLING # )
Employee counsellin% is a process #ereby employees are %uided in
o!ercomin% performance problems* It is usually done trou% face)to)face
meetin%s bet#een te employee and te counselor or coac* 5ere discussions
of employees" interests %oals$ current &ob acti!ities and performance and
career ob&ecti!es ta'e place* Counsellin% is %enerally offered by te 5R
department* Sometimes outside e:perts are also be called in* if super!isors act
as coaces tey sould be %i!en clearly defined roles and trainin%* -is is$
o#e!er$ a costly and time)consumin% process*
.! EMPLOYEE DEVELOPMENT PROGRAMMES # )
-ese consist of s'ill assessment and trainin% efforts tat or%ani0ations use to
%room teir employees for future !acancies* Seminars$ #or'sops$ &ob
rotations and mentorin% pro%rammes are used to de!elop a broad base of
s'ills as a part of suc de!elopmental acti!ities*
5! CAREER PROGRAMMES FOR SPECIAL GROUPS # )
In recent years$ tere is %ro#in% e!idence re%ardin% dual career families
de!elopin% tensions and frictions o#in% to teir inability to reconcile te
differences bet#een te family roles and #or' demands* 7en #e tal' of
dual career couples ?a situation #ere bot usband and #ife a!e distinct
careers outside te ome3 certain pu00lin% (uestions arise naturally# #ose
career is importantH #o ta'es care of cildrenH #at if te #ife %ets a
temptin% promotion in anoter locationH #o buys %roceries and cleans te
ouse if bot are busy$ etc* reali0in% tese problems$ or%ani0ations are
pro!idin% a place and a procedure for discussin% suc role conflicts and
copin% strate%ies* -ey are comin% out #it scemes suc as part)time #or'$
lon% parental lea!e$ cild care centers$ fle:ible #or'in% ours and promotions
and transfers in tune #it te demands of dual career conflicts*
CAREER DEVELOPMENT ACTIONS#)
'! @OB PERFORMANCE # )
Employee must pro!e tat is performance on te &ob is to te le!el of
standards establised$ if e #ants career pro%ress*
4! EDPOSURE # )
Employee"s desire for career pro%ress sould e:pose teir s'ills$ 'no#led%e$
(ualifications$ acie!ements$ performance etc*$ to tose #o ta'e te decision
about career pro%ress*
.! RESIGNATIONS # )
Employees may resi%n te present &ob in te or%ani0ation$ if tey find tat
career opportunities else#ere are better tan tose of te present
or%ani0ation*
5! C$ANGE T$E @OB # )
Employees #o put or%ani0ational loyalty abo!e career loyalty may can%e
te &ob in te same or%ani0ation are better tan tose in te present &ob*
*! CAREER GUIDANCE # )
And counsellin% pro!ides information$ ad!ice and encoura%ements to s#itc
o!er to oter career or or%ani0ation$ #ere career opportunities are better*
EMPLOYEE TRAINING
INTRODUCTION#)
-rainin% plays an important role in uman resource de!elopment* It comes ne:t to
recruitment and selection* In fact$ te main purpose of trainin% is to de!elop te
uman resources present #itin te employees* In brief$ trainin% is te #atc#ord of
present dynamic business #orld* -rainin% is necessary due to tecnolo%ical can%es
rapidly ta'in% place in te industrial field* Ne# macines$ ne# metods and ne#
tecni(ues are introduced in te production$ mar'etin% and oter aspect of business*
-rainin% is for de!elopin% o!erall personality of an employee* It also creates
positi!e attitude to#ards fello# employees$ &ob and te or%ani0ation #ere e is
#or'in%* -rainin% is te responsibility of te mana%ement as it is basically for raisin%
te efficiency and producti!ity of employees*
-e purpose of trainin% is to acie!e a can%e in te bea!iour of tose trained and
to enable tem to do teir &obs in a better #ay* -e trainees #ill ac(uire ne#
manipulati!e s'ills$ tecnical 'no#led%e$ problem sol!in% ability or attitudes etc*
trainin% is not a one step process but is a continuous or ne!er)endin% process*
-rainin% ma'es ne#ly recruited #or'ers fully producti!e in te minimum of time*
E!en for old #or'ers$ trainin% is necessary to refres tem and enable tem to 'eep
up #it ne# metods and tecni(ues* In sort trainin% is te act of impro!in% or
updatin% te 'no#led%e and s'ill of an employee for performin% a particular &ob*
DEFINITION OF TRAINING#)
Accordin% to E5=-0 F3-22/$ trainin% is +te act of increasin% te 'no#led%e and
s'ill of an employee for doin% a particular &ob,*
PRINCIPLES OF EMPLOYEE TRAINING#)
A sound trainin% pro%ramme must possess te follo#in% caracteristics#
1. -rainin% pro%ramme sould be less e:pensi!e*
2. -rainin% pro%ramme sould be de!eloped for all in te or%ani0ation and not
for a particular %roup*
3. -e pro%ramme sould be conducted by a senior and e:perienced super!isor
or e:ecuti!e of te concern or by te trainin% director #o is incar%e of te
trainin% section under personnel department*
4. -rainin% pro%ramme sould be desi%ned ta'in% in !ie# te interests of bot
employer and employees*
5. It is not essential to follo# te sin%le metod of trainin% for all te employees*
-e purpose of trainin% is to de!elop te men and terefore more tan one
metod may be follo#ed for different %roups*
6. -rainin% sould be follo#ed by a re#ard* A re#ard sould be pro!ided at te
conclusion of te trainin% suc as promotion or a better &ob so tat employees
may be moti!ated*
7. Sufficient time sould be pro!ided to practice #at as been learned by te
employees*

MEANING AND IMPORTANCE#)
After an employee is selected$ placed and introduced e or se must be pro!ided
#it trainin% facilities* -rainin% is te act of increasin% te 'no#led%e an s'ill of an
employee for doin% a particular &ob* -rainin% is a sort)term educational process and
utili0in% a systematic and or%ani0ed procedure by #ic employees learn tecnical
'no#led%e and s'ills for a definite purpose* In oter #ords trainin% impro!es$
can%es$ moulds te employee"s 'no#led%e$ s'ill$ bea!iour$ aptitude$ and attitude
to#ards te re(uirements of te &ob and or%ani0ation* -rainin% refers to te teacin%
and learnin% acti!ities carried on for te primary purpose of elpin% members of an
or%ani0ation$ to ac(uire and apply te 'no#led%e$ s'ills$ abilities and attitudes needed
by a particular &ob and or%ani0ation*
-rainin% is te most important tecni(ue of uman resource de!elopment* As
stated earlier$ no or%ani0ation can %et a candidate #o e:actly matces #it te &ob
and te or%ani0ational re(uirements* 5ence$ trainin% is important to de!elop te
employee and ma'e im suitable to te &ob* -rained employees #ould be a !aluable
asset to an or%anisation* Or%ani0ational efficiency$ producti!ity$ pro%ress and
de!elopment to a %reater e:tent depend on trainin%* Or%ani0ational ob&ecti!es li'e
!iability$ stability and %ro#t can also be acie!ed trou% trainin%*
NEED FOR EMPLOYEE TRAINING#)
-e need for trainin% of employee is uni!ersally accepted and practical trainin% in
te form of information$ instructions and %uidance is %i!en to all cate%ories of
employees* It is a must for raisin% efficiency of employees* -rainin% is necessary in
te present competiti!e and e!er can%in% industrial #orld* Specifically$ te need for
trainin% arises due to te follo#in% reasons#
I* T/ &',.7 ,7* *&23/)** +2*.-6-.',-/0+ =-,7 ,7* I/4 (*A%-(*&*0,+ '05
/(<'0-J',-/0'3 0**5+# Mana%ement finds de!iations bet#een employee"s
present specifications and te &ob re(uirements and or%ani0ational needs*
-rainin% is needed to fill tese %aps by de!elopin% and mouldin% te
employee"s s'ill$ 'no#led%e$ attitude$ bea!iour etc* to te tune of te &ob
re(uirements and or%ani0ational needs*
II* O(<'0-J',-/0'3 8-'4-3-,) '05 ,7* ,('0+6/(&',-/0 2(/.*++# -e primary %oal
of most of te or%ani0ations is tat teir !iability is continuously influenced by
en!ironmental pressure* If te or%anisation does not adapt itself to te
can%in% factors in te en!ironment$ it #ill lose its mar'et sare* If te
or%anisation desires to adapt tese can%es$ first it as to train te employees
to impart specific s'ills and 'no#led%e in order to enable tem to contribute to
te or%ani0ational efficiency and to cope #it te can%in% en!ironment*
III* T*.70/3/<-.'3 '58'0.*+# E!ery or%ani0ation in order to sur!i!e and to be
effecti!e sould adopt te latest tecnolo%y$ i*e*$ mecani0ation$
computeri0ation and automation* Adoption of latest tecnolo%ical means and
metods$ #ill not be complete until tey are manned by employees possessin%
s'ill to operate tem* So$ or%ani0ation sould train te employees to enric
tem in te areas of can%in% tecnical s'ills and 'no#led%e from time to
time*
IM* O(<'0-J',-/0'3 ./&23*9-,)# 7it te emer%ence of increased mecani0ation
and automation$ manufacturin% of multiple products and by)products or
dealin% in ser!ices of di!ersified lines$ e:tension of operations to !arious
re%ions of te country or in o!erseas countries$ or%anisation of most of te
companies as become comple:* -is creates te comple: problems of co)
ordination and inte%ration of acti!ities adaptable for and adaptable to te
e:pandin% and di!ersifyin% situations* -is situation calls for trainin% in te
s'ills of co)ordination$ inte%ration and adaptability to te re(uirements of
%ro#t$ di!ersification and e:pansion*
M* $%&'0 (*3',-/0+# -rends in approac to#ards personnel mana%ement as
can%ed form te commodity approac to partnersip approac$ crossin% te
uman relations approac* So today$ mana%ements of most of te
or%ani0ations as to maintain uman relations besides maintainin% sound
industrial relations altou% iterto te mana%ers are not accustomed to deal
#it te #or'ers accordin%ly* So trainin% in uman relations is necessary to
deal #it uman problems ?includin% alienation$ inter)personal and inter)
%roup conflicts etc*3 and to maintain uman relations*
MI* C7'0<* -0 ,7* I/4 '++-<0&*0,# -rainin% is also necessary #en te e:istin%
employee is promoted to te i%er le!el in te or%anisation and #en tere is
some ne# &ob or occupation due to transfer* -rainin% is also necessary to
e(uip te old employees #it te ad!anced disciplines$ tecni(ues or
tecnolo%y*
OB@ECTIVES"PURPOSES OF EMPLOYEE TRAINING#)
1) -o raise efficiency and producti!ity of employees and te or%ani0ation as a
#ole* -is means to maintain and impro!e te #or' performance of
employees*
2) -o create a pool of #ell trained$ capable and loyal employees at all le!els and
tereby to ma'e pro!ision to meet te future needs of an or%ani0ation*
3) -o pro!ide opportunities of %ro#t and self)de!elopment ?career plannin%3 to
employees and tereby to moti!ate tem for promotion and oter monetary
benefits* In addition$ to %i!e safety and security to te life and ealt of
employees*
4) -o a!oid accidents and #asta%es of all 'inds* In addition$ to de!elop balanced$
ealty and safety attitudes amon% te employees*
5) -o meet te callen%es posed by ne# de!elopments in te field of science and
tecnolo%y*
6) -o impro!e te (uality of production and tereby to create mar'et demand and
reputation in te business #orld*
7) -o de!elop positi!e attitude and bea!iour pattern re(uired by an employee in
order to perform a %i!en &ob efficiently* In oter #ords$ te purpose of trainin%
is to impro!e te culture of te or%anisation*
8) -o de!elop certain personal (ualities amon% employees #ic can ser!e as
personal assets on lon% term basis*
TYPES OF EMPLOYEE TRAINING#)
1) INDUCTION FORIENTATION! TRAINING # )
Induction trainin% is basically for introducin% te or%anisation to ne#ly
appointed employees* It is a !ery sort informati!e type of trainin% %i!en
immediately after &oinin% te or%ani0ation* It creates a feelin% of in!ol!ement
in te minds of ne#ly appointed employees* For induction trainin%$
information boo'lets are issued and sort informati!e films are so#n* In
addition$ lecture by personnel man%erB5R6 man%er is also arran%ed*
Induction trainin% creates fa!ourable impression on te ne#ly appointed
employees and tis impression remains in teir mind o!er a lon% period*
2! @OB TRAINING # )
/ob trainin% relates to specific &ob #ic te #or'er as to andle* It %i!es
information about macines$ process of production$ instructions to be
follo#ed$ metods to be used and precautions to be ta'en #ile performin%
te &ob* -is trainin% de!elops s'ills and confidence amon% te #or'ers and
enables tem to perform te &ob efficiently*
3! TRAINING FOR PROMOTION # )
Promotion means %i!in% i%er position* -rainin% must be %i!en for
performin% duties at a i%er le!el efficiently* -is facilitates easy and (uic'
