PROJECT REPORT ON ABSENTEEISM OF WORKERS

BHASKAR INDUSTRIES LIMITED A Project Report submitted in partial fulfillment of the requirements for the award of the degree of MASTER IN PERSONNEL MANAGEMENT TO

UNIVERSITY OF PUNE BY Pawan Singh Sikarwar Under the guidance of Prof. MRINAL RAO

SINHGAD INSTITUTE OF BUSINESS ADMINISTRATION AND RESEARCH SR.NO 40/4A, 4B/1, KONDHWA-SASWAD ROAD, PUNE PUNE411048. 2010-2012 1

INSTITUTE CERTIFICATEThis is to certify that the Project Report at BHASKAR INDUSTRIES LIMITED,BHOPAL

Submitted in partial fulfillment of the requirement for the award of the degree of

MASTER IN PERSONNEL MANAGEMENTTO

UNIVERSITY OF PUNE Is a record of bonafide training carried out by PAWAN SINGH SIKARWAR Under my supervision and the no part of this report has been submitted for the award of any other Degree/diploma/fellowship or similar title or prizes.

FACULTY GUIDESignature:

DIRECTORSignature

Prof.MrinalRao

Prof.Avadhoot D. Pol

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COMPANY CERTIFICATE

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STUDENTS DECLARTION

I,PAWAN SINGH SIKARWAR, hereby declare that the Project Report titled ABSENTEEISM OF WORKER written and submitted by me under the guidance of Prof. MRINAL RAOfaculty,Sibarto the University of Pune, in partial fulfillment of the requirement for the award of MASTER IN PERSONNEL MANAGMENT is my original work and the conclusions drawn therein are based on the material collected by myself.

The report is for the fulfillment of the degree in Master in Personnel Management from University of Pune.

The matter in this report is based on the data collected by me at BHASKAR INDUSTRIES,BHOPAL under the guidance Of MR. MANISH (TEAM LEADER-HR).

Place: PUNE Date: Name & sign of Research Student

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ACKNOWLEDGEMENTAs a requirement during the two year full time degree course,I feel honoured for having completed my summer internship programme inBhaskar industries pvt.ltd..It is a great privilege for me to undergo training at bhaskar industries and complete my project On absenteeism in Bhaskar industries pvt.lt I would like to express my gratitude to all the people for their immense supportand encouragement throughout the project. My sincere and humble thanks goes to Mr. Manish Kumar (HR Head manager,BHASKAR INDUSTRIES) for giving me the opportunity to carry out the project work in their esteemed organisation. With deep sense of reverence I thankfully acknowledge my gratitude to Mr.R.K MISHRA (Team Leader HR) who has been a constant source of encouragement and has always helped and solved the difficulties faced by me during the project , and without his support and encouragement ,the project would not have been completed. I would also like to thank my friends for their valuable guidance, support and help during my project. This project wouldnt have seen the light of the day, if it werent for the cooperation of all these people

Last but not the least I express my sincere thanks to all the respondents without whose involvement and feedback I would not have been able to complete this project.

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CONTENTS

11.1 1.2

INTRODUCTIONINTRODUCTION TO THE REPORT PROFILE OF THE ORGANIZATIONHistory of Organisation Bhaskar Textile Goup Vision of Bhaskar Industries

Page no.10-13 14-16

1.3 1.4

RESEARCH OBJECTIVES RESEARCH METHODOLOGYResearch Type Research Process Source of Data Collection Sampling

17 18-19

1.5

LIMITATIONS OF RESEARCH CONCEPTUAL BACKGROUND Review of literatureConcepts & Definitions

20 21-24

22.1 2.2

3

DATA PRESENTATION,ANALYSIS AND ITERPRETATION FINDINGS & SUGGESTIONS AND CONCLUSION4.1 4.2 4.3 Major findings Conclusion of findings Suggestions and recommendation

25-34

4

35-38

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BIBLIOGRAPHY ANNEXURE6

39-43

Questionnaire

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EXECUTIVE SUMMARY OF PROJECTThe study of Human Resource Management could never be complete without the actual experience which brings reality to classroom learning.As part of Summer Training atBhaskar Industries Pvt. Ltd., where Researcher was assigned the project Absenteeism of Workers. Human resource management is the most important area of management. It is concerned with the people at work and with their relationship with an enterprise. All other factors of production are useless unless competent employee and effective management use them. Absenteeism is a very sensitive topic in human resource management as it affect the productivity of organisation.absenteeism means It refers to workers absence from their regular task when he is normally schedule to work.

