A Summer Training Report
On “INDUSTRIAL RELATIONS SCENARIO AT BHILAI STEEL PLANT(SAIL)”
Submitted for partial fulfillment of requirement for the award of degree of Master of Business Administration Of MATS UNIVERSITY, RAIPUR (C.G.)
Session 2010-12
Guided by: Mrs. PRERNA NAIR
Submitted by:SUMAN GUPTA M.B.A. 2rd SEM
Department of Management
Roll No . MU10MBA036
MATS University Pandri C.G.
1
PROJECT REPORT
ON
Industrial Relations scenario at Bhilai Steel Plant (SAIL) and Working of the IR Deparment
In partial fulfillment of the Course MBA Industry Internship Programme (IIP) in Semester II of the MASTER OF BUSINESS ADMINITRATION (Batch: Aug 2010-12)
PROJECT GUIDE:
SUBMITTED BY:
2
Mrs. PRERNA NAIR
SUMAN GUPTA
MATS UNIVERSITY
MBA (II Sem)
RAIPUR PANDRI C.G.
MATS UNIVERSITY(C.G.)
Declaration This is to declare that the Report entitled “Industrial Relations scenario at Bhilai Steel Plant (SAIL) and working of the IR deparment” has been made for the partial fulfillment of the
Course: Course: Industry Industry Internship Internship Programme Programme (IIP) (IIP) in Semester II (Batch: (Batch: August 2010-12) 2010-12) by me at SAIL (Bhilai Steel Plant) under the guidance of Mr. P.P.VARMA DGM(P-NW)
.
I confirm that this report truly represents my work undertaken as a part of my Industry Internship Programme (IIP). This work is not a replication of work done previously by any other person. I also confirm that the contents of the report and the views contained therein have been discussed and deliberated with the guide.
SUMAN GUPTA MBA (II Sem)
3
Certificate
This is to certify that Ms. SUMAN GUPTA has completed the Report entitled “Industrial Relations scenario at Bhilai Steel Plant (SAIL) and working of the IR deparment” under my
guidance for the partial fulfillment of the Course: Industry Internship Programme (IIP) in Semester II of the Post Graduate Programme in Management (Batch: Aug 2010 – 2012). This is an original work and it has been done by her under my guidance and supervision.
Mr. P.P.VARMA DGM(P-NW) DGM (P-MPS/RECTT./NW) BHILAI STEEL PLANT (C.G.)
4
ACKNOWLEDGEMENT Guidance, help and encouragement are the essential requirements for successful completion of any project. I owe my gratitude to all those who have helped me in the preparation of this project report.
I express my deepest gratitude to my Project Guide Mr. P.P.VARMA DGM(P-NW) DGM (P-MPS/RECTT./NW)
, for his valuable guidance
and help in completion of this project.
I feel obliged to all the staff of Industrial Relations Department, Bhilai Steel Plant in general and Mr. D.K Sharma, Labour Inspector in particular for their generous help and support.
I express my thanks to Dr.S.K Shukla, (Senior Research Assistant) for coordinating my project work in Bhilai Steel Plant.
I also feel obliged to all the respondents, friends and others who have shared their valuable time and opinion, for making significant contribution directly or indirectly in the project.
5
Table of Contents
S.No. 1.
Content
Page No.
INTRODUCTION
1.1
INDUSTRY OVERVIEW
10-14
1.2
COMPANY OVERVIEW
19-29
1.3 BSP
INTRODUCTION TO INDUSTRIAL RELATIONS AT
1.4 WORKING OF INDUSTRIAL RELATIONS DEPARTMENT AT BSP
2.
7-9
PROJECT PROFILE 2.1
OBJECTIVES OF THE STUDY
2.2
METHODOLOGY 2.2.1 2.2.2 2.2.3 2.2.4 2.2.5
30-35 36-39
40-60 41 41-60
RESEARCH DESIGN SAMPLE DESIGN RESEARCH INSTRUMENTS QUESTIONNAIRE DESIGN DATA COLLECTION METHODS
3.
OBSERVATIONS & ANALYSIS
4.
FINDINGS
64
5.
RECOMMENDATIONS
65
6.
CONCLUSION
66
7.
LEARNING OUTCOME
66
8.
REFERENCES
67
9.
ANNEXURE
61-62
68-73
6
Introduction Industrial Relations
The term ‘Industrial Relations’ comprises of two terms: ‘Industry’ and ‘Relations’. “Industry” refers to “any productive activity in which an individual (or a group of individuals) is (are) engaged”. By “relations” we mean “the relationships that exist within the industry between the employer and his workmen.”1
Industrial relations is used to denote the collective relationships between management and the workers. Traditionally, it covers aspects of industrial life as trade unionism, collective bargaining, workers’ participation in management, discipline and grievance handling, industrial disputes and interpretation of labor laws and rules and code of conduct.
Industry:
Industrial Disputes Act 1947 defines an industry as any systematic activity carried on by cooperation between an employer and his workmen for the production, supply or distribution of goods or services with a view to satisfy human wants or wishes whether or not any capital has been invested for the purpose of carrying on such activity; or such activity is carried on with a motive to make any gain or profit. Thus, an industry is a whole gamut of activities that are carried on by an employer with the help of his employees and labors for production and distribution of goods to earn profit.
Employer:
An employer can be defined from different perspectives as:•
a person or business that pays a wage or fixed payment to other person(s) in exchange for the services of such persons.
