INTRODUCTION

Agriculture is the backbone of the Indian economy. This sector forms the largest segment at national level for self employment and also provides lively hood for countless migrant laborers and remain a vital factor of the nation. Self sufficient program being relentlessly persuade by each five year plan. The agricultural sector having progressed from the ox plough stage is now greatly dependent on modern technological equipments supporting implements to enable boosting of productions wile saving on time, manpower and also cultivation. By large tractors for achieving better, faster and economical industry today .Every organization, to maximize its profits adopts a well planned marketing strategy which is analyzed every year.

ABOUT THE COMPANY

Sh L.D Mittal Chairman of the company helped by Sh. A.S. Mittal Managing Director Mittal Joint Managing Director gave a serious thought to it and started working on the new project to develop a tractor as per aspirations of the farming community. Company's engineers were sent all over the country to assess the needs and requirements of the farmers and also to know what problems are being faced with the brands being used by them. R&D exercises were undertaken and a tractor was developed with the combined efforts of workers and engineers of the company. The tractor had all features of having more pulling power, more speed, more efficiency in deep ploughing and transportation etc. and it was equally efficient with agriculture implements .The hardest Budhni Test gave the tractor an excellent rating. Above all, the farming community started patronizing the new product of their dreams and within a short span, popularity of the tractors became visible. The number of dealers also went on increasing with the increased production and excellent performance of the tractor. There was practically Q of the dealers and the number of dealers has reached more than 570 now having representation from all states. The Sonalika International' after the great success of its 740 model and improved Double Clutch model continued its efforts in manufacturing yet another models with increased Horse Power with foreign technology in the shape of DI 60 and Dl-55. These high range tractors have also caught the fancy of the farmers especially with bigger holdings. The company has shown a record growth rate of 124% which has not been registered by any other brand so far and that too within a short duration. It is creditable indeed and speaks of company" spreading its wings at a very fast speed. Keeping in view, the requirements of farmers with small holdings, Sonalika has come out with 3 more small range 725,730 and 732 models a demand

of these tractors is catching up day by day. In addition 45 and 50 HP tractors have also been developed to meet with the requirements of middle class farmers. Sonalika has not stopped. It believes in improving upon its performance and accelerating pace of progress further. Its has yet another feather in its cap when it signed MOU with the world Automobile giant Renault Agriculture France on 30th April 1999. Now Sonalika International will be able to produce tractors with top international technology under the guidance of French and Indian experts at reasonable rates. This will also facilitate India to earn much needed sizeable amount of foreign exchange by exporting tractors made in India to foreign and covering Southeast Asia, Africa and Europe. The credit for this success goes to Sh. L.D.Mittal, the soft spoken Chairman under whose leadership the company has flourished and is destined to reach still greater heights. Sh. Mittal however attributes this to ever energetic Sh. A,S. Mittal Managing Director and Sh. Deepak Mittal Joint Managing Director who have been engineering the activities of the company successfully since inception. He has also all praise for the workers, engineers and officers whose dedication and team work has helped the company to reach this enviable position.

Group Turnover and Projection Tractor (Nos.) Agriculture Machinery (Nos.) 1999-00 396 5000 2000-01 2770 7500 2001-02 6211 1200 2002-03 8773 18000 03-04 13496 24000 04-05 17002 32000

18000 Sales of Tractors 16000 14000 12000 10000 8000 6000 4000 2000 0 199900 200001 200102 200203 4-Mar 5-Apr

Years

The sales of the sonalika tractor went on increasing as it is shown in the graph. The sales in the year 1999-00 was 2770 it increased to 6211 in year 1999-00 and then in 2000-2001 recorded sales were 8773 .In the year 2001-02 the sale increased to 13516 much showing the name and the better quality ,customer satisfaction . The increased technology of Sonalika Tractors proved to be the most like tractor for every farmer .the recorded sales in year 2002-2003 was 17113.Sales for the year 2003-2004 were

21002 . The latest figures received for the year 2004-05may not be accurate as due to some secrets of the company .The sales for the year 2004-05 is 23211.

Nos. of Agriculture Machinery

35000 30000 25000 20000 15000 10000 5000 0 199900 200001 200102 200203 4-Mar 5-Apr

Years

The number of agriculture machinery used by the farmers in 1998-99 was 4500 then after due to the coming modern stage many of the farmers adopted the machinery and the number was increased to 7400 in the year 1999-00. Better machinery used resulted in the good crops and hence the number of farmers using machinery went to 12500 then after it went on increasing to 17500 in the yr 2000-2002 .In the year 2002-03 the number of machinery used was 24316 .In the year 2003-04 the number of machinery used in bye the farmers was 33000 .Then almost all the farmers were using the modern technology for cultivating their crops in the year 2004-05 the figure recorded was 46000.

ORGANIZATIONAL STRUCTURE
5

CHAIRMAN MD J.M.D Production DGM R&D Quality Division Sr. Manager DGM DGM AGM DGM Gear Division Marketing Engine Division Sr.Manager (R. M) Manager Asst. Manag er Asst. Manager Manager Asst. Manager Deputy Manager Asst. Manager Sr. Manager Manager AGM Sr.Manager

Deputy Manager

Territory Manager

Asst. Manager Sales & Serv ice Purchase `

Tractor

Consumer

Production R&D Quality Gear division Engine Division Marketing Purchase 6

THE PROMOTERS Chairman: Sh. L.D. Mittal Managing Director: Sh. A.S. Mittal

SONALIKA AWARDED
ISO 9001 AND ISO 14001

IN RECOGNITION OF QUALITY AND STANDARDS International Tractors Ltd. with Sonalika brand tractors has been certified as ISO 9001 issued by International Standards Organization. This certification can be earned those organizations only who can establish and demonstrate strict compliance of quality systems prescribed under ISO 9001as highest level of certification under which the organizations possess capabilities in the area of design and, development and in manufacturing and marketing functions. It is indeed a great honour for the International Tractors Ltd. to have achieved this 2nd such company in India, which has received this certification. The scope of registration covers design, development production and installation. The registration is a quality mark. Sonalika has also been certified as ISO 14001 which is another golden feather in Companys Can and another stamp of quality.