Many students may have done work on this project in different ways. I have also tries to work on this project in different way. Basically this summer training is done to fill the gap between the theoretical concept, which we study in the classroom, and the practical experience, which we have gain in the organization

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CHAPTER 1

9

Introduction

It refers to workers absence from their regular task when he is normally schedule to work. The according to Websters dictionary Absenteeism is the practice or habit of being an absentee and an absentee is one who habitually stays away from 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.

According to Labour Bureau of Shimla:Absenteeism is the total man shifts lost because as percentage of total number of man shifts scheduled to work. According to Nelson &Quick(2008) : people who are dissatisfied with their jobs are absent more frequently.they went on to say that the type of dissatisfaction that most often leads employees to miss work is dissatisfaction with the work itself.

In other words,it signifies the absence of an employee or worker from work when he is scheduled to be at work.any employee may stay away from work if he has taken leave to which he is entiled or on ground of sickness or some accident without any previous sanction of leave.thus absence may be authorized or unauthorized,willful or cause by circumstanced beyond onescontrol. Abesenteeism is a habitual pattern of absence from a duty or obligation.tradionally, absenteeism has been viewed as an indicator of poor individual performance,as well as a breach of an implicit contract between employee and quasi-economic terms.more recent scholarship seeks to understand absenteeism as an indicator of psychological,medical ,or social adjustment to work.

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CAUSES OF ABSENTEEISM

The Royal Commission Labour observed that high absenteeism among Indian labour is due to rural orientation and their frequent urge for rural exodus. According to Acharaya In modern industrial establishment the incidence of industrial fatigue, mal nutrition and bad working conditions aggravate that feeling for change among industrial worker and some time impel them to visit their village home frequently for rest and relaxation.

The general cause of absenteeism may be summarised as below: -

1)

MALADJUSTMENT WITH FACTORY

In factory the worker finds caught within factory walls, he is bewildered by heavy traffic, by strangers speaking different and subjected to strict discipline and is ordered by complete strangers to do things which he cannot understand. As a result he is under constant strain, which cause him serious distress and impairs his efficiency. All these factors tend to persuade him to maintain his contacts with village.

2)

SOCIAL AND RELIGIOUS CEREMONIES

Social and religious ceremonies divert workers from workers to social activ ities. In large number of cases incidence of absenteeism due to religious ceremonies is more than due to any other reason.

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3)

HOUSING CONDITIONS

Workers also experience housing difficulties. Around 95% of housing occupied by industrial workers in India is unsatisfactory for healthful habitations. This leads to loss the interest in work.

4)

INDUSTRIAL FATIGUE

Low wages compel a worker to seek some part time job to earn some side income. This often result inconstant fatigue, which compels to remain absent for next day.

5)

UNHEALTY WORKING CONDITION

Irritating and intolerable working conditions exist in a factory. Heat, moisture, noise, vibration, bad lighting, dust fumes and overcrowding all these affect the workers health causing him to remain absent from work a long time.

6)

ABSENCE OF ADEQUATE WELFARE ACTIVITIES

High rate absenteeism is also due to lack of adequate welfare facilities Welfare activities include clean drinking water, canteen, room shelter, rest rooms, washing and bathing facilities, first aid appliances etc.

7)

ALCOHOLISM

Some of the habitual drunkards spend whole of their salary during first week of each month for drinking purpose. Therefore 2 or 3 weeks after getting their salary absent themselves from their work.

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8)

INDEBTNESS

All those workers who undergo financial hardships usually borrow money lenders at interest rate which are very high, which often cumulates to more than 11 12 times their actual salaries. To avoid the moneylenders they usually absent themselves from work because they are unable to return the money in stipulated time.

9)

IMPROPER & UNREALISTIC PERSONNEL POLICIES

Due to favouritism and nepotism which are in the industry the workers generally become frustrated. This also results in low efficiency, low productivity, unfavourable relationship between employee and supervisor, which in turn leads to long period of absenteeism.

10) INADEQUATE LEAVE FACILITIES Negligence on part of the employee to provide leave facility compel the worker to fall back on ESI leave. They are entitled to 50 days leave on half on pay. Instead of going without pay the worker avail themselves of ESI facility.

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COMPANY PROFILE

History of Bhaskar Industries Ltd.