•
1
a person who directly engages a worker/employee in employment.
http://industrialrelations.naukrihub.com/introduction.html
7
•
any person who employs, whether directly or through another person or agency, one or more employees in any scheduled employment in respect of which minimum rates of wages have been fixed.
As per Industrial Disputes Act 1947 an employer means:•
in relation to an industry carried on by or under the authority of any department of [the Central Government or a State Government], the authority prescribed in this behalf, or where no authority is prescribed, the head of the department;
•
in relation to an industry carried on by or on behalf of a local authority, the chief executive officer of that authority;
Employee : •
Employee is a person who is hired by another person or business for a wage or fixed payment in exchange for personal services and who does not provide the services as part of an independent business.
•
An employee is any individual employed by an employer.
•
A person who works for a public or private employer and receives remuneration in wages or salary by his employer while working on a commission basis, piece-rates or time rate.
•
Employee, as per Employee State Insurance Act 1948, is any person employed for wages in or in connection with work of a factory or establishment to which the act applies.
In order to qualify to be an employee, under ESI Act, a person should belong to any of the categories: o
those who are directly employed for wages by the principal employer within the premises or outside in connection with work of the factory or establishment.
o
those employed for wages by or through an immediate employer in the premises of the factory or establishment in connection with the work thereof
o
those employed for wages by or through an immediate employer in connection with the factory or establishment outside the premises of such factory or establishment under the supervision and control of the principal employer or his agent.
8
o
employees whose services are temporarily lent or let on hire to the principal employer by an immediate employer under a contract of service (employees of security contractors, labor contractors, house keeping contractors etc. come under this category).
Employment : The state of being employed or having a job.
Labor market:
The market in which workers compete for jobs and employers compete for workers. It acts as the external source from which organizations attract employees. These markets occur because different conditions characterize different geographical areas, industries, occupations, and professions at any given time.
9
Industry Overview
Global Steel Scenario 10
Though iron and steel have been used by man for almost 6000 years, yet the modern form of iron and steel industry came into being only during the 19th century.The growth and development of iron and steel industry in the world until the 2nd world war was comparatively slower. But the industry has grown very rapidly after the 2 nd world war.World production of steel, which was only 28.3 million tones (MT) in 1900, rose to 695 MT by 1992. The oil crises of 70’s affected the entire economy of the world including steel industry.The position started improving after 1983 and peaked at 780 MT in 1989.World steel production was around 1220 MT in 2009.
Historical Background
There are evidences that man knew the use of iron since the ancient civilities of Babylon, Mexico, Egypt, China, India, Greece and Rome. Archeological findings in Mesopotamia and Egypt have proved that iron and steel has been in the service of mankind for nearly 16000years.The origin of the methods used by early man for extracting iron from its ores is unknown. In early days the product probably was so relatively soft and unpredictable, that bronze continued to be preferred for many tool and weapons .Eventually iron replace the nonferrous metal for these purposes when man learned how to master the difficult arts of smelting , forging , hardening and tempering iron. Iron, in the beginning was smelted by charcoal made from wood .Later coal was discovered as a great source of heat. Subsequently, it was converted in to coke, which was found to be ideal for smelting of iron. Iron kept its dominant place for 200 or more years after the Saugus works that was the 1st successful iron works in America founded in 1646.With the advance of industrial revolution, iron form the rails for the newly invented a rail road trains. It was also used to amour the sites of fighting ships. About the mid-19th century the new age of steel began with the invention of Bessemer process (1856) making steel available in large quantities at reasonable cost.
Top 30 steel producing companies in the world (2010-11) 11
S.no
Company Name
Country
1 2 3 4 5 6 7
Arcelor Mittal Nippon Steel Baosteel Posco Hebei Iron & Steel Group JFE Holdings Wuhan Iron & Steel Group (Wisco) Tata Steel Jiangsu Shagang Group U.S.Steel Shandong Iron & Steel Group Nucor Gerdau Severstal Evraz Group Gruppo Riva Anshan Iron & Steel Group Thyssenkrupp Maanshan Iron & Steel Company Sumitomo Metal Industries Steel Authority of India Ltd. (SAIL) Shougang Group Magnitogorsk Iron and Steel works(MMK) Novolipetsk Steel(NLMK) Hunan Valin Steel Group China Steel Corporation Techint(Tenaris)
Luxembourg Japan China South Korea China Japan China
Crude Steel output per year (million tonnes) 103,300,000 37,500,000 35,400,000 34,700,000 33,300,000 33,000,000 27,700,000
India China USA China USA Brazil Russia Russia Italy China Germany China
24,400,000 23,300,000 23,200,000 21,800,000 20,500,000 20,400,000 19,200,000 17,700,000 16,900,000 16,000,000 15,900,000 15,000,000
Japan India
14,100,000 13,700,000
China Russia
12,200,000 12,000,000
Russia China Taiwan Luxembourg Iran
11,300,000 11,200,000 11,000,000 10,400,000 10,000,000
Ukraine
9,900,000
South Korea
9,800,000
8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30
Iranian Mines & Mining Industries (IMIDRO) Industrial Union of Donbass (ISD) Hyundai Steel (HSC)
Source: http://www.steelads.com/info/largeststeel/TOP30-Worlds-Largest-Steel-Companies.html
12
13
