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HR practices at Tata Steel

Manpower planning

Manpower planning enables HR department to project its short to long


term needs on the basis of its departmental plans so that it can adjust its
manpower requirements to meet changing priorities.
• Early indications of potential recruitment or retention difficulties
• Surpluses or deficiencies in certain ranks or grades
• Availability of suitable qualified and experienced successors

Performance appraisal
It is based on individual's performance against previously agreed work
objectives. It also enables management to compare performance and
potential between employees and subordinates of the same rank. Rating
of employees is done by their performances. It is given as per ranks very
good, average, and average to medium and below average. On the basis
of these rankings highest reward of the year is given to best suitable
worker. The better performing employee gets the majority of available
merit pay increases, bonuses, and promotions.

Training and Development


• Employees are also deputed to other organizations and training
centers in the country such as ITI and abroad for specialized training.
• Officers are trained into business managers through special
general management programs
• They are trained to know the changes in environment, market, and in steel
prices.
• They also get training of problem-solving techniques, conflict
management, etc.

Compensation Management
• Yearly increments are given.
• It is decided by union and management where various demands are
negotiated.
• It is paid as per other industries.
• Individual performance bonus is also given.
Development of Employees:
At Tata Steel, there is a continuous effort of staying in touch with
employees to ensure that there is the right culture to engage them in
consistent performance improvement. There are well−established and
effective arrangements at each business location for transparent
communication and consultation with Works Councils and Trade Union
representatives.

Special benefits
• Medical facilities: Free medical facilities for employees and
their family, which continues even after retirement.
• Housing facilities: Subsidized electricity, water and
housing facilities to all employees.
• Higher studies: Monetary incentives to employees acquiring higher
qualifications in a related field along with study leave, scholarships
etc. when necessary.
• Holiday Homes: Tata Steel has five holiday homes for benefit of
employees during vacation.
• Tata Steel Officers’ Beach Club: All officers of Tata Steel are
eligible to be members of the Beach Club that offers holidays in
elite hospitality chains.
• Family Benefit Scheme: In the tragic case of a fatality in the
Works, a monthly pension equal to the amount of the last drawn
salary of the deceased is given to the legal heir until the time the
deceased would have attained the age of 60.

Skill Development: Non Officers


Skills training is a process that begins at the time of an employee joining
the company and continues throughout his or her career. Employees work
in clusters of multi skilled workers and move across and within clusters on
improving their skills levels like E-learning centers.
Skill Development: Officers
Tata Steel Management Development Centre conducts a number of
managerial and functional competency based programs for officers
and supervisors. The objectives of these programs are:
• To build individual capability by enhancing managerial and
functional competencies which are critical to operations, service and
support functions.
• To build a leadership pipeline in the organization to prepare the
people to meet the challenges of growth, globalization and change.
HR Practices at Essar Steel

Employees Motivation
The underlying objectives of Essar’s activities is to motivate employees to
participate in and contribute to the activities initiated by the Community
Relations Centre, to create self −help groups for village women, to further
overall development of children and women, and to spread awareness
about AIDS and de−addiction.

Recruitments
Essar welcome talented college graduates. They are a preferred employer
at India's top engineering and business schools because they offer
competitive compensation, diverse opportunities in terms of business and
roles, fast growth and quick assumption of large responsibilities. For the
same reasons, they are able to attract the best and the brightest talent at all
levels.

Campus Programs
The Essar group has a strong emphasis on hiring at the entry level, to
create a pool of talented employees who are developed and groomed to
grow with the group. At the entry level, the group hires mainly through
two types of programs:
• Management trainee programs
• Graduate trainee programs
• Business leadership programs
Graduate trainee programs
The Essar group prides itself on using global−scale, world−class
technology in all its companies. To maintain the technical edge, the group
hires engineer trainees annually between August and January. Essar hires
graduate engineer trainees (GETs) from the IITs and the top−ranking
regional engineering colleges across the country and diploma engineer
trainees (DETs) from the best polytechnics in Gujarat, Andhra Pradesh and
Tamil Nadu and other regions of the countries to source the best talent
available. These trainees are hired for specific group companies.

Solid performances, solid rewards


Employees with a proven track record of high performance and potential
are identified annually through a fast−track programmed evaluated by a top
management panel. These achievers are rewarded with top−of−the−market
compensation, retention bonuses and relevant training inputs.

Executives Leadership Camp (ELC)


The Executive Leadership Camp (ELC) is a six−day residential
programmes held at the Essar Learning Centre at Hazira, Gujarat. This
comprehensive programmes transforms junior management employees into
effective business executives.

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