ISO-CERTIFICATES
ITL has got ISO-9001 quality system certified by ICL (International Certification Limited).

ISO-9001 It is used for conformance to specify requirement is to be assured by suppliers during the several stages which may include design, development, production, installation and servicing. Sonalika has arranged collaboration with French Renaults for technical know how and marketing, with the help of this collaboration Sonalika will develop its own Dl-740 tractor engine which will help to reduce its cost. collaboration, Sonalika will be able to make 100 tractors per day. French Company will have 20% shares in Sonalika International Tractors Ltd. And will also have one director in Board of Directors and 90% share part manufactured by the company. ISO 14001 certification ITL is an environment friendly plant. In order to achieve international slandered environmental management system ITI has been awarded ISO 14001 certifications. After the

GOVERNMENT POLICIES
All the agriculture related industries in India have been highly controlled by the government and the tractors are not an exception to this. The important government policies affecting the tractor industry are discussed as below.

Excise duty
In the past, government has used excise duty as effective tool for controlling the demand for various types of tractors. The main objective has been to keep the price of small tractors purchased by marginal/small farmers, at affordable level. But this seems to have changed now. The indirect subsidy for less than 1800 cc tractors was recovered from higher from higher horsepower segments by levy of higher excise duty. The lower HP tractors (uptol800cc) and components for them were totally exempt from excise duty till 1994-95 the introduction of duty on components and subsequent change in several of MODVAT credit for lower HP tractors adversely affected the market of the segment in FY96. But this anomaly has been overcome in 1997-98 budgets by increasing the excise duty on higher HP tractors from 10% to 13%.

In 1998-99 budgets, less than 1800 cc tractor were charged an 8% excise duty so as to address the industry's long standing demand to claim MODVAT credit on inputted. The rationalization of excise duty structure in 1999-2000 budge

10

led to an increase, in excise duty on above 1800 cc tractors (above 30 HP) from 13% to 16%. However, the 2000-2001 budgets have raised the excise duty on the less than 1800 cc tractors from 8% to 16%. LICENSING The liberalization process started in 1991 has brought relief to the tractor industry, by providing free hand in setting up of additional capacities to the existing players and allowing new players to set up plants. This has resulted in entry of few new players who were given to commence their operations by mid 1999 with their manufacturing base in India. The tractor implements sector, which is very important for effective usage of tractors, was reserved for Small Scale Industries (SSI). The sector was deserved from SSI list in 1998-99 budget so that the implements can be produced with better design and technology that can help in farm mechanization. This will help in enhancement of agricultural productivity in the country.

PRIORITY SECTOR LENDING Bank lending for acquiring tractors is part of the priority sector lending. Any change in limits for priority sector lending from the current minimum requirement of 40% and 32% of the net bank credit for domestic and foreign

11

banks respectively will effect the demand for tractors as nearly 95% of the tractor sales is through credit taken from banks. The loans given, for tractors by banks are refinanced by NABARD under the head "farm mechanization". This includes power tillers, harvesters, engines, pumps etc. besides tractors. But, tractor credit constitutes a major components of the total refinance provided for farm mechanization. The refinancing policy of NABARD is' laid down on a you basis and the credit support to tractors is based on the total availability of resources and agricultural priority in a particular year. SUPPLIERS The industry is controlled by six major players. The major players are M&F TAFE, Punjab Tractors, Escorts, Eicher and HMT. The supply of tractors was in tune with demand leading to a capacity utilization of above 95% in the second half of eighties and early nineties.The capacity of tractors industry has increased from 150,300 tractors in FY92 to 337,000 tractors in FY99. The increase in capacity in nineties was

brought about by expansion projects of M&M, PTL and TAFE, which together accounted for 73% of the expanded capacity of 183, 700 tractors. In the past few years, the tractor market has moved from sellers market to a buyers market as competition, from both existing and new manufactures intensified and fresh capacity was created. This has created a scenario where

12

dealers have been maintaining higher inventories so as to provide wider choice and immediate delivery to the farmer. Tractor prices in India are about a quarter of the similar powered tractors, in international markets. In the 1990s, the retail prices of the tractors have Increased at a pace lower than procurement price of major crops like wheat paddy. For the corresponding period, farmers are also benefited from improvement in yield per hectare. Due to sharp jump in tractor demand in last few years, almost all the players have been expanding their capacities. The industry is also witnessing entry of international majors like New Holland Ford and L & T John Deere. The industry entry barriers like high capital cost, extensive rural distribution network, and suitable tractor technology to meet local conditions, brand awareness and familiarity of technology to local technicians will provide cushioning to domestic manufacturers fro international majors at least for the next three years. For example, the capital cost of a Greenfield unit with capacity of 20,000tractors per annum is about Rs.2.5 bn. This is more than twice the capital cost of Rs. 6.2 bn for expanding the capacity by 18,000 tractors per annum by Punjab Tractors Ltd. New Holland tractors, a 100% subsidiary of New Holland Tractors started sales of 70 HP tractors imported in CKD form in the country from mid-198. It launched a 50 HP tractor in March 1999, from it recently started plant at greater Noida. The company plans to release 35HP tractor 1999 .all these models's come with superior technology like oil immersed disc brakes,

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synchromesh transmission, support through hydraulic system etc. the company plans to control costs by increasing indigestions levels from 50%to90%by end of 1999. To tackle over capacity problem and to keep the pace of growth, major players are implementing key management and marketing strategic, for example: M&M is implementing BPR to control processes and cost of production, PTL is expanding into south India appointing new dealers, Eicher is entering higher HP segment through a collaboration etc.