ad&ustment #it te ne# &ob and also de!elops ne# insi%t into te duties and
responsibilities assi%ned* For tis$ trainin% is %i!en after promotion and before
actually &oinin% te ne# assi%nment* -is trainin% is specific$ precise and of
sort duration*
4! REFRES$ER TRAINING # )
-e purpose of refreser trainin% is to refres te professional s'ills$
information and e:perience of persons occupyin% important e:ecuti!e
positions* It %i!es information about ne# de!elopments and tecni(ues to
trainees and enables tem to use ne# metods$ tecni(ues and procedures for
raisin% efficiency*
5! CORRECTIVE TRAINING # )
Correcti!e trainin% is necessary #en employees !iolate company rules and
procedures* For e:ample$ absence #itout prior sanction or smo'in% in a +No
smo'in%, area or not usin% safety de!ices #ile operatin% dan%erous
macines* 5ere$ te bea!iour of employee cannot be can%es simply by
disciplinary action* -e mana%er sould andle te problem #it treatment
tat corrects te outloo' rater tan %i!in% punisment* -e mana%er sould
critici0e te act and not te indi!idual* 5e sould moti!ate concerned
indi!idual to correct is bea!iour*
SELECTION OF TRAINEES # 1
Once you a!e decided #at trainin% is necessary and #ere it is needed$ te ne:t
decision is #o sould be trained@ For a small business$ tis (uestion is crucial*
-rainin% an employee is e:pensi!e$ especially #en e or se lea!es your firm for a
better &ob* -erefore$ it is important to carefully select #o #ill be trained*
-rainin% pro%rams sould be desi%ned to consider te ability of te employee to
learn te material and to use it effecti!ely$ and to ma'e te most efficient use of
resources possible* It is also important tat employees be moti!ated by te trainin%
e:perience* Employee failure in te pro%ram is not only dama%in% to te employee
but a #aste of money as #ell* Selectin% te ri%t trainees is important to te success
of te pro%ram*
TRAINING GOALS # )
-e %oals of te trainin% pro%ram sould relate directly to te needs outlined
abo!e* Course ob&ecti!es sould clearly state #at bea!ior or s'ill #ill be can%ed
as a result of te trainin% and sould relate to te mission and strate%ic plan of te
company* Goals sould include milestones to elp ta'e te employee from #ere e
or se is today to #ere te firm #ants im or er in te future* Settin% %oals elps to
e!aluate te trainin% pro%ram and also to moti!ate employees* Allo#in% employees to
participate in settin% %oals increases te probability of success*
MET$ODS OF EMPLOYEE TRAINING#)
As a result of researc in te field of trainin%$ a number of pro%rammes are
a!ailable* Some of tese are ne# metods$ #ile oters are impro!ements o!er te
traditional metods* -e trainin% pro%rammes commonly used to train operati!e and
super!isory personnel are discussed belo#* -ese pro%rammes are classified into on)
te)&ob and off)te)&ob trainin% pro%rammes*
ON1T$E1@OB TRAINING MET$ODS
-is type of trainin%$ also 'no#n as &ob instruction trainin%$ is te most commonly
used metod* .nder tis metod$ te indi!idual is placed on a re%ular &ob and tau%t
te s'ills necessary to perform tat &ob* -e trainee learns under te super!ision and
%uidance of a (ualified #or'er or instructor* On)te)&ob trainin% as te ad!anta%e of
%i!in% first and 'no#led%e and e:perience under te actual #or'in% conditions* -e
problem of transfer of trainee is also minimi0ed as te persons learns on)te)&ob* On)
te)&ob trainin% metods include &ob rotation$ coacin%$ &ob instruction or trainin%
trou% step)by)step and committee assi%nments*
'! @OB ROTATION # )
-is type of trainin% in!ol!es te mo!ement of te trainee from one &ob to
anoter* -e trainee recei!es &ob 'no#led%e and %ains e:perience from is
super!isor or trainer in eac of te different &ob assi%nments* -ou% tis
metod of trainin% is common in trainin% mana%ers for %eneral mana%ement
positions$ trainees can also be rotated from &ob to &ob in #or'sop &ob* -is
metod %i!es an opportunity to te trainee to understand te problems of
employees on oter &obs and respect tem*
4! COAC$ING # )
-e trainee is placed under a particular super!isor #o functions as a coac in
trainin% te indi!idual* -e super!isor pro!ides feedbac' to te trainee on is
performance and offer im for su%%estions for impro!ement* Often te trainee
sare some of te duties an responsibilities of te coac and relie!es im of
is burden* A limitation of tis metod of trainin% is tat te trainee may not
a!e te freedom or opportunity to e:press is o#n ideas*
.! @OB INSTRUCTION # )
-is metod is also 'no#n as trainin% trou% step by step* .nder tis
metod$ te trainer e:plains to te trainee te #ay of doin% te &ob$ &ob
'no#led%e and s'ills and allo# im to do te &ob* -e trainer appraises te
performance of te trainee$ pro!ides feedbac' information and corrects te
trainee*
5! COMMITTEE ASSIGNMENTS # )
.nder te committee assi%nments$ a %roup of trainees are %i!en and as'ed to
sol!e an actual or%ani0ational problem* -e trainees sol!e te problem &ointly*
It de!elops team #or'*
OFF1T$E1@OB MET$ODS
.nder tis metod of trainin%$ te trainee is separated form te &ob situation and
is attention is focused upon learnin% te material related to is future &ob
performance* Since te trainee is not distracted by &ob re(uirements$ e can place is
entire concentration on learnin% te &ob rater tan spendin% is time in performin% it*
-ere is an opportunity for freedom of e:pression for te trainees* Off)te)&ob
trainin% metods are as follo#s#
'! VESTIBUTE TRAINING # )
In tis metod$ actual #or' conditions are simulated in a class room* Material$
files and e(uipments tose are used in actual &ob performance are also used in
trainin%* -is type of trainin% is commonly used for trainin% personnel for
clerical and semi)s'illed &obs* -e duration of tis trainin% ran%es from days
to a fe# #ee's* -eory can be related to practice in tis metod*
4! ROLE PLAYING # )
It is defined as a metod of uman interaction tat in!ol!es realistic bea!iour
in ima%inary situations* -is metod of trainin% in!ol!es action$ doin% and
practice* -e participants play te role of certain caracters$ suc as te
production mana%er$ mecanical en%ineer$ superintendents$ maintenance
en%ineers$ (uality control inspectors$ foreman$ #or'ers and te li'e* -is
metod is mostly used for de!elopin% interpersonal interactions and relations*
.! LECTURE MET$OD # )
-e lecture is a traditional and direct metod of instruction* -e instructor
or%ani0es te material and %i!es it to a %roup of trainees in te form of a tal'*
-o be effecti!e$ te lecture must moti!ate and create interest amon% te
trainees* An ad!anta%e of lecture metod is tat it is direct and can be used for
a lar%e %roup of trainees* -us$ costs and time in!ol!ed are reduced*
5! CONFERENCE OR DISCUSSION # )
It is a metod in trainin% te clerical$ professional and super!isory personnel*
-is metod in!ol!es a %roup of people #o pose ideas$ e:amine and sare
facts$ ideas and data$ test assumptions$ and dra# conclusions$ all of #ic
contribute to te impro!ement of te &ob performance* 6iscussion as te
distinct ad!anta%e o!er te lecture metod$ in tat te discussion in!ol!es t#o)
#ay communication and ence feedbac' is pro!ided* -e participants feel free
to spea' in small %roups* -e success of tis metod depends on te
leadersip (ualities of te person #o leads te %roup*
ADVANTAGES OF EMPLOYEE TRAINING#)
-rainin% is ad!anta%eous not only to te or%ani0ation but also to te employees*
1. INCREASE IN :AGE EARNING CAPACITY # )
-rainin% elps te employees in ac(uirin% ne# 'no#led%e and &ob s'ills* In
tis #ay$ trainin% increases teir mar'et !alue and #a%e earnin% po#er* -is
increases teir pay and status*
2. @OB1SECURITY # )
Continued trainin% can elp an employee to de!elop is ability to learn)
adaptin% imself to ne# #or' metods$ learnin% to use ne# 'inds of
e(uipment and ad&ustin% to ma&or can%es in &ob contents and #or'
relationsip*
3. C$ANCES FOR PROMOTION # )
-rainin% also (ualifies te employees for promotion to more responsible &obs*
4. FOLLO: UP OF SELECTION PROCEDURE # )
-rainin% is a follo# up of selection procedure* It elps in coosin% te most
appropriate indi!iduals for different &obs* -rainin% can be used in spottin% out
promisin% men and in remo!in% defects in selection process*
5. BETTER PERFORMANCE # )
-rainin% brin%s about an impro!ement of te (uality and (uantity of output by
increasin% te s'ill of te employees* -rainin% ma'es te fres and old
employees more s'illed and accurate in performance of teir #or'*
6. REDUCTION IN COST OF PRODUCTION # )
If te employees are %i!en proper trainin% te need for super!ision is lessened*
-rainin% does not eliminate te need for super!ision but it reduces te need for
detailed and constant super!ision* A #ell trained employee is self)reliant in is
#or' because e 'no#s #at to do and o# to do it*
EVALUATION OF TRAINING PROGRAMME#)
-e process of trainin% e!aluation as been defined as +any attempt to obtain
information on te effects of trainin% performance$ and to assess te !alue of trainin%
in te li%t of tat information*, E!aluation leads to controllin% and correctin% te
trainin% pro%ramme* 5amblin su%%ested fi!e le!els at #ic e!aluation of trainin%
can ta'e place$ !i0*$ reactions$ learnin%$ &ob bea!iour$ or%ani0ation and ultimate
!alue*
i. REACTIONS # )
-rainin% pro%ramme is e!aluated on te basis of trainee"s reactions to te
usefulness of co!era%e of te matter$ dept of te course content$ metod of
presentation$ teacin% metods etc*
ii. LEARNING # )
-rainin% pro%ramme$ trainer"s ability and trainee ability are e!aluated on te
basis of (uantity of content learned and time in #ic it is learned and te
learner"s ability to use or apply$ te content e learned*
iii. @OB BE$AVIOUR # )
-is e!aluation includes te manner and e:tent to #ic te trainee as applied
is learnin% to is &ob*
iv. ORGANISATION # )
-is e!aluation measures te use of trainin%$ learnin% and can%e in te &ob
bea!iour of te departmentBor%ani0ation in te form of increased producti!ity$
(uality$ morale$ sales turno!er and te li'e*
v. ULTIMATE VALUE # )
It is te measurement of ultimate result of te contributions of te trainin%
pro%ramme to te company %oals li'e sur!i!al$ %ro#t$ profitability etc*$ and to
te indi!idual %oals li'e de!elopment of personality and social %oals li'e
ma:imi0in% social benefit*
ORGANISED TRAINING PROGRAMME IN AN INDUSTRY#)
It is not possible to su%%est a trainin% pro%ramme e(ually %ood for eac and e!ery
or%anisation* -rainin% pro%rammes differ on te basis of many indi!idual
caracteristics of te or%anisations and te employees usually in te or%anisation of
trainin% pro%rammes* -e follo#in% steps are ta'en to or%anise te trainin%
pro%ramme#
23 IDENTIFYING T$E TRAINING NEEDS # )
-rainin% pro%ramme sould be set up only after a!in% decided te decided te
clear)cut ob&ecti!e in mind* A trainin% pro%ramme sould be establised only
#en it is felt tat it #ould assist in te solution of specific operational problems*
-e most important step is to ma'e a torou% analysis of te entire or%anisation$
its operations and manpo#er resources a!ailable in order to find out +te trouble
spots, #ere trainin% may be needed*
a3 ANALYSING @OBS AND MEN # )
If te men are less capable to perform te particular &obs tey can be
%i!en trainin% to increase teir s'ills* /obs and #ort of te men sould
be analysed trou% &ob analysis and performance appraisal*
b3 IDENTIFYING PRODUCTION PROBLEMS # )
Production problems li'e lo# producti!ity$ poor (uality$ i% cost$
i% rate of absenteeism$ labour turno!er etc* sould be identified to
indicate te need for trainin%*
c3 COLLECTING OPINIONS # )
Opinions sould be obtained from te mana%ement and te #or'in%
people trou% inter!ie#s or trou% (uestionnaire re%ardin%
necessary and desirable trainin% pro%rammes*
83 GETTING READY FOR T$E @OB # )
Follo#in% are te steps ta'en in tis re%ard#
a) IDENTIFYING T$E TRAINEE # )
.nder tis step it is to be decided #o is to be trained* #o is to be
trained N te ne# comer or te older employee or te super!isory staff
or all of tem selected from different departments* -e proper
selection of trainees is !ery important to obtain permanent and %ainful
results of trainin%* A trainee sould be trained for te 'ind of &ob e
li'es and is suitable to perform* Careful screenin% of candidates for
