national fertilizer limited

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NATIONAL FERTILIZER LIMITED (A Govt. of India Undertaking) (PANIPAT) HARYANA M.B.A HUMAN RESOURCE PROJECT BATCH: 2010-2012 M.B.A (HR) ACKNOWLEDGEMENT It gives me a Great pleasure to present this Report. It indeed goes without saying that the success of my PROJECT at M/s NATIONAL FERTILIZER LIMITED, Panipat (Haryana) is because of direct or indirect guidance of every body at the company and college. I take this opportunity to acknowledge their help and valuable guidance in providing technical know how& reviewing the report. I here by express my gratitude towards the management of NFL for giving me an opportunity of training in their esteemed organization. First of all I am very thankful to Mr. V.K. HIRA Mgr. I am deeply thankful to: 1. Mr. B.S.JANPANGI Sr. Mgr. (HRD) 2. Mr. S.C.SAINI Dy. Mgr. (P&A) 3. Mr. S.K.SAMBHARIA Dy. Mgr. (HRD) 4. Mr. P.JAYRAJAN Asstt. Mgr. (P&A) 5. Mr. RAMESH KUMARP.O. (P&A) I respectfully thank to the management and all employees

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Page 1: National Fertilizer Limited

NATIONAL FERTILIZER LIMITED(A Govt. of India Undertaking)

(PANIPAT) HARYANAM.B.A HUMAN RESOURCE PROJECTBATCH: 2010-2012M.B.A (HR)ACKNOWLEDGEMENTIt gives me a Great pleasure to present this Report. Itindeed goes without saying that the success of myPROJECT at M/s NATIONAL FERTILIZERLIMITED, Panipat (Haryana) is because of direct or indirectguidance of every body at the company and college. I takethis opportunity to acknowledge their help and valuableguidance in providing technical know how& reviewing thereport.I here by express my gratitude towards the managementof NFL for giving me an opportunity of training in theiresteemed organization.First of all I am very thankful to Mr. V.K. HIRA Mgr.I am deeply thankful to:1. Mr. B.S.JANPANGI Sr. Mgr.(HRD)2. Mr. S.C.SAINI Dy. Mgr. (P&A)3. Mr. S.K.SAMBHARIA Dy. Mgr.(HRD)4. Mr. P.JAYRAJAN Asstt. Mgr. (P&A)5. Mr. RAMESH KUMARP.O. (P&A)I respectfully thank to the management and all employeesof NFL for their valuable assistance, suggestions and theirvaluable guidance in completing my project report.Indeed without the help and coordination of the abovementionedpeople this report might not have reached toits fruitful completion.

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INDEX1. ABOUT THE COMPANY2. ABOUT THE UNIT3. AWARDS & RECOGNITION. 4. HUMAN RESOURCE MANEGMENT5. INDUSTRIAL RELATIONS6. WELFARE SCHEMES7. STATUTORY SCHEMES8. NON STATUTORY SCHEMES9. MOTIVATIONAL SCHEMES10. OTHER WELFARE SCHEMES11. SWOT ANALYSIS12. CONCLUSION13. BIBLOGRAPHY

COMPANYPROFILENATIONAL FERTILIZERS LIMITEDIncorporationNFL, schedule’A’and a Mini Ratna Category 1 Company wasincorporated on 23rd AUG 1974 for implementation of two FertilizerPlants, based on gasification technology. Of feed stock/LSHSatBathindain Punjab and Panipat in Haryana having an installed capacity of 5.11lakh tones of Urea .In April 1978, the Nangal group of Plants of FertilizerCorporation of India (FCI) were transferred to NFL consequent uponreorganization of FCI .The govt of India, in 1984, entrusted the Companyto execute the country’s first inland gas based Fertilizer project of 7.26

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lakh tonnes Urea capacity in district Guna of Madhya Pradesh, Thisproject on completion, received the first prize for “excellence in projectmanagement “ from the Ministry of Program Implementation, Govt ofIndia. Expansion of Vijaipur plant was initiated in 1993 for doubling itsannual production capacity. The deppt. Of Fertilizers has received theannual installed capacity of Vijaipur Plant from 7.26 lakh tonnes of Ureato 8.26 lakh tonnes with effect from 1stApril 2000.In order to sustain and enhance the Company’s growth, NFL successfullycompleted the revamping of Urea Plant at Nangal. with the re-rating ofinstalled capacities of Vijaipur Plant and revamping of Urea Plant atNangal, the total installed capacity of Urea of NFL has increased to 32.20lakh tonnes.YEAR PROFIT & TURNOVERPANIPAT UNIT NFLNetProfit(Crore)Turnover(Crore)Net Profit(croreTurnover(crore)2007-08 22.33 943.33 152.82 4140.642006-07 20.37 799.42 176.10 3865.682005-06 30.37 744.84 116.40 3590.522004-05 27.03 660.62 160.91 3474.062003-04 11.65 698.71 85.04 3387.62PRODUCTION PERFORMANCENFL is the second largest producer of nitrogenous fertilizers in India.

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The company ‘s contribution towards Urea production in the countryduring 2006-07 is estimated at 16.53% against 16.4% last year.NFL has been making profit consistently. The Company recorded pre-taxprofit of Rs.48.33 crores during 2001-02. However, the increase in profitduring the year is on account of past periods arrears of subsidy pertainingto 7th & 8th pricing periodThe Company during 2006-07, produced 33.51 lakh tonnes of Urea,thereby achieving a capacity utilization of 103.7% based on the reassessedcapacityINFORMATION TECHNOLOGYNFL has brought in latest information technology for its day-to-day use.The Company has a satellite-based communication system installed withthe assistance of NIC at its office complex in NOIDA, units and zonalMarketing office. All the locations have Local Area network. Thecompany has its Internet Website WWW.nationalfertilizers.com andintranet website for providing information to all employees.SPECIALISED SERVICESThe company assesses its human resources as its most valuable assets.NFL, for a long time, has been providing specialized services to outsideCompanies both in India and abroad. These services include projectcommissioning, plant operations, maintenance and trouble-shooting. Thecompany, recently provided training to the engineers of m/s petrovietnam, Vietnam at NFL vijapur.IMPLEMENTAITON OF OFFICIAL LANGUAGE

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With a view to promote the use of Hindi as official language and to meetits provisions, rules made there under and for compliance of relatedstatutory obligations, the company has been making efforts consistently.Cash incentive Scheme has been implemented to provide encouragementto the employees for workings in Hindi. Various competitions andprogrammes are organized to propagate the use of official language.MEMORANDUM OF UNDERSTANDINGThe Deptt. Of Public Enterprises, Govt. of India, in search of improvingaccountability and giving higher autonomy to Public SectorUndertakings, introduced the concept of MOU from the early nineties.NFL signed first MOU with Deptt. of fertilizers for the year 1991-92.The company received “Excellent” rating under MOU system for theyear 2006-07. The MOU rating for the year 2007-08 based on the auditeddata is expected to remain as “Excellent”.MARKETING NETWORKNOIDABHOPAL LUCKNOW CHANDIGARHThese three Zonal offices are coordinating the company’s marketingnetwork: -1) BHOPAL2) LUCKNOW3) CHANDIGARH➢Its central marketing office is at NOIDA.The companyduring the year 2006-07, recorded the ever best sales of53.91 lakh tones of fertilizers.➢The Panipat unit has developed Neem Coated Urea, whichenhance crop yield by an average of 4% to 5%. The co. isplanning to market Neem Oil Coated Urea also.

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➢N.F.L is the first Co. in India to be permitted by the Govt. ofIndia to produce and market Neem Oil Coated Urea.➢The company has also established single window shop atSolan and Panipat where all agri-inputs are made availableat one place.➢The company is also marketing Bio-fertilizers in the statesof Punjab and Haryana in order to increase its consumption.National Fertilizer units at a glance : -The total production capacity of all the four units (Nangal ,Bhatinda,Panipat, vijaipur) is 9550 MT Per Day & other product and By-productsare present in the Following:

•Nangal(Punjab) MT/•Bhatinda

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(Punjab) 1550 MT/PANIPAT UNITPROFILEThe Panipat Unit of NFL.is situated on National Highway No. 1 andDelhi-Amritsar railway trunk route. Panipat city is about 90 km fromDelhi and is covered in National Capital Region. Panipat is a historicalcity, which was the scene of three historical battles. Panipat is alsofamous for its handloom industry.The Govt. of India approved the Panipat project on 10th February 1975for implementation. Prime consultants for design, engineering, erectionand commissioning of the plant were M/s Toyo engineering corporationof Japan and M/s engineers India Ltd. Starting from the zero-date30.4.75, the feed in was achieved on 1.9.78 ie. within 40 months of thezero –date. The Unit went in commercial production from 1.9.79. Thetotal cost of the project was rs.221.33 crores.Performance of the Unit in all areas of its performance has also been

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acknowledged. It has won number of awards and recognitions in the fieldof production, productivity, safety, welfare, innovation, environmentprotection, skills etc. The Unit is well known for its commitment towardsenvironment protection and social welfare in the region.Panipat Unit is considered the show window of the company. The Unitbeing near to national capital, it hosts a number of distinguished guestsand visitors from with and outside the country. The visitors show keeninterest in the functioning of the plant and appreciate the progress madeby the fertilizers industry in the country.SALIENT FEATURES OF THE PLANT1. Annual Capacity : 5,11,500 MTIn terms of Urea 2,35,290 MT in terms of Nit.2. Annual Requirement of Raw Materials:Fuel-oil/LSHS : 3,00,000 M.T.Coal : 5,45,000 M.T.Power : 2,18,000 M.W.HWater : 5,630 Million Gallon1. Estimated Cost : Rs. 182.88 crores2. Foreign Exchange : Rs. 56.45 crores3. Capacities of the Plant :Ammonia : 900 M.T. per dayUrea : 1,550 M.T.per daySteam Generation : 3 boilers each of 150MT/hr.Captive Power Plant : 1 boiler of 210 MT/hr2 Turbo generation of 15 *2 =30MWH6. Land : 442Acres- Plant131 acres- TownshipNFL produces two popular brands of chemical Fertilizers, ieKisan Urea.

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&KisanKhad.NFL has signed a memorandum of understanding with thegovt. of India in 1991-92. All the years, after signing the MOU, Govt. hasrated the performance of the company as ‘excellent’. Company has beenperforming at high level of capacity utilization.PLANTS UNDER PANIPAT UNITAMMONIA UREA PLANT SMC OFFSITESAMMONIA PLANTThe ammonia plant is based on fuel oil as feedstock and is designed toproduce 900 MT/Day of Ammonia. The fuel is partially oxidized in thegasification reactor at 1,350 degree C by shell gasification process. Theraw gas produced in the reactors mainly consists of H2, CO, CO2 andH2S. The heat generated in the process is recovered in the waste heatboilers to produce High-pressure steam at 100 Kg/Cm2.about 80% of thecarbon produced in the Gasification Reactors, is recycled along with thefeedstock.Hydrogen Sulphide (H2s) in the raw gas is removed by absorption in coldmethanol in desulphurisation Section of Rectisol. The Carbon monoxide(Co) in the desulphurised gas is converted to Carbon Di Oxide (CO2) bydouble stage H.T. Shift Convension. The CO2 is, later, removed from theprocess gas in Decarbonation Section of Rectisol. H2S and CO2 from theRaw Gas/ process gas are removed by low temperature Methanol in theRectisol Section and both the gases are recovered by regeneration of

