A STUDY ON EMPLOYEE ABSENTEEISM IN PONDS EXPORTS LIMITED, PUDUCHERRYSUMMER PROJECT REPORT Submitted by T. SATHIYA SUNDARAM REGISTER NO: 27348338Under the guidance of

Mr. JAYAKUMAR, M.E., M.B.A., MISTE Faculty, Department Of Management Studiesin partial fulfillment for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

DEPARTMENT OF MANAGEMENT STUDIES

SRI MANAKULA VINAYAGAR ENGINEERING COLLEGE PONDICHERRY UNIVERSITY PUDUCHERRYSeptember 2007 TABLE OF CONTENT

LIST OF TABLES LIST OF CHARTS ANNEXURES 1. QUESTIONNAIRE CHAPTERSI II III IV

TITLE INTRODUCTION REVIEW OF LITERATURE OBJECTIVES OF THE STUDY RESEARCH METHODOLOGY DATA ANALYSIS AND INTERPRETATION FINDINGS, SUGGESTIONS AND RECOMMENDATIONS OF THE STUDY CONCLUSION LIMITATION AND SCOPE FOR FURTHER STUDY

PAGE NO. 1 6 12 13 17 39 41 42

V

VI VII

VIII

2. BIBLIOGRAPHY

ACKNOWLEDGEMENTWith the divine blessing of god, I take immense pleasure in stating the acknowledgement for this project. I express my deep gratitude to Mr. N.KESAVAN, Chairman, Mr.M.DHANASEKARAN, Managing Director and Mr.S.V.SUGUMARAN, Vice Chairman, Sri Manakula Vinayagar Engineering College. My special thanks to our college Mr.V.S.K.VENKATACHALAPATHY for extending me morel support during the course of this work. My special thanks to Mr.S.JAYAKUMAR, Head of the Department of Management studies for his motivation and providing me the permission in doing this project. I wish to thank my internal guide Mr. G.BALA SENDHIL KUMAR for being so resource full from the beginning of this project and help to bring this project successfully. I thank my external guide Mr.LUCAS, Advocate cum Personal Manager of Hidesign, Puducherry for giving me this opportunity to do this project work in their organization and for guiding me throughout the project duration I wish to thank all other faculty members of the department for their co-operation and encouragement throughout my project work. I am also thankful to the all employee of Hidesign, Puducherry for providing me the details about the company for the completion of the project. Last but not least I thank my parents and friends who were very supportive to me during this project.

ABSTRACTThe welfare measure is An effort to make life worth living for workmen. It motivates employee to a great extent which leads to organizational growth. It is a major factor which affects the employee morale. The study on effect of welfare measure on employee morale in HIDESIGN, Puducherry was done to evaluate the level of satisfaction of employees about welfare measures and its effect on employee morale. The main objective of the study is to measure the effect of welfare measure on morale, level of satisfaction of employees regarding working condition and general attitude of employee towards the organization. Certain welfare measures provided by the company like medical facility, credit facility, canteen facility, infrastructure facility, and certain factors of morale like motivation. Job satisfaction interrelationships are considered in this study. This was a descriptive research study. Nearly 50 samples were collected using simple random sampling method. A questionnaire of 23 questions was prepared and data were collected from the employees of Hidesign. Appropriate statistical tools were used to analyze the data. From the study it is inferred that most of the employees were satisfied with the welfare measures provided by the company. The employee morale was found to be good in the company. The effect of welfare measure on employee morale was about 25%.

LIST OF TABLES

TABLE NO.

TITLE EXPERIENCE OF RESPONDENT LEVEL OF SATISFACTION OF SAFETY MEASURES LEVEL OF SATISFACTION OF MEDICAL FACILITY LEVEL OF SATISFACTION OF WORKING ENVIRONMENT LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN SUPERVISOR AND WORKER LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN WORKERS LEVEL OF MOTIVATION GIVEN TO EMPLOYEE LEVEL OF FREEDOM GIVEN TO THE EMPLOYEES STATUS OF GRIEVANCE HANDLING IN THE COMPANY WORK SATISFACTION LEVEL OF THE EMPLOYEE SATISFACTION OF EMPLOYEES ABOUT WELFARE MEASURES ANALYSIS OF OPINION OF RESPONDENTS REGARDING COMMUNICATION IN WORK PLACE AND WORK SATISFACTION (USING CHI-SQUARE) OBSERVED COUNT TABLE EXPECTED COUNT TABLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING WELFARE SATISFACTION AND WORK SATISFACTION (USING CHI-SQUARE) - OBSERVED COUNT TABLE EXPECTED COUNT TABLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING EXPERIENCE OF RESPONDENT AND

PAGE NO.

5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11

21 22 23 24 25 26 27 28 29 30 31

5.12.1 5.12.2 5.12.3

32 32 32

5.13.1 5.13.2 5.13.3 5.14.1

34 34 34 35

WORK SATISFACTION (USING CHI-SQUARE) OBSERVED COUNT TABLE

5.14.2

EXPECTED COUNT TABLE

35

LIST OF TABLESPAGE NO.

