A grievance is a sign of an employee s discontentment with his job or his relationship with his colleagues. A grievance arises when an employee feels that something has happened or is happening to him which he thinks is unfair, unjust or inequitable.Grievances generally arise out of the day to day working relations in an organization. One of the effective ways of minimizing and eliminating the source of an employee s grievance is by having an open door policy . An open door policy facil itates upward communication in the organization where employees can walk in to a superiors cabin at any time and express their grievances freely.

1. Employee Grievance ................................ ................................ ................................ .................. 3 1.1 1.2 1.3 1.4 1.5 1.6 2. Definition and Concept of Grievance ................................ ................................ .................. 3 Causes of Grievance ................................ ................................ ................................ ........... 3 Need for Grievance Redressal Procedure................................ ................................ ............ 4 Steps in Grievance Redressal Procedure ................................ ................................ ............. 4 Grievance Redressal in Unionised Organisations................................ ................................ . 6 Legislative aspects of Grievance Redressal Procedure in India ................................ ............ 7

Employee Discipline ................................ ................................ ................................ ................... 8 2.1 2.2 2.3 2.4 2.5 Definition and Concept of Discipline................................ ................................ ................... 8 Aims and Objectives of Discipline ................................ ................................ ....................... 8 Forms and Types of Discipline................................ ................................ ............................. 9 Acts of Indiscipline and causes for Misconduct/Indiscipline ................................ .............. 10 Approaches to Dealing with Indiscipline ................................ ................................ ........... 13 Traditional Approaches................................ ................................ ............................. 13 Alternative Approaches ................................ ................................ ............................ 16

2.5.1 2.5.2 2.6 2.7 2.8 3.

Disciplinary Procedure................................ ................................ ................................ ...... 18 Types of Disciplinary Actions ................................ ................................ ............................ 19 Code of Discipline in the Indian Industry................................ ................................ ........... 22

Industry Examples for Employee Grievance and Disciplinary Procedures................................ .. 25 3.1 3.2 3.3 Punjab National Bank Employee Grievance Redressal System- PNB SAMADHAN ............. 25 Steel Authority Of India Limited(SAIL) ................................ ................................ ............... 26 Infosys Technologies Limited ................................ ................................ ............................ 27

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1. Employee Grievance
1.1 Definition and Concept of Grievance
Grievance According to Michael Jucius, A grievance can be any discontent or dissatisfaction, whether expressed or not, whether valid or not, and arising out of anything connected with the company that an employee thinks, believes, or even feels as unfair, unjust, or inequitable. A grievance means any discontentment or dissatisfaction in an employee arising out of anything related to the enterprise where he is working. It may not be expressed and even may not be valid. It arises when an employee feels that something has happened or is going to happen which is unfair, unjust or inequitable. Thus, a grievance represents a situation in which an employee feels that something unfavourable to him has happened or is going to happen. In an industrial enterprise, an employee may have grievance because of long hours of work, non-fulfilment of terms of service by the management, unfair treatment in promotion, poor working facilities, etc.

1.2 Causes of Grievance
The causes of employee grievances differ from person to person and these are broadly classified as the following. (1) Grievances resulting from working conditions, improper matching of the worker with the job, changes in schedules or procedures, non -availability of proper tools, machines and equipment for doing the job, unreasonably high production standards ,poor working conditions, bad employer employee relationship, etc.

(2) Grievances resulting from management policy wage payment and job rates, leave, overtime, seniority and promotion, transfer, disciplinary action, lack of employee development plan, lack of role clarity. (3) Grievances resulting from personal maladjustment (i) Over- ambition. (ii) Excessive self-esteem or what better known as ego. (iii) Impractical attitude to life etc.

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He lacks seriousness and sincerity to work and say. E. if left unaddressed can have various ramifications. taking a toll on the productivity of its people and finally affecting the bottom line hence its stake holders as well.1. Effects of Grievances: Frustration This would worsen the interpersonal relationship between employees and will suppress their creativity.4 Steps in Grievance Redressal Procedure These are the steps in Grievance Redressal Procedure: Page 4 of 32 .3 Need for Grievance Redressal Procedure The employee grievances. Low Productivity All the above factors finally leads to low productivity which further paves the way for the following practices. This would often produce substandard quality performance.: Increase in Wastage & Costs Absenteeism Indiscipline Labour unrest etc. De-motivation The employee gets de-motivated and loses enthusiasm. Alienation They may feel isolated or insecure and may develop a thought that they are not important for the organization. 1. Slackness The employee feels unrecognized and feels to shirk work. pending w orks may increase. Hence the grievances should be addressed timely and sincerely. The effects of grievances could influence the peaceful functioning of the company. It would spoil the organizational atmosphere.g.