http://www.steelworld.com/newsletter/may11/ws0511.pdf
14
History of Steel in India The Indian iron and steel industry is nearly a century old, with Tata Iron & Steel Co (Tata Steel) as the first integrated steel plant to be set up in 1907. It was the first core sector to be completely freed from the licensing regime (in 1990-91) and the pricing and distribution controls. The steel industry is expanding worldwide. For a number of years it has been benefiting from the exceptionally buoyant Asian economies (mainly India and China). The economic modernization processes in these countries are driving the sharp rise in demand for steel. The New Industrial policy adopted by the Government of India has opened up the iron and steel sector for private investment by removing it from the list of industries reserved for public sector and exempting it from compulsory licensing. Imports of foreign technology as well as foreign direct investment are freely permitted up to certain limits under an automatic oute. This, along with the other initiatives taken by the Government has given a definite impetus for entry, participation and growth of the private sector in the steel industry. While the existing units are being modernized/expanded, a large number of new/greenfield steel plants have also come up in different parts of the country based on modern, cost effective, state of-the-art technologies. Soaring demand by sectors like infrastructure, real estate and automobiles, at home and abroad, has put India's steel industry on the world map. Dominating the Indian horizon is steel giant Tata Steel, whose takeover of the UK-Dutch steel company Corus is the country's biggest buyout. Meanwhile, the LN Mittal-owned Mittal Steel acquired French steel company Arcelor to create the world's number one steel company, Arcelor Mittal; and Korean steel giant POSCO is pumping money into mines and steel plants in Orissa to emerge as one of the biggest steel plants in the state. Indian history is also replete with references to the usage of iron and steel. Some of the ancient monuments like the famous iron pillar near New Delhi or the Massive beams used at the Sun Temple at Konark bear ample testimony to the technological excellence of the Indian metallurgist. The history of iron in India goes back to ancient era, Our ancient literary sources like Rig-Veda, the Atharva Veda, the Parana’s and the other Epics are full of references to the iron and its uses in peace and wars. According to one of the studies, iron has been produced in India for over 3000 years, in the primitive small scale facilities. 15
Formation of Hindustan Steel Limited When the Government of India decided to enter into the field of iron and steel production, it broadly envisaged not to run the firm as a departmental undertaking. Although initially steel project administration was directly under a Ministry of the Central Government, Hindustan Steel was formed as a Limited Company, with President of India owing the shares on behalf of the people of India. Thus Hindustan Steel Limited was set up on January 19, 1954.
Industry Structure2 Indian Iron and steel Industry can be divided into two main sectors Public sector and Private sector. Further on the basis of routes of production, the Indian steel industry can be
divided into two types of producers. .
Integrated producers 2
http://www.cci.in/pdf/surveys_reports/iron-steel.pdf
16
Those that convert iron ore into steel. There are three major integrated steel players in India, namely Steel Authority of India Limited (SAIL), Tata Iron and Steel Company Limited (TISCO) and Rashtriya Ispat Nigam Limited (RINL).
Secondary producers These are the mini steel plants (MSPs), which make steel by melting scrap or sponge iron or a mixture of the two. Essar Steel, Ispat Industries and Lloyds steel are the largest producers of steel through the secondary route.
Market Shares of Iron and Steel Industries in India
Source: CMIE (2007)
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1120692&
17
Source: http://www.steelworld.com/newsletter/may11/isp0511.pdf 18
Company Overview
19
Steel Authority of India Limited
Formation of Steel Authority of India Limited (SAIL) The Committee of public Undertaking of the 5th lok Sabha was the 1st parliamentary Committee to undertake a significant review of the question of setting up a holding Company for steel. It was 1st considered in the Department of steel in 1971 with the following 2 objectives: •
Rapid growth of the industrial sector, of the state as a leading agent of the growth process; and
•
Ability of the Government to divert investment into areas which are strategic from the point of view of future development.
In this context, it was recognized that the public sector had to be made more efficient in order that it might be able to contribute far more than it had to the common pool of investible surplus in the economy. Further such a holding company could perform a number other important functions like coordination and control of constituent units, planning long term program, introduction of necessary technological changes, setting up of an R & D organization and training of managerial personnel for the public sector as a whole. Based on the above consideration, the proposals to set up a holding company for steel and associated input industry was approved by the Government in January 1972. Accordingly, the formation of steel authority of India Limited was approved by the Government in December,
20
1972. The company was incorporated in January 24, 1973 with an authorized capital of Rs 2 thousand crore. In 1978 SAIL was restructured as an operating company. Vision:
To be a respected world class corporation and leader in Indian steel business in quality, productivity, profitability and customer satisfaction.
CREDO
1.
We build lasting relationships with customers based on trust and mutual benefit.
2.
We uphold highest ethical standards in conduct of our business.
3.
We create and nurture a culture that supports flexibility, learning and is proactive
to change. 4.
We chart a challenging career for employees with opportunities for advancement
and rewards. 5.