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Methanol at low pressure. H2S in the form of clause gas is sent to SulhurRecovery Plant for recovery of Sulphur. The CO2 gas is sent to UreaPlant for synthesizing with Ammonia to manufacture Urea. AnAbsorption Refrigeration Unit (ARU) provides refrigeration in RectisolSection.AMMONIA PLANTThe process gas from Rectisol Section is sent to the Nitrogen Wash Unit(NWU) to remove the traces of impurities (CO, Methanol, and Methane)by liquid Nitrogen wash. Nitrogen is further added to the process gas (i.e.Hydrogen) to obtain a ratio of 3 : 1 of N2 & H2. This synthesis gasmixture is compressed to 230 Kg/Cm2 pressure and synthesis of N2 andH2 is carried out in the HaldorTopsoe loop in a radial flow AmmoniaConvertor and Ammonia is produced.Oxygen requirement (for partial oxidation of fuel oil) and Nitrogenrequirement (for synthesis gas) is met by an Air Separation Unit of 900MT/ Day capacity. In ASU, the atmospheric Air is compressed to 7Kg/Cm2 and liquefied. Oxygen and Nitrogen are separated in HP and LPDistillation columns at cryogenic temperatures.UREA PLANTUrea Plant is designed to produce 1,550 TPD based on Mitsui ToatsuTotal Recycle ‘C’ improved process. The Ammonia and Carbon Dioxide,produced in Ammonia plant, are pressurized to about 250 Kg/cm2pressure. Synthesis takes place in Urea Reactor, where Ammonia andCO2 react at 250 Kg/cm2 pressure and 200 degree C temperature to

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produce Urea. The Reactor outlet products are then decomposed. TheUrea solution, produced in this process, is crystallized in the VacuumCrystallizer. Crystal slurry is centrifuged to separate crystals, which arethen dried in the dryer and pneumatically conveyed to the top of prillingtower. Urea crystals are melted in the melter and the molten Urea issprayed through Acoustic Granulators from 68-meter high prilling tower.Urea in the form of prills is collected at the bottom of the prilling toweron CFD bed, where it is cooled by air. Products Urea is, then, sent toBagging Plant and bagged in 50 kg bags.UREA PLANT

PROCESS OF MANUFACTURING UREAFor manufacturing urea, first of all fuel oil is burnt at 1350oC & we getCarbon monoxide (CO) & Hydrogen (H2). With the help of air separationunit Nitrogen gas is separated from air. Carbon monoxide is convertedinto Carbon dioxide. Then Nitrogen & Hydrogen is combined to getAmmonia & then by the reaction of Ammonia & Carbon dioxide we getUrea. This is the whole process of manufacturing Urea:-Burning at 1350oCFuel Oil CO + H2Extracting

ASU (Air separation unit) N2 (Nitrogen) + O2 (oxygen)N2 + 3H2 2NH3

CO CO2

NH3 + CO2 UREAPRODUCT MANUFACTURED AT NFL, PANIPATMAIN PRODUCT –UREA

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Kisan urea is highly concentrated, solid, nitrogenous fertilizer, containing46.0% nitrogen. It is completely soluble in water hence nitrogen is easilyavailable to crops. Kisan Urea is ideally suitable for all type of crops andfor foliar spray, which instantly removes nitrogen deficiency. Kisan Ureaalso has a strong and long lasting effect on crop resulting in quality crops.Carbonic acid present in Kisan Urea helps in absorption of nutrients likephosphate and potash by roots of crop.PRODUCTION PERFORMANCEPeaksin production scale are as follows:-RECORDS:Highest production of ammonia onsingle day1041MT (against 900MT/Day ratedcapacity) on 02.1.1998Highest production of urea onsingle day1918MT (against 1550MT/Dayrated capacity) on 17.12.2000Highest annual production ofammonia(97-98)316619MT (against 297000MTrated capacity)Highest annual production of urea(97-98)562250MT (against 511500MTrated capacity)PERCENTAGE SHARE OF NFL IN COUNTRY’SUREA PRODUCTIONOFF SITES & UTILITIESThe Off Sites and Utilities consist of following facilities:

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Raw Water Reservoirs &Filtration Plant: To store 85 million gallonof water to meet 7 days requirement. The filtration plant is of 2,400M3/hr.Demineralized Water: To supply 400 M3/hr.of demineralized waterand to polish 100 M3/hr. of condensate.Steam Generation Plant: Three pulverized coal fired boiler of 150 T./hr. each at 105 kg/cm2 pressure and 495 degree C temperature.Instrument and Plant Air: Four Instrument Air Compressors and oneService Air Compressor, each of 1,420 NM3/hr.capacity.Cooling Tower: Four cooling towers for Ammonia, Captive Power andUrea Plants.Coal Handling: To supply 150 MT/hr. of crushed coal to three SteamGeneration Plant Boilers and 200MT/hr. to Captive Power Plant Boiler.Fuel Oil Handling and Storage: Three tanks for storage of fuel oil,each of 10,000 KL capacity. Facility for unloading a rake of railway tankwagons of fuel oil/LSHS.LPG, Methanol, LDO and Caustic Handling: Facility for unloadingand storage.Emergency Power: D.G. set of 1,500 KW capacities. Railway Siding:To unload Coal, Fuel Oil, Caustic and Methanol. To load bagged urea.To load unload liquid Ammonia.SMCS: - STEAM GENERATION PLANTM: - MATERIAL HANDLINGC: - CAPTIVE POWER PLANTCAPTIVE POWER PLANT

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The Captive Power Plant has been installed to meet the total powerrequirement of the plants. Two Turbo Generation of 15 MW each,generate power at 11 KV. The Power Plant can be run in parallel with thenorthern grid or in isolation. A Boiler of 210 t/hr. has been provided tosupply steam to the Turbo Generators and meet part of the steamrequirement of the process plants. The Boiler is designed to operate oncoal with support oil or fully on fuel oil.

AWARDS&RECOGNITIONAWARDSNFL plants have all along remained recipients of several prestigiousawards based on improvements in productivity, safety, energyconservation & environment. The company bagged a no. of awardsduring 2006-07 & 2007-08 (up to Sep-2007). The Vijaipur unit hasreceived National PrashansaPatra Safety Award-2005 from NationalSafety Council for outstanding safety management. Green Tech SafetyAward-2005 & Green Tech Environment Excellence Silver Award-2006 & 2007 for outstanding achievement in environment managementin Fertilizer sector. Vijaypur II unit has also won 2nd prize & certificatefor Energy efficient unit in the national awards for excellence in Energy

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management conducted by CII, Sohrabji Godrej Green Business Centre,Chennai.Type of Award Awarding agency YearProductivity award Fertilizer Association ofIndia, Govn. Of India1st in 20052nd in 20063rdin 2007Environment Protection& conservationHaryana Pollution BoardGovn. Of Haryana1999,2002Jawaharlal MemorialAward for best PollutionControl measureInternational GreenLand Society2001-02, 2005Environment Mgmt. &Conservation AwardHaryana PollutionControl board2004PM’s ShramVir Awardto four technicianGovn. Of India 2005Tech innovation Fertilizer Association ofIndia, Govn. Of india1st in 2005-06Golden Peacock Innov..Award on innovation ofNeem coated UreaInstitute of recognition,New Delhi2005

RECOGNITION

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Type of recognition Recognizing Agency Period ofRecognitionISO—9001 InternationalCertificationServices Pvt. Ltd.Jan 2007ISO—14001 InternationalCertificationServices Pvt. Ltd.Jan 2007ISO-- 18001 InternationalCertificationServices Pvt. Ltd.Jan 2007ENVIRONMENTAL CONTROL & ECOLOGICALBALANCE AT, NFL PANIPATPanipat unit is acknowledged for its environmental friendliness. The unitis fully conscious of its responsibility towards pollution control&environmental protection. Utmost care is taken to ensure that noharmful gases are discharged to the atmosphere. The unit is regularlymonitoring the level of emission for various stacks before letting down toatmosphere.In order to maintain ecological balance, in and around the factory andtownship, a dense green belt has been provided and about 3 lakh treeshave been planted within the factory and township premises.SAFETY & FIREManagement is always conscious about the safety of employees. SafetyDepartment, with well-qualified and experienced safety engineers, ensure

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that working conditions are safe. Safety procedures are followed by alland sundry. Safety department increases the awareness about safetyamongst the employees by way of seminars, exhibitions, slogansbulletins, safety competitions and good house keeping contests. Practicaltraining is also given to the employees.Unit has received number of awards, from national and internationalorganizations, for safety performance. National Safety Council ofChicago has awarded the unit in 2004 for 6 millions man days withoutoccupational injury.OBJECTIVE➢To produce and market fertilizers and by products efficiently andeconomically besides achieving a reasonable and consistentgrowth.➢To effectively manage the assets and resources of company toensure a reasonable return on investment and maximize internalresources As part of diversification and maintenance soil health tomarket other fertilizers in addition to nitrogenous fertilizers➢To maintain international quality of production and services as perISO –9002 and aiming at achieving customer satisfaction anddelight.➢To carry out R&D activities for increasing plant availability energysavings, process improvement and utilizing efficiently in theapplication of chemicals and fertilizers associating networking withother company’s.➢To work out diversification expansion schemes to increase theprofitability of the company and to promote development ofancillary industries consistent with the government policy.➢To provide services to the farming community by organizingtechnical training, soil-testing facilities etc.➢To develop and maintain organization environment for

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encouraging individual and group initiative innovation andproductivity and by improving employee’s skills throughspecialized training.➢To achieve international standards of excellence in plant andoperational safety and maintaining environment as per internationalstandard ISO-14001.VISIONA world classInnovativeCompetitiveProfitable Fertilizers Enterprise Providing total business solution.

MISSIONTO be leading Indian Fertilizers Enterprise providing quality productsystem and service in the field of transportation, infrastructure, electricityand other potential areas.

VALUESMeeting commitment made to external and internal customer.Foster Learning creativity and speed of response.Respect for dignity and potential for individual.Loyalty and ride in the CompanyTeam Playing.

H.RMANAGEMENTCORPORATE OBJECTIVE➢NFL is an instrument to the society .To achieve this NFL must:-➢Select capable people and improve their knowledge and skills onorganized basis.➢Motivate and enthuse the employees to achieve higher productivitywith team spirit.

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➢Lay down integrated objective, define individual goals andmaintain an atmosphere conducive to achieve this goal.MICRO OBJECTIVES➢To achieve higher productivity.➢Conducting R & D.➢To increase profitability.➢To improve marketing and consumer services.➢To maintain and develop proper organizational environment.➢To work out diversification.➢To promote development of ancillary industry.FUTURE PLANS➢The company has made plans to rewamp its fuel oil based Panipat&Bathinda plants. The revamp aimed to make the fuel oil basedplants more energy efficient is awaiting the disinvestments of thecompany.HUMAN RESOURCE MANAGEMENTAn organization is a human grouping in which work is done for theaccomplishment of some specific goals or mission .In order to achieve thegoal a well run organization works out a set of rules sometimes calledpolices, programmes, rules, regulations, procedure or guidelines. Theseare designed not to restrict creativity but to assist its members inaccomplishment of the organizational goals.To look after the various functions set for the organization adequateresources in men and material s have to arranged but individuals whoserve as managers or supervisors with in organizations. There musty beproper co-ordination of money, machinery, material and men. Theresources by themselves will not help the organization to accomplish theobjectives , unless there is an effective co-ordination and utilization of

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these human resources .This is possible only by the combined efforts ofpeople the most important resources .Managing the human componentsthe central and most important task, because all else depends on how wellit is done .It is the Human Resource, which is of paramount importance in thesuccess of any organization, because most of the problems inorganizational setting are human and social rather than physical, technicalor economical.Human Resource, which is of paramount importance in the success of anyorganizational because most of the problems in organizational settings arehuman and social rather than physical, technical or economical.Human Resources comprise a large number of individuals of differentsex, age, socio-religious groups and different education or literacystandards. Each individual who works has his own set of needs, drives,goals and experiences, so the management must therefore be aware notonly of the organization but also employees and self needs. No one ofthese can be ignored so it’s the duty of manager to develop fourdimensional relationships these are:-Between management and workers.Workers themselves.Those among the managerial personnel..These among different members of the organization and thecommunity.FUNCTIONS OF HR DEPARTMENTAT N.F.L PANIPAT1. ESTATE:- Estate means the part of land or the area thatcomes under the NFL unit PANIPAT .It also includes township