management has to promptly acknowledge them. data. he may request the Manager to forward his Grievance to the Grievance Committee constituted at Area level which consists of: MANAGEMENT REPRESENTATIVES WORKMEN REPRESENTATIVES a) General Manager of the Area b) Manager/HOD c) Area Personnel Dept. Collect Data: Complete information should be collected from all th e parties relating to the grievance. Identify Grievances: Employee dissatisfaction or grievance should be identified by the management if they are not expressed. A written reply should be sent to the worker under the signature of the Manager within 10 days. opinions. If they are ventilated. Define correctly: The management has to define the problem properly and accurately after it is identified/ acknowledged. 3. Implement and follow up: The implementation of the solution must be follo wed up at stage in order to ensure effective and speedy implementation. Prompt Redressal: The grievance should be redressed by implementing the solution. which should be acknowledged. a representative duly authorised by the said Union. 5. FIRST STAGE (DEPARTMENT LEVEL): The aggrieved employee shall represent his grievance either in person or in writing to the Welfare Officer or any other Officer in the Dept. Information should be classified as facts. 2. SECOND STAGE (AREA LEVEL): If the employee is not satisfied. etc. Page 5 of 32 .1. b) A representative of the Registered Trade Union OR a co-worker of the worker s choice. 4. Head (Member Secretary) a) One permanent member nominated by the Recognised Trade Union of the Area OR in his absence.

The grievance can be settled at this stage if the supervisor has requisite people -management and problem solving skills. 1. All the officers are requested to put in their best efforts to examine and redress the genuine grievance submitted by workmen at different stages expeditiously. Response Time for Complaints: Deliverables Acknowledgement slips /letter Complaint redressal a) Normal redressal b) Specific cases where redressal may take longer Transfer of complaint Rejection of complaint Appeal by complainant Disposal of Appeal From the date of receipt of complaint Within 3 days Within 30 days Within 30 days Time to be intimated to the complainant and interim reply to be given within 30 days Within 7 days Within 30 da ys Within 12 months Within 2 months 1. The representation will be disposed of within 15 days. he can represent the matter to the Director (P . THIRD STAGE (APPELLATE AUTHORITY CORPORATE LEVEL): If the employee is not satisfied with the reply given by the Grievance Committee at Area level. The employee with grievance first approaches his supervisor and conveys his problem orally. The following steps represent the procedure of redressal in unionized organization.5 Grievance Redressal in Unionised Organizations The union plays a very important role in settling employee grievances. Page 6 of 32 . A&W) at Corporate level. A copy of the minutes of the Grievance Committee meeting may be supplied to the Representative of the Recognised Union.The recommendations of the Grievance Committee shall be communicated to the concerned workmen within 10 days.

which consists of members from the union and the management. If the employee is not satisfied with the settlement. 3. the supervisor forwards this grievance to the higher manager with a note mentioning the grievance of the employee and the failure in the first stage of redressal. 1. It is important to lay down detailed grievance procedure with mutual consent.6 Legislative aspects of Grievance Redressal Procedure in India In India. based on the severity of the issue the committee ask the employee to submit the grievance for arbitration 4. The committee can ask the employee to accept the proposed settlement of the employer. The final step is when the grievance is referred to the arbitrator. The arbitrator should be acceptable to both the management and the employee. If the decision at this level is also not acceptable to the employee . the settlement of the day-to-day grievances of the workers did not receive much attention.2. until the enactment of the Industrial Employment Act. then the grievance is referred to the grievance committee. 1946. In some cases however. Page 7 of 32 .

as any responsible person would expect an employee to do. It simply means working. It does not mean a strict and technical observance of ri gid rules and regulations. To improve organizational performance by improving the efficiency of each employee. According to Nirmal Singh. 2. To provide direction to the employees and fix the responsibilities. An employee is subjected to disciplinary action when he fails to meet some obligations towards his job or the organization. Employee Discipline 2. The prima ry objective of disciplinary action is to make an employee conform to the organization s rules and regulations. the opposite of confusion. 4. discipline is employee self control which prompts him to willingly cooperate with the organizational standards. But not all employees accept the responsibility of disciplining themselves. etc. Such employees may require some degree of external disciplinary action like punishment.2 Aims and Objectives of Discipline The aims and objectives of discipline are: 1. 3. Page 8 of 32 . rules. 2.2. To ensure and enable employees to work in accordance with the rules and regulations of the organization. the organization is forced to take action against them to discourage such behavior. When employees indulge in acts of indiscipline. In such cases. To ensure the employees follow the organizational process and procedures in spite of their different personalities and behaviour. Employees should adhere to the rules and regulations laid out by the organization to ensure order and discipline. objectives. merely trying to motivate these employees so that they adhere to the accepted norms of responsible em ployee behavior may not be enough. cooperating and behaving in a normal and orderly way.1 Definition and Concept of Discipline According to Earl R Bremblett discipline in its broadest sense means orderliness.