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OBJECTIVES OF THE STUDY

This project report is based on the case study of working of welfare measures in SONALIKA TRACTORS. The main objective of the study is to find out 1. Wether all the welfare measures have been adopted by SONALIKA TRACTORS. 2. Whether adopted welfare measure are satisfactory or not? These measures include provisions of medical facilities, canteen, housing, washing, education facilities, safety measures etc. 3. To find out whether welfare schemes have been introduced in the factory, which includes Provident Fund, Gratuity Schemes, and Employees State Insurance Schemes etc

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LITERATURE SURVEY
DEFINITION OF LABOUR WELFARE WORK
Following are the some important definitions of Labour Welfare work: 1. The Encyclopedia of Social Science' has defined labour welfare work as : The voluntary efforts of the employees to establish, within lie existing industrial system, working and sometimes living and cultural conditions of the employees beyond what is required by Law. The custom of the country and conditions of the market. 2. The Oxford Dictionary defines: Labour Welfare as efforts to make life work living' for workmen. 3. Chamber's Dictionary" defines: Welfare as a state of faring or doing well; freedom from calamity, enjoyment of health, prosperity, etc. 4. The I.L.O. Report refers with regard to Labour Welfare as: Such services, facilities, and amenities which may be established in or in the vicinity of undertakings to enable the persons employed in them to perform their work in health, congenial surroundings and provided with amenities conductive to good health and high morals. 5. The LABOUR INVESTIGATION COMMITTEE preferred to include under Labour Welfare. Anything done for intellectual, physical, moral and economic betterment of the worker, whether by employers, by government or by other agencies, over and above what is laid down by

16

law or what is normally expected on the part of the contractual benefits for which workers may have bargained. 6. According to the Committee on Labour Welfare by Welfare services should mean: Such services, facilities and recreation facilities, sanitary and medical facilities, arrangement for travel to and from and for the accommodation of workers employed at a distance from their homes: and such other services amenities and facilities including social securitymeasures, as contributed to conditions under which workers are employed. According to N.M. Joshi. Welfare work: Covers all the efforts which employers make for the benefit of their employees over and above the minimum standards of working conditions fixed by the Factories Act and over and above the provisions of the social legislation providing against accident, old age, unemployment and sickness. From the above definitions of LABOUR WELFARE we may say that the term LABOUR WELFARE has been used both in a wide and in a narrow sense. In the broader sense, it may include not only the minimum standard of hygiene and safety laid down in general labour legislation, but also such aspects of working life as social insurance scheme measures for the protection of women and young workers; limitations of hours of work. paid vacations etc. In narrow sense, welfare, in addition to general physical working conditions, is mainly concerned with the day-to-day problems of the workers and the social relationship at the place of work.

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In other cases, the definition is much more limited, and welfare, in addition to general physical working conditions, in mainly concerned with the day-to-day problems of the workers and the social relationship at place of work. In some countries the use of the welfare facilities provided is confined to the workers employed in the undertaking concerned, while in others the worker's families are allowed to share in many of the benefits which are made available.

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BASIC FEATURES OF LABOUR WELFARE

The basic features of Labour Welfare work may be summarized as under: 1. It is the work which is usually undertaken for the benefit of the employee and employers and the members of their families. 2. Labour welfare is a very broad term, covering from social security to such activities as medical aid, crches, canteens, recreation, housing, adult education, arrangements for transport of labour to and from work place to residence etc. 3. These facilities may be provided voluntarily by the progressive and enlightened entrepreneurs of their own accord out of their realization to social responsibility towards labour or the statutory laws may compel them to make provisions for these facilities or these may be taken by the Government or these may be taken up by the Government or the trade unions if they have the necessary funds with them. 4. The purpose of providing welfare facilities is to bring about the development of the whole personality of the worker, his social, psychological, economic, moral, cultural and intellectual development to make him a good worker, a good citizen and a good member of the family. 5. It may be noted that not only the intra-mural but also extra-mural, statutory as well as non-statutory activities undertaken by any of the three agencies the employees, trade unions or the government.

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From the above discussion it is clear that labour welfare work is for the benefit of the employees and employers and the members of his family and welfare work is a broad term, it includes activities like housing facilities, medical aid, adult education, education for the children of workers recreational facilities, arrangement of transport etc. Welfare facilities may be provided voluntarily by the organization or it may be imposed by Labour Legislation of the country. Welfare work is aimed at the development of the whole personality of the worker and welfare activities may be undertaken by any of the three agencies - the employers, trade union or by the Government.

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AIMS OF WELFARE FACILITES

Labour welfare work aims at increasing the production, by providing suitable amenities to the workers and their families so they fell that they are the part and parcel of the organization in which they are working. So welfare facilities aim at promoting the good and healthy relation between the employees and employers. The main aims of the welfare facilities are as under: 1. To increase production and productivity. 2. To develop a healthy relationship between employees and employers. 3. To enhance the participation of the worker in the management. 4. To promote the healthy traditions. 5. To remove the illiteracy among the workers and their children. 6. It is party humanistic to enable the workers to enjoy a fuller and richer life. 7. To improve the efficiency of the worker. 8. To develop a sense of responsibility and dignity among the workers and thus to make them worthy citizens of the nation. The aim and objective of labour welfare have progressively changed during the least few decades. From the primitive policing and placating philosophy of labour welfare, it gradually moved to the era of paternalism with philanthropic objectives. Even today there is evidence of humanitarian outlook of some of the employers in many employee-welfare programmes. In future it will assume

21

new dimensions in our country as a result of added emphasis on the basic responsibilities of a welfare state. To conclude we may say that labour welfare facilities aim at developing congenial and good relations between the employees and employers. It also aims at increasing production and also to improve the efficiency of workers.