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and CISF colony of NFL .The houses are allocated to theemployees on the basis of their post or seniority . Mr B.S.JANPANGI does proper utilization of land and building.2. ADMINISTRATION:-Mr. JANPANGI is the head ofadministration .He solves various problems related to theadministration of the organization. Under this role he alsomakes arrangements for various tasks time to time.3. HORTICULTURE:-Horticulture is related with themaintenance of green grounds and to grow more &more trees inorder to keep environment clean and pollution free .To maintainbeauty & working environment inside the organization,employees are encouraged for growing trees & to maintaingreen grass parks.4. FURNITURE AND FIXTURE:- Furniture & fixtures arerequired by every organization . At NFL Panipat Mr.JANPANGI makes proper arrangement of furniture & fixturesas & when required.5. DISPATCH:- Dispatch means the various letters ,circulars &memos required by every organization for the propermaintenance of their records. Mr. JANPANGI makesarrangements for all these dispatch.6. FAX /TELEPHONE:- fax /telephone is also required byevery organizations for making contacts with different deptt.Inside organization also with other organizations. Mr.JANGPANGI makes arrangements for all these according totheir requirements.7. GUESTHOUSE:- As NFL unit Panipat is a bigorganization, so visitors & outsiders come to visit it. There isproper arrangement for their stay.8. RECRUITMENT:-Whenever there is vacancy in theorganization then it tries to attract more and more people toapply for that. Recruitment is not a process of selecting thecandidates but it ends with the receipt of applications.9. ESTABLISHMENT:-Once a candidate is selected for aparticular post, then all his documents relating to qualification,age & other factors are verified in establishment department.Also the activities & performance of every employee includingpromotions are recorded in it. Mr. ALOK VERMA handles all

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these activities.10. PUBLIC RELATIONS:- The public relations of anenterprise affects its profits to a large extent .Mr. ALOKVERMA tries to establish harmonious relations with themembers of public to increase the profitability of the enterprise .11.MEDICAL CLAIMS:- As NFL provides medical facilitiesto all of its employees .NFL gives fund to its employees againsttheir proper medical claims. Mr. ALOK VERMA verifies all thedocuments relating to medical claim.12. COMPUTERISATION:- In the present scenario the roleof computers is very important in every organization. Thesestores huge amount of information relating to enterprise.13. STATISTICAL CELL:- Various documents are requiredby the organization for the proper flow of information from oneplace to another. Mr. ALOK VERMA handles statisticaldocument.14. APPRENTICE:-There is a provision for the training ofapprentice inside NFL. Mr. ALOK VERMA handles trade &technical apprentice.15. INSURANCE:-Mr. ALOK VERMA handles the problemsrelating to the insurance of employees16. LIAISONING:-Mr. ALOK VERMA also works as liaisonofficer .In the role of liaison officer he tries to establishharmonious relations with other departments & otherorganizations to improve the productivity of the organization.17.WELFARE:- Every organization has some welfare policies.These policies may relate to performance & promotion ofemployees.18. LEGAL:-An organization may face many legal problemsrelating to organization & employee. Dy. Mgr handles all thelegal problems.SOME OTHER IMPORTANTFUNCTIONS OF HRDAssessing training needs for Tech. apprenticeemployeesOrganizing house training programmesFUNCTION OF PERSONNEL MANAGEMENT

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The function of personnel management may be divided into three parts-MANAGERIAL OPERATIVE ADVISORYPlanning Procurement of personnel Rules & regulationsOrganizing Development of personnel LawsStaffing Compensation to personnel DisciplineDirecting Employees benefit schemes Code of conductControlling Maintaining good industrialrelationsRecord keepingPersonnel planning & EvaluationsPersonnel audit & Research

P&A AS A CENTRAL SUB SYSTEM IN ANORGANISATIONOBJECTIVES OF P&AThe objective of P&A is to attain maximum individual development,desirable working relationship between employers & employees andemployees & employees. So there must be effective molding of humanresources as contrasted with physical resources. As a result there is anintegration of interests of employees and management:INTEGRATION OF INTERESTSEMPLOYEES INTEREST MANAGEMENT INTERESTP&ASUB SYSTEMTECHNICALMATERIAL SUBSYSTEMSUBSYSTEMFINANCESUBSYSTEMMARKETTINGSUBSYSTEMRecognize as an individual. Lowest unit personnel costOpportunity for expression Maximum productivityEconomic security Availability and stabilityInterest in work Co-operation of employeesSafety, healthy working conditions Loyalty of employeesAcceptable hours of work High org moraleFair and efficient leadership Intelligent initiative of emp.

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HUMAN RESOURCE DEVELOPMENTATPANIPAT UNITThe company considers its employees as its greatest asset. It takes care oftraining needs of the individual employees. A separate HRD Departmentis established for the purpose.HRD Department, periodically organizes in house training programmesfor the development of skills and updating the knowledge of theemployees. The employees are also deputed for institutional trainingconducted by outside agencies.The managerial staff is exposed to the management programs likemotivation, communication, team building, leadership etc.For the less qualified employees, there is a scheme to improve theirqualification. Part time classes are conducted for advanced courses.HRD section organizes productivity week and the oil conservation week,in which the expert faculty on various aspects of the topics systematicallyeducates the employees systematically educates employees.

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HRD S w a n s o n T ra in in g T & DHR DEPARTMENT HIERARCHYG.M

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(HR)Sr.MANAGERHRDChief. MANAGERP&AAdditionalCMODy.MGR(P&A)MANAGER(P&A)MANAGER(P&A)WELFARE,SCHOOL,CISF.MEDICALSTATISTICAL,COMPUTER,ACR/APPS/RECRUITMENT.GUESTHOUSEESTABLISHMENTP.RESTATE,CTV,SANITATIOCANTEEN,FURNITURE,BUDGETTEL, FAXDAIRY&DISPATCH/HINDI

INDUSTRIAL RELATIONS“Industrial relations “refer to a dynamic and developing conceptwhich is not limited to “the complex of relations between trade union andmanagement but also refers to the general web of relationship normallyobtaining between employer and employee- a web much more complex

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then the simple concept PF labour-capital conflict”.Industrial relations at Panipat Unit have always been cordial. Thereis always a communal harmony and all the festivals are celebratedtogether by all the communities. At panipat unit there is only oneregistered and recognized workers union i.e. NFEU. The union isaffiliated to FWFI. The scheme of workers participation is operated atUnit level. Under this scheme a Plant level committee and six shopcouncils are functioning satisfactorily. These are: -➢Work committee➢Canteen advisory committee➢Township Welfare Committee➢Special Welfare Fund Committee➢Grievance Redressal Committee➢Livery Committee➢Managing Committee of Manoranjan Kendra➢Sports committeeDEVELIONEBTS OF INDUSTRIAL RELATIONS – IN INDIA .S1.NO. Contents Page No .1. Introduction. 12. Industrial Relations 13. Approaches. 33.1 Legislative Approach. 33.2 Industrial Disputes Act. 33.2.1 Works Committee. 4.3.2.2 Industrial Employment 4.(Standing Order) Act.3.3 Voluntary Approach. 6.3.4 Joint Management Councils. 6.3.5 Voluntary Arbitration. 7.3.6 Joint Consultation. 7.3.7 Voluntary Arbitration. 8.3.8 Collective Bargaining. 8.3.9 National Commission On Labour. 9.3.10 Worker’s Participation in Mgt. 9.4. Effects of Best Industrial Relations 10.5. Conclusion. 11.DEVELIONEBTS OF INDUSTRIAL RELATIONS – IN INDIA .1. Introduction.The history of industrial Relations ins incomplete without an account of the

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rise of the organized labour movement in the country. In this section, anattempt is made to describe the rise and growth of the trade union movementsin India. Because of this success in organizing labour in important industries,trade unions now have a significant role in the industrial life of the country,inspite of the fact that the number of workers organized in industry in thecountry really start after the first World War, though prior to that someattempts were made here and there to organize the labour in unions. In theearly days of industrialization, the condition of labour was rather appalling andthere was no regulation in respect of working conditions and hours of works.Not only that the labour was often physically mal-treated, child labour wasalso employed. There was very little effort on the part of the Government todo away with these practices. However, due to various reasons and pressures,the Government eventually had to do come thing for the conditions of thelabour. The result of such efforts brought about the introduction of FactoriesAct to regulate to hours of work and the working condition of labouremployed in the Factories.2 . Industrial Relations .Industrial Relations generally mean the relationship between the management and theorganized labour in an industrial organization of within an industry. Among the variousimportant factors which determine and regulate this relationship are the industrialrelation policy of the organization, attitudes of both the management and the labour,strength if the labour unions multiplicity of unions, joint consultation and labourlegislations. Industrial Relations, However, is primarily a matter of attitudes, i.e., howdoes the management feel about the labour and vice. Good relationship can not ,however, be grown overnight, but has to be developed by both the parties, over aperiod. It is only through an attitude of mutual trust and respect that harmonious andcordial industrial relation can develop in an organization of industry.(2) Harmonious industrial relation within an organization isessential for its efficient running. No organization can functioneffectively and produce the goods and services if there are constantstrafes and turmoil between the management and the labour. It isimpossible to introduce any innovation or effect any productivityimprovement exclusively through the various industrial engineeringtechniques. Looking at industrial relations, therefore, from a broader

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national and economic view point, it is an important pre- requisite fornational and economic growth of the country. One of the majorproblems of developing countries is to increase the per capita incomeof the population through rapid industrialization as well as throughimprovement in agricultural field. Industrialization will create moreemployment opportunities and will help in achieving better standard ofliving. For raid industrialization, climate has to be created which willencourage investment and attract the enterprise. One of the majoractors which attracts investment is the state of industrial peace. Nonation can take up a programmer of industrialist ion unless the properclimate prevails. Strafes, un-rests, and lock – outs only lead to loss ofman – days in i9ndustries and consequent monetary loss to the nationin terms of lost production.Everyone whether he is a member of the management or aworker has the responsibility for improving the situation. As a memberof a management team, the supervisor is in the fortunate position ofbeing in direct contact with workmen. His role, therefore can be ofimmense value in promoting good industrial relations in theorganization, Frictions and strifes are very often results of unresolvedminor day-to – day grievances, favouritism, bad human relation andnumerous other reasons which the supervisor may be in a position totake care of. Earlier it was mentioned that good industrial relations isprimarily a matter of attitude between the management and the workersand has to be constantly nurtured by both the parties. It is through dailydealing. Justice and prompt handling of grievances that such a spirit ofmutual confidence and trust can be built up between the supervisor andhis men It should, however, be thought that it is only the Supervisor inthe organistion who is responsible for promoting good industrialrelations, but it is the responsibility of every member of theorganistation. Some of the causes of the disputes may be well beyondhis authority to remove and may be requiring the action of the highermanagement. Nevertheless, his role is stressed because of his uniqueposition in the organization. The supervisor, if he is to carry – out hisrole effectively to promote good important labour legislations andagencies to settle desputes.3 . ApproachesIndustrial Relations in India today is regulated through compulsory measures such as-s,legislations, adjudications etc. As well as through voluntary efforts like collectivebargaining, joint consultation etc. though by industrial relations we primarily mean therelationship between the management and the organisedlabour, the Government orStateplays an important role in regulating this relationship either through intervention or

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influence.Legislative ApproachThe Government plays a dominant role in shaping the pattern of industrial relations inthe country. Historiqlly, this had been mainly through various labour legislations.Conditions of labour also have an important bearing on industrial relations. Beginningin the twenties, when organisedlabour movement started to take shape, differentlegislations were passed from time to time aiming to improve the donditions of labouras well to regulate the relationship between the employer and the employee. Among thelegislations passed during the 1920’ (s mention can be made of the amendment to thefactories Act in 1922, the workmen’s Compensation Act, 1923, and the Mines Act,1923 in respect of the former and the Indian Trade union Act of 1926 and the tradedisputes Act, 1929 in respect of the latter.3.2 Industrial Disputes Act.In the year immediately following independence, the task before the nationalGovernment was to meet the problem of rapid industrialization. To meet this urgentneed, it was considered necessary by the Government to continue the practice ofregulating industrial relations through legislations. The result was the introductions ofan important piece of legislation the industrial disputes Act, 1947, which made a greatimpact on the industrial relations in the country. The most salient feature of this act isthat in the case of an industrial dispute between two parties in an industrialestablishment, the dispute is subjected to compulsory adjudication if there is a failure inconciliation proceedings. In other words, this means, that when two parties can notresolve their dispute or can not arrive at a settlement in spite of the efforts ofconciliation officer or a board, then the government compels both the parties to go to alabourqourt, or a tribunal to have their disputes resolved thorugh the process of law.Legal proceedings are always expensive, time consuming and mostly unsatisfactory.