Bhaskar group is a multifaceted industrial giant with a turn overof Rs 2000 crore. The group came in to existence 50 years ago as a group of news paper founded by Late SHRI DWARKA PRASAD AGARWALJI. In the year 1980 the groups leadership was passed on to SHRI RAMESH CHANDRA AGARWALJI. Under the dynamic leadership and professional management of SHRI RAMESH CHANDRAAGARWALJIfrom 1982 to 1992 the newspaper publishing and printing business was expanded,consolidatedand established manymilestones. During this DAINIK BHASKARhad become the largest selling news paper in M.P. and had been positioned as a household name. From 1992onwards,with the liberalization of indian economy ,the group started diversifying in to industrial and other areas. Due to consistent growth in all business activities, today BHASKAR GROUP is respectable and leading CORPORATE HOUSE in india. The group specialized fields of management and technology.

Bhaskarindustries ltd located in Madhya Pradesh is a premier textile organization in India manufacturing indigo denim fabrics with capacity of 2 million mtrs/month.The company specializes in cotton /poly-cotton /stretch-lycra ring denim in all permuation-combinations with a dominent presence in indian market. The products are well accepted in European markets and now as a business strategy the organization is setting up a garmenting factory to cater to tastes of EU/USA markets.

BHASKAR TEXTILES BUSINESS GROUP

In 1995,the group diversified in to textile sector and set up a composite textile unit at MANDIDEEP,BHOPAL.It is one of the largest coarse yarm manufacturer in the country.

Presently with a capacity of manufacturing 14400 TPA of coarse count Cotton Yarn and14

20 million meter per annum of finished denim fabric. In 2000 company expanded its weaving capacity to 12 million per annum of grey fabrics.

An Indigo Dying range is installed by world renowedmanufacturer.Sucker Muller HacobaGmbh of Germany with most contemporary technology. A fully automated continuous dosing and process control system is installed on IDR in collaboration with M/S HerritRuettiger,Germany to maintain uniform Dyeing warm sheet without any shade variation and centre to selvedge variations. Bhaskar is the first Denim Plant in India to acquire this Technology.

Basic Information

Company Name: BHASKAR INDUSTRIES LIMITED Business Type: Manufacturer Product/Service: Denim fabrics,Garments,Yarns Number of Employees: 501-1000 people

Trade & Market

Main Market: North America,SouthAmerica,WesternEurope,EasternEurope,Eastern Asia,SoutheastAsia,Africa.

Total Annual SalesVolumes: US $ 50 million.

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Factory Information

Number of R&D Staff :5-10 People Contract Manfacturing: OEM Service Offered

VISION OF BHASKAR INDUSTRY

To become a Prominent Player in textile manufacturer,garment manufacturing and retailing through M&As,JVs, and expansion. To leverage information ,knowledge and technology to enhance human endeavor. To strive towards a culture where participation is encouraged,feedback valued and action never delayed. To respond to change whether it relates to customer needs,technology of human capital in intriguing manner. To learn from others but think differently in order to perform more effectively.

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RESEARCH OBJECTIVE

The main purpose of this study is to achieve the following objectives :-

To identify the rate of absenteeism of worker. To identify the causes of absenteeism. To suggest any measures to reduce the rate of absenteeism To study importance of absenteeism control in HRM.

Scope of study:

This study was conducted at textile plant of Bhaskar industries Pvt.Ltd.at Bhopal. This study is limited to absenteeism in the above mentioned location only.

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RESEARCH METHODOLGY

The basic need of any reason is data and method of colleting it. Data is an information on basis of which inferences are drawn therefore data becomes a very important factor to research study. The main purpose behind framing the methodology is to describe the research procedure. It is the collection, Measurement, analysis and reporting of Data is to find out the perception of the Company and to find out the position of the company. Planning is overall scheme of research. It helps in regulating the Organizational process. It helps in conducting the activities in coordination. It is a Systematic effort to gain new knowledge Movement from known to unknown.

THIS PROJECT FOLLOWS RESEARCH METHODOLOGY AS

ANALYTICAL TYPE. In analytical research, the researcher has to use facts or information already available, and analyze these to make critical evaluation of material. In this project I had opted the data from system and physical data available. The major purpose of analytical research is to analyze the state of the affairs, as it exists at present. Thus a analytical study is a fact-finding investigation with adequate interpretation. It is the technical type of research. It focuses on particular aspects or dimensions of the problem studied. It is so designed that it gathers information and provides information for formulating more sophisticated studies. There is a cause effective relationship.

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SOURCES OF DATA COLLECTION:

Primary data:

The data was collected by using questionnaire and structured direct interviews, which were separately conducted to know the reasons and causes of absenteeism in organization.