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SCOPE OF LABOUR WELFARE WORK

It is difficult to accurately lay down the scope of labour welfare work, specially because of the fact that labours is composed of dynamic individual with complex needs. We cannot bind the scope of labour welfare only to the working hours, but the scope of labour welfare work is very broad it includes the welfare programmes. Health services programs and laborers' economic welfare programmes. The scope of the welfare work may be summarized as under: 1. CONDITIONS OF THE WORK ENVIRONMENT (i) Workshop sanitation and cleanliness: It includes: a) b) c) d) e) f) Disposal of waste and effluents. Ventilation and temperature Prevention of dust and fumes from the workroom. Artificial humidification Provisions against the over crowding arrangement of lighting. Workmen's safety measures and distribution of work hours and provisions for rest times, meal times and breaks. (ii) Provision and care of drinking water. (iii) Canteen services (iv) Management of workers Cloak rooms, rest rooms and library. (v) Factor sanitation and cleanliness: It includes a) b) Toilets and Urinals Washing facilities

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c) d)

Spittoons Cleanliness, white washing and repairs of building and workshops.

e) f)

Ingress, egress, passage and doors and Care of open spaces, gardens and roads

2. EDUCATION PROGRAMMES FOR WORKER'S CHILDREN Education facilities for workers children include Nursery Schools. Primary Schools, Provision of reading rooms, libraries, circulating library, visual education, lecture programme, study circles, playgrounds for children. It includes also cultural activities festival celebrations etc. 3. LABOURS' ECONOMIC WELFARE PROGRAMME Co-operative or fair price shops for consumer necessities especially grain, vegetables, milk, meat, ghee, cloth and daily requirements, co-operative credit society, thrift schemes and saving banks, unemployment insurance, social insurance, profit sharing and bonus schemes, factory transport services. 4. WORKERS' HEALTH SERVICES (i) Factory Dispensary and Clinic: For a) General Treatment b) Treatment for individual diseases, fatigue, treatment of accidents. (ii) Labour Colony Dispensary and Clinics: For women and child welfare worker 0.2. maternity aid. infant welfare, crches and medical examination of workers family.

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5. GENERAL WELFARE WORK (i) Housing and (ii) Family Welfare work From the above discussion we may conclude that the scope of labour welfare work is very wide and enlarge and it mainly includes workshop and sanitations and cleanliness and factory sanitation and cleanliness, education programmes for children of workers, labour economic welfare programme. Workers health services and housing facilities. Thus labour welfare is very comprehensive and embraces a multitude of activities of employers, state, trade unions and other agencies to help workers and their families in the context of their industrial life.

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WHY LABOUR WELFARE?

The necessity for labour welfare is felt all the more in our country because of its developing economy aimed at rapid economic and social development. In this process it is trying to check the baneful effects of the industrial revolution which have adversely affected the people all over the world. The need for labour welfare was felt by the Royal Commission on Labour as far back as 1931. The philosophy of labour welfare and its necessity came in for a generous mention in a resolution passed by the Indian National Congress on Fundamental rights and Economic Programme in its Karachi Session in 1931. The resolution demanded that the organization of economic life in the country must conform to the principles of justice and it might secure a decent standard of living. It also Emphasized that the state should safeguard the interest of industrial workers and should secure for them, by suitable legislation, a living wage. healthy conditions of work, limited hours of labour, suitable machinery for the settlement of disputes between employers and workmen and protection

against the economic consequence of old age. sickness and unemployment. This need was also emphasized by the Constitution of India in the chapter on the Directive Principles of State Policy. The Planning Commission also realized the necessity of Labour Welfare when it observed that : "In order to get the best out of the worker in the matter of production, working conditions require to be improved to a large extent, the

26

worker should at least have the means of facilities to keep himself in a state of health and efficiency. Thus the need for social and industrial welfare in India in all sectors is clearly enunciated in our constitution. Benefits of Labour Welfare 1. It enhances the efficiency of the workers and their productivity is considerably increased. 2. It raises the morale of workers. A feeling is developed among the workers that they are being looked after properly. 3. It helps in reducing labour turn over and absenteeism. 4. It promote industrial place by minimizing industrial disputes. 5. It brings drastic change in the outlook of workers. They extend their whole hearted cooperation since labour welfare presupposes faith of the management. 6. The social evils prevalent in the labour forces such as gambling, drinking etc. are reduced to minimum. It brings improvement in the health of the workers and keeps them cheerful through entertainment facilities.

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LABOUR WELFARE AT SONALIKA TRACTORS

The topic includes the data collected by me from the factory workers of Ka Metal Works and my own observation regarding the working of labour welfare measures. SONALIKA TRACTORS is covered under Factories Act 1948. The Act has detailed provisions in regard to various matters relating to health, safety and welfare of workers. So we can divided this information under four heads: A) HEALTH MEASURES B) SAFTEY MEASURE C) LABOUR WELFARE D) SOCIAL SECURITY SCHEMES Following are the detailed provisions of health, safety and labour welfare, as mandatory according to Factories Act, 1948 & as practically applied in SONALIKA TRACTORS: A. HEALTH MEASURES (Sec. II to 20) 1. Cleanliness (Sec. II) Every factory must be clean and free from effluvia arising from any drain, privy or the nuisance. In particular the following must be adopted. (Sec. II to 20) (Sec. 21 to 41) (Sec 42 to 50)

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(a)

Accumulation of dirt and refuse shall be removed daily from floors and benches of workrooms, passages & stairs.

(b)

The floor of every workroom should be clear at least once in every work of washing, using disinfectants etc.

(c)

All inside walls, partitions & ceiling etc. When painted otherwise with washable, water paints shall be repainted at once in 5 years.

(d)

If washable water paint is used then they should be repainted with at least one coat of such paints at least once in every period of 6 months.

(e)

All doors & windows shall be kept painted or varnished & the painting or varnishing shall be carried out at least once in every period of 5 years.

All the above provisions of Factories Act are strictly maintained in Kalsi Meta Works. The premises of SONALIKA TRACTORS are kept clean & are free from any type of smell. The floors of workshop are swept daily & also wash once or twice in a week. The workshop is white washed once in a year near Diwali. Two persons have been appointed for cleaning the office. 2. Disposal of Wastes & Effluents (Sec. 12) SONALIKA TRACTORS produce those products, which don't result in any harmful waste and effluent. 3. Ventilation & Temperature (Sec. 13) Effective & suitable provisions are provided for securing & maintaining: a) The adequate ventilation for circulation of fresh air.