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(4) Thus the resolution of a dispute by legal means, more often than not fails to bringabout satisfactory results. Under the circumstances, it has often been questioned, as towhether it is correct on the part of the government to force parties to for compulsoryadjudication.The genesis for the provision of this section in the Act can be treated to defense ofIndia rules during the Second World War, which prohibited strikes and lock-outs andreference of disputes to adjudication was compulsory. In framing the Industrial disputesAct, this feature of compulsory adjudication was incorporated and in spite of severcriticism, is being retained.The other notable features of the Act are the provisions relating to the formation of theworks committee, conciliation and adjudication machinery, procedures for arbitrationetc.3.2.1. Works committee.The Act stipulates the formation of works committees in industrialestablishments, where 100 orMore workmen are employed. The duties of such works committees, as hasbeen prescribed under theAct, are to promote mea-sores for securing and preserving amity and goodrelations between theEmployers and workmen and to that end to comment upon matters of theircommon interest or concern and endeavourer to compose any material difference ofopinion in respect of such matters. Works committee should contain equal number ofrepresentatives from management and workmen.The formation of works committee is a statutory attempt to foster a spirit of jointconsultation between the employer and the workmen. Though works committees havebeen functioning over a considerable period, they have not achieved their purposevery largely due to the fact they have not been able to dispel some of themisconceptions about them and such have not taken deep roots in our industrial theadequate backing of the trade-unions and their areas and functions backing of the

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properly demarcated, though of late some attempts have been made to revive theactivities of the works committee and to rectify earlier mistakes.3.2.2. Industrial employment (standing orders) AcThe industrial employment (standing orders) Act, 1946, is another importantpiece of legislation, which also has profound impact on the industrial relations.Though the Act, was passed immediately before the coming of the nationalgovernment, nevertheless it was the great use in the past independence period.(5) It has been observed that the cause of poor industrial relations in many cases wasdue to the fact that the conditions of service were not properly defined. Because theconditions were ill defined, there had been often friction between supervisors andworkmen, between the management and the labour both on the shop floor, and as wellas in the undertaking in matters like wages, hours of work, discipline etc.The main features of the Act are that it is obligatory on the part of the employer ofIndustrial undertaking to prepare standing orders when it employs, a certain numberof workers. The Act lays down the procedures to be adopted for certification of thestanding orders, which the employer wishes to adopt for his organization. Here, theAct has laid down when and how the draft standing orders are to be submitted to thecertifying officer for the certification of the draft. Certair conditions have to befulfilled before the standing orders are finally certifying officer, before certificationofficers or the appellate authority are empowered to determine the fairies orreasonableness of the provisions of any standing orders. The certifying officer, beforecertification of the draft standing orders gives opportunity to be heard and finallydecides if any additions or modifications are necessary. The Act has also provisionsfor appeal to appellate authority. The appellate authority, whose decisions are final,can confirm or amend the standing orders, if necessary. Standing orders aftercertification have to be posted prominently in gates for the benefit of workers.

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Unfortunately, though the display of standing orders is a legal obligation and may beposted prominently, as well as should be taken to remedy this state of affair, becausethe whole purpose of having standing orders in an obligation gets defeated if theemployees and they other personnel in the organization are not aware of the variousmatters provided therein.Standing orders once certified can not be modified can not be modified until theexpirty of six(6) months of from the date of the last modification, except of coursewhen both the employer and theworkemen desire such change through an agreement.There are occasions when disputes of disagreement arises as to the application orinterpretation of standing order. In such cases, the Industrial Disputes Act.1947, forgiving a verdict on the matter. The Act also lays down prescribed penalities for anemployer for failure to have standing orders for this establishment as well as forcommissioning any act in contravention to the certified standing orders.Voluntary Approach.The other approach to the shaping of industrial relations is through voluntarism.The thinking behind this approach is that while the legislations will introduce theelement of compulsion in industrial relations, opportunities for consultation among theparties should also be considered, to regulate their relationship. If consensus is arrivedat through voluntary discussion and mutual consultations, the element of moreobligation prevails to honour the commitments. While this object in view a tripartitebody on an all India basis comprising of representatives of the Employers, Labour andGovernment Known as the Indian Labour Conference was set-up in 1942 to have mutalconsultation on matters affecting the labour. The conference is held annually andvarious issues are discusses and the conclusion and the recommendation becomemorally binding to the Parties.

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Among the important conclusions arrived at so far, mention can be madeto the recommendations on the workers participation in Management, Model Grievanceprocedure, code of discipline in Industry, Criteria for recognition of Trade Union etc,3.4 Joint Management Councils.Arising in the Indian Labour Conference 1957 was therecommendations for the formation of JMC’s in Industrial undertaking .The idea underlined the formation of JMS was it give the workers a senseof participation on the voluntary basis and the associate the labour forhigher productivity, affording the workers an opportunity to expressthemselves and to make then appreciate their role for better industrialrelations. Accordingly a scheme of JMS was introduce in 1958. In suchcouncils, it was envisaged that matter of mutual interest may be discussedbetween the representatives of employers and the workers who will beequally represented. The matter, which should be excluded form, suchdiscussion are those relating to wages, bonus etc.JMS, however, did not succeed because of variousreasons among which it may be mentioned that the workers did notappreciate of understand their roles in the council appreciate ofunderstand their roles in the council. There was either a good degree offapathy and lack of interest on one hand and on the other hand there waschallenge to management prerogatives and functions from worker’srepresentatives. The reason ascribed by the labour for the functioning ofthe J.MCS are tha5t there was an unwillingness on the part ofManagement to share information as well as to go for genuine

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consultation. The experiments however, have been carried out in many ofthe public sector undertakings like Hindustan Machine Tools and NCDCetc. In places where JMCs have functioned successfully, it has beenobserved that productivity has increased, the labour forces have beenestablished, a reduction in waste and by and large, better industrialrelation prevailed.“ACCORDING TO Indian Labour Year Book of 1968, JMCSfunctioning in 89 establishments- 34 in the scheme till the beginning of1969.”3.5 Grievance Procedure.Since grievances on the plant level are one of the sources which canaffect harmonious industrial relations, it was considered necessary in oneof the Indian Labour conferences to lay-down a system of grievanceprocedure by speedy settlement of grievances. Accordingly modelgrievance procedures were evolved and these have been adopted by anumber of industrial undertakings in settling the grievances of theemployees.3.6 Joint ConsultationThe process of joint consultation is an essential requirement forharmonious industrial relations in industry as well as in the individualindustrial undertakings. The machinery set-up for consultation between themanagement labour and the Government standing Labour committee,wages Boards etc. are come of the other committees of tripartite character,At the plant level, the works committee and JMCS are machinery for joint

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consultation. The role of these bodies have been discusses earlier.Wage boards have been created as a tripartite body withrepresentatives of the management, labour and Govt.and theater functionhad been the fixation of wages on an industry-wise basis. Wage boardshave been set – up in many industries such as engineering. Plantation,Chemicals, iron and steel, coal mining etc. Many of them have submittedtheir recommendation industry-wise wage scales, but unfortunately inmany cases there had been a delay in the implementation of therecommendation of the wage Boards. Wage boards, however, have alsobeen criticized for the time taken by them in recommendation of wagescales. One of the major difficulties in respect of the recommendations ofthe wage boards was that their adoption was not obligatory and as a resultof which there arose a number of disputes in respect of theirimplementation. There is a thinking now to make these recommendationsobligatory.3.7 Voluntary Arbitration.It has been mentioned earlier that in the event of anindustrial dispute, which could nor be settled through the process ofconciliation the industrial Disuses act provides for the compulsoryadjudication i.e the parties involved in the disputes are forced to go to alabour court of a Tribunal. Lateran, a provision has been introduced in theindustrial Disputes Act for arbitration . This makes that between the timewhen a fuller report is given by the conciliation machinery to the

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Government and the time it is deferred to the adjudication machinery, theparties by joint agreement can go for voluntary arbitration. VoluntaryArbitration makes that bot the parties agree to have their disputesresolved by an arbitrator mutually agreed upon shoes decision they areagreeable by. In other words, arbitration offers the opportunity for avoluntary solution of the disputes. The process of arbitration, therefore,can save expenditure and time for both the parties. Arbitration in thiscountry unfortunately has not gained much ground, mainly because oftwo reasons. One is that there is no appeal against the arbitration’s awardand the other is dearth of suitable persons to act as arbitrators. In the caseof adjudication both the parties have the opportunity fo0r appeal to thehigher counts if the award is not favorable to them and can even go up tothe Supreme Court. This is one of the reasons which arbitration has notfound favour in the country.In the western countries, arbitrators can be selected from thepanels maintained with considerable experience in the industry in whichthe dispute arises. The position is not similar here. From the point of viesof the industrial Relations, an arbitrator’s award is often more satisfactorythan an adjudication award, since both the parties agree to go forarbitration. However, the success of voluntary arbitration would verymuch depend on the state of relationship between the parties.3.8 Collective Bargaining.

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Collective Bargaining is an important feature in industrial Relations .The main meaning of collecting Bargaining is that management and thelabour directly negotiate the terms and conditions of employment of otherrelated issues and in that process backing with each other and arrive atmutually acceptable agreements for a period time. There can be collectivebargaining both for an industrial unit of an industry.The merits of collecting bargaining lies on the fact that sinceagreements are arrived at through mutual voluntary negotiations, theparties are bound by honor to above by such agreements. The success ofcollective bargaining, however, depends on the following importantfactors:-There must be an acceptable and recognized bargaining agent. That meansthat there must be recognized union or union to negotiate the terms andconditions of the agreement with the management.The attitude of the management and the union towards each other. Unlessthere is a sense of mutual trust and confidence, collective bargaining isunlikely to work.Respecting the rights of the unions and the prerogatives at the managementby both the parties .Skill of the negotiators in collective bargaining.Collective bargaining is the best means by which harmonious industrialrelations can be achieved both at the plant and industry level. As has beenmentioned d\earlier that through the process of collective bargaining,

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collective agreements are arrived at either for a period of time in the caseof a short term agreement which can be for one year of for long termagreements which can be for the period between 3 to 5 years. Suchagreements contain specific terms and conditions which are arrived atthrough the process of collective bargaining.It is understood by the parties that during the period the operation ofthe agreement neither of the parties will bring up issues which are likely ofcollective bargaining adjudication is avoided and it stabiles industrialpeace.3.9 National Commission on Labour .National commission on labour was appointed in the year 1966 toinvestigate into the various aspects of labour problems. The commissionwhich submitted its final report on the basis of the studies carried out onspecific subject and labour problems of industries, made importantrecommendations in respect of industrial relations. The commissionrecommended the formation of industrial Relations commission to dealwith conciliation and adjudication of industrial disputes such commissionshave been recommended to be formed at the center and a well as in thestates. The commission to be formed at the center will be a Nationalcommission , which deal with all disputes of national importance.3.10 Worker’s Participation in Management.Some countries have used voluntarily while some have been forced

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by law. All these mean to increase production and productivity. This is alsoa new to India. Mahatma Gandhi has accepted both labour and capital asmember of the same family. He liked to establish with village democracyand industrial democracy. International Labour conference 13th

sessionconsidered democracy. Labour Minister of France accepting accepting theproposal said, “Labour cooperation can be had only when their honour issafe.” Participation means co- functioning, playing one’s part in anintegrative unity contributing all that one is capable of to the good of theorganization. Participation rests on two foundation stones- co- ordinationand understanding. We need openers and explicitness in discussion. It is amental and emotional involvement of a person in a group situation whichencourages him to contribute to group goals of objectives and shareresponsibilities. Workers Participation in management encourages workersto accept responsibility, change, better decisions, team etc. Becauseindustry is now considered as a social institution. The managementemployees and the community have the equal interests in the survival andprosperity of industry.It is naturally opposed to the master servant relationship aswell as to labour legislation. Between labour and management. It needsmaximum cooperation. Decision are taken by employers and employees,the two main parties as equal co- eperat partners.