trainin% raises te effecti!eness of te trainin% #or'* -rainee sould be
%i!en te proper bac'%round information before e starts learnin% ne#
&ob s'ills and 'no#led%e* -rainer sould e:plain te trainee te
importance of te &ob$ its relationsip #it te #or' flo# and te
importance of trainin%*
4! SELECTION OF TRAINING MET$OD # )
No# it is ad!isable to lay do#n #ic metod is to be adopted fro te
trainin%* 6ifferent metods of trainin% may be su%%ested for te
different le!els of personnel* .ns'illed #or'ers may be trained on te
&ob* On)te)&ob and apprenticesip trainin% may be a#arded$ to s'illed
and semi)s'illed #or'ers* For super!isory and e:ecuti!e personnel On)
te)&ob and Off)te)&ob metods suc as role)playin%$ lectures and
seminars etc* may be recommended*
c) PREPARATION OF TRAINER OR INSTRUCTOR # )
-e success of te trainin% pro%ramme muc depends upon te
instructor* Instructor must be #ell)(ualified and may be obtained from
#itin or outside te or%ani0ation* It sould be decided beforeand
#at is to be tau%t and o#* 5e sould be able to di!ide te &ob into
lo%ical parts so tat e may teac one part at a time #itout losin% is
perspecti!e of te #ole*
As because trainin% must be based upon te needs of te or%ani0ation
terefore$ te trainer must a!e a clear)cut picture of te ob&ecti!es of
trainin% in mind* It sould not be in a !acuum* -rainer needs
professional e:pertise in order to fulfill is responsibility* 5e sould
also encoura%e te (uestion from te trainees*
d) TRAINING MATERIAL # )
-ere sould al#ays be te trainin% material #it te instructor*
-rainin% materials may include some te:t or #ritten materials as a
basis for instruction$ re!ie# and reference* -is may be prepared in te
trainin% section #it te elp of super!isors* -e #ritten material
sould be distributed amon% te trainees so tat tey may come
prepared in te lecture class and may be able to understand te
operation (uic'ly and remo!e teir doubts$ if any*
e) TRAINING MATERIAL # )
-e len%t of trainin% period depends upon te s'ill of te trainees$
purpose of te trainin%$ trainee"s learnin% capacity and te trainin%
media used* Generally no sin%le session sould last lon%er tan t#o
ours* -e time of trainin% #eter before or after or durin% #or'in%
ours sould be decided by te personnel mana%er ta'in% in !ie# te
loss of production and benefits to be acie!ed by trainin%*
2! PREPARATION OF T$E LEARNER # )
-is step consists#
-. -e puttin% te learner at case so tat e does not feel ner!ous because
of te fact tat e is on a ne# &ob$
--. In statin% te importance of in%redients of te &ob and its relationsip
to#ards flo#$
---. In e:plainin% e is bein% tau%t$
-8. In creatin% interest and encoura%in% (uestions$ findin% out #at te
learner already 'no#s about is &ob or oter &obs$
8. In e:plainin% #y of te #ole &ob and relatin% it to some &ob te
#or'er already 'no#s$
8-. In plannin% te learner as close to is normal #or'in% position as
possible$ and
8--. In familiari0in% im #it te e(uipment$ materials tools and trade
terms*
3! PRESENTATION OF OPERATIONS AND
GNO:LEDGE#)
-is is te most important step in a trainin% pro%ramme* -e trainer sould
clearly tell$ so#$ illustrate and (uestion I order to put o!er te ne#
'no#led%e and operations* -e learner sould be told of te se(uence of te
entire &ob and #y eac step in its performance is necessary instructions
sould be %i!en clearly$ completely and patiently* -rainer sould demonstrate
or ma'e use of audio)!isual aids and sould as' te trainee to repeat te
operations
4! PERFORMANCE TRY1OUT # )
.nder tis$ te trainee is as'ed to %o trou% te &ob se!eral times slo#ly$
e:plainin% im eac step* Mista'es are corrected and if necessary some
complicated steps are ta'en for te trainee for te first time* -en te trainee is
as'ed to do te &ob$ %radually buildin% up s'ill and speed* -e trainee is ten
tested and te effecti!eness of a trainin% pro%ramme e!aluated*
5! FOLLO:1UP # )
On te completion of trainin% pro%ramme trainees sould be placed to te &ob*
-e super!isor sould a!e a constant !i%il on te person still facin% any
difficulty on te &ob$ e must be %i!en full %uidance by te immediate
super!isor and sould be initiated to as' (uestions to remo!e te doubts*
COLLECTIVE BARGAINING
INTRODUCTION
-e prase GCollecti!e bar%ainin%" is coined by Sydney Q 4eatrice 7ebb*
Accordin% to tem collecti!e bar%ainin% is a metod by #ic trade unions
protect Q impro!e te conditions of teir members" #or'in% li!es*
4efore te Industrial Re!olution$ te employer$ more or less$ en&oyed
un(uestioned po#ers on matters relatin% to #a%e$ #or'in% conditions Q oter
matters affectin% employees* -e #ee' bar%ainin% stren%t of employees
tempted tem$ on occasions$ to e:ploit te !ulnerable situation to teir
ad!anta%e* 7or'ers as a result became restless Q #idespread protests
follo#ed* Go!ernmental inter!ention #as of little elp* 7or'ers reali0ed te
importance of fi%tin% &ointly on all #or')related matters* -is collecti!e
fi%tin% spirit is beind te bac' of collecti!e bar%ainin%* 7it te %ro#t of
union mo!ement all o!er te %lobe Q te emer%ence of employers"
associations$ te collecti!e bar%ainin% process as under%one si%nificant
can%es* 4ot parties a!e$ more or less$ reali0ed te importance of peaceful
co)e:istence for teir mutual benefit Q continued pro%ress*
OB@ECTIVES
-e main ob&ecti!es of Collecti!e bar%ainin% are %i!en belo#1
-o settle disputes B conflicts relatin% to #a%es Q #or'in% conditions*
-o protect te interests of #or'ers trou% collecti!e plan*
-o resol!e te differences bet#een #or'ers Q mana%ement tou%
!oluntary ne%otiations Q arri!e at a customer*
-o a!oid tird party inter!ention in matters relatin% to employment*
F%0.,-/0+ /6 C/33*.,-8* B'(<'-0-0<
Collecti!e bar%ainin% plays an important role in pre!entin% industrial disputes$
settin% tese disputes Q maintainin% industrial peace by performin% te
follo#in% functions1
Increase te economic stren%t of employees Q mana%ement*
Establis uniform conditions of employment*
Secure a prompt Q fair redressal of %rie!ances*
Lay do#n fair rates of #a%es Q oter norms of #or'in% conditions*
Acie!e an efficient functionin% of te or%ani0ation*
Promote te stability Q prosperity of te company*
It pro!ides a metod of te re%ulation of te conditions of employment of
tose #o are directly concerned about tem*
It pro!ides a solution to te problem of sic'ness in te industry Q ensures
old a%e pension benefits Q oter frin%e benefits*
It builds up a system of industrial &urisprudence by introducin% ci!il ri%ts I
te industry* In oter #ords$ it ensures tat te mana%ement is conducted by
rules rater tan by arbitrary decisions*
COLLECTIVE BARGAINING PROCESS
-ere are t#o sta%es in collecti!e bar%ainin%$ !i0*$ ?i3 te ne%otiation sta%e Q
?ii3 te sta%e of contract administration*
1. N*</,-',-/0
F'! I5*0,-6-.',-/0 /6 P(/43*&+
-e nature of te problem influences te #ole process)#eter te problem is
!ery important tat is to be discussed immediately or it can be postponed for
some oter con!enient time$ #eter te problem is minor tat it can be sol!ed
#it te oter party"s acceptance on its presentation Q does not need to in!ol!e
te lon% process of collecti!e bar%ainin% process etc*
F4! P(*2'(-0< 6/( N*</,-',-/0+
7en it becomes necessary to sol!e te problem trou% collecti!e bar%ainin%
process$ bot te parties prepare temsel!es for ne%otiations*
F.! N*</,-',-/0+ /6 A<(**&*0,
.sually tere #ill be a cief ne%otiator #o is form te mana%ement side* 5e
directs Q presides o!er te process* -e cief ne%otiator presents te problem$
its intensity Q nature Q te !ie#s of bot parties* 7en a solution is reaced
at$ it is put on te paper$ ta'in% concerned le%islations into consideration* 4ot
parties concerned si%n te a%reement #ic$ in tern$ become a bindin% contract
for bot te parties*
2. C/0,('., A5&-0-+,(',-/0
Implementation of te contract is as important as ma'in% a contract*
Mana%ement usually distributes te printed contract$ its terms Q conditions
trou%out te or%ani0ation* -e union ta'es steps to see tat all te #or'ers
understand te contract Q implement it* From time to time dependin% upon
can%in% circumstances$ bot te parties can ma'e mutually acceptable
amendments*
SUGGESTIONS FOR EFFECTIVE IMPLIMENTATION OF COLLECTIVE
BARGAINING
.nions sould be made stron% by creatin% a#areness amon% #or'ers*
Interference of political leaders sould be a!oided* -e unions sould
separate temsel!es from politics*
Go!t* sould ma'e efforts for te %ro#t of collecti!e bar%ainin%*
Ad&udication sould be used only as a last resort* Go!t* can ma'e
le%islation for compulsory collecti!e bar%ainin% before resortin% to
ad&udication*
Mana%ement sould de!elop a positi!e attitude to#ard unions* Muc
ead#ay as already been made in tis direction* Presently$ mana%ers are
mostly a#are of te ri%ts of #or'ers* -ey are also reali0in% o#
important cooperation bet#een mana%ement Q #or'ers for te effecti!e
functionin% of an or%ani0ation* As suc$ tey are no# encoura%in%
ne%otiations Q amicable solutions*
INDUSTRIAL CONFLICTS
All te issues refer to collecti!e bar%ainin% may not be settled to te
satisfactions of bot te parties* Suc issues result in Industrial Conflicts*
DEFINITION OF DISPUTE " CONFLICT
Accordin% to te Industrial 6isputes Act$ 2J<I$ Section 8?'3$ +Industrial
dispute means any dispute or difference bet#een employers Q employers$ or
bet#een employers Q #or'men or bet#een #or'men Q #or'men$ #ic is
connected #it te employment or non employment or term of employment or
#it te conditions of labour of any person*,
CAUSES OF INDUSTRIAL CONFLICTS
It is not easy to identify a sin%le factor as a cause of industrial conflicts as
multifarious causes blended to%eter result in industrial disputes* 6eep seated
Q more basic causes of disputes can be identified trou% in dept probe$
tou% surface manifestations appear to be responsible for conflicts* -e
relati!e importance of tese causes$ #en more tan presents$ is often !ery
difficult to %au%e*
Accordin% to Mu'er&ee$ +-e de!elopment of capitalistic enterprise$ #ic
means te control of te tools of production by te small entrepreneur class as
brou%t to te fore te acute problem of friction bet#een mana%ement Q labour
trou%out te #orld*,
Causes of industrial conflicts may be %rouped into four cate%ories$
Industrial factors$
Mana%ement"s attitude to#ards #or'ers$
Go!ernment macinery Q
Oter causes*
TYPES OF INDUSTRIAL CONFLICT
S,(-C*
A stri'e is a spontaneous and concerted #itdra#al of te labour from
production temporarily* It is a collecti!e stoppa%e of #or' by %roup of #or'ers
for pressurin% teir employer to accept certain demands* -e industrial disputes
act 2J<I as define a stri'e as +an assertion of #or' by a body of persons*,
employed in an industry actin% in combination$ or a concerted refusal or a
refusal under a common understandin% of any no of persons #o are or a!e
been so employed to continue to #or' or to accept employment* Stri'es are of
se!eral types$
Sympatetic stri'e
7en a stri'e is underta'en to so# sympaty #it #or'ers in oter industries$
it is called as sympatetic stri'e*
General stri'e
It is a stri'e by all or most of te unions in a industry or a re%ion
.nofficial stri'e
It is a stri'e underta'en #itout te consent of te unions*
Sectional stri'e
It is refusal of a section of a %i!en class of #or'ers to perform teir normal
duties*
4umper stri'e
It is a stri'e #en te unions plan to paralyse te industry$ firm by firm$ te
order bein% cosen by te union* Suc stri'es are supported by te
contributions of tose #o are still in #or'*
Sit do#n stri'e ?also called stay)in$ tool do#n$ pen do#n stri'e3
It is a stri'e in #ic #or'ers cease to perform tis duties but do not lea!e te
place of #or'*
Slo#)do#n stri'e
Rno#n as a G%o)slo#" tactic te #or'ers do not stop #or'in% but put bra'es to
te normal #ay of doin% tin%s*
Li%tnin% stri'e
Out of pro!ocation$ #or'ers may %o on stri'e #itout notice or at !ery sort
notice* -ere is an element of surprise in suc cat)call stri'es*
5un%er stri'e
-o %ain sympaty from te public Q %et noticed by te employer$ #or'ers may
decide to fore%o food for a specified period* Small batces of #or'ers may also
%o on a relay un%er stri'e in a se(uential order* Suc non)!iolence protests