We value the opportunity and responsibility to make a meaningful difference in
people’s lives. SAIL is a Maharatna. PSU companies are divided into three categories: •
•
•
Maharatna Navratna Miniratna CPSEs o
Category I
o
Category II
21
ORGANISATION STRUCTURE OF SAIL
CHAIRMAN
DIRECTOR (TECH)
CEO, BSP)
DIRECTOR (PERSONNEL)
CEO
DIRECTOR (FINANCE)
CEO, RSP
CHIEF VIGILANCE
CEO, DSP
EXE. DIR (OPRAN) EXE. DIRECTOR VISL EXE. DIR (IA) EXE. DIRECTOR SSP ED (TECH & LEGAL SERVICE) EXE. DIR (PROJECTS)
EXE. DIRECTOR ASP
EXE. DIR (CMMG)
EXE. DIR. (CIG)
EXE. DIR. (CP)
22
Steel Authority of India Limited (SAIL) is the leading steel-making company in India. It is a fully integrated iron and steel maker, producing both basic and special steels for domestic construction, engineering, power, railway, automotive and defence industries and for sale in export markets. markets. SAIL is also among the five Maharatnas Maharatnas of the country's Central Central Public Public Sector Sector Enterprises.
SAIL manufactures and sells a broad range of steel products, including hot and cold rolled sheets and coils, galvanised sheets, electrical sheets, structurals, railway products, plates, bars and rods, stainless stainless steel and other alloy steels. SAIL produces iron and steel at five integrated integrated plants and three special steel plants, located principally in the eastern and central regions of India and situated close to domestic sources of raw materials, including the Company's iron ore, limestone and dolomite mines. The company has the distinction of being India’s second largest producer of iron iron ore ore and of havin having g the the coun countr try’ y’ss secon second d larg larges estt mines mines netw networ ork. k. This This gives gives SAIL SAIL a competitive edge in terms of captive availability of iron ore, limestone, and dolomite which are inputs for steel making. SAIL's wide range of long and flat steel products are much in demand in the domestic as well as the international market. This vital responsibility is carried out by SAIL's own Central Marketing Organisation (CMO) that transacts business through its network of 37 Branch Sales Offices spread across the four regions, 25 Departmental Warehouses, 42 Consignment Agents and 27 Custom Customer er Contac Contactt Office Offices. s. CMO’s CMO’s domest domestic ic market marketing ing effort effort is supple supplemen mented ted by its ever ever widening network of rural dealers who meet the demands of the smallest customers in the remotest corners of the country. With the total number of dealers over 2000 , SAIL's wide marketing spread ensures availability of quality steel in virtually all the districts of the country. SAIL's International Trade Division ( ITD), in New Delhi- an ISO 9001:2000 accredited unit of CMO, undertakes exports of Mild Steel products and Pig Iron from SAIL’s five integrated steel plants.
With With techni technical cal and manager managerial ial experti expertise se and know-h know-how ow in steel steel making making gained gained over four decades, SAIL's Consultancy Division (SAILCON) at New Delhi offers services and consultancy to clients world-wide. 23
SAIL has a well-equipped Research and Development Centre for Iron and Steel (RDCIS) at Ranchi which helps to produce quality steel and develop new technologies for the steel industry. Besides, SAIL has its own in-house Centre for Engineering and Technology (CET), Management Training Institute (MTI) and Safety Organisation at Ranchi. Our captive mines are under the control control of the Raw Materials Materials Division Division in Kolkata. Kolkata. The Environment Environment Management Management Division and Growth Division of SAIL operate from their headquarters in Kolkata. Almost all our plants and major units are ISO Certified.
Major Units Integrated Steel Plants •
Bhilai Steel Plant (BSP) in Chhattisgarh
•
Durgapur Steel Plant (DSP) in West Bengal
•
Rourkela Steel Plant (RSP) in Orissa
•
Bokaro Steel Plant (BSL) in Jharkhand
•
IISCO Steel Plant (ISP) in West Bengal
Special Steel Plants •
Alloy Steels Plants (ASP) in West Bengal
•
Salem Steel Plant (SSP) in Tamil Nadu
•
Visvesvaraya Iron and Steel Plant (VISL) in Karnataka
BHILAI STEEL PLANT Bhilai Steel Plant is the flag ship unit of Steel Authority of India Limited. SAIL, a fully 24
integrated iron and steel maker, produces both basic and special steels for domestic construction, engineering, power, railway, automotive and defense industries and for sale in export markets. In terms of annual production SAIL is the 16th largest steel producer in the world.Bhilai steel plant – a symbol of Indo –soviet techno –economic collaboration ,is one of the first three integrated steel plant set up by Government of India to build up a sound base for the industrial growth of the country, The agreement for setting up the plant with a capacity setting up the plant with a capacity of 1MT of Ingot Ingot steel steel was was sign signed ed betwe between en the the govt govt.. of erst erstwhi while le U.S. U.S.S. S.R R and and Indi Indiaa on 2nd feb,1955,and after a short period of 4yrs,India entered the main stream of the steel producer with the commissioning of its 1st blast furnace on 4th feb 1959 by the then President of India Dr Rajendra Prasad. Commissioning of all the units of 1MT stage was completed by 1961. In the initial phase the plant had to face many teething problems , mostly unknown to the work force at the time, But by meticulous efforts and team spirit ,these problem where surmounted and the rated capacity production was achieved only within a yr of integrated operation of the plant. Thereafter, the plant was expanded to 2.5MT capacity per yr, and than to 4 MT of crude steel per yr, Bhilai expended its production capacity in two phases 1 st to 2.5MT which was completed on sept. 1, 1967 and the 4 MT Stage, which was completed in the yr 1988.All the units of the plant have been laid out in sequential formation according to technological interrelation ship so as to ensure uninterrupted flow of in process material like coke, sinter, molten iron, hot ingot, as well as disposal of metallurgical wastages and slag etc, minimizing the length of various inter plant communications, utilities & services Bhilai has its own captive mines spread over 10929.80 acres. Iron ore from dalli-rajhara group of mines, 85 km south west of bhilai .Lime stone requirements are mate by nandini mines, 20 kms north of bhilai & dolomite comes from hirri in bilaspur district, 135 kms north east of the plant. To meet the future requirements of iron ore, another mining site rowghat, situated about 100 kms south of rajhara, is proposed to be developed as the ore reserve as at rajhara are depleting the plant now consist of 10 coke oven batteries. Six of them are 4.4 MTS tall. The 7 meters tall fully automated batteries NO 9&10 are among the most modern in India. Of Bhilai’s 7 blast furnaces, there are of 1033 cu.meters capacity each, 3 of 1719 cu.metres and 1 is 2000 cu.metres capacity 25