either through rewards or through penalties. discipline can be classified in to two types: 1. They develop mutual respect for each other and the organizational rules and procedures.5. To maintain a sense of orderliness and conformity to organizational rules in the employees. it is termed as positive discipline. 6. Based on this. The attitude and mindset of the employees is developed to ensure that they willingly conform to the rules and regulations of the organization. Self imposed or positive discipline 2.3 Forms and Types of Discipline Discipline among employees can be achieved in two ways. To maintain common feelings of trust and confidence in the employees towards each other and towards the management. However they should take care not to use force as this might result in resistance and rebellion from the employees. constructive support. as employees willingly cooperate to ensure discipline in the organization. appreciation. 2. Enforced or negative discipline Self imposed or positive discipline: If employees are motivated through rewards. The success of any disciplinary procedure depends on the cooperation of both the employer and the employee and the faith and trust they have in each other. The concept of self discipline and self control is emphasized through positive discipline. Positive discipline requires an efficient leader who can motivate employees and make them work together towards implementing discipline in the organization. This will eventually lead them towards accomplishing the organizational goals. It is the responsibility of the supervisors to ensure that all employees are aware of the need to maintain organizational discipline and the implications of indiscipline. reinforcement or approved personnel actions to conform to organizational rules and regulations. This happens when they understand and believe that these rules and procedures will contribute to the achievement of the Page 9 of 32 . It is essential to have capable and knowledgeable supervisors for a smooth and disciplines working of an organization.

organizational goals as well as their personal goals. can accumulate and result in serious problems for the organization. Organizations should use negative discipline only when it is extremely essential. Intolerable offences are those that can cause serious harm and damage to the organization. All efforts should be made to ensure discipline through a positive approach. so that employees are motivated to perform as per the disciplinary standards laid out by the organization. negligence etc. They may relate to coming late to work. violating safety regulations etc. They are: Minor infractions Major infractions Intolerable offences Minor infractions are acts of misconduct that cause very little harm but if neglected. tarnishes its reputation and leads to employee unrest. If employees are forced to follow the rules and regulations of the organization by inducing fear in them. These include use of Page 10 of 32 . If not tackled immediately. then it is referred to as negative discipline. an increment or a job and therefore reluctantly or unwillingly try to conform to the organizational rules. stealing. the employees fear loss of promotion.4 Acts of Indiscipline and causes for Misconduct/I ndiscipline Misconduct or an act of indiscipline impairs the organization. 2. these acts can lead to disciplinary problem s. They relate to cheating. demotions and transfers. Hence positive discipline is also known as cooperative discipline or determinative discipline. Using these kinds of techniques will result in only partial success in meeting the standards of performance. major infractions interfere with the orderly operations of the organization and affect the morale of the employees. lay-offs. In this type of discipline. Negative or enforced discipline involves the use of techniques like reprimands. Disciplinary problems can be classifies in to three types. fines.

This is more prevalent among unskilled/semi skilled workers and junior management level employees.alcohol/drug while at work. tardiness and absenteeism. The basic acts of misconduct or indiscipline in an organization can be categorized as follows:  Attendance Attendance is one of the major problems that managers encounter in the organization. These violations are very easy to identify and need immediate corrective actions. The reasons for attendance problem could be: Incongruence in employees and organizational goals Personality characteristics like attitude toward work Unpleasant relationship with supervisors and co-workers Ensured job security leading to a relaxed and unint erested approach  On the job behaviour An employee s behaviour should be in accordance with the rules and regulations laid out by the organization any behaviour that hampers the work of the individual or disturbs the performance of other employees demands d isciplinary actions. smoking at the workplace where inflammables are stored and instigating co-workers in a situation of conflict. It relates to misuse of leave facilities. Reason for such acts of indiscipline can be: Lack of proper upbringing and education Work related pressures and strained relationships General attitude and personality of the individual Page 11 of 32 .

it can lead to employee frust ration. Improper or biased evaluation of individuals and their performance can resul t in demotivated employees.  Causes of indiscipline and misconduct When an employee has to perform a job that does not suit his qualifications. Bad mouthing the organization or questioning the organization s key values in public. working below potential etc. Dishonesty Dishonesty is not only stealing or misusing organizational resources. An organization has the right to enforce discipline when employee behaviour off the job becomes an embarrassing issue. work etc.  Activities That Are Harmful For The Organization This category involves all those categories that employees engage in. The reason for dishonesty could be: Social and economic pressures Lack of proper upbringing and education Personality characteristics of the employees Biased and subjective performance evaluation systems. experience or aptitude. spying. Strained relations with the supervisors or with the co workers can force an employee to indulge in acts of indiscipline similar to ones stated above. It also involve claiming a colleague s work. also contribute unacceptable behaviour. This can lead to acts of misconduct like irregular attendance. cheating. which affect either their on the job performances or the organization s reputation. criminal activities. Unauthorized strikes. and working for a competitor are some of these activities. Therefore their off the job behaviour must be in congruence with the image of the organization. who might resort to misconduct to express their dissatisfaction and distress Page 12 of 32 .