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From of participative management.➢Employee Directors.➢Suggestion Progremme of plans.➢Multiple Management (Committee System)➢Labour Management Cooperation.➢Democratize supervision of Management.➢Consultative supervision or Management➢Worker’s Associaition.➢Joint Consultative committee➢Co-partnership.➢Bipartite Associations.So the idea of labour partnership in management is animportant idea as it is an essential step to improve labour relations. Byparticipation in management, workers become a part of management, thusthey do not give birth to labour dispute without any reason. All labourproblems are solved mutually.1 . Effects of Best Industrial Relations .➢Growth in worked’s unity.➢Improvement in working conditions.➢Improvement in wages.➢Progress of labour unions.➢Enactment of labour laws.➢Improvement in industrialists treatment.➢Increase the morale of the workers.➢Increase the production.➢Improves the quality.➢Improves the efficiency of the workman.➢New development schemes are promoted.➢Reduces per unit production cost.➢Workers get job satisfaction.➢It gives a place of honour to workers.➢Problem is solved by mutual consent.➢It develops many incentives schemes.➢It reduces accidents.➢It reduces strikes ]➢Estalblishment of industrial democracy.

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➢Lack of external control➢Increase In worabillty of workers.➢End of industrial struggles.➢Increase in mutual good feeling.➢It reduces absentism.➢Growth of collective bargaining.➢It creats motivation.1. conclusion .It will be evident that the problems of industrial relations in the countryhave been approached in which compulsive measures have beenemphasised on onehand and on the other the voluntary approach has beenencouraged. Over dependence on legislative measures has been severelycriticised on the ground that such measure tend to take away the initiativefrom both the parties to forge their relationship on the basis of mutualunderstanding and respect. Too much protection or having disputesresolved through adjudication mostly to do satisfy parties. From that pointof view legislative measures do not really encourage harmonious industrialrelations which can have a lasting value. Further,it,tends to inhibit thegrowth of collective bargaining so necessary for healthy growth ofindustrial relations. It may, therefore, require some re-thinking on the partof the state to determine how for further legislations should be introducedto regulate industrial relations in the country. Development of collectivebargaining and acceptance of joint consultation as the means for promotingbetter industrial relations in the country. Development of collectivebargaining and acceptance of joint consultations as the means for

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promoting better industrial relations, should get greater consideration thanhad been given hitherto. Though there are many obstacles in the processstill they are the means though which more lasting industrial peace is likelyto come. Therefore, wherever possible, collective bargaining in its truesense should be encouraged to develop both at the plant and industry level.

INTRODUCTIONTOWELFAREMEANING OF WELFAREIndustrial progress depends on a satisfied labour force and in thisconnection the importance of Labour welfare measures were accepted asearly as 1931, when the royal commission on Labour stated, the benefits,which go under these nomenclature are of great importance to the workerand which he is unable to secure by himself. The Schemes of LabourWelfare may be regarded as a ‘Wise Investment’ which should andusually doing bring a profitable return in the form greater efficiency.The encyclopedia of social science has defined Labour welfare work as,the voluntary efforts of the employer to establish, within the existingIndustrial system, working and sometimes living and cultural conditions

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of the Employers beyond what is required by Law, the custom of thecountry and the condition of the Market.In the broader sense, if any include not only the minimum standardof hygiene and safety laid down in general Labour legislation, but alsosuch as aspects of working life as Social Insurance schemes, measures forthe protections of women and young worker, Limitation of hours of work,paid vacation etc. In narrow sense welfare in addition to general Physicalworking conditions, is mainly concerned with the day-to-day problems ofthe workers and the social relationship at place of work.Welfare is the work, which is usually undertaken within thepremises or in the vicinity of undertaking for the benefit of employee andthe members of his family.The purpose of providing welfare amenities is to bring aboutdevelopment of the whole personality of the worker is social,psychological, economic, moral, cultural and intellectual development tomake him a good worker a good citizen and a good member of the family.

THE CONCEPT OF WELFAREThe concept of welfare means some amenities, other than themonetary benefits which are required to be provided to the workers bytheir employers. Such measures are required to maintain the standard ofliving of the workers to some extent. The central and the stategovernment have made rules for the safety and welfare facilities for theworkers. In this context so many Acts have been enacted under which

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certain provisions are statutorily required from the employers. Thesedifferent Acts have covered almost all categories of workers. These Actsare as under: -➢FACTORIES ACT, 1948➢MINES ACT, 1952➢LABOUR PLANTATION ACT, 1951➢MOTOR TRANSPORT WORKERS ACT, 1961➢CONTRACT LABOUR REGULATION & ABOLITION ACT,1970➢INTER STATE MIGRANT WORKERS ACT, 1979All these acts provide some amenities, which are statutory required.But in practical viewpoint, it is the need of the time that there should beone piece of legislation which can protect the interest of almost all theworkers. The introduction of all the provisions of these Acts is notsatisfactory. Effective arrangements should be made for the introductionof all these Acts. Special staff should be recruited and maintained towatch the irregularities in the factories and establishments and to awardsuitable punishments to the defaulters.

WELFARE MEASURES GIVEN INFACTORIES ACT-1948Factories act provides some measures for welfare of employees. Each andevery organization covered under the Factory Act-1948 has to apply thesemeasures. These provisions are given in chapter (5) of the Act. These canbe enumerated as Follows: -Following Provisions relate to the measures to be taken for the Welfare ofWorkers.

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1. WASHING FACILITY (Sec-42): -Section 42 provides that every factory should provide and maintainadequate and suitable washing facilities for its workers. For the use ofmale and female - such Facilities should be separate and adequatelyscreened. Such facilities should be conveniently accessible for all workersand be kept in the state of Cleanliness. The state Government isempowered to make rules prescribing standards of adequate and suitablewashing facility.2. FACILITIES FOR STORING AND DRYINGCLOTHING (Sec-43): -Section-43 empowers the state government in respect of any factory orclass or description of factories to make rules requiring the provisions,theirin of (i) suitable places for keeping clothing not worn duringworking hours, and (ii) for drying of wet clothing.3. FACILITIES FOR SITTING (Sec –44): -There are certain operations, which are performed by the workers onlyin a standing position. This not only affects the health of a worker but hisefficiency also. According to section 44(1), every factory shall provideand maintain suitable facilities for sitting, for those who work in thestanding position so that they may take advantage of any opportunity forrest, which may occur in the course of their work.4. FIRST-AID APPLIANCES (Sec 45): -The following arrangement should be made in every factory in respectof first-aid facilities.a) Provision of at least first-aid box or cupboard, subject to following

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conditions, for every 150 workers ordinarily employed at any onetime in the factory.b) It should be equipped with prescribed contents and nothing elseshould be stored in it.c) It should be personally maintained and readily accessible during allworking hours.d) A responsible person who holds a certificate in first-aid treatment,recognized by the state government should be made the in-chargeof first -aid box or cupboard. Such a person should be readilyavailable during working hours of the factory. Where there aredifferent shifts in the factory, a separate person may be appointedfor each shift, provided he is responsible person and trained infirst- aid treatment.e) Where more then 500 workers are ordinarily employed in a factory,an ambulance should be provided and maintained by every suchfactory. Such room should be of prescribed size containingprescribed equipments and is in the charge of such medical and nursingstaff as may be prescribed.5. CANTEENS (Sec-46): -a) The state government may make rules requiring that in anyspecified factory where more than 250 workers are ordinarilyemployed, a canteen or canteens shall be provided and maintainedby the occupier for the use of workers.b) Such rule may relate to any of the following matter: -(i) The data by which canteen shall be provided.(ii) The standard in respect of construction, accommodation, furniture andother equipment of the canteen.(iii) The foodstuff to be served and the price to be charged.(iv) The item of expenditure in the running of the canteen, which are not

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to be taken into account in fixing in the cost of foodstuffs and which shallbe born by the employer.(v) The constitution of a managing committee for the canteen andrepresentation of thes workers in the management of the canteen.(vi) The delegation, to the Chief inspector, subject to such conditions asmay be prescribed, of the power to make rules under clause (iii).6. SHELTERS, REST ROOMS AND LUNCH ROOMS (Sec-47): -The provision of some sort of shelter is must, where the workers can taketheir meals brought by them during rest interval. The followingprovisions have been made in this respect:(i) In every factory where more then 150 workers areordinarily employed, the occupier should make adequateand suitable arrangement for shelters or rest rooms andlunch room with provision of drinking water where theworkers can take rest or eat meals brought by them.(ii) Such places should be equipped with the facility ofdrinking water.(iii) Such places should be sufficiently lightened, ventilatedand kept in cool and clean conditions.(iv) The construction and accommodation, furniture andequipment of such places should confirm the standards, ifany, laid down by the state government. By a notificationin the official gazette, the state government may acceptany factory from the compliance of these provisions.7. CRECHES (Sec -48): -Following provisions have been made in respect of crèches in thefactories: -(i) In every factory where there are more than 30 womenworkers ordinarily employed, the facility of suitableroom or rooms should be provided and maintained for theuse of children under the age of six years of such women.(ii) There should be adequate accommodation in such rooms(iii) This place should be sufficiently lightened and ventilatedand kept in clean and sanitary conditions.(iv) Women trained in the case of children and infants should

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be made in-charge of such rooms.8. WELFARE OFFICERS (Sec-49): -In every factory where in 500 or more workers are ordinarily employed,the occupier should employ such number or welfare officers as may beprescribed. The state government is empowered to prescribe the duties,qualification and conditions of service of such welfare officers. Theprovisions of section -49 also applied to seasonal factories like sugarfactories etc.9. POWER TO MAKE RULES (Sec-50): -The state Government is empowered to make rules exempting andfactory or class or description of factories from the compliance ofprovisions of this chapter, provided after native arrangements for workerswelfare have been made to the satisfaction of the authorities. Such rulesmay require that workers representative shall be associated with themanagement of the welfare arrangement of the workers.CLASSIFICATION OF WELFARE MEASURESWelfare work may be classified in various ways: -Firstly, it may be classified into the following three categories:Statutory Welfare Work: Some welfare work may be distinguishedfrom the categories in that, it comprise of those provisions of welfarework whose observance is binding on employers under variousenactments.Voluntary Welfare Work: this category includes all those activitiesconducive to the welfare of the workers, which are undertaken by theemployers themselves of their own free will. Some social organizations

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also undertake this type of work.Mutual Welfare Work: it means a corporate enterprise of the workerswith a view to make improvement in their lot. Activities of the tradeunions, which are conducive to the welfare of their members, areincluded in this category.Further welfare measures may be classified into two categories:Welfare Work inside the factory: this is the intra – mural welfare workincluding various facilities and amenities provided to the workers insidethe factory e.g. provision of drinking water, cleanliness and sanitation,canteens, crèches, medical facilities, first aid appliances etc.Welfare Work outside the factory: This is called extra- mural welfarework including the provisions of facilities outside the factory e.g.provision of educational and recreational facilities, amusements, gamesand sports, housing and medical facilities, transport, etc.