%enerally brin% moral pressure on employers to iron out te differences #it
(uic'ly*
L/.C1/%,+
Loc')out is te counterpart of stri'e* It is a #eapon a!ailable to te employer to
close do#n te factory till te #or'ers a%ree to resume #or' on te conditions
lead do#n by te employer* -e industrial 6ispute Act of 2J<I defined it as
+te closin% of a place of an employment$ or te suspension of #or' or te
refusal of an employer to continue to employ any number of persons employed
by im,* If it is impossible to meet te demand of #or'ers$ employers may
decide to %o for loc')out* 5e may also dra# te sutter do#n so as to brin%
psycolo%ical pressure on te #or'ers to a%ree to is condition or face closure
of te unit*
G7*('/
Gerao means to surround* In tis metod a %roup of #or'ers initiate collecti!e
action aimed at pre!entin% members of te mana%ement from lea!in% te
office* -is can appen outside te factory premises too* -e persons #o are
gheraoed are not allo#ed to mo!e for a lon% time$ sometimes #itout food or
#ater* -e National Commission on Labour$ #ile refusin% to accept it as a
form of industrial protest$ opined tat %eraos tend to inflict pysical duress ?as
a%ainst economic pressure3 on te persons affected Q endan%er not only
industrial armony but also create problems of la# Q order*
P-.C*,-0< > B/)./,,
In pic'etin% #or'ers carry B display si%ns$ banners Q play card ?in connection
#it te dispute3 Q pre!ent oters from enterin% te place of #or' Q persuade
oters to &oin te stri'e*
4oycott aims at disruptin% te normal functionin% of an enterprise* -rou%
forceful appeals Q ne%ati!e bea!ioral acts$ stri'in% #or'ers pre!ent oters
from enterin% te place of #or' Q persuade tem not to cooperate #it te
employer*
PREVENTION OF INDUSTRIAL CONFLICTS
Pre!ention of industrial disputes may a!e different metods* -ese metods
+co!er te entire field of relations bet#een industry Q labour Q include
enactment Q enforcement of pro%ressi!e le%islation$ #or's committees Q
councils$ #a%e boards$ Q trade boards$ profit sarin% Q co)partnersip$
education$ ousin%$ #elfare #or' Q all suc measures #ic can brid%e te
%ap bet#een te employers Q te employed*, -e si%nificant pre!enti!e
measures may be broadly outlined as belo#1


P(*8*0,-/0 M*'+%(*+ /6 I05%+,(-'3 C/063-.,+
Labour Standin% Grie!ances /oint
7elfare Orders Procedure Consultation
Officer

Stron% /oint Collecti!e Labour Co)partnersip
-rade Consultations 4ar%ainin% Q Profit Sarin%
.nions
L'4/%( =*36'(* O66-.*(
Sec* <J ?23 Q ?83 of te factories act$ 2J<K$ specifies tat e!ery factory #erein
>DD or more #or'ers are ordinarily employed$ at least 2 officer must be
appointed$ #ere te number of #or'ers are in e:cess of 8$>DD$ te assistance
Q or additional #elfare officers are re(uired to be appointed to assist te
#elfare officer*
S,'05-0< /(5*(+
Ma&ority of te industrial disputes are related to conditions of employment* -o
pre!ent te industrial conflict relatin% to employment conditions$ standin%
orders are formulated* It #as made obli%atory tat standin% orders sould
%o!ern te conditions of employment under te industrial employment
?standin% orders3 act of 2J<C* -e standin% orders re%ulate te conditions of
employment from te sta%e of entry to te sta%e of e:it or retirement* Standin%
orders act as a code of conduct for te employees durin% te #or'in% life of
employees as tey pro!ide do"s Q do nots*
G(-*8'0.* 2(/.*5%(*
Grie!ances %enerally arise from day N to N day #or'in% relations* Grie!ances
of te employees are redressed by te mana%ement* Mana%ement can pre!ent
te occurrence of industrial disputes by sol!in% te indi!idual problems*
C/33*.,-8* 4'(<'-0-0<
As discussed earlier$ collecti!e bar%ainin% elps for settlement of issues Q
pre!ention of industrial disputes* Go!ernment also elps trade unions Q %o!t*
to come closer to eac oter Q come to an a%reement*
S,(/0< ,('5* %0-/0+
Stron% trade unions a!e te stability of membersip$ sound financial position
Q ealty polices* Suc unions tin' Q act constructi!ely for te mutual
benefit of te employees Q te mana%ement* -ese practices naturally pre!ent
te industrial conflicts*
L'4/%( ./ K 2'(,0*(+7-2 > 2(/6-, +7'(-0<
Labour co N partnersip Q profit sarin% create a sense of belon%ness amon%
te employees Q tey fill tat tey are te partners in te company* As suc$
tey tin' Q act for te benefit of te company*
@/-0, ./0+%3,',-/0+
A /oint consultation bet#een te employees Q employer are te differences
bet#een tem Q pre!ents industrial conflicts*
SETTLEMENT OF CONFLICTS
-e metods of te settlement of conflicts %enerally include tose mentions in
te belo#
1. I08*+,-<',-/0
-is is conducted by a board or court appointed by te %o!ernment* It may be
!oluntary or compulsory* If te in!esti%ation is conducted on an application by
eiter or bot te parties to te dispute$ it is !oluntary* If te Go!ernment
appoints a Court of In(uiry to in!esti%ate into a dispute #itout te consent of
te parties$ it is compulsory* In!esti%ations do not aim at brin%in% about te
settlement of disputes directly$ but by analy0in% te facts$ tey aim at brin%in%
about an amicable solution* 7en te in!esti%ation is compulsory$ te stri'es
Q loc')outs are re(uired to be stopped Q employers sould not ma'e any
can%e in te conditions of employment* -e result of in!esti%ation as no
serious effect on te dispute because te %eneral public is least botered to
ma'e note of te dispute*
2. M*5-,',-/0
Anoter attempt to settle disputes is Meditation* In tis metod$ an outsider
assists te parties in teir ne%otiation* It ta'es place #it te consent of bot
te parties* -e mediator performs te messen%er"s &ob for bot te parties Q
e neiter imposes is #ill nor is &ud%ment upon tem* -e main aim of
meditation is te settlement of disputes by brinin% about a !oluntary a%reement*
-ere may be tree 'inds of meditation1
a* -e Eminent Outsider9
b* Non)Go!ernment 4oard9 Q
c* Semi)Go!ernment 4oard*
If meditation is conducted s'illful Q sympatetically alon% proper lines$ it can
brin% about te ad&ustment of differences tat mi%t oter#ise contribute to
stoppa%e of #or'*
3. C/0.-3-',-/0
-e main ob&ecti!e of a condition Q arbitration is to reunite te t#o conflictin%
%roups in te industry in order to a!oid interruption of production$ distrust etc*
Conciliation is a process by #ic representati!es of bot #or'ers Q
employers are brou%t to%eter before a tird party #it a !ie# to persuadin%
tem to arri!e at some sort of settlement* It is an e:tension of collecti!e
bar%ainin% #it tird party assistance* It is te practice by #ic te ser!ices of
te neutral tird party as used in a dispute as a means of elpin% te disputin%
parties to reduce te e:tent of teir differences Q to arri!e at an amicable
settlement or a%reed solution* It is a process of rational Q orderly discussions
of differences bet#een te parties to a dispute under te %uidance of a
conciliator*
Conciliation macinery consists of a conciliation officer Q board of
conciliations* -e conciliator induces te parties to a course of action* 5e plays
te role of an inno!ator$ protector$ discussion leader$ stimulator$ ad!isor$ face
sa!er* 5e acts as a safety !alue Q a communication lin'*
-e tas' of conciliation is to offer ad!ice Q ma'e su%%estions to te dispute on
contro!ersial issues*
4. V/3%0,'() A(4-,(',-/0
If te t#o parties to te dispute fail to come to an a%reement$ eiter by
temsel!es or #it te elp of a mediator or conciliator$ #o a%rees to submit
te dispute to an impartial autority$ #ose decision$ tey are ready to accept*
-e essential elements in !oluntary arbitration are1
-e !oluntary submission of dispute to an arbitration9
-e subse(uent attendance of #itness Q in!esti%ations Q
-e enforcement of an a#ard may not be necessary*
5. C/&2%3+/() A(4-,(',-/0 " A5I%5-.',-/0
7ere trade unions are #ee'$ te metod of Compulsory Arbitration is used*
Compulsory Arbitration is utili0ed %enerally #en te parties fail to arri!e at a
settlement tou% te !oluntary metods*
In India$ Compulsory Arbitration is enforced because collecti!e bar%ainin% #as
not used for re%ulatin% #a%es Q oter conditions of employment*
It may be said tat Compulsory Arbitration may be at times Q under certain
circumstances$ necessary Q desirable* -e nature$ scale Q timin% of state
inter!ention sould be suited to te needs of different occasions* -e ob&ecti!e
of state inter!ention in te field of industrial relations sould be to do social
&ustice Q ma'e te #ea'er party e(ually stron% to enable it ultimately to stand
Q sur!i!e on its o#n Q settle its differences trou% ne%ations Q collecti!e
bar%ainin%*
Compulsory Arbitration is one #ere te parties are re(uired to arbitrate
#itout any #illin%ness on teir part* Any one of te parties may apply to te
appropriate %o!ernments to refer te dispute to ad&udication macinery*
2(/&/,-/0
7en tere are !acancies in an or%ani0ation$ tey can be filled up by te internal or
e:ternal candidates* -ou% te or%ani0ation prefers to fill up te !acancies by te
e:ternal candidates trou% te selection procedure$ te internal candidates may also
apply for post and may be tested and selected for i%er le!el &ob in te or%ani0ational
ierarcy at par #it e:ternal candidates* Is suc up#ard mo!ement of an employee a
promotion@ Or it is purely selection@ It is purely a selection* If te or%ani0ation
prefers to fill a !acancy only by te internal candidates$ it assi%ns tat i%er le!el &ob
to te selected employee from #itin trou% promotion tests* Suc up#ard
mo!ement can be said as promotion*
L D*6-0-,-/0#1
+Promotion is ad!ancement of an employee to a better &ob) better in terms of
%rater responsibility$ more presti%e or status$ %reater s'ills and especially increased
rate of pay or salary*,
) Paul Pi%ors and Carles A* Myers*
+-e up#ard reassi%nment of an indi!idual in an or%ani0ational ierarcy$
accompanied by increased responsibilities$ enanced status and usually #it increased
income tou% not al#ays so*,
) Arun Monappa and Mir0a S* Saiyadain*
Promotion is te reassi%nment of a i%er le!el &ob to an internal employee #it
dele%ation of responsibilities and autority re(uired to perform tat i%er &ob and
normally #it i%er pay* -us$ te main conditions of promotion are1)
23 Reassi%nment of i%er le!el &ob to an employee tan #at e is presently
performin%*
83 -e employee #ill naturally be dele%ated #it %reater responsibility and autority
tan #at e as ad earlier*
;3 Promotion normally accompanies i%er pay*
Promotion may be temporary or permanent dependin% upon te or%ani0ational needs
and employee performance*
S P%(2/+* /6 2(/&/,-/0#1
Or%ani0ations promote te employee #it a !ie# to acie!e te follo#in% purposes1)
23 -o utili0e te employee"s s'ills$ 'no#led%e at te appropriate le!el in te
or%ani0ational ierarcy resultin% in or%ani0ational effecti!eness and employee
satisfaction*
83 -o de!elop competent spirit and inculcate te 0eal in te employees to ac(uired
te s'ills$ 'no#led%e etc* re(uired by i%er le!el &obs*
;3 -o de!elop competent internal source of employees ready to ta'e up &obs at i%er
le!el in te can%in% en!ironment*
<3 -o promote employee"s self de!elopment and ma'e tem a#ait teir turn of
promotions* It reduces labour turno!er*
>3 -o promote a feelin% of content #it te e:istin% conditions of te company and a
sense of belon%in%ness*
C3 -o promote interest in trainin%$ de!elopment pro%rammers and in team
de!elopment areas*
I3 -o build loyalty and to boost morale*
K3 -o re#ard committed and loyal employees*
J3 -o %et rid of te problems created by te leader of #or'ers" unions by promotin%
tem to te officer" le!els #ere tey are less effecti!e in creatin% problems*
M*(-, '+ ' 4'+-+ /6 2(/&/,-/0#1
Merit is ta'en to denote an indi!idual employee"s s'ills$ 'no#led%e$ ability$
efficiency and aptitude as measured from educational$ trainin% and past employment
record* -e merits of merit system of promotion are1
23 -e resources of i%er order of an employee can be better utili0ed at a i%er
le!el* It result in ma:imum utili0ation of uman resources in an or%ani0ation
83 Competent employees are moti!ated to e:ert all teir resources and contribute
tem to te or%ani0ational efficiency and effecti!eness
;3 It #or's as %olden and)cuffs re%ardin% employee turno!er$
<3 Furter it continuously encoura%es te employees to ac(uire ne# s'ill$ 'no#led%e