or in the management. Social and economic pressures or compulsions.1 Traditional Approaches Traditionally. or else they were discharged.5. Loss of trust or confidence in each othe r. may also lead to indiscipline and misconduct of employees. organizational policies and procedures also lead to frustration among employees and result in misconduct. "Progressive" discipline meant that employees typically were treated with increasingly severe punishments until they altered their behaviour. All these causes indicate that most of the reasons of indiscipline are internal to the organization.An inefficient.5 Approaches to Dealing with Indiscipline 2. Therefore. Lack of proper education and upbringing of the workers can also lead to indiscipline at work Improper or inconvenient working conditions can lead to acts of indiscipline by workers Ambiguous working responsibilities. At the same time employees should al so be cooperative and should show an equal sense of responsibilities to maintain discipline 2. discipline has been viewed as punitive: managers use their positions of authority to coerce employees into changing conduct or job performance. can make employees behave in an indisciplined manner. outside t he purview of the organization. Some reasons are personality specific and a few are due to external factors like social and economic pressures. ineffective and closed door grie vance redressal procedure in an organization can result in indiscipline of employees who are dejected a nd frustrated. having the right organizational culture and a good manager is important to guide and help employees towards fulfilling their tasks in a disciplined manner. Traditional ways of disciplining employees for infraction of policies and procedures have been found to be Page 13 of 32 .

ineffective in many situations. the progressive discipline model features a four-step progression (an oral warning. a written warning. possibly because they are usually punitive in nature. The steps in progressive discipline approach can be illustrated as follows: Step 1: Coaching Discuss performance expectations Manager offers necessary support for employee success Step 2: Provide a Verbal Warning Address specific unacceptable behaviour Explore causes of problem and possible solutions Communicate specific change expected Express confidence that the problem will be solved Step 3: Provide a Written Warning Meet to outline recurrent unacceptable behavio ur Avoid threats Gain employee s agreement to change Document the meeting in writing Page 14 of 32 . In this approach disci pline is imposed in a progressive manner. The concept of progressive discipline states that penalties must be appropriate to the violation. giving an opportunity to the employee to correct his or her misconduct voluntarily. suspension and dismissal) for addressing transgressions committed by workers.  Progressive Discipline Approach: A progressive discipline model is typical of this approach to discipline. Developed in the 1930s in response to the National Labour Relations Act (NLRA) of 1935.

which draws an analogy between touching a hot stove and undergoing discipline. There are no favourites when this approach is followed. no manager can get things done. But. disciplinary action should have the following consequences: (a) Burns immediately: If disciplinary action is to be taken. people have the tendency to convince themselves that they are not at fault. a question arises as to how to impose discipline without generating resentment? This is possible th rough what Douglas McGregor called the Red Hot Stove Rule . you are warned by its heat that you will be burned if you touch it. Hence.Step 4: Terminate Employment Be brief Give specific reasons for termination Provide information on employee rights or procedures Collect keys and other golf course property  The Red Hot Stove Rule: Without the continual support of the subordinates. each person who touches it is burned the same. (c) Gives consistent punishment: Disciplinary action should also be consistent in that everyone who performs the same act will be punished accordingly. Page 15 of 32 . (d) Burns impersonally: Disciplinary action should be impersonal. As you move closer to hot stove. As with a hot stove. it must occur immediately so the individual will understand the reason for it. (b) Provides warning: It is very important to provide advance warning that punishment will follow unacceptable behaviour. According to the Red Hot Stove rule. With the passage of time. disciplinary action against a delinquent employee is painful and generates resentment on his part.

Any violation or infringement of these terms and conditions may lead to misconduct or indiscipline. Positive discipline is a corrective action which results in improved performance. etc. low productivity.2 Alternative Approaches Non-punitive ways of motivating employees to change their behaviour and improve performance have been experimented with since the 1980s. 2. T he term Standing orders refer to the rules and regulations. working hours.5. but the end result will eventually be employee dissatisfaction. Termination or discharge in extreme cases may also take place. The standing orders contain rules relating to: classification of employees. Page 16 of 32 . which govern the conditions of employment of workers. attendance. suspension. redressal of grievances against unfair treatment. shift working. leave. Judicial Approach to Discipline : The Industrial Employment Act passed in 1946 requires that all establishments must define the service rules and prepare standing orders. This approach tries to mend the negative behaviour of employees by first providing them counselling in terms of what is expected out of them and then giving oral and written warnings to them. They indicate the duties and responsibilities on the part of both the employer and the employees. it shou ld try to regulate the negative behaviour of employees to make them better workers. holidays. Harsh and negative punishment might work in the short term. rather. stoppage of work. more productivity and effective workforce.  Positive Discipline Approach: This approach is based on the premise that role of a discipline approach should not always be to punish. higher rate of absenteeism and high turnover. termination.

In that conference the supervisor emphasizes to the employee the importance of correcting the inappropriate actions. Some firms incorporate a decision-day off. Counselling by a supervisor in the work unit can have positive effects also. a final warning conference is held. This stage is documented in written form. The idea is to impress on the offender the seriousness of the problem and the manager s determination to see that the behaviour is changed. written action plan to remedy the problem behaviours. then a second conference is held between the supervisor and the employee. Often. Page 17 of 32 . Confrontation helps to understand the employee point of view as well. The goal of this phase is to make employee aware of organizational policies and rules. in which the employee is given a day off with pay to develop a firm. because it gives a supervisor the opportunity to identify employee work behaviour problems and discuss possible solutions with him. employees simply need to be made aware of rules. proper training should be given to the supervisors regarding counselling skills to make this process successful.Written warning: If employee behaviour has not been improved by counselling sessions. 2. As part of this phase.Final warning: When the employee does not follow the written solutions.Counselling: Counselling is an important part of the discipline process. the employee and the supervisor develop written solutions to prevent further problems from occurring. However. 3. An oral warning can also be given to employee during counselling.Steps of positive discipline approach 1.