TABLE NO.

TITLE CHI- SQUARE TABLE ANALYSIS OF OPINION OF RESPONDENTS REGARDING MOTIVATION GIVEN TO EMPLOYEE AND WORK SATISFACTION (USING CORRELATION) CORRELATION TABLE ANALYSIS OF RANKING GIVEN BY RESPONDENTS REGARDING SATISFACTION OF WELFARE MEASURES (USING WEIGHTED AVERAGE METHOD) WEIGHTED AVERAGE TABLE ANALYSIS OF OPINION GIVEN BY RESPONDENTS REGARDING SATISFACTION OF WELFARE MEASURES AND EMPLOYEE MORALE (USING REGRESSION METHOD) REGRESSION TABLE

5.14.3 5.15.1 5.15.2

36 37 37

5.16.1 5.16.2

39 39

5.17.1 5.17.2

40 40

LIST OF CHARTSPAGE NO.

CHART NO.

TITLE

5.1 5.2 5.3 5.4 5.5 5.6 5.7 5.8 5.9 5.10 5.11

EXPERIENCE OF RESPONDENT LEVEL OF SATISFACTION OF SAFETY MEASURES LEVEL OF SATISFACTION OF MEDICAL FACILITY LEVEL OF SATISFACTION OF WORKING ENVIRONMENT LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN SUPERVISOR AND WORKER LEVEL OF SATISFACTION OF RELATIONSHIP BETWEEN WORKERS LEVEL OF MOTIVATION GIVEN TO EMPLOYEE LEVEL OF FREEDOM GIVEN TO THE EMPLOYEES STATUS OF GRIEVANCE HANDLING IN THE COMPANY WORK SATISFACTION LEVELOF THE EMPLOYEE SATISFACTION OF EMPLOYEES ABOUT WELFARE MEASURES

21 22 23 24 25 26 27 28 29 30 31

CHAPTER- I INTRODUCTION1.1 COMPANY PROFILE Export processing plays an important role in the development of the financial status of a country. The basis of the export processing comes from the international trade. So we should know about the importance of international trade. Many experts states their opinion about the international trade that it takes place due to the differences in the comparative cost of production between countries, differences in the opportunity cost of production of commodities between nations are the basis for international trade. International trade takes place, because every country would be interested to import commodities that are not available domestically. It is one of the basis factors promoting economic well being and increasing the national income of the country. The following are some of the benefits of exports processing:1. To develop the country economically. 2. To use the natural resources available in that country profitably. 3. To increase the employment potential of the country.

The ponds Export limited is established in 1989. The main export product in Ponds exports limited is shoe and leather export. Its Head Quarters is in Mumbai which holds super star trading house certificates. The Ponds company activities include many manufacturing and marketing of leather goods. Its head office is located at Chennai. Four hundred experienced employees are working in this esteemed company. Ponds Export limited is giving preferences to sports events. Education and hospital facilities to the staff and their families.

It is the subsidiary of Hindustan lever limited and situated at Vazhudavoor road Puducherry.This footwear unit confines self to fusing of shoe soles and eventual finishing and packing of shoes for export and local markets. Further, the unit is working to develop the exports as best as possible. The major exports are don e with countries like United Kingdom, Germany, Europe, Dubai, and United State etc. The various export products arte children shoes, sandals for both ladies and gents. The management consists of following officers. 1. Factory Manager. 2. Senior Personnel Officer. 3. Production Manager. 4. Merchandising Manager. 5. Product Development Manager. 6. Planning Officer. 7. Purchase officer. 8. Store Officer. 9. Engineering Officer. 10. Quality Assurance Officer and 11. Commercial officer.

1.1.1 SIGNIFICANCE OF ORGANISATION Leather industry is very competitive industry. Leather industry is on of the growth engines for Indias economic development. Leather has been playing most important role in our day-to-day life. Indian made leather product are well accepted in local and international market for its style and quality, it has also helped tremendous growth in giving both direct and indirect employment in our country. The performance of leather good is having a very goods position in the international market than others.

Ponds Export limited, the giant in the consumer product extended into leather export which includes footwear, leather goods. The company is also developed a large exports business keeping in view with the national priorities. The footwear factory has been manufacturing shoes for prestigious overseas customers. international market. 1.1.2 HISTORY OF THE COMPANY: Ponds Limited is known for the production of powder, Mushroom, soap, Thermometer etc, and it has a very good market in all over the world. There is a very good demand for leather goods worldwide. Ponds India limited decided to concentrate more in leather products which has greater demand in overseas market. Ponds India limited company is famous for its cosmetics products in all over India. HLL is the market leader for many commodities such as food products, soaps, detergents, beverages etc all over India. Both Ponds and HLL have merged to make use of their market leadership in respective areas to avoid unhealthy competition. Leather division of HLL (Ponds export limited) footwear factory commenced its production in 1989. it manufactures footwear for prestigious customers overseas and is an export orient unit. Conventional formal designs intricate and rich dress shoe and trend setting casuals are made for both ladies and men. Modern equipment enables them to produce Moccasin, Strobelled and Flat Lasted shoe Constructions. Ponds India Limited is having association with M/s.Northerner, Schufabrik, British shoe Corporation, and G.H, Bass, Clarks, Edison Bros. & Woplverin Worldwide. They were seeking market for their products only international market. They were charging reasonable price and maintaining reputation in the