etc* for all)round de!elopment*
6espite tese ad!anta%es te merit systems suffer from some 5*&*(-,* -ey are1
23 Measurement or &ud%in% of merit is i%ly difficult*
83 Many people$ particularly trade union leaders$ distrust te mana%ement"s inte%rity
in &ud%in% merit*
;3 -e tecni(ues of merit measurement are sub&ecti!e*
<3 Merit denotes mostly te past acie!ement$ efficiency but not te future success*
5ence$ te purpose of promotion may not be ser!ed if merit is ta'en as sole
criteria for promotion*
S*0-/( '+ ' 4'+-+ /6 2(/&/,-/0
Seniority refers to relati!e len%t of ser!ice in te same &ob and in te same
or%ani0ation* -e lo%ic beind considerin% te seniority as a basis of promotion is tat
tere is a positi!e correlation bet#een te len%t of ser!ice in te same &ob and te
amount of 'no#led%e and te le!el of s'ill ac(uired by an employee in an
or%ani0ation* -is system is also based on te custom tat te first in sould be %i!en
first cance in all benefit and pri!ile%es*
S Advantages of seniority as a asis of !ro"otion are:
23 It is relati!ely easy to measure te len%t of ser!ice and &ud%e te seniority*
83 -ere #ould be full support of te trade unions to tis system*
;3 E!ery party trust te mana%ement"s action as tere is no scope for fa!oritism and
discrimination and &ud%ment*
<3 It %i!es a sense of certainty of %ettin% promotion to e!ery employee and of teir
turn of promotion*
>3 Senior employees #ill a!e a sense of satisfaction to tis system as te older
employees are respected and teir inefficiency cannot be pointed out*
C3 It minimi0es te scope for %rie!ances and conflicts re%ardin% promotion*
I3 -is system seems to reser!e te purpose in te sense tat employees may learn
more #it increase in te len%t of ser!ice*
In s!ite of t#ese "erits$ t#is syste" a%so s&ffers fro" 'ertain %i"itations( -ey
are1
23 -e assumption tat te employees learn more relati!ely #it len%t of ser!ice is
not !alid as tis assumption as re!erse effect* In oter #ords employees learn up
to a certain a%e and beyond tat sta%e te learnin% ability of te co%niti!e process
diminises*
83 It denominates te youn% and more competent employees and results in employee
turno!er particularly amon% te dynamic force*
;3 It 'ills te 0eal and interest to de!elop as e!erybody #ill be promoted #it or
#itout impro!ement*
<3 Or%ani0ational effecti!eness may be diminises trou% te deceleration of te
uman resource effecti!eness as te uman resource consists of mostly
undynamic and old blood*
>3 /ud%in% te seniority tou% it seems to be in te teoretical sense* it is i%ly
difficult in practice as te problems li'e &ob seniority$ company seniority$
0onalBre%ional seniority$ ser!ice in different or%ani0ations$ e:perience as
apprentice trainee$ trainee$ researcer$ len%t of ser!ice not only by days but ours
and minutes #ill crop up*
-us te t#o main basic of promotion en&oy certain ad!anta%es and at te same time
suffer from certain limitations* 5ence$ a combination of bot of tem may be
re%arded as an effecti!e basis of promotion*
S*0-/(-,)1.%&1&*(-,
Mana%ement mostly prefers merit as te basis of promotion as tey are interested in
enricin% its uman resources* 4ut trade union fa!our seniority as te sole basis for
promotion #it a !ie# to satisfy te interests of ma&ority of teir members*
5ence a combination of bot seniority and merit can be considered as te basis for
promotion satisfyin% te mana%ement for or%ani0ational effecti!eness and employees
and trade union for respectin% te len%t of ser!ice* A balance bet#een seniority and
merit sould be struc' and a ne# basis is to be de!eloped* -ere are se!eral #ays in
stri'in% te balance bet#een tese t#o basis*!i01)
23 Minimum length of service and merit:-
.nder tis metod all tose employees #o complete te minimum ser!ice$ say fi!e
years$ are made eli%ible for promotion and ten merit is ta'en as te sole criteria for
selectin% te employee for promotion from te eli%ible candidates* Most of te
commercial ban' in India as been follo#in% tis metod for promotin% te
employees from cler'"s position to officer"s position*
83 Measurements of seniority and merit through a common factor.
;3 Minimum merit and seniority:-
In contrast to te earlier metods$ minimum score of merit #ic is necessary for te
acceptable performance on te future &ob is determined and all te candidates #o
secure minimum score are declared as eli%ible candidates* Candidates are selected for
promotion based on teir seniority only from te eli%ible candidates*
S B*0*6-, /6 2(/&/,-/0#1
23 Promotion places te employees in a position #ere an employee"s s'ills and
'no#led%e can be better utili0ed*
83 It creates and increases te interest of te oter employees in te company as tey
belie!e tat tey #ill also %et teir turn*
;3 It creates amon% employees a feelin% of content #it te e:istin% conditions of
#or' and employment*
<3 It increases interest in ac(uirin% i%er (ualifications$ in trainin% and in self
de!elopment #it a !ie# to meet te re(uirement of promotion
>3 Promotion impro!es employee morale and &ob satisfaction*
C3 .ltimately it impro!es or%ani0ational ealt*
S P(/43*&+ =-,7 2(/&/,-/0#1
-ou% promotions benefit te employee and te or%ani0ation$ it creates certain
problems* -ey are disappointment of te candidates$ refusal of promotions etc*
Promotion disappointment some employees:-
Some employees #o are not promoted #ill be disappointed #en teir collea%ues
#it similar (ualifications and e:perience are promoted eiter due to fa!oritisms or
due to lac' of systematic promotion policy* Employee may de!elop ne%ati!e attitude
and reduce teir contributions to te or%ani0ation and pre!ent or%ani0ational and
indi!idual ad!ancement*
Some employee refuse promotion:-
-ere is a %eneral tendency tat employee accept promotion* 4ut teir are se!eral
incidents #ere employees refuse promotions* -ese include promotion to%eter #it
transfer to an up#ard place$ promotion tat le!el #ere te employee feels tat e
#ill be (uite incompetent to carry out te &ob$ dele%ation of un#anted responsibilities$
and #en trade union leader feel tat promotion causes dama%e to teir position in
trade union*
-e oter problems associated #it te promotion are1 some superiors #ill not
relie!e teir subordinates #o are promoted because of teir indispensability in te
present &ob and ine(uality in promotional in different departments$ re%ions and
cate%ories of &obs*
Promotion problems can be minimi0ed tou% a career counselin% by te
superiors and by formulatin% a systematic promotion policy*
S P(/&/,-/0 2/3-.)
E!ery or%ani0ational as to specify clearly its policy re%ardin% promotion based on its
corporate policy* -e caracteristics of a systematic promotion policy are1
23 It sould be considered te sense tat policy sould be applied uniformly to all
employees irrespecti!e of te bac'%round of te persons$
83 It sould be fair and impartial* In oter #ords it sould not %i!e room for
nepotism$ fa!oritism etc*$
;3 Systematic line of promotion cannel sould be incorporated
<3 It sould pro!ide e(ual opportunities fro promotion in all cate%ories of &obs$
departments$ and re%ions of an or%ani0ation
>3 It sould insure open policy in te sense tat e!ery eli%ible employee sould be
considered for promotion rater tan a closed system #ic consider only a class
of employees
C3 It sould contain clear cut norms and criteria for &ud%in% merit$ len%t or ser!ice$
potentiality etc*
I3 Appropriate autority sould be entrusted #it te tas' of ma'in% final decision
K3 Fa!oritism sould not be ta'en as a basis for promotion
J3 It sould contain promotional counselin%$ encoura%ement$ %uidance and follo#)up
re%ardin% promotional opportunity$ &ob re(uirement and ac(uirin% te re(uired
s'ills$ 'no#led%e etc* it sould also contain reinforcin% te future cances in te
mind of re&ected candidates and a pro!ision for callen%in% te mana%ements
decision and action by employee or union #itin te limits of promotion policy*
S T)2*+ /6 P(/&/,-/0
As already noted$ a promotion in!ol!es an increase in status$ responsibilities and pay* 4ut$ in
certain cases$ only te pay increases$ and te oter elements remain sta%nant* In oter cases$
te status only increases #itout a correspondin% increase in pay or responsibilities* 6ependin%
on #ic elements increase and #ic remain sta%nant$ promotions may be classified into te
follo#in% types1
! "ori#ontal Promotion:-
-is type of promotion in!ol!es an increase in responsibilities and pay$ and a can%e in
desi%nation* 4ut te employee concerned does not trans%ress te &ob classification* For e:ample$
a lo#er di!ision cler' is promoted as an upper di!ision cler'* -is type of promotion is referred to
as up%radin%= te position of an employee*
$! %ertical Promotion:-
-is type of promotion results in %reater responsibility$ presti%e and pay$ to%eter #it a
can%e in te nature of te &ob* A promotion is !ertical #en a canteen employee is promoted
to an uns'illed &ob* -e concerned employee naturally trans%resses te &ob classification*
;3 Dry Promotions:-
6ry promotions are sometimes %i!en in lieu of increases in remuneration* 6esi%nations are
different but no can%e in responsibilities* -e promotee may be %i!en one or t#o annual
increments*
T('0+6*(
S M*'0-0<#1
-ransfer is defined as + a lateral sift causin% mo!ement of indi!iduals from one
position to anoter usually #itout in!ol!in% any mar'ed can%e in duties$
responsibility$ s'ills needed or compensation,
-ransfer is also defines as +te mo!in% of an employee from one &ob to anoter* It
may in!ol!e a promotion$ demotion or no can%e in &ob status oter tan mo!in%
from one &ob to anoter*,
5o#e!er transfer is !ie#ed as can%e in assi%nment in #ic te employee mo!es
from one &ob to anoter in te same le!el of ierarcy re(uirin% similar s'ill in!ol!in%
appro:imately same le!el of responsibility$ same status and same le!el of pay* -us
promotion is up#ard reassi%nment of &ob9 demotion is a do#n#ard &ob reassi%nment
#ereas transfer is a latter or ori0ontal &ob reassi%nment*
S P%(2/+*+ /6 ,('0+6*(#1
-e transfer in an or%ani0ation may be due to any one of te follo#in% reasons1
?23 %ariation in the volume of &or': -ransfers are necessary due to !ariation in te
!olume of #or' in *different departmentsBsections* Sorta%e of employees or increase
in te #or' in one department due to different reasons leads to transfer of employees
from oter departments to tat department* 7or'ers are transferred from surplus
department to anoter department #ere tere is sorta%e of staff*
?83 Providing training to employees: -ransfers are made for pro!idin% opportunities to
employees for trainin% and de!elopment*
?;3 (ectification of poor placement: -ransfers are necessary for te rectification of poor
placement made in te initial period* Similarly$ transfers are necessary in order to utili0e
te ser!ices of an employee in te best possible manner*
?<3 Satisfying personal needs of employees: -ransfers are necessary in order to satisfy te
personal needs ?personal difficulties3 of te employees* -ey include family
problems$ sic'ness$ and education of cildren and so on* Suc transfers ta'e place
especially amon% female employees* Female employees #ant transfer to &oin teir
usbands* -is leads to transfers* 7or'ers demand transfers #en te climate of te
place of #or' is not suitable to tem* 5ere$ transfers are basically for te con!enience
of employees*
?>3 Meeting mutual needs of employees: -ransfers are$ sometimes$ made in order to
meet te mutual needs of t#o employees* It is a type of mutual e:can%e and is usually
accepted by te mana%ement*
?C3 Meeting organi#ational needs: -ransfers are necessary in order to meet te
or%ani0ational needs de!eloped out of e:pansion pro%rammers or fluctuations in #or'
re(uirements or can%es in te or%ani0ational structure or droppin% of
e:istin% product lines* For e:ample$ senior and e:perienced #or'ers and
super!isors are transferred to ne# plantsBfactories in order to mana%e te #or'
smootly*
?I3 Solution to poor performance: -ransfers are$ sometimes$ made #en te #or'er
fails to perform is &ob efficiently* 5e is transferred to a ne# place or post and is %i!en
an opportunity to impro!e is performance at a ne# place* 5ere$ transfer is treated as a
better alternati!e to outri%t dismissal*
