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"THE EFFECTIVE PROVISIONS OF WELFARE MEASURES FOR EMPLOYEES IN IT SECTOR AND THEIR IMPACT ON HIGHER PRODUCTIVITY AND QWL"

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J .Anand* E.Gopi** J.Vignesh Shankar***

ABSTRACT
In the early stages of industrialization in Indian industries, for the provisions of welfare measures for employees, did not receive adequate attention. Employers were not inclined to accept the financial burden of those welfare measures. Hence the state had to intervene, in discharge of its responsibility, by using its persuasive powers and or by enforcing legislation and Compulsory provisions are thus incorporated in the Factories Act, 1948. But in todays world, organizations and companies are focusing without the intervene of any body and they accessing various methods to increase manpower productivity and commitment of employees, this study identified that there is a relationship between the effective provisions of welfare measures that leads to higher productivity will lead to ultimately the profit of the organization. Keywords: Provisions of welfare Measures, Productivity and Quality of work life.

*Assistant Professor - MBA Department, GKM College of Engineering & Technology, Chennai. ** Assistant Professor - MBA Department SRR Engineering College, Chennai. *** Assistant Professor - MBA Department, GKM College of Engineering & Technology, Chennai International Journal of Research in IT, Management and Engineering www.gjmr.org 122

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INTRODUCTION:

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In the present global industrial scenario, for any industry to be successful, it is essential to inculcate effective provisions of welfare measures to employees, consciousness in welfare activities in both inside and outside environment aspects in each personnel of an organization. Many companies has identified this as a major thrust area from the beginning and its continuously putting efforts for improvement in the welfare Systems positive & effective manner in the organization have been appreciated and recognized by several Government bodies. The term Employee Welfare refers to the facilities provided to employee inside and outside the organization premises such as canteens, rest rooms and recreation facilities, housing and all other services that contribute to the well being of employee and efficiency of workers. The concept of employee welfare is flexible and elastic and differs widely with time, region, industry, social values and customs, degree of industrialization, the general socioeconomic development of the people and the political ideologies prevailing at a particular time. Organization and employees should develop and progress simultaneously for their survival and attainment of mutual goals. So, every modern management has to develop the organization through human resources management by providing welfare schemes to employees .Welfare includes anything that is done for the comfort and improvement of employees and is provided over and above the wages. The welfare measures need not be in monetary terms only but in any Kind/forms. Employee welfare includes monitoring of working conditions, creation of industrial harmony through infrastructure for health, industrial relation and insurance against disease, accident and unemployment for the workers and their families. Administration of welfare facilities involves decision on (1) welfare policy (2) organs of welfare (3) assessment of effectiveness. The first step in welfare Administration is to have a clear defined policy towards it and the willingness of management to providing it. Welfare facilities should be monitored and properly maintained by the organization, welfare officer, line managers and human resources manager regularly for the well-being of employees. Assessments of effectiveness of welfare must be assessed periodically; feedback thus obtained must act as the basis for initiating remedial actions for well-being of employees. However the method may be mentioned to assess the effectiveness of welfare provision, by opinion survey from employees.

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LITERATURE REVIEW:

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(P.k padhi) The term welfare suggests the state of well being and implies wholesomeness of the human being. It is a desirable state of existence involving the mental, physical, moral and emotional factor of a person. Adequate levels of earnings, safe and humane conditions of work and Access to some minimum social security benefits are the major qualitative dimensions of employment which enhance quality of life of workers and their productivity [Richard Regis 2008] Welfare means faring or doing well. It is a comprehensive term, and refers to the physical, mental and emotional well-being of an individual. Further, the term welfare is a relative concept, relative in time and space. It, therefore, varies from time to time, from region to region and from country to country. M.v. moorthy in his stupendous work principles of welfare (1968) made clearer by listing the activities and facilities which are referred to as welfare measures. He divides welfare measures into two broad groups, namely: welfare measures inside the work place and welfare measures outside the workplace. Assessment of effectiveness: The effectiveness of welfare must be assessed periodically. Feedback, thus obtained, must act as the basis for imitating remedial actions where desired results have not been obtained. Assessment of the effectiveness of welfare is rather difficult because well-being of employees is abstract and is not possible to quantify. However, two methods of assessment may be mentioned in this context. They are (1) trend analysis (2) opinion survey. Trend analysis : As was started earlier, welfare is sought to be justified because of its impact on efficiency, turnover, and social evils. Hr experts must assess the impact of each of these, before and after a particular welfare activity is being introduced. If post implementation shows a substantial improvement, the welfare is worth continuing. The scheme deserves to be discontinued if there is no improvement or if there is a fall in any of the areas. Opinion survey: The most effective assessment technique is to conduct a survey and elicit opinion of employees on the welfare schemes. Employees may be requested to express their views on the usefulness or futility of a particular welfare scheme. Views thus obtained will help continue or discontinue the activity. [Randhir Kumar Singh] Welfare Measures and its impact on Manpower Productivity. The term 'Productivity' means goods and services produced in a specified period of time in relation to the resources utilized. It is defined as the ratio of output to input. Higher productivity means efficient use of input and vice-versa. Therefore, the term International Journal of Research in IT, Management and Engineering www.gjmr.org 124