SCOPE OF EMPLOYEES WELFAREAccording to the committee on employees welfare, welfare servicesshould mean such services, facilities and amenities as adequate canteens,rest and recreation facilities, sanitary and medical facilities, arrangementsfor travel to and from the accommodation of workers employed at adistance from their homes and such other services, amenities andfacilities including social security measures, which contribute toconditions under which workers are employed.Employee welfare includes both Statutory as well as non-statutoryactivities undertaken by any of the three Agencies: -➢Employers➢Trade Union➢Government for the physical and mental development of workers.

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SIGNIFICANCE OF EMPLOYEE WELFAREThe logic behind providing welfare facilities is to create efficient,healthy loyal and satisfied Labour force for the organization and also forthe nation. In India, industrial workers get the benefit of various welfarefacilities. The purpose is to provide them better life and also to makethem happy and efficient. The other equally important purpose is to raisetheir productivityEMPLOYEES WEFARE AT NFL ,PANIPATThe Company is very conscious of the Welfare of its Employees. Itprovides a number of facilities to the employees at all the unit.➢At PANIPAT UNIT, there is a Modern Township, which is spreadover an Area of 100 acres. There are 900 Dwellings in Township.➢Company has provided 30-Bed HOSPITAL in Heart of Township.Hospital is equipped with necessary Facilities like X-Ray, Clinicallaboratory, operation theatre, E.C.G, Respiratory Equipment etc.➢Management Provides Canteen Facility to its Employees inFactory.➢Playground for all Outdoor games.➢A Community Hall to sit 600 Persons.➢School (KendriyaVidyalaya)➢Shopping Center➢Members Club➢Bank and Post-Office.➢Facility of ATM in NFL Township.

WELFARE SCHEMESAIMS AND OBJECTIVES OF WELFARESCHEMESThe aim and objectives of welfare schemes are as follows: -➢It is good since it enables the workers to enjoy a richer and fullerlife by providing them those amenities and conveniences of life,which they themselves cannot provide.

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➢It is partly economic since it improves the efficiency of labour,increases its availability where it is scarce or help to secure betterclass of workers by keeping them contended, it minimizes thechance of any industrial disharmony and establishes industrialpeace.➢It develops a sense of responsibility and dignity among the workersand then makes them noble and civilized citizens.➢It also keeps the efficiency and morale of workers high whichcreates a sense of honesty and integrity among workers.➢Subsequent effect of all the above aims establishes a good labourmanagement relation, which is essential for the smooth functioningof the industry.➢It also encourages worker’s participation in management throughsuggestions received from the workers.WELFARE SCHEMESSTATUTORY NON STATUTORYMOMOTIMOTIVATIONAL OTHERSProvidentFundDLISDeath linkedInsuranceSchemePensionSchemeGratuity(GPAI)GroupPersonnelAccidentInsuranceSchemeNFL Social SecuritySchemeGSLIGroup Saving

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Linked InsuranceFamily WelfareBenevolentSchemeIncentive forpromoting smallfamily normsProductionIncentiveHigher Edu.Scheme forEmployees.PromotionpolicyTraining&DevelopmentLoan &AdvancesTownshipFacilitiesMedical,Shoppingcenter,Educationalfacilityetc.Canteen

STATUTORYWELFARESCHEMESPROVIDENT FUND SCHEMEEvery employee of the company including trainees (exceptApprentices engaged under the Apprentices Act and Govt. servants on

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loan on foreign service terms) any person employed by or throughcontractors in connection with the work of the company, shall be entitledand required to become member of the fund from the date ofappointment. The rate of contribution is equal to 12% of the salary withmatching contribution from employer side. On the accumulated amount8.5% interest is given.The employees are allowed refundable/non-refundable loans to meetcontingencies such as higher education for children, marriage ofchildren/near relatives, house construction and to meet other socialobligations etc. subject to the condition to be met as provided in P.F rules.

EMPLOYEES PENSION SCHEME 1995All the employees who were the members of Family Pension Fund1971 including new entrants are covered under the employees PensionScheme 1995 under the Employees Provident Fund and Misc. provisionsAct, 1952. (as amended in 1996) which provides pension to the memberson superannuating, retirement, disablement, family pension cover forwidow/widower, children/orphans pension in addition to widow pension,pension to nominee in case of unmarried members or those having nofamily and provision of the capital return also exist on option. The rate ofcontribution towards EPS is @ 8.33 % of the pay and it is to be divertedfrom employer’s share of PF. In EPS there is a ceiling of 6,500/- onsalary of all employees.PENSION = Pensionable salary*Pensionable service /70

DEATH LINKED INSURANCE SCHEME

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All employees who are the member of provident fund are covered underthis scheme. Salient features of the scheme are as under: -1. Each employee is covered for a uniform fixed amount which atpresent is Rs.1.25 lakh.2. Upon the death of the member while in service, the sum assured ispayable to the nominee.3. The entire premium under the scheme is borne by the employer andthe employee is not required to make any contribution towardspremium payable to LIC.4. Payment of insurance amount is exempted from tax.

GRATUITYWith effect from 24.5.94 all employees irrespective of their salaryare covered under the Payment of Gratuity Act, 1972. As a result thereof,Death-cum-Retirement Gratuity Scheme no more remains in operationhowever, for the purpose of calculation of gratuity, employees or theirnominees are at option to choose any set of benefits, either under thePayment of Gratuity Act, 1972or under the Death-cum-RetirementGratuity Scheme, which ever is more beneficial to them.The benefits available under the Act and the scheme are as under: -PAYMENT OF GRATUITY ACTRATE OF GRATUITY 15 days wages for every completedPAYABLE year of service or part thereof in excessof 6 monthsBy taking a month of 26days subject toA max. of Rs.3.5 lakh.RATE OF GRATUITY INCASE OF DEATH Same as aboveDEATH-CUM RETIREMENT GRATUITY SCHEMERATE OFGRATUITYPAYABLE

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1/4th of EPF. Monthly emoluments for eachcompleted 6 months of the qualifying service orPart there of subject to a max. of 16.1/2 timesmonthly emolument or Rs.3.5 lakh whichever isless by taking a month of 26 days.RATE OFGRATUITY IN CASEOF DEATHDeath during the 1st year ofqualifying service.Death after the 1st year butbefore 5 yrs of qualifyingservice.Death after completion of 5yrs of qualifying service butbefore 20 yrs of qualifyingservice.Death after 20 yrs of serviceor more.2 monthsemolument6 monthsemolument12 monthsemolument½monthemolument

NON STATUTORYWELFARESCHEMESNFL SOCIAL SECURITY SCHEMEOBJECTIVE OF THE SCHEME: -

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To provide financial benefits to an employee /nominee of the deceased asthe case may be in the event of death/permanent total disablement/retirement on medical grounds.ELIGIBILITY: -All regular employees including company Trainees appointed againstregular posts who died while in service or suffered permanent totaldisablement or retired on medical grounds, on or after the date ofimplementation of the scheme. The scheme w.e.f 11.12.1998.BENEFITS UNDER THE SCHEMEUnder this scheme the employee’s dependent family members shall beprovided lump sum benefit equivalent to Basic pay+DA (restricted to Rs15000/-pm) for 50%of the left over service limited to 60 months pay,whichever is less to be released in a phased manner. It is subject to taxdeduction under the Income Tax Law. Minimum amount payable isRs.1,00,000/-RELEASE OF PAYMENTSThe payment under the scheme/ shall be released in a phased manner asindicated below:1st year 40% of admissible amount2nd year 20% of admissible amount3rd year 20% of admissible amount4th year 20% of admissible amountCONDITIONS FOR BEING BENEFICIARY UNDER THESCHEMEThe benefits shall not be extended in the following circumstances: -i) Employee whose spouse is in the employment.ii) Outstanding loans/advances and other dues, if any, taken by the

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Employees from the company have not been repaid/settled.iii) Company quarter, if allotted has not been vacated.

BENEVOLENT SCHEMEThis Scheme was introduced in w.e.f 1st November 1994. In terms of theBenevolent Scheme, in the event of death of an employee of NFL underany circumstances during service, all employees of the companycontribute an amount of Rs.25/- each from their salary and the totalamount so collected is paid to the nominee of the deceased employee.There is however no contribution from the management side.GROUP SAVING LINKED INSURANCE SCHEMEThe Group Saving Linked Insurance Scheme (GSLI) of the LIChas been introduced in all units/office of the company providing coverageof insurance amount ranging from Rs.30,000 to Rs1.20 lakh in the eventof death of an employee. The scheme provides for a monthly contribution@ 1% of the total sum insured. Out of which 35 % is appropriatedtowards risk for insurance cover and 65 % is credited to Saving Portion.The saving portion earns interest @ 11% P.A.The contributions paid under the scheme are eligible for exemption underthe Income Tax Act. 1961. The maturity proceeds or claimed amount arealso free from Income Tax. The contributions are payable on monthlybasis through deduction from employees salary.In the event of unfortunate death of a member covered under the scheme,the nominee becomes entitled for the life insurance benefit as applicableto the member’s category plus the amount accumulated with interest inthe saving fund account of the member.

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In case of survival up to the normal retirement date or early withdrawalby resignation or termination of the service, the total amount accumulatedin the savings portion with interest lying to the credit of the member inthe saving fund account becomes payable.

SPECIAL WELFARE FUND SCHEMESCOPE: - The fund known as “NFL employee special welfare fund ’’will cover all workers in the unionized categories.AIMS AND OBJECTS: - The object of this fund is to undertakewelfare projects in the neighborhood of the company’s office or forgiving relief to the hard cases inside the establishment.SUBSCRIPTION: -The fund shall comprise of: -Contribution of Rs.2/- per head.Grant of Rs.1000 p.m by the management in case of each unit andRs.500/- p.m each in case of marketing division and head office, providedit doesn’t exceed the matching contribution of the members.ESTABLISHMENT OF THE COMMITTEE TO MANAGE THEFUND: -For the purpose of administration of the fund, a committee of 6 personsshall be constituted in each unit and at central marketing office and headoffice of the company there will be a chairman of the committee whoshall be the nominee of the management. The company shall provide thefacility for the internal audit of the fund.OPERATION OF THE FUND: -The fund shall be utilized in the following way: -For providing relief to the hard cases inside the establishment e.g.

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unforeseen calamities, misfortunes, prolonged illness of the employeesnecessitating his/her absence on extra-ordinary leave withoutpay, on medical grounds.For undertaking the welfare projects in the neighborhood.UTILISATION OF THE FUND BY THE COMPANY: -The company has made road many times in Vikas Nagar which is thenear by attachment to the NFL Township Panipat.NFL Panipat has also donated ceiling fans in Sanjay Gandhi EyeHospital.NFL Panipat has also donated Fridge in Mother Teresa Charity Home etc.

INTER COMPANY DEATH BENEFITSCHEME-DISCONTINUED IN e.f 1.04.02In order to provide better security & to inculcate a sense of brotherhoodamongst the employee of FCI-NFL group of companies in the event ofdeath of any employee due to any reason during service, contribute anamount of Rs.1/- each from their salary & the total amount so collected ispaid to the nominee of the deceased employee. The total amount underthe scheme payable to the nominee works out to Rs.26500/-approximately.The above scheme was introduced as a result of wages settlement signedwith the recognized Union of FCI-NFL Group of Companies & was madeapplicable w.e.f 30.10.1983

FAMILY WELFARE SCHEMEUnder this scheme every employee of the unit NFL Panipat contributesRs.5/- each from their salary & the total amount so collected is paid to the

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nominee of the deceased employee.The total amount payable to thenominee works out to Rs.4500/- approximately.