Secondary data:

The secondary data was collected from the company reports, registers manuals, and Internet. The Research Methodology used in this project was Secondary Data.

SAMPLING TECHNIQUE:

The sampling technique used is a combination of simple random and convenient sampling.

Sample Population: All employee of Bhaskar Industries Pvt Ltd.

SAMPLE UNIT

Workers at Bhopal plant of Bhaskar Industries Pvt.Ltd.

SAMPLE SIZE

The sample size was selected to be 50.

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RESEARCH LIMITATIONS:There are some limitations for research: Respondents were reluctant to disclose correct reason. Some of the respondents did not respond to the questions which may affect the analysis. The personal biases of the respondents might have entered in to their response. The Project duration was inadequate to study the research topic in details and find causes of absenteeism in the organization. Busy schedules of employees posed a problem while selecting samples.

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CHAPTER-2

CONCEPTUAL BACKGROUND

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Review of literature

A literature review is a body of text that aims to review the critical points of current knowledge including substantive findings as well as theoretical data for the project. A literature review is an account of what has been published on a topic by accredited by scholars and researchers. Besides enlarging the knowledge about the topic, writing a literature review help us gain and demonstrate skills in two areas: Information Seeking- the ability to scan the literature efficiently using manual and computerized methods Critical Appraisal - the ability to apply principles of analysis to identify unbiased and valid studies. experts say.absenteeism of workers in industry direct affect the progress and profit of industry,sayEducational Research Service, Inc., 1800 North Kent Street.

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CONCEPT AND DEFINITION

The term absenteeism refers to the failure to attend to work. A worker is considered as scheduled to work when the employer has work available for him and the worker is aware of it. A satisfactory level of attendance by employees at work is necessary to allow the achievement of objectives and targets by a department. Absenteeism occurs when an employee of a company does not come to work due to scheduled time off, illness, injury, or any other reason. The cost of absenteeism to business, usually expressed in terms of lost productivity.

Absenteeism is a serious workplace problem and an expensive occurrence for both worker and employees seemingly unpredictable in nature.A satisfactory level of attendance by employees at work is necessary to allow the achievement of objectives and targets by a department. Employee Absenteeism is the absence of an employee from work. It is a major problem faced by almost all employers of today. worker are absent from work and thus the work suffers. Absenteeism of employees from work leads to back logs, piling of work and thus work delay.

Types of absenteeism There are two types of absenteeism, each of which requires a different type of approach. 1. Innocent Absenteeism Innocent absenteeism refers to workers 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. Culpable Absenteeism Culpable absenteeism refers to workers 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.

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For the large majority of worker, 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 counselling and treatment, the majority of employees will overcome their problems and return to an acceptable level of regular attendance.

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CHAPTER-3

DATA PRESENTATION, ANALYSIS AND INTER PRETATION

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Q 1: For how many years you are working with Bhaskar Industries Mandideep?

Particulars 0-2 2-5 5-10 More than 10

No of respondents 15 20 10 5

Percentage 30 40 20 10

No.of Respondents=5010% 30% 20% 0-2 Years 2-5 Years 5-10 Years more than 10 years

40%

Interpretation In Bhaskar Industries ,40% of workers are working since 0- 2 years,30% are working since 2-5 years,20% are working since 5-10 years,and 10% are working since more than 10 years.

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Q 2: How often you remain absent in a month?

Particulars Nill once twice thrice

No of respondents 6 20 19 5

Percentage 12 40 38 10

No.of Respondents=5010% 12%

nill once twice 38% 40% thrice

Interpretation: In Bhaskar Industries,40% workers used to absent once in a month,38% workers twice,12% nill,and 10% thrice in a month.

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Q 3: According to you what is the Major reason for your absence ?

Particulars stress Health Work dissatisfaction Working environment

No of respondents 20 16 11 3

Percentage 40 32 22 6

No.of Respondents=506%

22%

40%

stress health work dissatisfaction working environment

32%

Interpretation :In Bhaskar Industries,40% workers feel stress is the reason for absence,32% says health,22% say work dissatisfaction and 6% say working environment is the reason of absence.

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Q 4. What is the reason of stress?

Particulars Work load Family problem Wages Work timing

No of respondents 13 8 19 10

Percentage 26 16 38 20

No.of Respondents=50

20%

26% work load family problem salary 16% work timing

38%

Interpretation = In Bhaskar Industries, 38% workers say insufficient wage is the main reason of stress,26% say work load,20% workers say work timing,and 16% say family problem.