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'Manpower Productivity' means the 'Productivity of Labor'. It refers output to the corresponding input of labor. There is a difficulty in arriving at the homogeneity concerning labor due to difference in scale, energy, training, environment, incentive, rates of pay etc. The ratio of output to labor is universally acknowledged to have some uniformity.It has been found that there is a correlation between the welfare measures and manpower productivity i.e. if the proper welfare measures are taken then the productivity of the employees will increase and ultimately the profit of the organization will increase.The welfare measures increases the productivity of the organization as well as it enhances the morale and motivation of the employees which gives a positive impact on the efficiency level of the organization. Shobha Mishra and Dr Manju Bhagat-The Functional Theory: This is also called the Efficiency Theory. Here, welfare work is used as a means to secure, preserve and develop the efficiency and productivity of labour, It is obvious that if an employer takes good care of his workers, they will tend to become more efficient and will thereby step up production. This theory is a reflection of contemporary support for labour welfare. It can work well if both the parties have an identical aim in view; that is, higher production through better welfare. And this will encourage labour's partcipation in welfare programmes. In the view of K.K. Chaudhuri, in his Human Resources: A Relook to the Workplace, states that HR policies are being made flexible. From leaves to compensations, perks to office facilities, many companies are willing to customize policies to suit different employee segments.The older employees want social security benefits, younger employees want cash in hand because they cant think of sticking to a company for many years and retire from the same company. Therefore one jacket fits all will not be right to motivate the talents and retain them.Conventions and Recommendations of ILO (1949) sets forth a fundamental principle at its 26 th conference held in Philadelphia recommended some of the measures in the area of welfare measures which includes adequate protection for life and health of workers in all occupations,provision for child welfare and maternity protection, provision of adequate nutrition, housing and facilities for recreation and culture, the assurance of equality of educational and vocational opportunity etc. Report of National Commission on Labour (2002), Government of India, made recommendations in the area of labour welfare measures which includes social security, extending the application of the Provident Fund, gratuity and unemployment insurance etc. International Journal of Research in IT, Management and Engineering www.gjmr.org 125

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Shobha Mishra & Manju Bhagat, in their Principles for Successful Implementation of

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Labour Welfare Activities, stated that labour absenteeism in Indian industries can be reduced to a great extent by provision of good housing, health and family care, canteen, educational and training facilities and provision of welfare activities. The principle for successful implementation of labour welfare activities is nothing but an extension of democratic values in an industrialized society.

OBJECTIVE OF THE STUDY:

1. To analysis the Effective Provisions welfare measures and their impact on higher Productivity and QWL. 2. The Reasons for applying the effective provisions of welfare Measures and their impact on higher Productivity and QWL

LIMITATION OF THE STUDY:

1. The period taken for the study is only short period of 2 months. 2. The questionnaire focuses on only two objectives because of short period of time taken for the study.

SCOPE FOR FURTHER RESEARCH:

1 2 The study may focus on the comparative study of welfare measures with different sector. The study may focus on the large no of sample size with Provisions of welfare Measure.

METHODOLOGY:
This study describes the Provisions of welfare Measures to employees in IT sector in Chennai, TamilNadu. Here the descriptive research was conducted to find out the information about the factor and to spotlight the areas that need the managements attention. In this study we decided the sampling unit, employees in IT sector in Chennai, Tamil Nadu, in that we selected 10 IT companies in Chennai, survey on Jan 2010 with the sample size of 100. The survey were conducted randomly to each company 20 questionnaire were used for data collection. The tools used were chi square and coefficient of variance. Analysis involved estimating the value of International Journal of Research in IT, Management and Engineering www.gjmr.org 126

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unknown parameters of the population and testing of hypothesis for drawing inferences. Interpretation refers to the task of drawing inferences from the collected facts from an analytical study. Interpretation is essential because the usefulness and utility of research finding lies in the proper interpretation. Analysis: Table 1: Reason for implementing Effective Provisions of welfare Measures for Employees in IT sector.