1.1.3 CORPORATE VISION From the HLL code of business principle: Profitable growth by forming symbiotic relationships. To be the number one quality footwear exporter in India. Strive to be a trusted corporate citizen. To be an integral part of the society. To fulfill with responsibility the societies consumers and customers to respond creatively and competitively with branded products and prompt service.

1.2 INTRODUCTION TO THE STUDY The study on employee absenteeism in ARE VEE ENGINEERING is to evaluate the main cause for the employee absenteeism in the company. The employee absenteeism is the booming HR issue in many industries. This study is also used to know the employee satisfaction. The study is focused to find the cause of employee absenteeism based on certain factors like working condition, leadership style, work stress, leave days, wage and salary level.

CHAPTER II REVIEW OF LITERATURE

2.1 ABSENTEEISM DEFINITION Absenteeism has been variously defined by different authorities. According to Websters dictionary, Absenteeism is a practice or habit of being an absentee and an absentee is one who habitually stays away. Absenteeism is a habitual pattern of absence from a duty or obligation. According to Labour Bureau, Simla, Absenteeism is the total man shifts lost because of absences as a percentage of the total number of man shifts scheduled to work. Absenteeism is the term generally used to refer to unscheduled employee absences from the workplace. Many causes of absenteeism are legitimatepersonal illness or family issues, for examplebut absenteeism also can often be traced to other factors such as a poor work environment or workers who are not committed to their jobs. If such absences become excessive, they can have a seriously adverse impact on a business's operations and, ultimately, its profitability. 2.1.1 TYPES OF ABSENTEEISM There are two types of absenteeism, each of which requires a different type of approach. 2.1.1.1 Innocent Absenteeism Innocent absenteeism refers to employees who are absent for reasons beyond their control; like sickness and injury. Innocent absenteeism is not culpable which means that it is blameless. In a labour relations context this means that it cannot be remedied or treated by disciplinary measures.

2.1.1.2 Culpable Absenteeism Culpable absenteeism refers to employees who are absent without authorization for reasons which are within their control. For instance, an employee who is on sick leave even though he/she is not sick, and it can be proven that the employee was not sick, is guilty of culpable absenteeism. To be culpable is to be blameworthy. In a labour relations context this means that progressive discipline can be applied. For the large majority of employees, absenteeism is legitimate, innocent absenteeism which occurs infrequently. Procedures for disciplinary action apply only to culpable absenteeism. Many organizations take the view that through the process of individual absentee counseling and treatment, the majority of employees will overcome their problems and return to an acceptable level of regular attendance. 2.1.1.3 Identifying Excessive Absenteeism Attendance records should be reviewed regularly to be sure that an employee's sick-leave days are excessive compared to other employees. If a supervisor suspects that an employee is excessively absent, this can be confirmed through reviewing the attendance records. If all indications show that an employee is excessively absent, the next step is to gather as much information as possible in order to get a clearer picture of the situation. The employees' files should be reviewed and the employees immediate supervisor should document all available information on the particular employee's history.

2.1.2 COSTS OF ABSENTEEISM Indeed, absenteeism can take a financial toll on a small business (or a multinational company, for that matter) in several different respects. The most obvious cost is in the area of sick leave benefitsprovided that the business offers such benefitsbut there are significant hidden costs as well.

The SOHO Guidebook cites the following as notable hidden cost factors associated with absenteeism: Lost productivity of the absent employee Overtime for other employees to fill in Decreased overall productivity of those employees Any temporary help costs incurred Possible loss of business or dissatisfied customers Problems with employee morale

Indeed, excessive absenteeism, if left unchecked, can wear on a company in numerous ways. "[Absenteeism] forces managers to deal with problems of morale, discipline, job dissatisfaction, job stress, team spirit, productivity, turnover, production quality, additional administration, and overhead. 2.1.3 FEATURES OF ABSENTEEISM The rate of Absenteeism is the lowest on the paydays; it increases considerably on the days following the payment of wages and bonus. Absenteeism is generally high among workers below 15 years of age and those above 40. The rate of absenteeism various from department to department within a unit. The percentage of absenteeism is generally higher in the night shifts than in day shifts. The percentage of absenteeism is much higher in coal and mica mining industries than in organized industries.