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Q 5: Do you think Reduction in stress will reduce Absenteeism?

Particulars Yes No Dont know

No of respondents 30 15 5

Percentage 60 30 10

No. of Respondents=500 10%

30% 60%

Yes No don't know

Interpretation : In Bhaskar Industries, 60% worker think that reduction in stress will reduce absenteeism.

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Q6: Are you Satisfied with your work?

Particulars Yes No

No of respondents 20 30

Percentage 40 60

NO. of Respondents=500 0

40%

60%

yes no

Interpretaton = In Bhaskar Industries,60% workers not satisfied with their work and 40% are satisfied.

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Q 7: Are you satisfied with the work environment in the BHASKAR INDUSTRIES.

Particulars Satisfied Somewhat Satisfied Dissatisfied

No of respondents 10 27 13

Percentage 20 54 26

No. of Respondents=500

26%

20%

satisfied somewhat satisfied dissatisfied

54%

Interpretaton = In Bhaskar Industries, 54% workers somewhat satisfied with the work environment,26% workers dissatisfied,and 20% workers satisfied.

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Q 8: Do you feel company is overdemanding?

Particulars Yes No

No of respondents 29 21

Percentage 58 42

No. of Respondents=50

42%

58%

yes no

Interpretation = In Bhaskar Industries,58% workers feel workload is heavy which sometimes causes stress hence absenteeism.

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Q 9: Your relations with your supervisors?

Particulars Excellent Good Fair Poor

No of respondents 10 13 15 24

Percentage 20 26 30 24

30% 26% 25% 20% 15% 10% 5% 0% excellent good 20%

30%

24%

fair poor

Interpretation= In Bhaskar Industries,30% workers have fair relation,26% have good relation, 24% have poor relation,and 20% have good relation with the supervisors.

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CHAPTER-4FINDINGS & SUGGESTIONS AND CONCLUSION

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FINDINGS

Stress is the main reason for absenteeism in BHAKAR INDUSTRIES. Reduction in stress will reduce absenteeism. 60% workers not satisfied with their work. 54% workers somewhat satisfied with the work environment,26% workers dissatisfied,and 20% workers satisfied. 58% workers think that work load is heavy in the industry. Insufficient wage is the main reason for stress.

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CONCLUSION

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.

With respect to the company i.e. BHASKAR INDUSTRIES in which I had completed my project, where I found the company is facing the problem of absenteeism of workers which affecting the productivity and profitability of organisation.

The interactions which I had with the HR and the workers of company were the best part of the project. It helped me to know the real situation, duties, and responsibilities of company. It helped me a lot to relate the theoretical concepts learned in the classroom to the organizational functioning and understand the real life application of the management

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SUGGESTIONS

Develop open communication between supervisors and workers. Appoint right worker at right place. The minimum wages should be given to all workers as per the law in The Minimum Wages Act 1948. Arrange yoga session to reduce stress.

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CHAPTER-5

BIBLIOGRAPHY

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BIBLIOGRAPHY Non-electronic Sources: Reference Books: Human Resource Management by C.B GUPTA, Seventh Revised Edition: 2006, published by Sultan Chand & Sons. Research Methodology by C.R KOTHARI, Second Revised Edition: 2004, published by New Age International (P) Ltd Publication.

WEBSITE: www.bhaskarindustries.com www.google.com www.indiainfoline.com

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ANNEXURE

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QUESTIONNAIRE

Personal Information Name .. Age. Sex..

Job status.

Q. For how many years you are working with Bhaskar Industries Pvt. Ltd.? (a) 0-2 yr (c) 5-10 yr (b) 2-5 yr (d) more than 10 yr

Q. How often you remain absent in a month? (a) Nil (c)Twice (b) Once (d) thrice

Q. According to you what is the main reason for your absent? (a) Health problem / domestic reasons (c)Work dissatisfaction (b) Stress (d) Working environment

Q: what is the reason of your stress? (a) Work load (b) Wages (b) family problem (d) working environment 42

Q Do you think Reduction in stress will reduce Absenteeism? (a) Yes (b) No

Q: Are you Satisfied with your work? (a) Yes (b) No

Q: Are you satisfied with the work environment in the BHASKAR INDUSTRIES. (a) Satisfied (b) somewhat satisfied (c) dissatisfied

Q: Do you feel company is overdemanding? (a) Yes (No)

Q: Your relations with your supervisors? (a) Exellent (c)fair (b) Good (d) poor

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