the disciplinary procedure followed in Indian industries usually consists of the following steps: (a) Issuing a letter of charge: When an employee commits an act of misconduct that requires disciplinary action. The charge sheet should also ask for an explanation for the said delinquent act and the employee should be given sufficient time for answering this. (c) Show-cause notice: Show-cause notice is issued by the manager when he believes that there is sufficient prima facie evidence of employee¶s misconduct. Charges of misconduct or indiscipline should be clearly and precisely stated in the charge sheet. However. The greatest difficulty with this is the extensive amount of training required for supervisors and managers to become effective counsellors. (b) Consideration of explanation: On getting the answer for the letter of charge served. On the contrary when the management is not satisfied with the employee¶s explanation there is a need for serving a show cause notice. 2. then the supervisor will discharge the employee. Enquiry should also be initiated by first Page 18 of 32 . the process often takes more supervisory time than the progressive discipline approach.Discharge: If the employee fails to follow the action plan that was developed and further problem behaviours exist. This approach involves positive confrontation with the problem employee and thus gives him an opportunity to justify himself.4. The positive aspect of this approach is that it focuses on problem solving rather than punishing and penalizing. this gives the employee another chance to account for his misconduct and rebut the charges made against him. Also. The supervisor makes him aware of the company policies. no disciplinary action need be taken. the employee concerned should be issued a charge sheet.6 Disciplinary Procedure Though there is no rigid and specific procedure for taking a disciplinary action. the explanation furnished be considered and if it is satisfactory.

if an employee reports late to the office frequently. the Enquiry Officer should suggest the nature of disciplinary action to be taken. While deciding the nature of disciplinary action. first written warning. the employee concerned must be given an opportunity. then the manager might call the employee to his cabin and explain that employees should report to the office on time. It is one of the mildest actions taken against an employee for an act of indiscipline. Verbal warning: Verbal warning is an informal warning given to an employee..serving him a notice of enquiry indicating clearly the name of the enquiring officer. (d) Holding of a full-fledge enquiry: This must be in conformity with the principle of natural justice. Such warnings are given in an informal and private environment. pay cut. have to be considered. precedents. etc. The various disciplinary actions that are administered in response to noticed acts of indiscipline by employees are verbal warning. final written warning. time. 2. of being heard. The manager should make efforts to find out the reason for the employee being late and ask for possible alternate solutions to the problem. If the Page 19 of 32 .7 Types of Disciplinary Actions Different acts of indiscipline deserve different kinds of disciplinary action based on their severity and gravity. that is. When the employee feels that the enquiry conducted was not proper and the action taken is unjustified. effects of disciplinary action on other employees. suspension. demotion and dismissal. For example. the rule that has been violated and the implications for violating it. The supervisor should explain to the employee. (f) Follow up: After taking the disciplinary action. When the process of enquiry is over and the findings of the same are recorded. etc. (e) Making a final order of punishment: Disciplinary action is to be taken when the misconduct of the employee is proved. date and place of enquiry. a proper follow up action has to be taken and the consequences of the implementation of disciplinary action should be noted and taken care of. the employee¶s previous record. he must be given a chance to make an appeal.

the employee is laid -off from work for a short period of time and he is not paid during this time. This is the second step in progressive disciplinary procedure and the first formal stage of the disciplinary procedure. The employee should also be made aware of the consequences of not reportin g to office on time. Page 20 of 32 .solutions offered by the employee are not suitable. its effects. and the future action that will be administered if the deviant behavior is repeated. However. Suspension: If the employee does not adhere to the rules and regulations of the organization in spite of being given a verbal and written warning. Written Warning: If the oral warning fails. then the next step is to give a written warning to the employee. This is a formal stage as the written warning is placed in the employee s file and a copy given to the employee and one send to the personnel department. The manager writes down the rule that has been violated. is almost the same as that of the verbal warning. then the employee may be suspended without any prior verbal or written warning. any assurances given by the employee that he will correct his behavior. if the employee fails to improve his performance. The procedure followed before a written warning is issued. if the act of discipline is quite serious. In suspension. the manager has to resort to more severe action. If the verbal warning is effective. further disciplinary action can be avoided. This kind of action helps in making the employee realize his fault and inconvenience that his behavior has caused t o others in workplace. The employee is informed of the violation. then the next step is suspension of the employee. then the manager can help him to find the ways to avoid problems in future. The only difference between the two actions is that the manager tells the employees that a written warning will be issued. and potential consequences of future violations. However. It is good practice to keep a temporary record of this reprimand in the employee s file.