2.1.4 REASONS FOR ABSENTEEISM According to one line of thought, Absenteeism is due to a lack of commitment on the part of work force. Clark Kerr and associates are of the opinion that since degree of commitment varies with the degree of countries industrial growth, Absenteeism is inversely related to industrial development. Absenteeism is related to new values and norms that are developing among the work force as the result of technological developments. The attitude and the practice of the management also contribute to Absenteeism. The general causes of Absenteeism are Maladjustments with factory condition Social and religious ceremonies Unsatisfactory housing condition Industrial fatigue Unhealthy working condition Absence of adequate welfare facilities Alcoholism Inadequate leave facilities.

2.1.5 MEASURES FOR CONTROLLING ABSENTEEISM The general measures to reduce the rate of Absenteeism are Adoption of a well defined recruitment procedure Provision of healthful and hygienic working condition Provision of reasonable wages and allowances and job security for workers Motivation of workers: Welfare and Social measures Improved communication and prompt redressal of grievances Liberal grant or leave Safety and accident prevention Cordial relations between supervisors and workers Development of workers education

2.2 REVIEW OF LITERATURE FROM JOURNALS, ARTICLES Journal of Management, Vol. 12, No. 4, (1986) 1986 Southern Management Association Job Involvement and Organizational Commitment as Interactive Predictors of Tardiness Absenteeism Gary J. Blau This study examined job involvement and organizational commitment as interactive predictors of absenteeism and tardiness behaviors. Personnel records and questionnaires were used to collect tardiness and absence data for a sub sample of 82 registered staff nurses out of a total sample of 228 nurses from a large Midwestern hospital. Results showed support for the hypothesis that individuals showing higher levels of job involvement and organizational commitment would exhibit less unexcused tardiness and absenteeism than those with lower levels of job involvement and organizational commitment. The implications and limitations of these findings are discussed. Journal of Leadership & Organizational Studies, Vol. 13, No. 2, 42-60 (2006) 2006 Baker College The Implications of Positive Psychological Capital on Employee Absenteeism James B. Avey University of Nebraska-Lincoln Drawing from positive psychology and positive organizational behavior (Luthans, 2002a, 2002b) this study utilized a field study in a high tech manufacturing firm to demonstrate how positive psychological capital reduces levels of both involuntary and voluntary absenteeism. Previous studies setting out to determine job attitude antecedents of absenteeism have been generally disappointing and account for only small levels of variance. In addition, with few exceptions conceptualization of absenteeism has been uni-dimensional despite calls by previous researchers to consider the significant differences in semantic networks of voluntary and involuntary absenteeism as separate metrics. We make this dual dimension distinction and show how previous antecedents of absenteeism contribute to one dimension more than the other. The utility of the study findings conclude the art and

Managing Employee Absenteeism By Douglas B. M. Ehlke of Ehlke Law Offices When an employee works a standard five-day week, one can assume 260 workdays exist annually. After subtracting 10 days on average for vacation and another 10 days for federal, state and local holidays, an employer could expect 240 workdays a year per employee. Traditional Methods Managing absenteeism for these 240 days historically has been straightforward. Workrelated injuries were handled pursuant to the state worker's compensation laws. Other absences were handled under the employer's policies relating to absences or pursuant to a collective bargaining agreement (CBA). A company's absence policy would inform employees in advance of the employer's attendance expectations. Most CBAs would contain provisions relating to attendance expectations. A typical policy or CBA would provide for a progressive discipline procedure for unexcused absences. Thus, one such absence would warrant a warning and subsequent absences might lead to termination. Some employers use a point system for unexcused absences and others have two absenteeism rules, one for a certain number of unexcused absences and one for excessive total absences. The key to any system is consistency in application to avoid wrongfultermination lawsuits, along with working within the proper leave-designation statutes and regulations. Laws Governing Absenteeism Today, employers must not only comply with company policies and/or CBA and worker's compensation laws, but also The Americans with Disabilities Act (ADA) if it employs 15 or more employees for 20 weeks in any given year. In addition, The Family Medical Leave Act (FMLA) applies to employers with 50 or more employees, if the employees work within a 75mile radius of the premises for at least 20 weeks in any given year.

CHAPTER - III OBJECTIVES OF THE STUDY

To study and analyze the cause of absenteeism in the organization To study and evaluate the reason how the absenteeism affect organizational outcomes. To find the various factors which induces the employee absenteeism. To provide a suggestion for reducing absenteeism in the organization.

CHAPTER - IV RESEARCH METHODOLOGY4.1 RESEARCH MEANING Research is an art of scientific investigation. According to Redmen and Mary defines research as a systematic effort to gain knowledge. Research methodology is way to systematically solve the research problem. It is a plan of action for a research project and explains in detail how data are collected and analyzed. This research study is a descriptive research study. 4.2 RESEARCH DESIGN A research design is a plan that specifies the objectives of the study, method to be adopted in the data collection, tools in data analysis and hypothesis to be framed. A research design is an arrangement of condition for collection and analysis of data in a manner that aims to combine relevance to research purpose with economy in procedure.