each, 3 of 1719 cu.metres 1 is 2000 cu.metres capacity. Most of them have been modernized incorporating state-of-the-art technology. Steel is made through twin hearth furnaces in steel melting shop I as well as through LD convertor –continuous casting route in SMS II. Steel grades conforming to various national &international specifications are produced in both the melting shops. Production of cleaner steel is ensured by flame enrichment and oxygen blowing in SMS I while secondary refining in vacuum are degassing ensures homogenous steel chemistry in SMS II. Also in SMS II is a 130 T capacity RH degassing unit, installed mainly to remove hydrogen from rail. Annual capacity 1.425 MT cast steel.Steel and ladle furnace to meet present and future requirements of quality steel. Bhilai is capable of providing the cleanest & finest grades of steel. The rolling mill complex consists of the blooming and billet mill, rail and structural mill, merchant mill, wire rod mill and also a most modern plate mill. While input to the BBM and subsequently to merchant mill and wire rod mill comes from the twin hearth furnaces, the rail and structured mill & plate mill roll long and flat products respectively from the continuously cast bloom a slabs only. The total length of rail rolled at Bhilai so far would circumvent the globe more than 4.5 times. To back this up, there is the ore handling, plant, 3 sintering plants- of which 1 is most modern, 2 captive power plants with a generating capacity of 110 MW, 2 oxygen plant, engineering shops, To back this up, there is the Ore Handling Plant, three Sintering Plants - of which one is most modern, two captive Power Plants with a generating capacity of 110MW, two Oxygen Plants, Engineering Shops, Machine Shops and a host of other supporting agencies giving Bhilai a lot of self-sufficiency in fulfilling the rigorous demands of an integrated steel plant. Power Plant No.2 of 74 MW capacity
has been divested to a 50:50 SAIL/NTPC joint venture company
NSPCL.BSP is the sole manufacturer of rails and producer of the widest and heaviest plates in India. Bhilai specializes in the high strength UTS 90 rails, high tensile and boiler quality plates, TMT bars, and electrode quality wire rods (plain, Electrode quality) in 5.5,6,7,8,,&10mm, 8, 12 mmTMT. plain and ribbed, and 12 mm plain in coil form.. It is a major exporter of steel products with over 70% of total exports from the Steel Authority of India Limited being from Bhilai.The distinction of being the first integrated steel plant with all major production units and marketable 26
products covered under ISO 9002 Quality Certification belongs to BSP. This includes manufacture of blast furnace coke and coal chemicals, production of hot metal and pig iron, steel making through twin hearth and basic oxygen processes, manufacture of steel slabs and blooms by continuous casting, and production of hot rolled steel blooms, billets and rails, structural, plates, steel sections and wire rods.
The plant’s Quality Assurance System has been awarded ISO 9001:2000
certification. Not content with the processes, Bhilai has Management
obtained
System and
for
Quality
Assurance
system
ISO 14001 certification its
Dalli
Mines.
Besides
technology like Coal Dust Injection System in the Blast
for production
for its Environment environment-friendly Furnaces, de-dusting
units and electrostatic precipitators in other units, BSP has continued a vigorous a forestation drive, planting trees each year averaging an impressive 1000 trees per day in the steel township and mines. A leader in terms of profitability, productivity and energy conservation, BSP has maintained growth despite recent difficult market conditions. A significant reason for BSps performance is
adherence to
quality
management
systems in different fields.: Bhilai has become the first public sector organization to have been awarded all the four certifications of ISO 9001 for quality, ISO 14001 for environmental management system for plant and mines OHSAS 18000 ,
for safety and health and SA 8000 for social accountability.
Flow Chart of Production •
27
28
29
Introduction to Industrial Relations at BSP
30
General Industrial Relations scenario in BSP and Introduction about different Trade Unions operating in BSP. Bhilai Steel Plant has had a chequered history of peaceful and harmonious industrial relations. There has been no loss of production on account of strikes or work stoppages for last many years. The importance of discipline in maintaining the health and well – being of an organization, cannot be over – emphasized. The optimum utilization of manpower is absolutely central to the productivity and profitability of an organization. The recognized union at Bhilai Steel Plant, i.e. INTUC – affiliated Steel Workers Union (SWU) has always acted responsibly in the sense that it has not given strike calls. This union has, in general believed in collaboration and dialogue, in stead of confrontation and agitation. This has played a major role in ensuring a peaceful and harmonious Industrial Relations climate at Bhilai Steel Plant. However, during last four – five years this union has been in disarray, due to a long running intra-union rivalry resulting in formation of several fractions. This has also resulted in several court cases which have been pending for last few years in different courts, with no or little hope of an early situation. As a result, the ‘representative union’ has not been functioning for last few years, leading to a vacuum in the union scenario. On 12th January 2005 the Assistant Labour Commissioner, Durg, was appointed by honorable Industrial Court, Raipur Court as ‘administrator’ of this union to
manage
day-to-day
affairs
of
the
same.