?K3 )voiding fatigue and monotony: -ransfers are made for a!oidin% fati%ue and
monotony of #or' in te case of employees* -e producti!ity of an employee may decline
due to monotony of is or er &ob* -o brea' tis monotony$ te employee is transferred*
?J3 Giving punishment for negligence: -ransfers are sometimes made as a punisment for
ne%li%ence and indiscipline on te part of an employee*
?2D3 (ectification of poor personal relations: -e relations bet#een te #or'er and is
superior may not be smoot and cordial* -is may affect te #or' of te department*
One metod to sol!e tis problem is to transfer te #or'er from tat department to
some oter suitable department* -is transfer may be necessary for remo!al of te
incompatibilities bet#een te #or'er and isBer boss or bet#een one #or'er and te
oter*
?223 Providing convenience to employees: -ransfers are made to elp employees to
#or' accordin% to teir con!enience* Suc transfers are also called sift transfers*
?283 *o provide relief and to punish employees: -ransfers may be made in order to
%i!e relief to te employees #o are o!erburdened or are #or'in% under ea!y ris's
or tension o!er a lon% period* Similarly$ on certain occasions transfers are made for
indul%in% in undesirable acti!ities* -ey may be made as a disciplinary action for
serious mista'es on te part of employees* -is practice is #idespread mainly in
%o!ernment offices and police department* Problem employees are transferred to some
oter &obs or to remote places*
Ty!es of Transfers
4roadly spea'in%$ transfers may be classified into tree types1
2* -ose desi%ned to enance trainin% and de!elopment*
8* -ose ma'in% possible ad&ustment to !aryin% !olumes of #or' #itin te firm*
;* -ose desi%ned to remedy te problem of poor placement*
Specifically$ transfers may be production$ replacement$ !ersatility$ sift and remedial*
)* +rod&'tion Transfers:,
As mentioned earlier$ a sorta%e or surplus of te labour force is common in different
departments in a plant or se!eral plants in an or%ani0ation* Surplus employees in a department
a!e to be laid off$ unless tey are transferred to anoter department* -ransfers affected to
a!oid suc imminent lay)offs are called production transfers*
-* Re!%a'e"ent Transfers:,
Replacement transfers$ too$ are intended to a!oid imminent lay)offs$ particularly$ of senior
employees* A &unior employee may be replaced by a senior employee to a!oid layin% off te
latter* A replacement transfer pro%rammed is used #en all te operations are declinin%$ and
is desi%ned to retain lon%)ser!ice employees as lon% as possible*
.* Versati%ity Transfers:,
Mersatility transfers are effected to ma'e employees !ersatile and competent i more tan
one s'ill* Clerical employees in ban's$ for e:ample$ are transferred from one section to
anoter o!er a period of time so tat tey may ac(uire te necessary s'ills to attend to te
!arious acti!ities$ at te ban'* Mersatile operations are !aluable assets durin% rus periods
and periods #en #or' is dull* Mersatile transfers may be used as a preparation for
production or replacement transfers
/* S#ift Transfers:,
Generally spea'in%$ industrial establisments operate more tan one sift* -ransfers
bet#een sifts are common$ suc transfers bein% made mostly on a rotation basis* -ransfers
may also be affected on special re(uests from employees* Some re(uest a transfer to te
second sift or te ni%t sift in order to a!ail te free time durin% te day to ta'e up part time
&obs$ altou% tis is not permitted by la#*
0* Re"edia% Transfers:,
Remedial transfers are affected at te re(uest of employees and are$ terefore$ called
personal transfers* Remedial transfers ta'e place because te initial placement of an
employee may a!e been faulty or te #or'er may not %et alon% #it is or er super!isor
or #it oter #or'ers in te department* 5e or se may be %ettin% too old to continue in is or
er re%ular &ob$ or te type of &ob or #or'in% conditions may not be #ell)adapted to is or er
present ealt or accident record* If te &ob is repetiti!e$ te #or'er may sta%nate and #ould
benefit by transfer to a different 'ind of #or'*
S R*'+/0+ 6/( ,('0+6*(#
-ransfers are of basically of tree cate%ories$ !i0$ employee initiated transfer$ and
company initiated transfer and public initiated transfers*
)* E"!%oyee initiated transfer:,
-ese transfers are also 'no#n as personal transfers* -ese transfers are primarily in
te interest of te employee and accordin% to is con!enience and desire* Furter$ tis
transfer can be classified into temporary and permanent transfers*
a! *emporary transfers: )
-e reasons for employee initiated temporary transfers are1
23 6ue to ill ealt or in!ol!ement of employee in accidents$
83 6ue to family problem li'e ta'in% care of old parents$
;3 6ue to oter adoc problem li'e pursuin% i%er education$
+! Permanent transfers:-
-ere are se!eral reasons for employee initiated permanent transfers* Employee
prefers transfers1
23 6ue to cronic ill ealt or permanent disablement caused by accident$
83 6ue to family problems li'e ta'in% care of domestic affairs in is nati!e place$
;3 7it a !ie# to correct is #ron% placement* Employee may not be interested #it
te #or' or #or'in% condition or en!ironment of is present &ob and ence may
re(uire a transfer$
<3 In order to reli!e im from te monotony or boredom caused due to doin% te same
&ob for year to%eter$
>3 -o a!oid conflict #it is superior* If most of te employees #or'in% under te
same superior re(uest for a transfer$ te situation sould be corrected by oter means
li'e de!elopin% tat superior in interpersonal s'ills etc* rater tan transferrin% te
subordinates$
C3 7it a !ie# to searc for callen%in% and creati!e &ob$
I3 7it a !ie# to searc for &ob #it opportunities for ad!ancement to a i%er le!el
&ob$ opportunities for ad!ancement to a i%er le!el &ob$ opportunities for financial
%ains etc*
-* Co"!any initiated transfer:,
-ransfer is also at te initiati!e of te company* -ey can be classified into temporary
and permanent*
a3 *emporary transfers: reasons for te company initiated temporary transfers are1
23 6ue to temporary absenteeism of employees$
83 6ue to fluctuation in (uality of production and tereby in #or' load$
;3 6ue to sort !acations*
b3 Permanent transfer: - reasons for te company initiated permanent transfer are1
23 Can%es in te (uality of production$ lines of acti!ity$ tecnolo%y$ or%ani0ational
structure as discussed earlier$
83 -o impro!e te !ersatity of employees$
;3 -o impro!e te employee &ob satisfaction$
<3 -o minimi0e bribe order)processin% corruption*
.* +&%i' initiated transfers:,
Public also initiate te transfers %enerally trou% te politiciansB %o!ernment for te
follo#in% reasons1
23 If an employee"s bea!ior in te society is a%ainst te social norms order)
processin% if e indul%es in any social e!ils*
83 If te function of an employee is a%ainst te public interest*
-e ma&our dra#bac' of public initiated transfer is te politicalisation of te issue*
Some employees may be transferred fre(uently because of political !ictimi0ation and
company initiated transfer of some employees may be stopped due to political
fa!oritism* -is dra#bac' is more se!ere in %o!ernment departments and public
sector unit*
Benefit of transfer:
-ransfers benefit bot te employees and te or%ani0ation* -ransfer reduce
employee"s monotony$ boredom etc* and increase employees &ob satisfaction* Furter
tey impro!es employee"s s'ills$ 'no#led%e etc* tey correct erroneous placement
and interpersonal conflicts* -us$ tey impro!e employee"s morale* Furter tey
prepare te employee to meet te or%ani0ational e:i%encies and meet te fluctuation
in business and or%ani0ational re(uirements* -us$ tey enance uman resource
contribution to or%ani0ational effecti!eness*
+ro%e"s of transfer:
6espite tese benefit some problems are associated #it transfers* -ey are1
23 Ad&ustment problem to te employee to te ne# &ob$ place$ en!ironment$ superior
and collea%eoues$
83 -ransfer from one place to anoter cause #ic incon!enience and cost to te
employees and is family members relatin% to ousin%$ education to cildren etc*
;3 transfer from one place to anoter result in loss of Mondays$
<3 Company initiated transfer result in reduction in employee contribution
>3 6iscriminatory transfer affects employees" morale$ &ob satisfaction$ commitment
and contribution*
5o#e!er$ tese problems can be minimi0ed trou% formulatin% a systematic transfer
policy*
-ransfer policy1 or%ani0ation sould specify teir policy re%ardin% transfers*
Oter#ise superiors may transfer teir subordinates arbitrarily if tey do not li'e
tem* It causes frustration amon% employees* Similarly$ subordinates may also
re(uest fro transfer e!en for te petty issues* Most of te people may as' for transfer
to ris' less and easy &ob and places* As suc or%ani0ation may find it difficult to
mana%e te transfer policy* Systematic transfer policy sould contain te follo#in%
items1
23 Specification of circumstances under #ic an employee #ill be transferred in te
case of company initiated transfer*
83 Specification of superior #o is autori0ed and responsible to initiate a transfer
;3 /obs from and to #ic transfers #ill be made based on te &ob specification$
description and classification etc*
<3 -e re%ion order)processin% unit of te or%ani0ation #itin #ic transfer #ill be
administrated*
>3 Reasons #ic #ill be considered for personal transfers teir order of priority etc*
C3 Reasons for mutual transfer of employees*
I3 Norms to decide priority #en t#o order)processin% more employees re(uest for
transfer li'e priority of reasons$ seniority*
K3 Specification of basis for transfer li'e &ob analysis* Merit$ len%t of ser!ice*
J3 Specification of pay$ Allo#ances$ benefit etc* tat are to be allo#ed to te
employee in te ne# &ob*
2D3 Oter facility to be e:tended to te transferee li'e special lea!e durin% te period
of transfer* Special allo#ance for pac'a%in% lu%%a%e$ transportation etc*
Generally$ line mana%ers administer te transfers and personnel mana%ers assist te
line mana%ers in tis respect*
D*&/,-/0
-e remainin% type of internal mobility is demotion* It is te opposite of promotion*
6emotion is te reassi%nment of a lo#er le!el &ob to an employee #it dele%ation of
responsibility and autority re(uired to perform tat lo#er le!el &ob and normally
#it lo#er le!el pay* Or%ani0ations use demotion less fre(uently as it affects
employee career prospects and morale*
S N**5 6/( 5*&/,-/0+#
6emotions are necessary for follo#in% reasons1
)* Uns&itai%ity of t#e e"!%oyee to #ig#er %eve% 1os:
Employees are promoted based on te seniority and past performance* 4ut$ some of
te employees promoted on tose bases may not meet te &ob re(uirements of te
i%er le!el &ob* In most cases employees are promoted to te le!el of te
incompetence* Some employees selected for i%er le!el &obs may pro!e to be
incompetent I doin% tat &ob* Suc employees may be demoted to te lo#er le!el &obs
#ere teir s'ill$ 'no#led%e and aptitude suit to te &ob re(uirements*
-* Adverse &siness 'onditions:
Generally ad!erse business conditions force te or%ani0ation to reduce (uality of
production$ #itdra#al of some lines of products$ closure of certain department order)
processin% plants* In addition$ or%ani0ations resort to economy dri!es* Conse(uently
or%ani0ations minimi0e te number of employees* /unior employees #ill be
retrenced and senior employees #ill be demoted under suc conditions*
.* Ne2 te'#no%ogy and ne# metods of operation demand ne2 and #ig#er %eve%
s3i%%s( If te e:istin% employees do not de!elop temsel!es to meet tose ne#
re(uirements$ or%ani0ations demote tem to te lo#er le!el &obs #ere tey are
suitable* For e:ample$ teacer andlin% 2D
-5
class #ere demoted to te le!el of K
-5


class teacers #en te syllabus #ere re!ised and te teacers #ere found misfit e!en
after trainin% in one scool in Andra Prades*
/* E"!%oyees are de"oted on dis'i!%inary gro&nds( -is is one of te e:treme steps
and as suc or%ani0ations rarely use tis measure*
-ou% te demotion seems to be simple it ad!ersely affects te employee morale*
/ob satisfaction etc* as it reduces employee status not only in te or%ani0ation but also
in te society in addition to reduction in responsibility autority and pay* 5ence$ tere