GROUP PERSONAL ACCIDENTALINSURANCEUnder this scheme all the employees of NFL whether they may beworkmen, trainees, apprentices, or on deputation all are covered. In thisscheme risk cover is for 24 hours. In case of temporary disablement 1%of capital sum insured per week is given subjected to maximum 104weeks.GPAI = percentage of loss*relevant factorSlab(BP+DA) Usual cover forTemp. disablementDeath or TotaldisablementTotal (Rs.)FatalUp to 7850/- 1,00,000 4,25,000 5,25,0007851/- to 8910/- 1,30,000 4,25,000 5,55,0008911/- to10300/-1,60,000 4,25,000 5,85,00010301/- to12500/-1,90,000 4,35,000 6,25,00012501/- to above 2,80,000 3,85,000 6,25,000

MOTIVATIONALSCHEMESINCENTIVE SCHEME FOR PROMOTIONOF SMALL FAMILY NORMS

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CASH INCENTIVERs.500/- to those who have 2 or less children and they or theirspouse undergo vasectomy / Tubectomy operation.Rs.250/- to those who have three children and they or theirspouse undergo this operation.Rs.125/- to those who have more than 3 children and they or theirspouse undergo this operation.Reimbursement of all medical expenses incurred in connection withsterilization operation on production of requisite certificate and moneyreceipts from any organized Hospital.SPECIAL CASUAL LEAVEa) Special casual leave not exceeding 6 working days to male employeeswho undergo sterilization operation (Vasectomy). Sunday & weekly offsfalling in between the special casual leave are ignored.b) Special casual leave not exceeding 14 working days to female whoundergo non- puerperal tubectomy operation.SPECIAL INCREMENTThe employee who themselves or their spouse undergo sterilizationoperation after having three or less serving children shall be granted aspecial increment in the form of special pay not to be absorbed in futureincrease in pay either in same post or on promotion to higher post. Theincrement would be allowed from the first of the month following thedate of sterilization.

EMPLOYEE DEVELOPMENT SCHEMEIn welfare schemes, training and development programs foremployees is also included. These programs are done to make employees

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more efficient.Incentive admissible to the employees on acquiring higher qualificationswhile in service of the company:-Sno.ExistingqualificationEligibility criteriafor incrementsNo. ofadvanceincrementsEligible Categoriesa) TECHNICAL1) Non Matric orMetric withITIMatric/Pre basic 1 Up to the scale ofRs.5550-89102) Matric/PrebasicBasic course/ITI 1 Up to the scale ofRs.5550-89103) Matric+ITI/ISC/basiccourseB.Sc./Diploma inengineering/Adv. course1 Up to the scale ofRs.6550-113504) B.Sc./Diploma inengineering/advancecourseAMIE,AMI,Chem.

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Engg/AIC/Postgraduate diploma inProd/Project Mgt.of two yearsduration Awardedby the StatutoryUniv /Institutions2 Up to the scale ofRs.10750-167505) Engg.GraduatesM.Tech/MBA/P.G.DIP. in Project Mgt.awarded byStatutoryUniv/ Institutions2 Up to the scale ofRs.10750-16750b) NONTECHNICAL1) Non Matric Matric /Pre basic 1 Below the scale ofRs.4650-65502) Matric/Prebasic/Basic/B.Apart 1 InterGraduate/B.Com 2 Up to the scale ofRs.6100-97103) Graduate/B.Coma)Master DegreeM.A(pub Add)s2 Up to the scale ofRs.10750-16750b)M.A(economic) 2 Up to the scale ofRs.10750-16750c) L.L.B 2 Up to the scale ofRs.10750-16750

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d)M.Com/BusinessAdmn.)2 Up to the scale ofRs.10750-16750e)M.Com/M.Com(Acc& Businessstatic/C.A/ICWA/Company Secretary2 Up to the scale ofRs.10750-16750f)M.B.A withSr.liasonin Financial Mgmt.2 Up to the scale ofRs.10750-167504) DIPLOMA a) P.G Diploma inpers. Mgt. & Ind.Relationb) P.G diploma inOfficer Org. &procedures.c) P G Diploma inmaterial mgt.d) P.G DiplomainJournalism/Diplomain Public Relatione) P.G Diplomain Marketing &Sales Mgt.11111In case ofemployee up to thescale of Rs.6550-11300.

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Non technical sideadv. Incrementwould be givenonly if they acquireany of thesequalification whichcould becomefunctional relevantto them as & whenthey start working.5) Post graduate Ph.D 2 Up to the scale ofRs.10750-167506) MBBS/BDS 1 Diploma inmedicineSurgery.2 Masters Degree inMedicine surgery.2 Up to the scale ofRs.10750-16750

OTHERWELFARE SCHEMESSCHOLARSHIP TO THE MERITORIOUSCHILDREN OF NFL EMPLOYEESThe salient features of the said scheme are as under:-Children of NFL employees studying in schools who secure the first threeposition in Annual Examination out of the first five (for SC/ST, the firstthree position among SC/ST student) in the classes mentioned against eachin the next class tenable for one year provided they continue their studiesin the nextclass:

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Children of employee who secure first & second position in Board /University examination would be awarded as under:Position Board examination University examinationX XII Graduate Postgraduate1. Rs.3000/- Rs.3000/- Rs.4000/- Rs.4000/-2. Rs.2500/- Rs.2500/- Rs.3000/- Rs.3000/-

WELFARE EXCURSION SCHEMEA) Two Excursion Trips in a calendar year are arranged by the Club atUnit. However at Mktg. division & Corporate Office where there are noclubs, such excursion trips are arranged by the concerned welfare/industrialrelations department. Under the scheme, the places to be visited duringsuch Excursion trips are arranged within a distance of 400 km each wayfrom the township/place of work. One night stay is also allowed for thesaid trip. However company does not bear any extra expenses on accountof fooding or lodging. The employees make their own arrangement fornight stay and avail their own leave.B) Management provide hire charges for two buses trip at Unit & totalthree buses for two trips at C.O & CMO.Class Amount of scholarshipI to IV Rs.35/-V to IX Rs.60/-X to XI Rs.100/-C) A sum of Rs.25/- per member per year is also given to the respectiveclubs & where there are no clubs the amount @ Rs25/- per employeeavailing the facility is placed at such trips. All other expenses on such

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trips are however met through the contribution of employees availing thisfacility.

LONG SERVICE AWARD SCHEMEIn terms of company’s policy regarding grant of long service award,employees are given an award on completing specified length of serviceof 10/15/20/25/30 & 35year as per details given below:Sr. no. No. of year of service in Co. Amount of award1) On completion of 10 years Rs.900/-2) On completion of 15 years Rs.1150/-3) On completion of 20 years Rs1250/-4) On completion of 25 years Rs.1500/-5) On completion of 30 years Rs.1800/-6) On completion of 35 years Rs.2200/-The above amount is credited to the Optional Provident Fund Amountof the concerned individual.

BLOOD DONATION CAMPSNFL time to time organizes Blood Donation Camps & Free MedicalCamp to help the society. In the Free Medical Camp NFL providestransport facilities to the patient from nearby villages. Consultation,clinical test & medicines are also provided free of cost.NFL also organizes BaisakhiMela& Diwali Mela for the welfare of thesociety. From the income of mela, it helps the needy & poor.

WELFARE AND SPORTS FACILITIESFollowing grant/facilities are provided:-Sports Grant-Under this head, budget allocations are made for the following:-1) Annual Sport/Welfare grant.2) Grants for holding inter – unit Tournaments.3) Sponsored Tournament.Given below are break up of grants for sport activities:-Unit Annual Grant Budget For Inter Sponsored TA/DA

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For Sports Unit Tournament TournamentMajor MinorGames GamesNangal 80,000/- __ __ 25,000/- 30,000/-Vijaypur 60,000/- __ __ 25,000/- 60,000/-Bhatinda 60,000/- __ __ 25,000/- 30,000/-/PanipatCO/CMO 30,000/- __ __ Actual be complied byTaking into account no.All units 35,000/- 15,000/- of games, no. of players/Offices deputed etc.

SELF INSURANCE OF OUTSTANDINGHOUSE BUILDING ADVANCEA self insurance scheme for the purpose of providing insurance cover foroutstanding HBA & interest due thereon is in vague in the company withinthe following parameters:-a)Employee who have taken HBA from the company contribute Rs.2/- perone thousand per annum w.e.f 1.4.2000 on the amount of HBA outstandingand interest due thereon in her/his name as on 1 April of each financialyear, which is recoverable in 12 equal monthly installments from thesalary of employee.b) The fund so generated is utilized to meet the liability of deceasedemployee towards repayment of HBA & interest accrued thereon.c)For matching contribution on behalf of company necessary accountingadjustment are carried out at Corporate Office at the time of death of anemployee with regard to the outstanding amount of HBA along withinterest thereon by debiting Company’s share to the respective unitoffice.

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d) The fund is managed by a governing body comprising ofrepresentative there of Management Officer’s Association & recognizedunions.e) The said scheme was introduced in the company w.e.f.1/4/1992Relief Measure/Benefits admissible in case ofDeath/Total Disablement & Retirement onSuperannuation , Premature RetirementBenefit underthe schemeOnsuperannuationOn prematureRetirementOn naturaldeath while inserviceOn death/totalDisablement dueto accidentProvidentFundFull employees& employer’scontributionFull employees& employer’scontributionFull employees& employer’scontributionFull employees& employer’scontributionGratuity As per Act Same as onSuperannuationCum retirementSame as onSuperannuationOr death gratuity

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Scheme whichever is moreSame as onSuperannuationOr death gratuityScheme whichever is morePension As per theprovision of EPS1995As per theprovision ofEPS 1995As per theprovision ofEPS 1995As per theprovision ofEPS 1995Group personalacc. insuranceNil NilNil As per groupPersonal acc.Insurance schemeGroup insurancescheme of LIC inlieu of DLISNil NilOne time benefitPayable to thenomineeSame as in thecase of naturaldeathInter Cos.Death benefitschemeNil Nil AmountEquivalent to totalno. of employeesin FCI-NFL groupOf cos. @ Rs.1Same as in the

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case of naturaldeathPayable to thenomineeBenevolentscheme ofNFLNil Nil An amountequivalent toContribution @Rs.5/- peremployee of NFLSame as in thecase of naturaldeathGroup savinglinked insurancescheme65% of the totalcontribution ofthe employees +interestSame as in thecase ofsuperannuationThe sum insured+ 65% ofemployeescontributionSame as onnatural deathSelf insuranceOf outstandingamount ofHBANil Nil The liability ofdeceasedemployee towardHBA taken fromthe co. & interestthereon is met outof the

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accumulation inthe self ins. fundSame as onnatural deathEL/HPLencashmentSubject to theCondition thatencashment ofEL & HPLtogether shall notpay full ofWhich HPLcomponent wouldnot exceed 120dayFull paySame as onsuperannuationSame as onsuperannuationSame as onsuperannuationTravelingallowanceFor self &family as perT.A rules forHome townSame as onsuperannuationConcessionavailableTo familymembersAs per T.A rulesfor home townSame as onnatural death

RELEIF MEASURE TO THE FAMILIES OF THEDECEASED EMPLOYEE IN CASE OF DEATH /

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PERMANENT TOTAL DISABLEMENT WHILE INSERVICEa) In the event of death of an employee at any place other than at theplant while on duty, the company will arrange for the transportation ofthe body.b) An amount of Rs.2500/- shall be payable to the family of the deceasedemployee as Funeral Expensesc) All dues will be paid nearly within 15 days from the date of death ofthe employee.

TOWNSHIPAt Panipat unit, there is a modern township, which spreads over an areaof 100 acres. There are 900 dwellings in the township, whichaccommodate officers, workers. Company also gives liberal housebuilding advance at nominal interest to the employees to construct theirown houses.MedicalfacilitySelf & spouseTo the extentAvailable in Co’shospital onpayment ofPrescribedsubscriptionNil To the extentavailable incomp. hospitalfor the dependentfamily membersof the deceasedemployee duringthe period ofRetention ofcomp.

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Accommodationby suchdependentsSubject to a max.of Six monthfrom the date ofdeath.Same as onnatural death

HOSPITALCompany has provided a 30-bed hospital in the heart of the township.Hospital is equipped with necessary facilities like, X-Ray, clinicallaboratory, operation theater, ECG, respiratory equipment etc. The firstaid center is located within the factory premises with an ambulance keptin readiness. Medical facility is extended to all the employees and theirdependents. If required, patients are sent to the approved outside hospitalsand nursing homes for specialist treatment.