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b) Such a temp. is maintained to provide comforts to the workers & to prevent injury to health. The walls & roofs of workrooms are of such material & such design as to keep the temp low. Proper lighting & cooler facility is provided in workroom of SONALIKA TRACTORS. Office is fully airconditioned. 4. Dust & Fume (Sec. 14) In factory SHOT BLASTING MACHINE has been installed for cleaning casting. Besides it DUST COLLECTOR, for inciting iron CUPOLA FURNAC POLLUTION CONTROL DEVICES have also been installed. Gases are diluted to water. Clean air is thrown in the air through chimney. 5. Over Crowding (Sec. 16) In SONALIKA TRACTORS open halls consent of 6 conveys are system is maintained separately for uppers and lowers. Every worker is provided reasonable space for his/her sitting & machine on which he/she is working. 6. Lighting (Sec. 17) Every part of the factory is provided with sufficient & suitable lighting, natural or artificial or both. Effective provisions are made for prevention of glass & formation of shadows, likely to cause eyestrain or the risk of accident to any worker. All glazed windows & skylights for lighting of workroom are kept clean in SONALIKA TRACTORS. 7. Drinking Water (Sec. 18)

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Sufficient arrangement have been provided & maintained at suitable points for supply of whole some drinking water, cold drinking water, coolers are provided at convenient points so away from their duties for drinking water. 8. Latrines & Urinals (Sec. 19) Sufficient latrine & urinal accommodations for male & female workers. Such accommodations- are adequately lighted, ventilated & maintained in a clean and sanitary condition sufficient numbers of sweepers are employed to keep urinals, latrines & washing places clean. There is one latrine for every 25 male workers and same for female workers. 9. Spittoons Sufficient No. of spittoons at convenient places are placed. They are maintained in a clean and hygienic condition. As per Factories Act, 1948 any person who is found spitting any where except in spittoons may be fined up to Rs. 5. (B) SAFETY Safety is basic & primary requirement in a factory. Unless the life of workers is secure & smooth, proper working can't be ensured in any factory. Section 21 to 41 of the Act contains the provisions relating to the safety of workers. These provisions are absolute in character & it is the duty of the occupier of every factory to comply with them. 10. Work on or Near Machinery in a Motion (Sec. 22) This requires that with a view to secure the safety of workers, examination of machinery while it is in motion, should be carried out only by trained adult

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male worker wearing tight clothing (which is supplied by occupier). The name of such male worker should have been recorded in the register prescribed in this behalf.
11. Employment of young persons on Dangerous Machineries (Sec. 23)

No young person is employed~ to work at any dangerous machine, unless he has been fully included in connection with the machine. Person who has thorough knowledge & experience of the machine provides him with sufficient training under the adequate supervision.
12. Floor Stair & Means of Access (Sec. 32)

All floors, steps, stairs, passage & gang ways are of second consultation & property kept & maintained & shall be kept free from obstruction & substances likely to cause a person to slip. 13. Safety Equipment Safety equipments issued to employees for their protection against falling objects splashes of chemicals & exposure of harmful dust etc. The safety equipments project the workers from harmful objects.

a) Goggles Effective serene or suitable goggles are provided for protection of persons employed in the process that involve risk of injury to employees from particles or fragments thrown off in the course of the process or exposure to excessive light. For example: Goggles are being provided-to Grinder men, Chipping workers and Welders.

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b) Rubber Aprons or suits Aprons, skivers, cutters, shoes for machines operation are issued as & when required by the employees. For example: Painters are provided masks. C) Gloves Different types of gloves are issued on regular basis to suit the work requirements. Gloves are specially provided for initial processing of leather. d) Shoes Different types of shoes are provided to workers for example: Molders as per the requirements such as gum shoes for chemical section and tannery section. 14. Fire Safety All practicable measures shall be taken to prevent out break of fire & its spread both internally and externally & to provide & maintain, (a) Safe means of escape for all persons in the event of a fire. (b) The necessary equipments and facilities for extinguishing fire. Effective measure are taken to ensure that in factory all workers are familiar with the means of escape In case of fire & have been adequately trainee in the routine to be followed in such cases.
Main components of fire policy in Kalsi Metals are:

There is a arrangement of four parties whose functions & duties are as follow: 1) Cardon Party: It will be responsibility of the cardon party to cardon the affected area & ensure that no unauthorized person is allowed to enter area. Cardon Party-1, 16 Workers from Conveyor Number. 1

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2) Fire Fighting Party :This party will be of 1 to 7 persons which will be versed in handling of fire extinguishers. Fire fighting Party-1 & worker a from conveyor no. 3. 3) Sand & Water Party : Depending upon the nature of fire, the party will carry the buckets full of sand, water & thrown it over the affected area. Water Party- 1,10 workers from conveyor no. 2 4) Salvage Party: Salvage party will salvage important equipment/ store/ machine & material to avoid their destruction by fire. Salvage Party- 1, 10 workers from cutting section boys. 5) Alarm: Any employee who notices fire will shout at the top of his/ her voice 'AAG- AAG'. The fire-fighting officer will take control of situation & take such action as necessary to extinguish the fire in minimum time. He will also inform the Following: (a) Fire Brigade (b) Police Chownki List of fighting equipments at each fire point:
a) Fire Brigade.

b) Police Chownki, List of fighting equipments at each fire point: Serial No 1 2 3 4 Equipments Water buckets Sand buckets Fire hooks Fire beater Quantity 4 4 1 1
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5 6

Pick axe with handle Shovel with handle

1 1

15. Safety of Building & Machinery (Sec. 40) This empowers the inspector to serve on the manager or occupier or both of a factor an order in writing specifying the measures, which are to be adopted before a specified date, for safety of building & machinery. In case of imminent danger the inspector is empowered to prohibit the use of such building machinery etc. until properly repaired or altered. 16. Safety Officers (See. 40 B) Separately no person is appointed as safety officers & personnel manager in SONALIKA TRACTORS performs all functions of safety officers. C. LABOUR WELFARE MEASURES The need for adoption of welfare measure as a mean to increase the workers productive efficiency, to keep up their morale & for the maintenance of industrial peace, has been realized by all sections of the society. Provisions relating to welfare of the factory workers have been contained in section 42-50 in Chapter 5 of Factories Act, 1948. Details of these provisions are as follows: 17. Washing Facilities (Sec. 42) (a) In Kalsi Metal Works adequate & suitable facilities for washing are provided & maintained for the use of workers.