sould be a systematic demotion policy*
S D*&/,-/0 2/3-.)#
Or%ani0ation sould clearly specify te demotion policy* Oter#ise te superiors
demote te employees accordin% to teir #ims and fancies* Systematic demotion
policy sould contain follo#in% items1
23 Specification of circumstances under #ic an employee #ill be demoted$ li'e
reduction in operations$ indisciplinary cases*
83 Specification of a superior #o is autori0ed and responsible to initiated a
demotion
;3 /obs from and to #ic$ demotions #ill be made and specification of lines order)
processin% ladders of demotion*
<3 Specification of basis for demotion li'e len%t of ser!ice$ merit order)processin%
bot*
>3 It sould pro!ide for open policy rater tan a closed policy*
C3 It sould contain clear cut norms for &ud%in% merit and len%t of ser!ice*
I3 Specification of nature of demotion i*e*$ #eter it is permanent order)processin%
temporary if it as a disciplinary action it sould also specify te %uidelines for
determinin% te seniority of suc demoted employee*
PARTICIPATIVE MANAGEMENT
M*'0-0< /6 P'(,-.-2',-8* M'0'<*&*0,
-e concept of participati!e mana%ement is closely related #it te concept of
industrial democracy* Employee"s participation in mana%ement means associatin%
#or'ers #it te decision)ma'in% process* It is a type of mental Q emotional
in!ol!ement of #or'ers in industrial mana%ement* In industrial democracy$ te
opinion Q su%%estions of #or'ers are ta'en into account #ile framin% policies
particularly tose$ #ic are directly connected #it tem or affect tem directly*
-e concept of participati!e mana%ement de!eloped in 7estern countries Q as
pro!ed to be successful* As a result$ it ac(uired #orld)#ide reco%nition Q popularity*
Participation in an emotional in!ol!ement of employees in te #or'in% of teir
company* It is a process of %i!in% Q sarin% !ie#s$ ideas Q information in bet#een
te employer Q employees trou% certain cannels B mecanism*
F*',%(*+ /6 P'(,-.-2',-8* M'0'<*&*0,
2* $-<7*( +,',%+ ,/ *&23/)**+# In participati!e mana%ement$ employees are
%i!en i%er status #it po#er of participate in te decision)ma'in% Q
runnin% of teir business enterprise*
8* P(/8-5*+ 2+).7/3/<-.'3 +',-+6'.,-/0 ,/ *&23/)**+# Participation is an
emotional in!ol!ement of employees in te #or'in% of teir company* As a
result$ some mana%ement decisions are as per te e:pectations of employees*
-is %i!es psycolo%ical satisfaction to employees* -ey feel tat tey are
%i!en better status Q treatment Q not treated merely as #a%e earners*
;* S2*.-'3 ',,*0,-/0 ,/ 8-*= /6 *&23/)**+# -e !ie#s of employees are %i!en
special attention in re%ard to follo#in% matters1
Social Matters1 5ours of #or'$ #or' rules$ #elfare facilities$ safety$
sanitation$ ealt$ etc*
Personnel1 Recruitment$ promotions Q transfers$ settlement of
%rie!ances$ #or' distribution$ olidays$ etc*
Economic1 Automation$ lay)offs$ production scedule$ production
metods$ etc*
<* U0-8*(+'33) (*./<0-J*5 ./0.*2,# It is introduced in different countries in
different forms*
>* P'(,-.-2',-/0 -+ -05-(*.,# Employees participation in te mana%ement is
indirect i*e* trou% te representati!es of employees* E*%*
7or's comities$ etc*
C* B(-0<+ *&23/)**+ > &'0'<*&*0, .3/+%(*# It facilitates meanin%ful
communication bet#een mana%ement Q employees$ #ic ensures cordial
industrial relations*
I* B*0*6-.-'3 ,/ 4/,7 2'(,-*+# -e participati!e mana%ement #ill be beneficial
to bot parties only #en company"s mana%ement is professional or
pro%ressi!e*
K* R*8/3%,-/0'() ./0.*2,# It is a po#erful tool$ #ic can ma'e industrial
democracy a reality*
J* C/0.*2, 7'+ 3-&-,',-/0+# Employees #ill not be allo#ed to participate in
financial Q oter decisions of te mana%ement* It is restricted to tose aspects
of mana%ement #ere employees are directly in!ol!ed*
O4I*.,-8*+ /( P%(2/+*+ /6 P'(,-.-2',-8* M'0'<*&*0,#
-o create uniform approac of employer Q #or'ers*
-o establis cordial industrial relation*
-o raise industrial producti!ity*
-o #or'ers in confidence*
-o introduce industrial democracy*
N**5+ /6 P'(,-.-2',-8* M'0'<*&*0,#
23 G-8-0< 7-<7*( +,',%+ > 2+).7/3/<-.'3 +',-+6'.,-/0 ,/ =/(C*(+# Employees
are important Q tat teir !ie#s are bein% ta'en into account #ile ta'in%
decisions on te matters relatin% to tem* Suc participation satisfies te ur%e
of self)e:pressions* E!en for maturity Q personality de!elopment of #or'ers*
83 C/(5-'3 3'4/%(1&'0'<*&*0, (*3',-/0+# -e participation of te #or'ers in
mana%ement can act as an effecti!e means for pre!entin% industrial disputes*
So tere needs to establis cordial labour)mana%ement relations trou%
mutual understandin%*
;3 C(*',-0< %0-6/(& '22(/'.7 /6 *&23/)*( > =/(C*(+# -is a!oids possible
disputes*
<3 R'-+-0< -05%+,(-'3 2(/5%.,-/0# As #or'ers %enerally ta'e interest in teir
#or' #en tey are %i!en due importance$ respect Q opportunity of self)
e:pression*
>3 C(*',-0< 23',6/(& 6/( 5-(*., 0*</,-',-/0+# It is needed in order to create a
platform for direct ne%otiations Q collecti!e decisions*
C3 C(*',-0< (*+2/0+-43* '22(/'.7 '&/0< =/(C*(+# -o ma'e #or'ers more
responsible$ disciplined Q constructi!e in teir approac in relation to te
acti!ities of te company*
I3 E0./%('<-0< ./&&%0-.',-/0 4*,=**0 *&23/)*( > =/(C*(+# It enables
mana%ement to understand te #or'ers point of !ie# at te time of decision)
ma'in%* It remo!es suspicion amon% #or'ers*
K3 R'-+-0< *&23/)**M+ &/('3*# For raisin% te morale of employees Q in order
to use teir 'no#led%e$ s'ills Q talents for te benefit of te company*
J3 I0,(/5%.-0< -05%+,(-'3 5*&/.('.)# 7or'ers participation acts as a means for
acie!in% te dream of industrial democracy* -ey are consulted as e(ual
partners in te production process* -is leads to industrial democracy$ #ic
is one useful supplement of political democracy*
M*,7/5+ /6 2'(,-.-2',-8* &'0'<*&*0,
Participati!e mana%ement is possible by creatin% suitable a%encies$ forums or
platforms trou% #ic effecti!e communication bet#een #or'ers and mana%ement
#ill be possible and &oint decision #ill be arri!ed at te metods of Participati!e
mana%ement are different alternati!e* Employees and #or'ers can select any one of
te metod popular and also purposeful* -is is te nature as te metod selected is
not important but te result oriented Participati!e is important* -e metod used is
means #ile effecti!e participation is te end*
1. :/(C+ ./&&-,,**+#
-e industrial disputes act 2J<I pro!ided for te settin% up of a #or' committees
consistin% of representati!e of mana%ement and employees in e!ery underta'in%
employee 2DD or more employees* -e committees are for te remo!in% te causes of
friction bet#een employers and te #or'ers in te day to day #or'in% in factory
le!el* -is &oint consultati!e committee meets fre(uently for discussion on common
problem before #or'ers and te company* After discussion$ &oint decisions are ta'en
and suc decisions are bindin% on bot te parties* Matters li'e #a%e payment$ bonus$
trainin%$ discipline$ #elfare facility$ #or'in% conditions etc* are discussed in suc
meetin%s*
7or'ers committees are e:tremely popular and effecti!e in France and En%land* In
India$ tere is statutory pro!ision for te establisment of #or'er committees under
te industrial disputes act$ 2J<I* Suc committees are constituted in lar%e number of
industrial unit* Meetin% of suc committees are also arran%ed* 5o#e!er$ tey are
neiter effecti!e nor popular in India* As a result$ participati!e mana%ement trou%
tis mecanism is not effecti!e or purposeful in India* Many mana%ers feel tat suc
committees a!e only a nuisance !alue* In addition to #or's committee$ many oter
committees are formed* 5o#e!er$ tey are not effecti!e as a%encies of participati!e
mana%ement*
2. @/-0, &'0'<*&*0, ./%0.-3+ F@MC+!#
-ese council are similar to #or's committees #it e(ual representation to employer
and employees* 7or'ers e:press teir !ie#s$ problems suc as #elfare facility9
discipline$ trainin%$ remo!al of #or'ers$ common %rie!ances$ olidays$
rationali0ation$ e:pansion pro%rammes$ etc* are discussed in te meetin%s of /MCs*
Suc &oint consultati!e committees e:ist in .R and S#eden* In India$ participati!e
mana%ement is mainly trou% &oint mana%ement councils*
/MCs are in addition to #or's committees #ic are statutory in nature*
.nfortunately$ te /MCs are not operation effecti!ely in India due to limited interest
and initiati!e in teir functionin% by mana%ements and #or'ers* -ey are not used for
e:can%e of information$ !ie#s$ su%%estions$ etc* but for (uarrels and eated
e:can%es bet#een te representati!es of mana%ement and #or'ers* Absence of
cordial industrial relations in spite of /MCs indicates teir o!erall failure* /MCs are
mostly consultati!e bodies and tis type of #or'ers participation is of loose type* -e
su%%estions put for#ard by representati!es are not bindin% on te mana%ement* Suc
councils ser!e no useful purpose* -ey only pro!ide platform for discussions*
3. C/12'(,0*(+7-2 F P'(,-.-2',-/0 ,7(/%<7 /=0*(+7-2! #
In co)partnersip$ #or'ers are con!erted into sareolders of te company ?by
offerin% e(uity sares to tem3 and are allo#ed to participate in te mana%ement li'e
oter sareolders* -e company may %i!e financial assistance to #or'ers to purcase
e(uity sares* -ey can elect teir representati!es on te 4oard of 6irectors* 7or'ers
are also allo#ed to attend meetin%s of te company and participate in te discussions*
Motin% ri%ts are also %i!en to employees*
In tis metod$ employees participate in te mana%ement as co)o#ners i*e*
sareolders* -is %i!es tem an opportunity to participate in te decision ma'in% and
policy framin% of teir company at te i%est le!el* Co)partnersip is also a metod
for introducin% industrial democracy* 5ere$ #or'ers are %i!en i%er status* -ey
#or' in t#o different capacities as #or'ers and as co)o#ners*
In India$ te e:periment of co)partnersip is not popular* 7or'ers so# limited
interest in purcasin% sares of teir company as and #en offered* Mery fe# #or'ers
purcase te sares and &oin te company as members* Naturally$ te participation of
#or'ers in te mana%ement is #ea' and ineffecti!e*
Many companies in India offer teir sares to employees but te response of te
employees is not encoura%in%* -is su%%ests tat co)partnersip as a metod of
participati!e mana%ement is not effecti!e B popular in India*
4. E&23/)** D-(*.,/(+#
5ere$ t#o or tree representati!es of #or'ers are ta'en on te 4oard of 6irectors of
te company* -e employee directors B #or'ers directors are elected by #or'ers and
tey e:press te !ie#s of #or'ers in te meetin%s of te 4oard* 5ere$ employee
directors act as connectin% lin' bet#een #or'ers and top le!el mana%ement* Suc
participation ensures cordial industrial relations* -e representati!e of #or'ers can
put te !ie#s of #or'ers before te directors and can also safe%uard te interests of
#or'ers* As a result$ te personnel policies #ill be fair and fa!ourable to #or'ers*
.nfa!ourable decisions to #or'ers #ill be a!oided and better treatment #ill be
ensured to tem*
-is mecanism of #or'ers participation is no# used e:tensi!ely in te public sector
underta'in% in India as per te initiati!e ta'en by te %o!ernment* 7or'ers directors
are no# appointed in companies li'e 5industan Antibiotics Ltd*$ and 5M- Ltd* -is
sceme also e:ists in te case of nationali0ed ban's$ co)operati!e ban's* 6CM$ -atas
and some more companies from te pri!ate sector*
-is metod of participati!e mana%ement as many limitations* Representation on te
4oard does not substantially enance te participation of #or'ers in te mana%ement
of te company* In addition$ te #or'er director may not be able to play a
constructi!e role due to limited 'no#led%e and e:perience* -e #or'er director may
en&oy te status on par #it oter directors but #ill feel inferior to oters due to is
sortcomin%s* 5is contribution may not be satisfactory for te #or'ers and also for
te mana%ement* Finally$ 7or'ers representati!es on te 4oard are minority* -ey
may not be able to protect te interests of #or'ers as decisions are ta'en on te basis
of ma&ority !ote*
5. S%<<*+,-/0 P(/<('&&* " S.7*&*#
.nder su%%estion pro%ramme$ #or'ers are as'ed to %i!e teir su%%estion to te
mana%ement on !arious administrati!e and oter matters suc as macine utili0ation$