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Reasons Productivity Growth in business Quality of work life Raises performance Increase in

% of respondents 79 69 64 human 50

Mean 3.79 3.74 3.64 3.38

Std. Deviation t-test 0.84 0.86 0.90 0.85 2.20 1.80 1.38 -0.90

employees 55

3.48

0.87

-0.17

motivation levels high Sustaining / Retain employees Reduces absenteeism 55 55 3.57 2.93 2.81 1.15 0.97 0.83 0.40 -3.81* -5.37*

Improves the organizational 24 climate Reduced staff turnover Comfort and Improvement of employees Improving the well-being of 60 the workforce physical / 29 12

2.48 3.14

1.03 0.97

-6.52* -2.50*

3.49

0.93

-1.53

psychological Enhances employees' desire to 38 work *(p<0.001) 3.57 1.09 -0.53

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Inference: From the above table it is inferred that there is strong link between effective provisions of welfare measures and higher productivity, growth of business, and QWL. Table 2: Implementation of Effective Provisions of welfare Measures for Employees based on organization views:

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S.No 1 2 3

Org views To increase productivity Changes in Hr polices

Respondents 22 15

To raise their standard of living the 12 employees / QWL

To

increase

Commitment

to

the 15

organization 5 6 7 To reduce the rate of absenteeism To promote a healthy work environment To increase the better employees management relationship Total 100 13 16 7

Inference: The table indicates that the 22 respondents indicated that the implementation of effective provisions of welfare measures for employees is to increase productivity. Table no 3: Applying innovative welfare measures to helps higher productivity and QWL.

S.no

Variables

Chi value

square Table value

Result

To help to reduce employees 6.88 from industrial fatigue

7.815*

NS

To increase Efficiency in work

8.783*

7.815**

Significant

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3 4 5

To increase productivity

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10.109* 20.88*

9.488** 9.488** 7.85*

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Significant Significant NS

To make their work life better

To promote healthy industrial 6.88 relation thereby maintaining

industrial peace *non significance **Significance at 0.05 levels Inference: There is significant relationship between applying innovative welfare measures to helps higher productivity and QWL & to increase Efficiency in work,to increase productivity and to make their work life better

FINDINGS:
1 There is a strong relationshipbetween effective provision of welfare measures helps higher productivity, growth of business and QWL. 2 The majority of the respondents indicated that the implementation of effective provisions of

welfare measures for Employees based on organization views is to increase productivity. 3 The majority of the respondents indicated that reasons for implementation of effective provisions of welfare measures is to increase employees motivation levels high, Sustaining / Retain employees, Reduces absenteeism, Improving the well-being of the workforce physical / psychological. 4 By installing the effective provisions of welfare measures, the organization may retain the skilled and trained employees. . 5 There is strong relationship between applying innovative welfare measures to helps higher productivity and QWL- to make their work life better, to increase Efficiency in work.

SUGGESTION:
Some employees will prefer to development of new working methods and equipment to improve working postures and decrease the strain level of physical work. International Journal of Research in IT, Management and Engineering www.gjmr.org 129

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Proper investigation and periodic audit of welfare programs should be organized by management, when needed. Providing non statutory welfare programs like personality and stress management programs for employees.

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Training the employees for the safety conscious, coordinate health and safety programs for all level of employees. Modifications shall be initiated in the field of grievance handling, sexual Harassment especially for women employees.

Various assistant programs are arranged like external counseling service, so that employees or members of their immediate family can get counseling on various matters.

CONCLUSIONS:
Generally, welfare measures are recreational, medical, educational, housing, sanitation and so on. Every organization provides the statutory welfare measures to their employees, but some organization provides more non-statutory welfare measures to the employees, so that they may retain the employees and increase their quality of work life. By the result of improved quality of work life among the employees their involvement in job gets increased and results in increased productivity of the organization. The organizations maintaining smooth relationship between workers and management, which leads to attainment of organization efforts / profits. By conducting this study, we could infer that the Employees of IT sector in chennai district are satisfied with the welfare measures provided by their companies. Organization and employees should develop and progress simultaneously for their survival and attainment of mutual goals. So, every modern management has to develop the organization through human resources management by providing welfare schemes to employees in effective manner to achieve mutual goals like productivity and QWL, productivity is for the organization and QWL is for employees, so the proper functioning of an organization, the employer has to ensure proper provision welfare measure. As a HR manager they help in coordinating welfare activities, making employees aware about the activities and analysis employees needs and provide according. The supervisors, managers and departmental heads were responsible for maintaining proper workplace welfare activities; this makes effective working conditions that act International Journal of Research in IT, Management and Engineering www.gjmr.org 130

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as a drive force for higher productivity and QWL.

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REFERENCE:
P.k padhi, labour and industrial laws, prentice hall India,2007. Richard Regis, Strategic human Resource Management, excel books, first edition new delhi 2008 Randhir Kumar Singh- Lecturer Dr. Gaur Hari Singhania Institute of Management & Research- Welfare Measures and its impact on Manpower Productivity. Shobha Mishra & Dr. Manju Bhagat, Principles for successful implementation of labour welfare activities from police theory to functional theory Retrieved June 10, 2010, from http://www.tesionline.com/intl/indepth.jsp?id=575 Human Resources A Relook to the Workplace Dr. K.K. Chaudhri 26 th Conference of ILO,Conventions and Recommendations of ILO (1949) Retrieved June 11, 2010, from http://www.workinfo.com/free/sub_for_legres/ILO/index.html Report of National Commission on Labour, Government of India, 2002

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