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(b) Separate & adequately screened facilities are provided for use of male & female workers. Two cakes of lifebuoy soap are provided every month.

18. Sitting Facilities (Sec. 44) Suitable sitting arrangements have been-provided in SONALIKA TRACTORS so that workers can take rest whenever they get opportunity. 19. First Aid Appliances (Sec. 45) This Act has made provision of first aid appliances obligatory. SONALIKA TRACTORS is well equipped with 3 dispensaries with qualified medical staff, which provides first aid facilities, which are reality accessible during working hours; it has equipment required for emergency. Employers are also given treatment in Patel Hospital, Nursing Home, and ESI, if required. 20. Canteen (See. 46) There is a canteen in the factory premises, which provides cooked food & refreshment to employees. Canteen is managed departmentally & it is running. Profit' basis as required in Punjab Factory Rules 1952 in SONALIKA TRACTORS Expenditure borne by employers for providing foodstuff below cost is Rs. 180000 per market. Canteen has 22 x 20 feet area. There are 6 big tables &12 big benches. Proper sitting, lighting, ventilation & fan facilities are provided in canteen. In canteen proper drinking facilities, are provided. Filtered water provided to workers for drinking. There are 2 taps & 2 water

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coolers in canteen also washing & cleaning facilities with regular sweeper duty is provided. Proper table system, dustbins at every table are provided. Moreover clean & washed utensils are also provided to workers. There are 3 doors & 3 exhaust fans in canteen. Proper fire exit is properly marked. Health precautionary, no smoking board etc. are also there to aware the workers. 21. Shelters. Rest rooms & Lunch rooms (Sec. 47) Section 47 of the Act provides that in every factory where more than 150 workers are employed, adequate & suitable shelter or rest rooms & a suitable lunchroom should be provided & maintained for workers. In SONALIKA TRACTORS, no separate shelter & rest rooms have been provided, but proper ventilated & sufficiently lighted lunchroom is provided to all the workers. 22. Travel The work regarding travel is handled by personnel dept, the booking for the air/ railways is done & separate record is maintained for all the managers. The travel allowance is given on annual oasis Year 2005-2006 2006-2007 2007-2008 Travel Allowances (In Rs) 222943.00 277765.00 400272.00

23. Car Facility

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Company has provided car facilities to director manager of production, Chief executive & manager of maintainer. Year 2005-2006 2006-2007 2007-2008 Rs. Spent on car facility 510128.00 415338.00 442703.00

24. Scooter Facility Company has provided scooter facility to some of manager, Deputy Manager Years 2005-2006 2006-2007 2007-2008 Rs. Spent on Scooter Facility 14236.00 22355.00 135286.00

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25. Loans Company has its own credit society from which it gives loans to its workers occasion like self- marriage in family, sickness, accident, birth & death & house repairs etc. Loan will be given only on compassionate ground & too for self & own family. Documentary proof will be attached with application. No loan will be given if loan already taken is outstanding. Interest is charged at the rate of 10 % p.m. & loan under no circumstances can exceed 1 month basic pay. Loan is not a right, but a facility extended by company to its workers. 2530 /o employees availed loan facilities In 1999 2000. 26. Loan in Emergency In case of emergency of any type of employees, there is an arrangement to give loans, in some cases, it does not recover loans from workers Rs 50,000/- given to worker for burnt cases 27. Uniform Peons & drivers are provided with two pairs (Pent & Shirt) of stitched tarrycotton uniform per year. Where workers of SONALIKA TRACTORS are provided with cotton coat to wear it during working hours to create a feeling of uniformity among worker

28. Rain-Coats Rain- coats are provided to security guards, security officers, watchmen. 5-6 rain coats are there in factory. Also shoes, torches are provided.

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29. Medical facilities Medical facility is given attention in Sonalika Tractors. All the employees are covered under ES'I. Under this each & every type of medical facility & help for medical purpose is provided to the employees. Employees who are drawing salary up to Rs 6500 /-P.m. are covered under ESI Scheme. There is a free check-up of the every worker every year. 30. Super Annulations Company has taken super annuation policy from (L.I.C.) which includes a) Pension: All employees are liable to get pension as co has Provident Fund scheme. Pension is paid out of PF & pension is payable on attaching the age of 58 years. b) Benefits of Nominee: The members who have been receiving pensions, if dies, his nominees will get return on capital along with terminal bonus. C) Death during the service: The nominee of the member is eligible to receive the pension through out his/ her life & commutation of the total amount with interest is given. The beneficiary can further make nomination. d) Medical insurance Coverage: The employees who are the members of ESI premium of 6.5% is paid monthly, which comprises of 4.75% of employer and of employees contribution. The company is contributing approx Rs 6500/- per month as premium. 31. Training and Development Sonalika Tractors perform different kinds of training procedures to motivate employees & to develop work culture:

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a) On the Job: The operative personnel are given this kind of training. There is six month period for all the new recruits. b) Training Development of the Workers : Worker is educated in their professional line to achieve higher productivity & greater efficiency & easy mechanism by professional workers teachers. c) Supervisory Development Program: Objective of this training is to develop abilities of supervisor by imparting technical & supervisory skills in subjects like: i) ii) iii) iv) v) Human Relation Industrialization. Discipline Communication Participation & Co- Operation. Leadership & Group Working.