#aste mana%ement$ ener%y conser!ation and safety measures* -eir su%%estions are
considered by a &oint committee representin% #or'ers$ eads of departments and
tecnical e:perts* -e su%%estions #ic are suitable are accepted* Suc su%%estions
are for impro!ement in te e:istin% or%ani0ational setup* Suitable su%%estions relatin%
to production acti!ities$ cost control$ (uality impro!ement$ #or'in% conditions$ etc*
are promptly accepted and e:ecuted* In addition$ re#ards are also %i!en to tose #o
ma'e constructi!e su%%estions* For collectin% su%%estions$ su%%estion bo:es are 'ept
in all departments*
Su%%estion sceme of participati!e mana%ement encoura%es #or'ers to tin'
?indi!idually or collecti!ely3 and participate in raisin% te efficiency of te
or%ani0ation* In India$ -atas$ 6CM and oter industrial %roups a!e introduced
su%%estion sceme* On May occasions$ #or'ers directly connected #it #or' %i!e
creati!e and practical su%%estions #ic are useful to te mana%ement in different
#ays* -ey may raise producti!ity or reduce te cost of production* Su%%estion
sceme #ill %i!e %ood results if #or'ers are encoura%ed to tin' and ma'e concrete
su%%estions* -is idea of participati!e mana%ement is no# put into operation trou%
(uality circles #ic are popular in /apan and no# function in may Indian
Companies*
6. :/(C*(+ ./12'(,0*(+7-2 " A%,/ M'0'<*&*0,#
In tis e:treme form of labour participation$ #or'ers ta'e o!er te industrial unit and
mana%e it completely on co operati!e basis* Naturally$ te entire mana%ement is by
te #or'ers temsel!es* -is metod is called +Auto)mana%ement,* One e:ample in
India under tis cate%ory is tat of Ramani -ubes Limited* -is leadin% unit #as
closed do#n in 2JK> due to sic'ness* 7or'ers suffered ea!y loss* No#$ #or'ers
a!e contributed to its capital and a!e become its o#ners* -e Ramani Employees"
.nion too' initiati!e in startin% tis unit #it te co)operation of financial institution
form C
t
April$ 2JKJ* -e Supreme Court also allo#ed te #or'ers to run te unit*
-is is te first e:ample of participati!e mana%ement in te manufacturin% sector in
India* It is one si%nificant constructi!e de!elopment in te field of trade unionism in
India* -e Go!ernment of Maarastra as ta'en a decision to and o!er sic'
industrial units to #or'ers for re%ular functionin% on co)operati!e basis*
7. E%'3-,) C-(.3*#
Fuality circle consist of a small number of employees #o comes to%eter on
!oluntary basis #it one item on te a%enda i*e* to impro!e (uality or to raise
producti!ity or to a!oid #asta%es$ etc* tis form of participation is !oluntary* As a
practice$ meetin%s are eld once in te #ee' lastin% for about as our* Member of
(uality circle is %i!en free and to sol!e problem related to te (uality$ if tey fail
tey can re(uest to mana%ement to depute an e:pert to sort out te problem* -is
circle i%ly pro!ed to be i%ly successful because te problem is sol!ed by member
temsel!es trou% t#o #ay communication and brainstormin% seriously and studies
tem effecti!ely and promptly* -e su%%estion sould be implemented$ if found
suitable*
8. C/33*.,-8* B'(<'-0-0<#
Collecti!e bar%ainin% is te process in #ic te representati!e of te employer and
employer and employees meet to%eter to ne%otiate a contract %o!ernment bot te
parties* It results into si%nin% an a%reement tereby restrictin% eac party tat it
cannot ta'e unilateral decision armin% te interest of te oter party* -is sort of
&oint meetin% can brin% fruits pro!ed barra%in% is done in te ri%t spirit #it positi!e
attitude* Participation brin%s bot te parties to%eter and impro!es te understandin%
tus ma'in% te #ay for te t#o #ay dialo%ue to sort out te problems*
Collecti!e bar%ainin% is a better alternati!e to stri'e and industrial disputes* It is
peaceful and democratic metod for sol!in% te problem and demands for #or'ers
trou% direct ne%otiation bet#een te representati!e of #or'ers and mana%ement* A
stron% trade union can protect te interest of #or'er can more effecti!ely trou%
direct ne%otiation and consultation rater tan trou% disputes and stri'e #ic are
normally armful to #or'ers$ employer and society at lar%e*
9. E&2/=*(*5 T*'&#
7en te autority is dele%ated to te employees its called empo#erin%* In tis sense$
employment ta'es place #en employees en&oy po#er and tey e:perience a sense of
o#nersip and control o!er te &obs* Employees #en empo#ered$ understandin% tat
te &ob belon% to tem* As tey are competent to spea' on te &ob$ tey feel
responsible* -is appens to moti!ate tem and tey %o out of te #ay to #or'*
Employees become (uality conscious and contribute to (uality impro!ement in
product and ser!ices* Information is sared at e!ery le!el leadin% to impro!ed
performance*
10. @/4 *03'(<*&*0, '05 I/4 *8'3%',-/0#
/ob enlar%ement is te process of increasin% te scope of te &ob by addin% more tas's
to it* As tas's are related$ employees to %et te opportunity to ma'e %rater use of teir
mental and pysical s'ills*
/ob enricment is desi%nin% a &ob in suc a #ay tat it pro!ide te employee %rater
autonomy for plannin% and control is o#n performance* /ob enricment ma'es te
&obs more interestin% and callen%in%*
-e main ob&ecti!e of &ob enricment and &ob enlar%ement is to force te #or'er from
boredom #ic occurs because of e:cessi!e speciali0ation* 4ot te &ob enricment
and &ob enlar%ement are considerin% metod of participati!e mana%ement as tey
pro!ide freedom to eac employee to use is &ud%ment* -is freedom is course
limited and restricted*
-e basis purpose of abo!e noted sceme of participati!e mana%ement is to associate
te #or'er #it te decision)ma'in% process* 6ifference metods are use in te
different countries as per te situation a!ailable* -e metod used for #or'ers
participation is not impotent* 7or'ers participation in mana%ement may be !oluntary
or statutory* Moluntary participation is al#ays better and more effecti!e* Statutory
labour participation is not effecti!e as it is mecanical and also imposed on bot te
parties by force*
PRE1REEUISITES OF PARTICIPATIVE MANAGEMENT
2* S,(/0< ,('5* %0-/0+#
E:istin% of stron% trade #it creati!e and enli%tened leadersip is necessary for
participati!e mana%ement* 7or'ers and teir union must a!e %enuine desire and
interest in suc participation* -ey also need information$ proper trainin% and ability
to participate in te discussions in an effecti!e manner* 7or'ers participation #ill be
ineffecti!e if tese pre)re(uest are absent* Politicisation and multiplicity of trade
union defeat te !ery purpose of participati!e mana%ement

8* F'8/%('43* ',,-,%5* /6 &'0'<*&*0,#
-e attitude of te mana%ement sould be pro%ressi!e and democratic* 5e must be
mentally #illin% to associate #it is #or'ers on e(ual le!el and discus te problem
freely and fran'ly #it tem* -e conser!ati!e and autocratic outloo' of mana%ement
#ill defeat participati!e mana%ement in practice* Mana%ement a!e to accept due
importance of employees and teir status as teir partners and not merely as #a%e
earners* Mana%ement sould not feel tat its position it"s treatened by suc
participation*
;* M%,%'3 ,(%+, '05 ./06-5*0.*#
E:istence of atmospere of mutual trust and confidence is te sine (uo non of
participati!e mana%ement* Fair participation is not possible #en te mutual
confidence is absent* 4ot parties are a%ree to stay to%eter in an atmospere of
understandin%* -is facilitates participati!e mana%ement in practice*


<* G*0%-0* %(<* 6/( ./1/2*(',-/0#
Genuine desire on te part of employer and #or'er to discuss$ understand te !ie#s
and come to certain acceptable decision is necessary for success of participati!e
mana%ement* -is must be supplemented by desire to %enuine desire to sare
autority and responsibility in mutually a%reed to spere* -e outloo' of employer
and #or'er must can%e and become fa!ourable for mutual trust and understandin%*

>* P*'.*6%3 ',&/+27*(*#
Labour mana%ement relation sould be a cardinal or at least tere sould be a no
tension in te relation* Acti!e participation of #or'ers in mana%ement is possible
under suc peaceful atmospere* It is &ust not possible #en tere are disputes and
stri'e in te industrial unit*

C* C3*'( %05*(+,'05-0< /6 /4I*.,-8*#
Employers and #or'ers must understand clear te ob&ecti!e of suc participation* -e
ob&ecti!e must be clearly define and complementary in caracters* Employer sould
not ta'e suc participation as an imposed liability and #or'er sould not use it merely
for e:pressin% tere %rie!ances and demands* Participation sould be for acie!e te
ob&ecti!e #ic are accepted by bot te parties and also beneficial for bot te
parties*
I* M*'0-0<6%3 +7'(-0< /6 -06/(&',-/0#
7or'er representati!e sould a!e ade(uate tecnical$ financial and mana%erial
'no#led%e and information* -is #ill ma'e labour participation effecti!ely* For tis$
a suitable trainin% needs to be %i!en to te #or'ers representati!es* Mana%ement
sould also pro!ide all rele!ant information to employees for teir consideration*
-ere must be a free flo# of information and communication bet#een mana%ement
and #or'er* -is a!oids suspicion and distrust and ensures purposeful participati!e
mana%ement*
K* P'(,-.-2',-/0 /6 +%2*(8-+/() +,'66#
Super!isory staff sould be %i!en a place on te &oin mana%ement council* Similarly$
sub&ect earmar'ed for collecti!e bar%ainin% must be 'ept outside for te &oint
consultation* Participati!e mana%ement #ill be effecti!e if te entire labour force
co!ered by suc participation* In addition$ te representati!e of te #or'er must be
dra#n from temsel!es* -e participation of trade union leaders sould be discoura%e
as te approac of suc leaders may not be positi!e or fair* Real representati!e of
#or'ers can put for#ard te !ie#s of all #or'ers #it confidence*
J* E5%.',-/0 '05 ,('-0-0< /6 =/(C*(+#
7or'ers education and trainin% sould be ma'e si%nificant contribution to meanin%ful
participati!e mana%ement* -rade union and %o!ernment sould pro!ide suc
education and trainin% to te #or'ers* -is #ill ma'e te concept of participati!e
mana%ement amon% popular amon% te #or'ers and #ill ensure its success*
2D* V/3%0,'() .7'('.,*( 5*+-('43*#
Participati!e mana%ement sould not be made compulsory but sould be 'ept
!oluntary in caracter* It sould not be %o!ernment sponsored* It #ill not #or'
fruitfully if it is imposed on te bot te parties* -us !oluntary condition caracter is
one pre)condition for te success of participati!e mana%ement* -e need of suc
participation must be felt by bot te parties and tey sould introduce te sceme of
participation on !oluntary basis*

I&2/(,'0.* /6 2'(,-.-2',-8* &'0'<*&*0,#
-e importance of participati!e mana%ement is uni!ersally accepted and efforts are
bein% made for introducin% suc participation trou% suitable a%encies and
metods* Participati!e mana%ement as #ider socio)economic importance as it %i!en
!arious ad!anta%es to #or'ers$ employers and society at lar%e* Suc participation
%i!es i%er status to #or'ers and enable tem to tin' and e:press teir !ie# on te
#or'in% of teir company* Industrial peace and cordial industrial relation are also
establised trou% participati!e mana%ement* In addition$ #or'ers" participation
brin%s industrial democracy in reality* Participati!e mana%ement is important it
satisfies te psycolo%ical needs of self e:pression of #or'ers* E!en te process of
decision ma'in% is made democratic trou% te #or'ers participation* It brin%
uman element in industrial mana%ement*
Participati!e mana%ement introduces a ne# set of !olume for te #or'ers and
employers in #ic po#er is to be replaced by persuasion and compulsion by co)
operation* Employee participation is useful for raisin% industrial production and
producti!ity* It elps consumer in an indirect manner* -e national economy also %ets
certain benefits #en industrial peace and armony e:its o!er a lon% period* In brief$
te concept of participati!e mana%ement is important because of economics$ social
and uman !alues connected #it it*
-e ILO as %i!en morale support to employee"s participation and as ad!ocated its
adoption in all countries* Efforts are bein% made in all countries in tis re%ards* In te
countries of #est$ tis e:periment is reasonable successful #ile in de!elopin%
countries includin% India$ te pro%ress is not satisfactory e!en #en consultati!e
macinery e:ists in many countries*