This approach has a demoralizing effect on the employees. the pay cut can always be cancelled. and iii. Being sacked from a job causes emotional trauma to an individual. Very few organizations use this step as a disciplinary action. This may add the employee s distress and he may fail to perform up to the mark even in this job. Demotion is administered only when i. If the employee alters his behavior. This is especially true of employees who have been with the organization for a long period and for those past their prime age in the job market. and if the management wants to strongly avoid dismissing the employee. Page 21 of 32 . This kind of punishment is not temporary. ii. the reason being its tendency to demoralize not only the employee but his coworkers as well. In addition. The employee clearly does not have the ability to perform the job. Pay cut: Cutting the undisciplined employee s pay is another alternative used in administering disciplinary action. It is believed that this action will awaken the employee to change his behavior.Demotion: If no improvement is noticed in the performance of the employee even after suspension. Management perceives itself legally or ethically constrained from dismissing the employee. The decision to dismiss an employee should be given long and hard consideration before being implemented. as the employee has to continue in the demoted job for an unspecified period until th e management finds his performance improved. the management must consider the possibility that a dismissed employee might resort to legal action to fight the decision. This action must be used only for the most serious offense or after all earlier steps have failed. Dismissal: The ultimate disciplinary punishment is dismissing the erring employee. but is considered a rational action by management if the only alternative is dismissal. demotion may be an alternative.

The code was made applicable to the industry from 1 st June 1958. y The enquiry conducted should be fair and the employee should be given a chance to defend himself and to prevent witness from support of his contention or case. The main aim of the code was to lay down certain principles of discipline that govern the Indian industry. 2. y y y The findings must be based on recorded evidence and should not be biased. the following condition must be satisfied: y The nature of the misconduct should indicate that discharge or dismissal is an appropriate punishment and this kind of punishment should have been mentioned in the standing orders. y After a charge sheet has been filed against the employee. the enquiry officer should record the findings based on recorded evidence. y Each party should acknowledge and respect each other s rights and responsibilities. an enquiry should be conducted regarding the miss conduct and prior notice of the time. The order must ne duly communicated to the employees against whom it has been passed. y At the end of the enquiry. Page 22 of 32 .8 Code of Discipline in the Indian Industry The code of Discipline in the Indian industry was formulated on the recommendations of the Indian Labor conference held in New Delhi in the year 1957. In case disputes arise. they should be settled through negotiation. The basic feature of the code of discipline is as follows: y Both the management and the employees should abide by certain self -imposed rules in order to avoid disputes. place and the date of enquiry should be given to the employee.Before discharging the employee of his duties for gross indiscipline. conciliation and voluntary arbitration. The order of dismissal or discharge of the employee must be passed in goo d faith.

It also highlights to the management and the employees. Only unions that observe the code of Discipline are entitled to recogn ition. The industrial Employment (Standing Orders) Act. 1946 The primary objective of the industrial employment (Standing Orders) Act. the terms and conditions of employment were changed and misused frequently. There should be precision and speedy implementation of disciplinary action and any agreements reached. Industrial Employment (Standing Orders) Act. They were the source of constant friction and disputes in courts leading bad industrial relations. the objectives of the code are to promote a healthy working environment and maintain discipline in the industry. y The trade union must be recognized in accordance with the criteria laid down for this purpose.e. This act was enacted to address these problems. 1946 requires employees of certain industrial establishments to define clearly. It aims to eliminate all forms of coercion. intimidation or incitement should not be indulged in.y No party should take any unilateral decision regarding any disputes. The existing machinery for settlement should be utilized. intimidation and violation of rules. and with adequate precision. y The code discourages litigation and lays emphasis on settlement of disputes through negotiation. regulations and procedures and procedures governing industrial relations. and to make them known to the workmen employed by them. conciliation and voluntary arbitration rather than through adj udication. coercion. To conclude. the conditions of employment. y Employees and trade unions can take appropriate actions in case they find officers and supervisors indulging in activities which are against the code. standing order or service rules. y y Acts of violence. i. Prior to this act. the importance of the recognition of each other s rights. 1946 is to ensure protection of labor by providing uniform and stable conditions of service. Page 23 of 32 .

to which they belong have to be submitted in the prescribed format. If a question arises about the application or interpretation of any certified standing order. after listening to the concerned parties. or simply adopt the MODEL STANDING ORDERS. Page 24 of 32 . The employer has to fulfill certain obligations concerning the standing orders. The labor court. and get them certified by the concerned authorities. Industrial establishments can either draft their own standing orders on the basis of the MODEL STANDING ORDERS. The employer should give five copies of the draft to the certifying officer. along with an application in the prescribed form. make a decision which is final and binding on all the parties involved. Employees of the establishment are bound by the certified standing orders and should adhere to the laid down rules. if any. and the trade union. it may be referred by the employer. Particulars like details of the employees in the estab lishments. The application has to be submitted within six months from the date the act becomes applicable in the establishment. employee or the trade union to a labor court established for the administration of such procedures. He has to prepare the draft of the standing orders covering all the matters specified in the schedule and conforming to the MODEL STANDING ORDERS. The central and state governments have prescribed MODEL STANDING ORDERS that serve as the basic foundation of the rules of the conduct.Every industrial establishment covered by the Act must have a set of certified standing orders which shall be binding on the employer and the employees.