MEDICAL FACILITYIN FAMILY FOLLOWING ARE INCLUDED: -Family mean’s Husband or Wife as the case may be parents,children’s step children &children taken as wards, subject to thefollowing conditions: -Son: - till he starts earning or attains the age of 25 years.Daughter: - till she starts earning or gets married, whichever is earlier.The income limit of Rs. 1500 p.m for dependents would beinclusive of income from all sources including pension and pensionequivalent of DCRG benefits and exclusive of the relief on pensionsanctioned after Dec 1995.There are following medical facilities are provided: -➢INDOOR TREATMENT FACILITY.➢OUTDOOR TREATMENT FACILITY.INDOOR TREATMENT FACILITY: -

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Reimbursement towards Indoor Treatment will be restricted as under:For self, spouse and dependent children – 100%For parents - 80%OUT DOOR TREATMENT FACILITY: -Maximum ceiling limit for a financial year on OPD Treatment: -1.5-month salary.Reimbursement procedure: -100% reimbursement will be made up to one-month salary.50% reimbursement will be allowed in case the expenditure onaccount of OPD treatment exceeds one-month salary and is up to 2-month salary.No reimbursement will be allowed towards OPD treatment in casethe amount exceeds 2-month salary.

PERIODICAL HEALTH CHECK UPThe appointment to any regular post in the company is subjected tomedical fitness. All employees working in the unit are required toundergo medical checkup annually from the company’s hospital.

CANTEENManagement provides canteen facility to its employees in the factory.Eatables are supplied to them at the place of work at regular intervals.Hygienic conditions are also maintained in all the canteen services.The canteen is very neat and clean. It is being cleaned regularly 2times a day and also washed with detergent once in a week. In canteenproper ventilation and light is provided. Canteen has a sitting capacity of80 persons at a time. Ten fans, five desert coolers and one water coolerare provided for hot summers. Telephone facility is also given. There is anotice board and complaint book is also available.

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Canteen runs on contract basis for which tenders are invited. A securityof Rs.95000/- is to be deposited in the starting.NFL canteen

RECREATION CENTERSCompany has provided recreation centers for employees and officersthese are:➢FERTILIZERS CLUB➢MANORANJAN KENDRAThese two recreation centers are situated with in the township. Variousactivities & competitions are organized at these places. These are veryuseful for the overall development of the employees. By participating invarious kinds of activities the employees feel refreshed and energetic.There are two playgrounds also for all out door games.

LOAN AND ADVANCESAll the regular and confirmed employees of the company are eligible fortaking following loans and advances: -➢Payment of salary advance➢Advance for purchase of conveyance➢Advance for initial setting up of household➢House building advance loan etc.

COMMUNITY HALLCompany has a community hall in township for conferences, meetings,marriages and other parties. 700 persons can gather there at a time. Incommunity hall there is a stage which has a very good sitting capacity.Management organizes various activities &programmes in this hall.Various cultural programmes of school are also organized in this hall.

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EDUCATION FACILITYCompany has provided a school KENDRIYA VIDYALAYA which is upto 12th standard. The studies in the school are really very good. In thisschool ward of both workmen and officer study together.

SHOPPING CENTREShopping center is also located in the township. There are many shops inthe shopping center. All things of daily use are available at shoppingcenter. Good quality product are provided here at reasonable rates. Astownship is situated 4 km away from the city, services of shopping centerpay much. It is a useful concept for employee welfare

POST OFFICEOne Post office is also situated in the township. One need not to go to cityfor letters,parcels or money orders.ATM service is also available in the township. Now it’s very easy for theemployees to withdraw money at any time.

EVALUATIONOfSCHEMESIMPORTANT BENEFITS OF WELFARESCHEMESAn employee devotes his one fourth of life in the work place. Thereforeit is the social and moral duty of the employer to provide him proper

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atmosphere and facilities. These facilities gives economic benefits toobecause these efforts increase productivity and moral of the employees.After studying all welfare schemes of NFL Panipat, here is summary ofbenefit of these schemes: -HIGHER PRODUCTIVITYThe employees in NFL Panipat are highly productive. The employees arehighly productive because they are satisfied with the welfare benefits.The company is wining the trust of employees by providing welfaremeasures. As a result the employees feel that company is doing its duty,now it’s there duty to work efficiently and by doing this there efficiencywill increase.INDUSTRIAL PEACEThere is a high degree of industrial peace in the unit. By adopting variouswelfare measures by the company there is job satisfaction amongemployees that increases peace in industry and no dispute arises.MINIMUM LABOUR TURNOVERDue to welfare activities in the factory and in the township theemployees are satisfied. Working conditions in the factory are also verygood. Various committees are there in the factory for listening to theemployee’s problem. If the problem is serious proper action is takenimmediately as a result the employees feel satisfied and the tendency oflabour turnover is reduced.LOWER ABSENTEEISMGood working condition reduces the absenteeism. The workingconditions in the unit are really very good & all the facilities are

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provided to the employees as a result they are totally satisfied whichlowers the absenteeism.SATIESFIED WORK FORCEIf welfare measures are proper the workers feel satisfied. In Panipat unitthere is proper participation by the workers in management decisions. Asa result the employees feel themselves as an important part of themanagement and this creates a feeling of satisfaction among employees.OTHER BENEFITS ARE AS FOLLOWS: -Welfare facilities provide better physical and mental health to theworkers and make them happy.Such service facilities like housing scheme, medical benefits,Education and recreation facilities for the workers, families helpcreate contented workers families.Employers get stable labor force due to the provision of welfarefacilities; workers take active interest in their jobs and work with afeeling of involvement and satisfaction. They also find their workinteresting.Employee welfare measures raise lobour productivity and bringIndustrial peace and cordial labour- management relations.An employer is able to attract talented workers from the lobourmarket by providing attractive welfare facilities.The social evils prevalent in the lobour force such as gambling,drinking, etc are reduced. Welfare activities by the employer bringimprovement in the health of the workers and keep the cheerful.

AREA OF PRACTICAL EXPERIENCEStudy and observation of personnel department.Study about recruitment and selection procedure.Study about reservation policy.Observation and Maintaining canteen.Study and observation of PR (Public Relation) Department.Maintaining leave recordsStudy about Administrative department function.

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Study and maintaining employee’s record.Pay fixation.Pension calculation.Study and observation of service record maintained.Study of the function and working of time office.Learning about working of PF. Section.Study about disciplinary actions.Observation procedure regarding promotion, transfer etc.Learning about HRD training procedure.Study about function of Vigilance.Study and observation about labour laws.Study about Welfare scheme.

OBSERVATIONS1. PERSONNEL &ADMINISTRATION Dept. executives and allstaff maintain an attitude of cooperation and assistance.2. Mobile camera is not allowed inside the company but with fewexceptions.3. Maintaining safety provisions and safety level to the higheststandard.

SWOTANALYSISSWOT ANALYSISSTRENGTHS: The main strength of NFL Panipat is their employees.The total no. of employees is 900 approximately.Right people at right placeGood working conditionsSocial securityFinancially sound companyWEAKNESSES:Willing people are overloadedStaff’s much more involvement in workIndustrial pollutionOPPURTUNITIES:

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Growth in fertilizer consumption in eastern market of thecompany.Marketing of agricultural input services under one roof.Marketing /production of seed pesticides.Marketing of the engineering services and association in jointventures in India /abroadTHREATS:Declining trends in consumption of nitrogenous fertilizers inpredominant market areas.Increase in competition.

CONCLUSIONCONCLUSIONFrom the findings and analysis it was seen that most of the employees arehaving the opinion that welfare schemes means job satisfaction, securityand development.Research has shown that most of the employees are satisfied with thewelfare schemes facilitated by the company N.F.L and they are getting allthe facilities in time and also according to their needs, which ultimatelyand automatically help company &employees to achieve common goal.Thus management should take care of their workers by providing themdifferent schemes so that they feel contented.

CASE STUDYCASE STUDYThis case study is about the welfare schemes prevalent in NATIONALFERTILIZERS LTD. It is an NFL employees’s case and here we willcalculate the total benefits provided to the family of deceased.

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CASEAn NFL employee named SUBHASH CHAND joined N.F.L on 17.08.78as a sr. clerk. He worked sincerely for 28 yrs&10 months.He expired on 05.07.07. At that time he was enjoying the post ofSENIOR MANAGER (Finance & Administration) having basic pay ofRs.19,200 + D.A [email protected]%.His due date of retirement was 31.12.2014 but in between he died due tosevere illness .His wife namely Mrs. Santosh was the nominee .He alsohad three children named Shikha, Parul, &Nitin.We have to calculate the total fund received by the bereaved family.It includes:1. provident Fund2. pension3. Gratuity4. EDLI5. GPAI6. Social security7. Family welfare scheme8. Benevolent scheme9. GSLI10.Leave Encashment

SOLUTION( I ) PROVIDENT FUNDEPS A/CNO.CONTRIBUTEDP.FORIGINALP.FCO.CONTRIBUTION PERSONALLOAN82/6059SUBHASHCHAND4,87,588/- 41,900/- 7,57,983/- 2,81,000/-

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Net bal. 10,06,471 (with interest @8.5%)( II ) PENSIONAs per guidelines monthly child pension for each child should be equal to25%of the amount admissible to the widow provided that the monthlychild pension is for two children.(ceiling for calculating pension is Rs.6500/-)Widow pension ( Mrs. santosh) = 2051/-Children pension1). Kmr. shikha = 501/-2). Kmr. Parul =501/-( III ) GRATUITYTotal service = 28 yrs 10 months 8 daysLast pay drawn = 32851 /-Gratuity =( B P + D.A ) * 15/26 * no. of years of serviceThereforeGratuity = 32851.20 *15 * 29/26=Rs.5,49,625.84(IV) EDLIAcc. to DLIS Act, 1976 approximately sum of Rs.1.25 lkh is given to thenominee of deceased.(V)GPAIThis is not applicable in the case of Sh. Subhash Chand, because it is onlyprovided in case of accidental death.(VI)Social security schemeAlthough his salary was 32851/-but acc. to this scheme restricted amountis 15000/-Left over service = 6 yrs 6 months 26 daysso total left over service =78 months50% left over service =78*50/100 = 39 monthsTotal amount = 15000*39 = 5,85,000/-But total amount under social security is given in four instalments i.e.40:20:20:20INSTALMENTS GIVEN AMT. PERIOD

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Ist5,85,000*40/100=2,34000 /-Just afterdeathIInd5,85,000*20/100=1,17,000 /-After 1 yrIIIrd5,85,000*20/100=1,17,000 /-After 2 yrsIVth5,85,000*20/100=1,17,000 /-After 3 yrs( VII ) Family welfare schemeTotal no. of employees =900Each employees contribution =Rs.5 /-Total amount =900* 5 = 4500/-( VIII ) Benevolent FundTotal strength of company = 4890Each employees contribution =Rs.25/-Total amount = 4890 * 25 =1,22,250/-(IX) GSLISubhash Chand’s contribution =120/- p.mTotal Service =28 years & 10 monthsAmount accumulated =41520/-Interest @ 11% = 29686.865% of the amount accumulated= 26988Basic amount= 120000Total GSLI= 29686.8+26988+120000= 176674.8/-(X) Leave EncashmentTotal leave =240 daysBasic pay +D.A =32851Leave encashment =240*32851/26L.E = 303240/-(XI)Funeral charges = 2500/-

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Total amount given to the nominee of thedeceased= 28,75,261.6/- + Pension of 3053/-p.m

BIBLIOGRAPHYBIBLIOGRAPHY➢Factories Act, 1948➢Labour welfare, social security and industrial peace in India byMamoria&Mamoria.➢Vani (National Fertilizer Ltd. , corporate office, New Delhi➢Human resource Management by CB.Gupta.➢National fertilizers.com➢Matter and references from NFL library.➢Alta vista goggle and other search engines

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