4.3 NATURE OF DATA 4.3.1 Primary data The primary data are collected from the employees of ARE VEE ENGINEERING through a direct structured questionnaire. 4.3.2 Secondary data Company profiles, websites, magazines, articles were used widely as a support to primary data. 4.4 SAMPLING SIZE AND TECHNIQUE 4.4.1 Size of the sample

It refers to the number of items to be selected from the universe to constitute as a sample. In this study 50 employees of ARE VEE ENGINEERING in Chennai was selected as size of sample. 4.4.2 Sample design The sampling technique used in this study is simple random sampling method. This method is also called as the method of chance selection. Each and every item of population has equal chance to be included in the sample. 4.4.3 Questionnaire The questions are arranged logical sequence. The questionnaire consists of a variety of questions presented to the employees for the response. Dichotomous questions, multiple choice questions, rating scale questions were used in constructing questionnaire. 4.5 STATISTICAL TOOLS USED To analyze and interpret collected data the following statistical tools were used. 1) Percentage method 2) Weighted average method 3) Chi-square analysis 4) Correlation

4.5.1 Percentage method: The percentage is used for making comparison between two or more series of data. It can be generally calculated as

No. of respondents favorable x 100 Percentage of respondent = Total no of respondents

? WX Chi-square = ? (O-E)2 XW = E ?X 4.5.2 Weighted average method The weighted average method can be calculated by the following formula

Here XW represents the weighted average X represents the value of variable W represents the weight given to the variable. 4.5.3 Chi-square analysis: Chi-square analysis in statistics is to test the goodness of fit to verify distribution of observed data with assumed theoretical distribution. measure to study the divergence of actual and expected frequencies. the

Therefore it is a

The formula for computing chi-square is as follows.

The calculated value of chi-square is compared with the table of chi-square for the given degrees of freedom at the specified level of significance. If the calculated value is greater than the tabulated value then the difference between the observed frequency and the expected frequency are significant. the degrees of freedom is (n-2) where n is number of observed frequencies and in case of contingency table the degrees of freedom is (C-1) (R-1) where C is number of columns and R is number of rows.

4.5.4 Correlation The correlation analysis deals with association between two or more variables. The correlation does not necessary imply causation or functional relationship though the existence of causation always implies correlation. By itself it establish only co- variance There are two types of correlation 1. Positive Correlation 2. Negative Correlation If two variables move in same direction then they are positively correlated. On the other hand if the two variable move in opposite direction then they are negatively correlated. It can be calculated as Cov(x, y) = 1/n x y x y x

= 1/n x2 x 2

y = 1/n y2 y 2 r= Cov(x, y) x x

y

Here, r = co-efficient of correlation.

CHAPTER- 5 DATA ANALYSIS AND INTERPRETATIONTABLE 5.1 AGE WISE CLASSIFICATION OF RESPONDENTS Age Below 30 30-40 Above 40 Total Inference: From the table we can infer that 76% are between 30-40 years and 8% are below 30 years. CHART-5.1 AGE WISE CLASSIFICATION OF RESPONDENTS100

Frequency 4 38 8 50 76

Percent 8

16 100

80

Percentage

60

40

20

0 Below 30 30-40 Above 40

Age of the Respondents

TABLE 5.2 EXPERIENCE WISE CLASSIFICATION OF RESPONDENT

Experience 6-10 11-15 Above 15 Total

Frequency 14 29 7 50 58 14 100

Percentage (%) 28

Inference: From the table we can infer that 58% are working for more than 10 years and 14% are working for less than 10 years. CHART-5.2 EXPERIENCE WISE CLASSIFICATION OF RESPONDENT

70

60

50

Percentage

40

30

20

10 0 6-10 11-15 above 15

Number of Years worked

TABLE 5.3 INCOME WISE CLASSIFICATION OF RESPONDENT Percentage (%) 32 56 12 100

Income Below 5000 5k-6k 6k-7k Total

Frequency 16 28 6 50

Inference: From the table we can infer that 32% of respondent are getting the salary below 5000 and 56% of respondent are getting between 5000 -6000. CHART-5.3 INCOME WISE CLASSIFICATION OF RESPONDENT

60

50

40

Percentage

30

20

10

0 below 5000 5k-6k 6k-7k

Respondent Income

TABLE 5.4 JOB SATISFACTION LEVEL OF THE RESPONDENTS Percentage (%) 2 86 6 6 100

Opinion Highly Satisfied Satisfied Neutral Dissatisfied Total

Frequency 1 43 3 3 50

Inference: From the table we can infer that 86% of respondent are satisfied with the job and 6% of respondent are dissatisfied.