However, there are other fringe unions at BSP with their limited spheres of influence. Most of these unions are leftist in terms of ideology. In order to make their presence felt at the local level as well as to be in line with their national leadership, these unions have given strike calls once annually during last several years. However, these strike calls have elicited no or little response from the employees of Bhilai Steel Plant, thereby, ensuring continued industrial peace and harmony.
Industrial Relations in BSP – Major milestones:
1. Consistent profit for last two decades. 2. No man-days lost on account of strike / work stoppage for last three decades. 3. Bagged CII-CG award for best IR Practices. 4. Bagged the first Confederation of Indian Industry (CII) – CG HR Excellence Award. 31
The concept of ‘Representative Union’ as per MP and CG Industrial Relations ACT and applicable to Bhilai Steel Plant --
The Act extends to whole of MP and CG. The Act is applicable to Scheduled Industries wherein the numbers of employees are more than 100. Iron and Steel Industry is a scheduled industry.
The Act covers all – 1. Employer / HOD / Owner 2. Employee – doing skilled, unskilled, manual, supervisory, technical, or clerical work for hire or reward, includes contract workers, dismissed, discharged, retrenched and terminated employees.
Authorities under the Act – 1. Commissioner / Deputy Commissioner, Assistant Commissioner of Labour 2. Conciliator 3. Registrar / Assistant Registrar of Representative Trade Union 4. Labour Officer / Deputy Labour Officer 5. Labour Court Presiding Officer, Industrial Court President / Member Board of Arbitrators.
Recognition as Representative Union –
A “Representative Union” gets recognition under the following conditions: 1. Application to registrar. 2. If the application is not rejected during the last 12 months. 3. The union having highest membership. 4. If the application is in bonafide interest of employees. 5. Union did not instigate, aid, or assist, the continuation of illegal strike or stoppage during the last 6 months. 6. Membership of the union must be open to all employees. 32
7. 25% of the employees are members (past 3 months). 8. Union must not sponsor / declare or support a strike without ballot and the support of two-third members.
Cancellation of Recognition –
Recognition of “Representative Union” gets cancelled under the following conditions: 1. If recognition was by mistake or fraud or misrepresentation. 2. If the strength of union falls below the minimum (continuous 3 months). 3. If the membership is not open for all. 4. If the union is not conducting in the bonafide interest of employees. 5. If the union is not functioning as per its constitution. 6. If the union has instigated, aided, or assisted illegal strike or stoppage of work. 7. If the union has sponsored illegal strike. 8. In case of cancellation appeal may be made to Industrial Court within 30 days. 9. In case of recognition of another union. 10. Legal practioner not allowed. 11. Employee to appear through union only (representative or other).
Industrial Matter-
Industrial matter consists of all the matters related to: 1. Employment 2. Terms and conditions of employment 3. Work and hours of work 4. Wages 5. Privileges 6. Rights or duties
33
Industrial Dispute-
Dispute or difference connected with industrial matters between – Employer and employees Employer and employer Employees and employees
Settlement Mechanism –
Industrial dispute can be solved through following mechanism: 1. Joint consultation 2. Conciliation 3. Settlement and report to registrar / chief conciliator 4. (FOC) failure of conciliation report to chief conciliator 5. Chief conciliator to forward report to the government 6. Arbitration – (by written agreement) submission to Labour court, Industrial Court, Board or Person, or Arbitrator. 7. Reference of dispute by government
INTRODUCTION TO DIFFERENT TRADE UNIONS OPERATING IN BHILAI STEEL PLANT: There are various registered Trade Unions operating in Bhilai Steel Plant. The list is as follows:
34
LIST OF REGISTERED TRADE UNIONS
S no.
Name of the Union
Affiliation
1
Steel Workers Union
INTUC
2
Hindustan Steel Employees Union
CITU
3
Bhilai Steel Mazdoor Sabha
AITUC
4
Bhilai Shramik Sabha, Bhilai
H.M.S.