At least 6 months training is given to every worker once in a year In addition lectures are organized to create awareness about aids & population control. 32. Family Planning Scheme The scheme is being run entirely on employer's choice. According to the scheme any married worker who is having only two children, will get an Incentive of some amount per month. A medical certificate by the employees has to be submitted as proof Workers Supervisors Monthly Allowances Rs. 100 per month Rs. 150 per month

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Executives 33. Cultural Programmes

Rs. 200 peer month

SONALIKA TRACTORS celebrates every moment of following eves of festival with full zeal & excitements: a) NEW YEAR EVE b) DIWALI c) LOHRI On New Year managing personnel come & wish New Year personally to all Workers. This system motivate workers team spirit & they feel themselves are distributed on to workers on eve of New Year. 34. Welfare / Extra Circulars Activities These are not mandatory according to Factories Act, however a) Cleanliness competitions on Diwali are organized. b) Cricket matches b/w management and workers are organized. c) Preventive medicines are provided to all the workers from time to time against disease like malaria, cholera & others. The company gives family planning incentives to these who follow the small family norms. 35. Social Activities As part of motivational forces some social activities are undertaken by an organization. It also undertakes certain cultural programmes at PINGLA GHAR JALANDHAR. 36. Leaves

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Particular leaves of following nature have been provided to employees of SONALIKA TRACTORS:

Workmen Staff Officers

Privilege 15 15 15

Casual Leaves 7 7 7

There are facilities for 7 casual leaves and 15 earned leaves eligible for every worker, in addition 13 National festival holidays are given to all employees in year. 37. Hotel Facility Personnel department does hotel booking for all managers and other staffs or officials teams, a record is maintained & necessary processing is done for payment. This allowance is included in traveling allowance. 38. Funeral Benefits In case an insured person dies, the eldest surviving member of the family of the insured person is entitled to the funeral benefit for incurring expenditure for funeral of deceased. Where the insured person dies, who has not any family or has not been living with his family such amount of funeral benefits shall be paid to person who actually incurs expenditure in the funeral of that of those employees. The amount of such benefit shall not exceed Rs. 1500. The claim of sue payment shall have to be made within three months of death of insured persons

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39. Maternity Benefits No woman worker shall be entitled to maternity benefits unless she has actual worked within an establishment of employees from whom she claim maternity benefits. Only workers covered under ESI act are entitled to get these benefits in SONALIKA TRACTORS. More over workers is entitled to get pay during the period. 40. Grievances Procedures All complaints of individual nature such as non-payment of wages, grant of leave overtime work arrangement, working conditions, confirmation, and transfer change of service condition & other complaint of similar

nature felt by the workmen arising in course of the employment will be made in the following manner: a) He will first of ail talk to his foreman. b) If the workman is not satisfied with the decision of foreman, then he will approach the head of dept. i.e. senior officer

RESEARCH METHODOLOGY

This project is based on information collected from both primary & secondary sources After 3 detailed study an attempt has been made to present comprehensive analysis of labour welfare activities adopted by the company. The data has been used to cover various aspects of labour welfare activities
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undertaken by the organization. In collecting requisite data & information regarding the topic selected, following methods were adopted by me. The different sources are: 1. PRIMARY SOURCES A) Defect Personal Interviewing Personal interviews with seniors & staff members & officials in depts. In SONALIKA TRACTORS and discussions with workers of the firm during the period of training were primary source of collecting information. The no. of workers in the factory is 500. So randomly selected a sample of 120 workers. I made a questionnaire and persona interviewed the workers about the working of welfare measures in the factory. B) Personal Observation I also used the method of personal observation for this purpose by visiting the factory premises for a number of times.

2. SECONDARY SOURCES

Final accounts & the various records of details regarding amount spend on employees. Annual reports, Memorandum of Association, Articles of Association, other magazines files, pamphlet a journals published by the

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company from time to time constitute secondary sources of information for the project report.

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DATA ANALYSIS & INTERPRETATION

During my training I was provided with the opportunity to interview the workers in Sonalika Tractors, Hoshiarpur. For this purpose a questioner was circulated and it was filled by the 120 workers. Based on the information supplied in the questioner following is the interpretation of that:

QUESTION 1. Are you satisfied with welfare facility at Sonalika Tractors? No. of workers 92 28 YES NO Response 76.6% 23.3% Percentage

YES NO

INTERPRATATION Data collected from the sample size revealed that about 76.6% of the workers are satisfied with the welfare facility provided at Sonalika Tractors. Remaining

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23.33% of workers are not satisfied because of the working conditions at their particular place of work.

QUESTION 2. Do you get medical facility? No. of workers 90 30 YES NO Response 75% 25% Percentage

YES NO

INTERPRATATION In Sonalika Tractors, a significant number of workers get only first aid facility. But no private expenses are born by the company. The company assumes the responsibility of medical treatment only for the permanent workers, which are about 75% of the total workers under consideration.

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QUESTION 3. Do the extra facilities provided by the organization fulfill your requirement? No. of workers 96 24 YES NO Response 80% 20% Percentage

>

YES

NO

INTERPRATATION In Sonalika Tractors, data collected revealed that about 60% of the workers are not satisfied with the extra facilities provided by the company. It may be due to the fact that all those who were unsatisfied were the temporary workers and their requirement is job security and not the extra facilities.

QUESTION 4. Are adequate safety measures adopted by the company? No. of workers 120 0 YES NO Response 100% 0% Percentage

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YES NO

INTERPRATATION In Sonalika Tractors, proper safety measures are installed in the premises. Theses are fire alarms, fire extinguishers and proper wiring of electrical equipments. Those workers who work at workshop level are provided with special uniform.

QUESTION 5. Are you satisfied with welfare facility at Sonalika Tractors ? No. of workers 24 96 YES NO Response 20% 80% Percentage

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YES NO

INTERPRATATION In Sonalika Tractors, 80% of the workers are not benefited by the canteen facility because most off the workers bring lunch box with them. Moreover workers are given tea two times during their working hours.

QUESTION 6. Is the food provided by the canteen hygienic? No. of workers 90 30 YES NO Response 75% 25% Percentage

YES NO

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INTERPRATATION On interviewing with the workers who availed the canteen facility, 75% of them told that the food available at canteen was totally hygienic one. But 25% of the workers are not satisfied from the foodstuff provided in the canteen. They compliant that food is not hygienic in the canteen.