CHART-5.4 JOB SATISFACTION LEVEL OF THE RESPONDENTS

100

80

Percentage

60

40

20

0 Highly Satisfied Satisfied Nuetral Dissatisfied

Job Satisfaction Level

TABLE 5.5 LEVEL OF SATISFACTION OF RESPONDENTS REGARDING LEAVE DAYS

Opinion Satisfied Neutral Dissatisfied Highly Dissatisfied Total

Frequency 9 25 15 1 50 50 30 2 100

Percentage (%) 18

Inference: From the table we can infer that 18% of respondent are satisfied with the leave days and 30% of respondent are dissatisfied. CHART-5.5 LEVEL OF SATISFACTION OF RESPONDENTS REGARDING LEAVE DAYS

60

50

Percentage

40

30

20

10

0 satisfied neutral dissatisfied highly dissatisfied

Opinion of respondents about Leave days

TABLE 5.6 STATUS OF STRESS LEVEL TO THE RESPONDENT Percentage (%) 2 14 54 24 6 100

Opinion Very High High Moderate Low Very Low Total

Frequency 1 7 27 12 3 50

Inference: From the table we can infer that 14% of respondent feel that stress level is high and 24% of respondent feel that stress level is low. CHART-5.6 STATUS OF STRESS LEVEL TO THE RESPONDENT

60

50

40

Percentage

30

20

10

0 Very High High Moderate Low Very Low

Opinion of Respondents about stress level in job

TABLE 5.7 OPINION OF RESPONDENT ABOUT HEALTH PROBLEMS

Opinion Yes No Total Inference:

Frequency 24 26 50 52

Percentage (%) 48

100

From the table we can infer that 48% of respondent have health problem and 26% or respondent do not have any health problem. CHART-5.7 OPINION OF RESPONDENT ABOUT HEALTH PROBLEMS

60

50

Percentage

40

30

20

10

0 Yes N o

opinion of Respondents about H ealth Problem

TABLE 5.8 LEVEL OF SATISFACTION OF RESPONDENT REGARDING WAGES

Opinion Yes No Total Inference:

Frequency3 47 50 94

Percentage (%)6

100

From the table we can infer that 94% of respondent are not satisfied with the wage and 6% or respondent are satisfied.

CHART-5.8 LEVEL OF SATISFACTION OF RESPONDENT REGARDING WAGES

100

80

Percentage

60

40

20

0 Yes N o

Level of Satisfaction of W ages

TABLE 5.9 LEVEL OF SATISFACTION OF RESPONDENT ABOUT FRINGE BENEFITS

Opinion Highly Satisfied Satisfied Neutral Dissatisfied Total `

Frequency 2 18 16 14 50 36 32 28 100

Percentage (%) 4

Inference: From the table it infers that 36% of respondent are satisfied with the fringe benefits and 28% are dissatisfied. CHART 5.9 LEVEL OF SATISFACTION OF RESPONDENT ABOUT FRINGE BENEFITS

40

30

20

10

Percent

0 Highly Satisf ied Satisfied Neutral Dissatisfied

Level of Satisfaction of F ringe Benefits

TABLE 5.10 LEVEL OF SATISFACTION OF RESPONDENT ABOUT LEADERSHIP

Opinion Yes No Total Inference:

Frequency 40 10 50 20

Percentage (%) 80

100

From the table we infer that 80% of the respondents are satisfied with the leadership.

CHART 5.10 LEVEL OF SATISFACTION OF RESPONDENT ABOUT LEADERSHIP100

80

Percentage

60

40

20

0 Yes No

Level of Satisfaction of Leadership

TABLE 5.11 PERIOD DURING ABSENTEEISM IS MORE Percentage (%) 18 58 9 100

Period Jan-April May-August Sep-Dec Total

Frequency 9 29 12 50

Inference: From the table we infer that 58% of the respondent are absent more in May August and 18% are absent during Jan- April.

CHART 5.11 PERIOD DURING ABSENTEEISM IS MORE

70

60

50

Percentage

40

30

20

10 0 Jan-April M ay-August Sep-D ec

Period during absenteeism is m ore

TABLE 5.12 SHIFT DURING ABSENTEEISM IS MORE Percentage (%) 50 44 6 100

Period A shift B shift General shift Total

Frequency 25 22 3 50

Inference: From the table we infer that 50% of the respondents are absent during A shift and 44% of respondents are absent during B shift

CHART 5.12 SHIFT DURING ABSENTEEISM IS MORE

60

50

Percentage

40

30

20

10

0 A shift B shift General shift

Shift during absenteeism is more

ANALYSIS OF OPINION OF RESPONDENTS REGARDING WORK CONDITION AND ABSENTEEISM (USING CHI-SQUARE)

Observed frequency TABLE 5.13.1 absenteeism working condition Yes No Total Jan -April 8 1 9 May- August 22 7 29 10 2 12 Sep-Dec 40 10 50 Total

Expected frequency TABLE 5.13.2 absenteeism working condition Yes No Total Jan -April 7.2 1.8 9 May- August 23.2 5.8 29 9.6 2.4 12 Sep-Dec 40 10 50 Total

Null Hypothesis There is no significant difference between working condition and absenteeism.