5
Bhilai Ispat Shramik Panchayat, Bhilai
H.M.K.P
6
Hind Mazdoor Kisan Panchayat, Bhilai
H.M.K.P
7
Bhilai Ispat Mazdoor Panchayat, Bhilai
H.M.K.P
8
Center of Steel Workers
AICCTU
9
Bhilai Ispat Mazdoor Sangh
BMS
10
Steel Employees Union, Bhilai
INTUC
11
Bhilai Ispat Theka Shramik Sangh
INTUC
12
Bhilai Ispat Shramik Sangh
Independent
13
Bhilai Steel Janshakti Workers Union
Janshakti Mazdoor Sabha
14
Ispat Janshakti Union, Bhilai
Janshakti Mazdoor Sabha
15
Chhattisgarh Ispat Shramik Sangh
Independent
35
Working of Industrial Relations Department at BSP
36
INDUSTRIAL RELATIONS CONTROL AND MONITORING: It includes the following functions: 1. Regular monitoring of the prevailing IR scenario inside the plant area and the township in general. This includes the area ranging from ALC Durg office to Khursipara area and includes various Union Offices at different locations. 2. Dealing with various IR problems like strikes, dharnas, demonstrations, lock outs etc. 3. Dealing with fatal works as well as road accidents and taking care of related activities like postmortem, assisting in arranging decent cremation etc. 4. Dealing with other accidents and taking care of related activities like follow-up with sector-9 hospital & other concerned depts. 5. Maintaining regular liaison with district admn. , police and factory inspectorate. 6. Maintaining of Industrial Relations Control Room and performing regular activities like providing telephonic clearance to Plant Vehicle Pool for release of truck for funeral of deceased employees or dependents. 7. Keeping a regular vigil on the activities of various Trade Unions. 8. Maintaining event register and preparing quarterly compilation of IR activities. 9. Maintaining funeral Imprest and related records, i.e. related to the funeral expenses provided by Bhilai Steel Plant to its employees. 10. Maintaining newspaper clipping register. 11. Manning every spot during VIP visits and giving regular feed back. 12. Dealing with various issues related to Contract Labour such as work stoppage at different sites, periodic agitations.
37
LIAISON
CELL
FOR
ENSURING
IMPLEMENTATION
OF
PRESIDENTIAL DIRECTIVES ON RESERVATION POLICY FOR SCs/ STs / OBCs. --The Industrial Relations Department is entrusted with looking after the welfare of SCs / STs / OBCs employees of the plant and proper implementation of Presidential Directives with respect to reservation policy for SCs / STs / OBCs. In this connection the Industrial Relations Department performs the following tasks:
I. Ensuring that in departmental promotions within the plant, the posts reserved for SCs /
STs, i.e. 15% and 7.5%respectively, are utilized by employees of these categories only. For this purpose, a system has been put in place, wherein the promotion orders for employees are released only after the Departmental Promotion Committee (DPC), statements are signed by the representative of “Liaison Officer” for SCs / STs in Bhilai Steel Plant, i.e. DGM (Personnel-IR). These statements are signed and cleared; only after it is checked that due representation has been given to the eligible SC/ ST employees in promotion in accordance with the prescribed quantum of reservation for them.
II. For those reserved posts, for which no eligible SC / ST
employee is available in the feeder cadre and at the same time these posts are compulsorily required to be filled owing to operational requirements; there is a statutory provision in place, that these posts can b e “de-reserved” by the Competent Authority for that particular DPC (June / Dec), and filled up by general candidates. The Industrial Relations Department acts as the Liaison Agency to facilitate the above process. For these, the “de-reservation” proposals are sent by the ‘personnel executives’ of the concerned
departments
to
Industrial
Relations
Department
by
mid
–
June
or
mid – Dec., whatever the case may be. The proposals are compiled and scrutinized at the SC/ ST Liaison Cell of Industrial Relations Department. Then, a comprehensive “de-reservation” proposal for the entire plant is prepared and put up to MD for approval. Copies of the approved proposal are then sent to the concerned 38
‘personnel executives’ to facilitate the issue of promotion orders of g eneral candidates against the de-reserved posts.
III.
The in-charge Industrial Relations also acts as the Liaison Officer for OBCs. His
task is to ensure the implementation of reservation policy for OBCs in direct recruitment, as per the quantum of reservation prescribed for C.G state for state level recruitment.
IV. Quarterly meetings are held at the level of Liaison Officer for SCs / STs, i.e. DGM
(Personnel - IR) with the office bearers of the sole recognized association of SC / ST employees of BSP, i.e. “BSP SC / ST Employees Association”. This forum is used for addressing the genuine problems / grievances of the SC / ST employees and solves them to the extent possible.
39
PROJECT PROFILE
3.1 OBJECTIVES OF THE STUDY
40
1. To understand and analyse the current Industrial Relations scenario at Bhilai Steel Plant 2. To understand the working of the Industrial Relations department at Bhilai Steel Plant 3. To study the impact of current Industrial Relations scenario on employees’ worklife. 4. To study the various measures taken by the IR dept to maintain cordial relations between the workers and the management. 3.2 METHODOLOGY
SAMPLE SIZE:
A sample size of 79 workmen was considered for the survey. They were randomly selected from various departments like Rail and Structural mill, Coke Oven, Steel Melting Shop – 1, Plate Mill, Transport and Diesel(T & D).
Sampling Method :
The sampling method used is Non-Probabilistic (Convinience Sampling). The sampling unit is the employees of BSP and they were chosen on the basis of convenience from departments like
•
Plate Mill
•
Rail and Structural Mill
•
Coke Oven
•
Bloom and Billet Mill
•
Diesel and Transport
•
SMS-1
41
RESEARCH INSTRUMENTS:
A questionnaire was designed (both in English and Hindi) to collect the data for the research.The questionnaires were structured. QUESTIONNAIRE DESIGN:
The questionnaire maily consists of two parts:-
1. Questions related to current scenario of Industrial Relations at Bhilai Steel Plant 2. Working of the Industrial Relations department.