PNB SAMADHAN PNB SAMADHAAN the employee grievance redressal system. By Staff members: a) In respect of staff members posted in branches/Circle Offices. the aggrieved staff member should first send his representation to his Divisional Head. is being introduced with a view to lend an ear to the genuine work -related and personal problems faced by the staff members which have a bearing on their work. staff members may address such issues directly to the Chairman and Managing Director of the Bank by e -mailing at his e-mail address which is: cmd@pnb. so that the same can be considered for resolution. a written acknowledgement will be sent to the concerned staff member and appropriate action will be initiated on the same. the aggrieved staff member should first send his representation to his co ntrolling Circle Office. they may send their representations to CMD s Secretariat: On receipt of the representation. the following are observed: 1.in. Industry Examples for Employee Grievance and Disciplinary Procedures 3. fair and fast channel for the staff members to bring forth their genuine grievances/issues to the notice of th e Management.1 Punjab National Bank Employee Grievance Redressal System. The details of the action thus initiated will also be informed to the staff member.co. that he can send his representation to the Chairman and Managing Director of the Bank. b) In respect of staff members posted in HO Divisions. Through this structured mechanism. In order to implement PNB SAMADHAAN in its true spirit. It is only when he does not receive an acknowledgement of the same from the Circle Head within 7 days of his sending the representation or when he is not satisfied with the decision taken at the CO level. It is only when he does not receive an acknowledgement of the same from the concerned Division within 7 Page 25 of 32 . PNB SAMADHAAN purports to provide an open.3. Alternatively.

Computerization of grievance redressal has been done. b) Similar time-frame should be followed at HO Division level in respect of representations received at HO Division respectively. there are very few cases of grievances redressal and these are settled within a period of 3 months. the grievance redressal machinery bears Page 26 of 32 . 3. The overview of status of the public grievance redressal machinery in PSUs is as under:- Effective internal grievances redressal machinery exists in SAIL plants and units. The grievance procedure has evolved after sustained deliberations and consent of employees. 2. In the Ministry. the only attached office and the various PSU s functioning under the Ministry of Steel. On examination of the matter at CO level an appropriate action should be taken to look into the grievance(s) of the staff member and the details of the action taken should be informed to the staff member within 15 days of having acknowledged receipt of the representation.days of his sending the representation or when he is not satisfied with the decision taken at the HO Division level. a written acknowledgement should be sent to the staff member by the Circle Head within 7 days of receipt of representation at CO. trade unions and associations. By all Circle Offices and Head Office Divisions: a) On receipt of representation from the aggrieved staff member under PNB SAMADHAAN .2 Steel Authority Of India Limited(SAIL) Ministry of Steel has a well laid out three-tier grievance redressal mechanism which ensures fast disposal of grievances. One of the Joint Secretary functions as a Director of Public & Staff Grievances in respect of the entire Ministry of Steel. separately for executives and non. at Rourkela Steel Plant. In fact.executives. that he can send his representation to the Chairman and Managing Director of the Bank.

leveraging technology. Such issues are effectively settled through the time-tested system of grievance management. Page 27 of 32 . Infosys has a global footprint with over 50 offices and development centers in India. which has laid down the constitution of bipartite grievance redressal committees and the modalities of resolving the grievances raised by the workers through these committees. Infosys pioneered the Global Delivery Model (GDM). working conditions. Infosys also provides a complete range of services by leveraging our domain and business expertise and strategic alliances with leading technology providers. work assignments and welfare amenities etc.453 employees as on September 30. leave. The grievances in SAIL plants/units are dealt in 3 stages and employees ar e given an opportunity at every stage to raise grievances relating to irregularities. with the least amount of acceptable risk. the Czech Republic. China. designs and delivers technology-enabled business solutions that help Global 2000 companies win in a Flat World. Infosys Vision: To be a globally respected corporation that provides best of breed business solutions. which emerged as a disruptive force in the industry leading to the rise of offshore outsourcing. Today. delivered by best -in-class people. 3. Infosys is a global leader in the IT and consulting domain with revenues of over US$ 4 billion. The GDM is based on the principle of taking work to the location where the best talent is available. majority of the grievances are redressed informally in view of the participative nature of the environment existing in the steel plants. Australia. However.its origin and draws strength from a tripartite settlement between RSP management and the then recognized trade union under the Industrial Act. the UK. Infosys defines.3 Infosys Technologies Limited About Infosys: Infosys Technologies Ltd. Infosys and its subsidiaries have 105. where it makes the best economic sense. simple and flexible and has proved effective in promoting harmonious relationships between employees and management. was started in 1981 by seven people with US$ 250. The system is comprehensive. Canada and Japan. Poland. transfers. 2009 .