CHI-SQUARE TEST TABLE 5.13.3

O 8 22 10 1 7 2

E 7.2 23.2 9.6 1.8 5.8 2.4

(O-E) 2 0.64 1.44 0.16 0.64 1.44 0.16

(O-E) 2 /E 0.08 0.06 0.02 0.35 0.25 0.07

Calculated value = (O-E) 2 / E = 0.83 Degrees of Freedom = (R -1) (C-1) = 2 Tabulated value for 2 degrees of freedom at 5% level of significance is 5.99

Inference: The calculated value is less than the tabulated value. Therefore H0 is accepted. There is no association between work condition and absenteeism.

ANALYSIS OF OPINION OF RESPONDENTS REGARDING WORK CONDITION AND HEALTH PROBLEM (USING CHI-SQUARE)

Observed frequency TABLE 5.14.1 Total 24 26 50

Opinion Yes No Total

Yes 18 22 40

No 6 4 10

Expected frequency TABLE 5.14.2 Total 24 26 50

Opinion Yes No Total 19.2 20.8 40

Yes 4.8 5.2 10

No

Null Hypothesis There is no significant difference between working condition and health problem.

CHI-SQUARE TEST TABLE 5.14.3 O 18 6 22 4 E 19.2 4.8 20.8 5.2 (O-E) 2 1.44 1.44 1.44 1.44 (O-E) 2 /E 0.07 0.3 0.07 0.28

Calculated value = (O-E) 2 / E = 0.72 Degrees of Freedom = (R -1) (C-1) = 1 Tabulated value for 1 degrees of freedom at 5% level of significance is 3.84

Inference: The calculated value is less than the tabulated value. Therefore H0 is accepted. There is no association between work condition and health problem.

ANALYSIS OF OPINION OF RESPONDENTS REGARDING LEADERSHIP AND WORK SATISFACTION (USING CORRELATION)Let x be Work satisfaction Let y be Leadership Observed frequency TABLE 5.15.1 Opinion Factors Work satisfaction Leadership 40 44 Yes No 10 9 50 Total 50

CORRELATION TABLE TABLE 5.15.2

X 40 10

Y 44 9

X2 1600 100 Cov(x, y) = 1/n x y x y = 1/2 (1850-625) = 612

Y2 1936 100 1760 90

XY

x

= 1/n x2 x 2 = 1/2(1700-625)

= 23.7

r=

y = 1/n y2 y 2 = 1/2(2036-625) = 45.1 Cov(x, y) xX

y

= 0.6Inference: The satisfaction of leadership and work satisfaction are positively correlated. Any effect in leadership will affect the work satisfaction also.

ANALYSIS OF RANKING GIVEN BY RESDPONDENTS REGARDING WORKING ENVIRONMENT (USING WEIGHTED AVERAGE METHOD)Observed Count TABLE 5.16.1 Opinion Factor Lighting Ventilation Cleanliness Highly Satisfied 3 6 5 Satisfied 15 35 30 neutral 6 4 7 Dissatisfied 2 4 2 1 6 Highly Dissatisfied 0

WEIGHTED AVERAGE TABLE TABLE 5.16.2 CW (CALCULATED WEIGHT) = WXn / Xn Rank Weight Lighting X 1 2 3 4 5 W 5 4 3 2 1 Total CW Rank X1 3 39 6 2 0 50 WX1 15 156 18 4 0 193 3.86 1 X2 6 35 4 4 1 50 Factors Ventilation WX2 30 140 12 8 1 191 3.82 2 X3 5 30 7 2 6 50 Cleanliness WX3 25 120 21 4 6 176 3.52 3

Inference: From the table it is inferred that employees rank lighting first followed by ventilation and cleanliness as last.

ANALYSIS OF RANKING GIVEN BY RESDPONDENTS REGARDING ABSENTEEISM (USING WEIGHTED AVERAGE METHOD)

Observed Table TABLE 5.17.1 Ranks First Factors Health Family Supervisor Motivation Salary Co- workers Transport 29 16 1 1 4 1 5 12 20 2 11 6 2 4 2 5 3 8 9 4 1 3 4 4 10 15 3 1 2 3 15 15 11 1 1 1 1 10 3 2 4 2 1 15 2 3 35 36 1 Second Third Fourth Fifth Sixth Seventh

CW (CALCULATED WEIGHT) = WXn / Xn

CHAPTER VI 6.1 FINDINGS OF THE STUDYMost of the employees are working more than 10 years. Majority of the employees are between 30 -40 years and others are below 30 years. More than 86% of the respondents are satisfied with the job. Most of the employees are not satisfied with the leave days. Most of respondent feel that stress level is high in the work they do. Nearly 48% of the respondents have health problem. Majority of the respondents are not satisfied with the wage. It is inferred that there is a poor relationship between management and employees. Most of the employees are absent during A shift. Most of the respondents are satisfied with the fringe benefits given to them. The respondents are satisfied with the working condition. Majority of the respondents are comfortable with the leadership. There is no association between working condition and absenteeism. There is no association between working condition and health problem

6.2 SUGGESIONS AND RECOMMENDATION Most of the employees are not satisfied with the wage level. The company can increase the salary to make the employee more committed to the organization. Increase in the pay scale of the employees based on the performance may motivate them to a higher level. From the data analysis we infer that stress level in the job is also more. So this may be reduced to avoid absenteeism. The workers are not satisfied with the leave days. So the company can concentrate on the leave days to avoid absenteeism. The employees are not satisfied with the ESI benefits because of much formality.