QUESTION 7. Are there any recreational facilities provided by Sonalika? No. of workers 30 90 YES NO Response 25% 75% Percentage

YES NO

INTERPRATATION

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In Sonalika Tractors, workers told that they get little time out of their daily work for such facilities as the percentage of the workers benefited by such facility remains low. In Sonalika Tractors, management organizes annual games where chess, carromboard, tag and war etc. games are there. QUESTION 8. Are your dependents getting any facility or security?

No. of workers 96 24 YES NO

Response 80% 20%

Percentage

YES NO

INTERPRATATION In Sonalika Tractors, most of the workers are covered in the insurance scheme. 80% of the workers are in the view that their dependents are getting the benefits. Remaining workers are on temporarily basis therefore they are not covered in insurance scheme.

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OBSERVATIONS
During my training programme I found that the firm is aware of various provisions relating to welfare of workers provided in different labour laws. There is a healthy constructive discussion among the representatives of management & workers to solve the various problems related to labour welfare & safety measures. It is safety consciousness that has fetched it STATE SAFETY AWARD FOR ZERO ACCIDENTS. But as no one can be perfect in this world so there are some loopholes also. The following finds have emerged from the study:1. Housing Except the watchmen & and security guards, no housing facility has been provided to workers 2. Medical

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Workers are only provided with first aid facility no other medical facility. There is no ambulance in the factory & staff car is used in case of emergency. 3. Library There is no room as library. Some magazines & newspapers are provided by management to the workers but there is no provision for books.

4. Education There is no facility for residential school. No education allowance is given to the workers. No scholarship is given to their children. 5. Recreation There is no recreational room in the factory. The firm is not paying attention towards sports & of cultural programmes. 6. Rest Rooms & Shelters The firm has not provided any rest room & shelter for the workers. 7. Sanitation There are separate urinals & latrines for the office staff & workers. These are kept in sanitary condition but no such separate provision has been made for outsiders. 8. Seating Arrangement

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Where the workers have to work in the standing position, they have not been provided with any benches or stools so that can take rest for a moment of an arises during the course of work. 9. Storage of Clothing There is no separate room for the storage of clothing not worn during the working hours. Workers have to hang their clothes on the hooks provided on the walls of the workshop.

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SUGGESTIONS
1. 2. The firm should provide rest rooms & shelters to the workers. The firm should provide a separate room as library & provision for books on various topics should be made available along with the newspapers & magazines. 3. It is suggested that as the firm is expanding the firm should make more quarters for law paid staff. 4. It is suggested that the firm should make provision for games both in door and in outdoor. The workers may be encouraged to form a Bhangra Group or any other folk dance Group and to participate in the cultural activities of various Kalsi Metals organized any various institutions or organizations. 5. Suitable arrangements for sitting should to be made for the workers who are obliged to work in a standing position to enable them to take rest when an opportunity arises in the course of their work. 6. The firm should provide rest rooms & shelters to the workers. The first aid cupboard of the firm should be kept in the charge of the separate responsible persons having a certificate in first aid prescribed by the State Government & who shall always be readily available during the working hours of the factory. 7. The first aid cupboard of the firm should be kept in the charge of the separate responsible persons having a certificate in first aid

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prescribed by the State Government & who shall always be readily available during the working hours of the factory. 8. Transport facility to and from the place of work may be provided to the staff & workers. For this a bus or van may be purchased or hired. 9. Management should revise their motivation of techniques from time to time. 10. Worker's participation in management also reduces the problem to great extent. As workers representative can inform about the real problem & also provide suggestions to solve them because they actually confront those problems. 11. There should be proper system of reward and punishment for distinguishing the efficient workers 12. Job rotation will reduce boredom & monotony In job, sharpens diverse skills and motivate employees. Every suitable employee should bee allowed to rotate from one dept to another where by he should get an opportunity to work in an area which he likes most. This benefits both employees and organization. 13. A separate labour welfare officer and safety officer should be appointed.

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LIMITATIONS OF THE STUDY

In an attempt to make this project authentic and reliable, every possible aspect of the topic was kept in mind. Nevertheless, despite of this fact constraints were at play during the formulation of this project. The main limitations are as under: 1. Due to limitation of time only a few workers were selected for the study. 2. The workers were hesitant to disclose the true facts. 3. I had to take the managers to visit the factory personally to collect required information. However the manager granted me permission to visit the factory, due consideration. 4. The workers were of our training programme so their response to my enquiries was very poor. They were able to answer my questions only after making clear the purpose of the enquiry. 5. Lack of time on part of a few officials of SONALIKA TRACTORS, also restricted scope of the research. 6. The area of research was limited because of time period of training.

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BIBLIOGRAPHY
Authors Name Memoria C. B. Flippo EE. B. Books Name Dynamic of Industrial Relations in India. Personnel Management, Tata McGraw hill Edition 1998. Singh B.P Chabra T.N Personnel Management & Industrial Relation Verma M. M. & Aggarwal Personnel Management & Industrial Relations. Pardeep Kumar Personal Management & Industrial Relations Arun Kumar & Rachna Sharma Personnel Management & Industrial Relation Management

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QUESTIONNAIRE
I am the MBA student College of Management and Technology,I am conducting a survey regarding labour welfare policies. It would be highly appreciated if you could spare your valuable time and fill up the questionnaire. The process would not take more than 5 minutes: Q1. Are you satisfied with welfare facility at Sonalika Tractors?
1. Yes ( ) 2. No ( ) 3. Q2. Do you get medical facility? 1. Yes ( ) 2. No ( ) Q3. Do the extra facilities provided by the organization fulfill your requirement? 1. Yes ( ) 2. No ( ) Q4. Are adequate safety measures adopted by the company? 1. Yes ( ) 2. No ( ) Q5. Are you satisfied with welfare facility at Sonalika Tractors? 1. Yes ( ) 2. No ( )

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Q6. Is the food provided by the canteen hygienic? 1. Yes ( ) 2. No ( ) Q7. Are there any recreational facilities provided by sonalika? 1. Yes ( ) 2. No ( ) Q8. Are your dependents getting any facility or security? 1. Yes ( ) 2. No ( )

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