All the parties involved in the case are called for hearing and necessary action is taken. Leadership by Example. The strength of the penalty depends on the extent to which the harassment Page 28 of 32 . Integrity and Transparency. According to this policy if a person (male/female) feels that he has been harassed in the organization he/she can raise a complain to his or her superiors. Fairness and Pursuit of Excellence.Values at Infosys: Infosys has always followed the highest standards of corporate governance and has set new levels in transparency and integrity. The vision and values at Infosys can be summarized by the following pictorial diagram: Grievance Redressal System in Infosys: There are various mechanisms for raising the grievances by the employees in Infosys. y ASHI (Anti Sexual Harassment Policy in Infosys) This policy was introduced in the early 2000 s after a case was reported in Infosys. Infosys has adopted a code of business conduct and ethics. Customer Delight. The superior will forward the issue to the committee which will be formed and the issue will be taken up. These core values in short are called C-LIFE. which is based on what are called the Infosys Core Values.

It is for the employees to raise their grievances when they think that they are not given proper ratings during appraisals. Various training and education progra ms are conducted from time to time for the employees. Thus it can be seen as why Infosys was voted as one of the best companies to work for in India. In this meeting the manager s manager will be present and employees can raise their concerns to him. Skip Level meetings are those which are held every 30 days. There will be an HR executive present who will take note of the issues raised by the employees and he will give the necessary clarifications required. In addition to the above mentioned initiatives there are other systems like Grievance Redressal Board. y HEAR HEAR initiative is one of the newest initiatives to be inducted in to Infosys grievance redressal System. Normally the committee will consist of three independent managers. There is a concept called Brown Bag Snacks in Infosys which is also a forum in which the employees can raise their grievances. It may extent from warnings to termination from the company and legal action thereafter. After that the HR executive will intimate the employees about the status of their issue. Page 29 of 32 .com) to the board and the complaint will be registered and necessary action will be taken. The committee will investigate about the issue and necessary action will be taken. The employee can raise a complaint against his/her immediate boss to a committee. The above meetings happen in an interval of 45 days. In this the employees can send a mail (GRB@infosys. so that transparency will be there. Various issues are solved through the use of the above mentioned mechanisms in Infosys. It is a meeting which is headed by the head of the business unit and select number of employ ees will participate. Infosys educates the employees about the importance of ASHI during training period and deviation from above is considered to be very serious. It normally happens outside the office and the employees can raise their concerns in the meeting. All the employees are expected to strictly adhere to the anti -harassment policy.has been done.

This policy requires that employees are not in possession of or being under the influence of illegal drugs and alcohol on the job . The code of conduct encompasses major aspects of an employee s day to day activities like: a. The company has also established a Grievance Redress Body to address to such issues of harassment. The dress cod e for Infoscions is as follows: Men: Monday & Tuesday Formals with tie Formals (Can wear slack/half-arm shirts) Wednesday & Thursday Friday Casuals (No torn jeans. Conduct at the workplace Infosys firmly believes in providing a harassment free work environment to its employees and hence has in place a anti-harassment policy and any violation of this policy would be very strictly dealt by the company and many a times would lead to termination of the job. The company also has a policy to curb the drug/alcohol abuse. Dress code: Employees at Infosys are expected to dress neatly and in a manner consistent with the nature of work performed. sandals) Page 30 of 32 . flashy T-shirts. Apart from this the code of conduct also includes an anti-sexual harassment policy to help curb any sexual harassment and harassment based on pregnancy.Employee Discipline at Infosys: Infosys has established a code of conduct for all its employees based on the core values and it believes that compliance to the code of conduct is Everybody s business . Needless to say. this policy is very strict on employees and any violation to this policy would lead to termination.

200/. the employees are required to abide the agreement and not disclose the Company s confidential information to anyone or use it to benefit anyone other than the Company without prior written consent of authorized Company Officer. source code. product plans. road maps. Protecting Company s confidential information Infosys s confidential information includes architecture.which would deduct from the employee s salary. dealers.Women: Monday to Thursday Business formals / Saree / Selwar kameez Friday Casuals (No torn jeans. d. names and lists of customers. employees and financial information. All employees. flashy T-shirts. short-skirts. This information is the property of the company and may be protected by patent. copyright and trade secret laws and all such information has to be used by employees for business purposes only. b. Safety at workplace All Infoscions are required to comply with all applicable health and safety policies which are again in compliance with the local laws to maintain a secure and healthy work environment. Thus an employee at Infosys has the responsibility of safeguarding. Use of Company s assets Infosys believes that it is the responsibility of e ach and every employee to protect the Company s assets and hence the Company lays stress on the usage Page 31 of 32 . at the time of joining the company are required to sign a Proprietary Information and Invention Agreement. Under this agreement. sandals) Any violation to the dress-code would attract a fine of Rs. c. trademark. securing and proper disposal of confidential information in accordance with the Company s policy on Maintaining and Managing Records set forth in the Code of Business Conduct and Ethics.

Employees. software and electronic usage. Company s funds. and must safeguard such assets against loss. agents or contractors are responsible for the proper usage of Company assets. agents or contractors who violate any aspect of this policy or who demonstrate poor judgment in the manner in which they use any Company asset may be subject to disciplinary action. computers and other equipment. all company employees. misuse or theft. damage. According to this policy. The Company s assets or resources include the brand and logo. Page 32 of 32 . This policy not just includes the employees but the agents/contractors as well.and handling of its assets and resources. up to and including termination of employment or business relationship at the Company s sole discretion.

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