CHAPTER VII CONCLUSION

The study on cause of employee absenteeism in PONDS EXPORTS LIMITED in Puducherry tells that the insufficient leave days and low wage are the main organization factors which affect the cause of absenteeism. The company can concentrate on better salary increment and less stress in work to avoid absenteeism in the organization. The smooth running of the organization is in the hands of employees. So the employers have to concentrate more on their employees and their satisfaction. This will reduce the employee absenteeism in the organization. The companies have to give priority for employees suggestions and opinions. The organization commitment will reduce absenteeism among employees.

CHAPTER- VIII

8.1 LIMITATION OF THE STUDY The time period of the study is very short, so elaborate study was not made. Only certain factors are considered in this study to find the cause of absenteeism. The conclusions and suggestions were formed based on employees spot response. Some false information may be given by the employee

8.2 SCOPE FOR FURTHER STUDY The sample size taken for this study is only 50, it can be extended to a larger sample The study can be done by considering some other factors to find the cause of absenteeism. This study can be used to measure the satisfaction level of employee.

APPENDICES ANNEXURE-1 QUESTIONNAIRE NAME (OPTIONAL) 1. Grade: (a) W1 (b) W2 (c) W3 (d) W4 (c) 10-15 Yrs. (d) Above 15 Yrs.

2. Experience in years: (a) 1-5 Yrs. (b) 5-10 Yrs.

3. Age in years: (a) Below 30 Yrs. (b) 30-40 Yrs. (c) 40-50 Yrs. 4. Qualification: (a) 8th Std (b) 10th Std (c) 12th Std (d) Degree & Above (d) 7K-8K FEMALE (e) 9K Above

5. Monthly gross income: (a) Less than 5K (b) 5K-6K (c) 6K-7K 6. Sex: MALE 7. Marital status: MARRIED 8. Size of the family: (a) 2 (b) 3 (c) 4 (d) 5

UNMARRIED (e) Above 5

OPINIONS: 1. Rate your level of Satisfaction in your Job. (a) Highly Satisfied (b) Satisfied (c) Ok (d) Dissatisfied (e) Highly Dissatisfied 2. How many days allowed taking leave with permission_______________. 3. What is your opinion on leave if all kinds (AL, CL, SL) provided by the company. (a) Highly Satisfied (b) Satisfied (c) Neutral (d) Dissatisfied (e) Highly Dissatisfied 4. What is the stress level of your Job. (a) Very high (b) High (c) Neutral (d) Low (e) Very low.

5. Are you facing any Health / Safety problems in your work place. (a)Yes (b) No If yes define few: _________________________________________.

6. What is your response to the fringe benefits offered by the company. (a) Highly Satisfied (b) Satisfied (c) Neutral (d) Dissatisfied (e) Highly Dissatisfied 7. Is there any opportunity given for career advancement? (a) Yes (b) No 8. Is the Leadership style is Satisfactory. (a) Yes (b) No 9. Is they provide any employee development / assistance program. (a) Yes (b) No 10. If the Salary / Wages given to you is sufficient. (a) Yes (b) No 11. Do you have the habit of taking leave after Salary day? (a) Yes (b) No 12. Is working conditions are favorable to you. (a) Yes (b) No 13. Which Quarter of the year you remain absent on the job. (a) January-April (b) May-August (c) September-December 14. In which Shift you will be absent frequently. (a) A Shift (b) B Shift (c) General Shift 15. In which session you will be absent. (a) Forenoon (b) 16. Is the Infra-Structure Satisfactory. Highly Satisfied Lighting Ventilation Cleanliness RANKING: 17. Rank the following factors which influence you the most to be absenting from the work. (Most important reason rank 1st & so on) Satisfied Neutral Dissatisfied Highly Dissatisfied Afternoon

a) b) c) d) e) f) g)

Health Reason Family Problems Poor relationship with Superiors Lack of motivation in the work Insufficient Salary. Poor relationship with Co-Workers Lack of Transport facilities

If Any other Specify _______________________.

ANNEXURE-2 BIBLIOGRAPHY

BOOKS 1. Kothari C.R., Research methodology, published by Tata Mc Graw-Hill Publishing Company Ltd., 13th Edition, 1982. 2. Gupta, S.P., and Gupta, M.P., Business Statistics, Published by Sultan Chand & Sons, 7th Edition, 1989. 3. Personnel Management by C.B.Mamoria & S.V.Gankar, Published by Himalaya Publishing House.