The questionnaire consists of 25 questions for which respondents gave their responses on either a likert scale ranging from “strongly disagree” to “strongly agree”or simple scales with options Yes /No. DATA COLLECTION METHODS:
The data collected in the study is both from primary and secondary sources.Primary data is collected through questionnaire and the secondary data sources were company databases, journals, reports and internet. Surveys were administered to employees on a voluntary basis during their work hours.All of the sample units were approached individually where it was explained that the purpose of the study was to understand how workers view their jobs (to avoid priming effects, it was emphasized that there were no right or wrong answers and that employees should respond as openly and honestly as possible). Employees then were asked (but not required) to participate. Identity disclosure was optional to respondents, however strict confidentiality was ensured to avoid revealing of any personal information to anyone.
42
Data Analysis and Interpretation
43
1Part 1 (Current IR scenario) 1. Are you aware that there is a concept of “Single Representative Union” under MP & CG IR Act?
As we can see from the pie-chart that 78% of the employees are aware of the concept of “Single Representative Union” under the MP & CG IR Act where as 22% of the employees don’t know about this concept.
2. Are you aware that there are 15 registered trade unions operating at BSP (Plant location)?
44
Only 53% of the employees know about the 15 registered Trade unions operating at BSP (Plant location) whereas 47%, which is a relatively large number, are not aware of this situation. This reemphasizes the point that the concept of “Single Representative Union” has been central to the IR scenario at BSP for decades, and therefore the awareness about other unions is quiet low. It also proves that these unions at best have been just fringe unions which have been able to do little to catch the imagination of the employees. They also have highly limited spheres or pockets of influence.
3. Are you aware that Industrial Disputes Act, 1947 is being implemented at BSP (Plant location) in place of MP & CG IR Act?
As per the above figure, 67% of the employees know that ID Act is being implemented at BSP in place of MP & CG IR Act which is a good number to start off with but still 33% employees are not aware of the implementation of this Act.
45
4. Are you aware that Steel Workers Union (affiliated to INTUC) has for long been the single Representative Union at BSP (Plant location) as per MP & CG IR Act?
Almost 91% of the employees are aware that Steel Workers Union has for long been the Single Representative Union at BSP (Plant location) as per MP & CG IR Act which is an appreciable figure whereas still there are only 9% of them who are not aware of this. This reemphasizes the credibility as well as clout of this union for such a long time.
5. Are you aware that the captive mines of BSP are already under the ambit (scope) of Industrial Disputes Act?
Only 59% of the employees know that the captive mines of BSP are under the scope of ID Act but 41% are still not aware. Perhaps the distance of the mines from the plant 46
location as well as the lack of regular interaction between the employees of plant and mines respectively is responsible for this lack of information.
6. Does the absence of a strong trade union affect your working?
According to the figure, 76% of the employees say that their work is affected by the absence of a strong trade union, but 24% of them feel that the absence of a strong trade union does not affect their work. This again underlines the importance that the employees in general have attached to the Steel Workers Union traditionally.
7. The IR scenario at BSP is harmonious and peaceful.
47
As per the graph 67% of the employees agree and 10% strongly agree that the IR scenario is peaceful whereas 20% of them disagree and 3% strongly disagree on the same point. This is an important finding in view of the fact discussed above that the Single Representative Union has stopped functioning for last many years.
8. The absence of a Strong Representative Trade Union is affecting the genuine interests of employees.
According to the above figure, 67% and 16% of the employees agreed and strongly agreed resp. to the statement that the absence of a Strong trade union is affecting the genuine interests of employees where as 9% and 8% of the employees disagreed and strongly disagreed to this statement.
This indicates that most of the employees are affected by the absence of a strong trade union but still around 17% of employees are not affected. So management should take care of this. This is an interesting finding because on one hand the IR scenario in general is found to be harmonious by the respondents, whereas on the other the absence of a strong representative union is felt.
48
9. In the changed industrial scenario in the country, trade unions are increasingly becoming irrelevant.
As per the above figure, 58% and 5% of the employees agreed and strongly agreed resp. that trade unions are becoming irrelevant in today’s changing industrial scenario whereas 28% and 9% disagreed and strongly disagreed resp. to this. This shows that still there are almost 37% of the employees who think that trade unions are relevant even in today’s changing industrial scenario which is relatively a big number. This is also an interesting finding similar to 8 above.
10. The BSP management accedes (agrees) to the genuine demands of employees even without any role performed by the trade unions.
49
As per the above figure, 53% and 6% of the employees agreed and strongly agreed resp. that BSP management accedes to the genuine demands of the employees even without any role performed by the trade union, whereas 23% and 18% disagreed and strongly disagreed resp. to the same statement. This underlines the credibility of the management in caring for the employees, despite the employees’ traditional belief in the strength of the representative union to get their genuine demands fulfilled. 11. The work culture at BSP is based on discipline and self-motivation.
According to the above figure, 71% and 21% of the employees agreed and strongly agreed resp. to the statement that work culture at BSP is based on discipline and self motivation, whereas only 3% and 5% disagreed and strongly disagreed to it. This shows that BSP management is doing a good job in providing the best possible work culture to its employees because 92% of the employees agree that the work culture here is based on discipline.
50
12. The suggestion scheme and quality circle scheme facilitates as well as rewards creativity and innovation amongst employees.
According to the above figure 94% of the employees agree to the statement that The suggestion scheme and quality circle scheme facilitates as well as rewards creativity and innovation amongst employees whereas only 6% of them disagree to this. This result shows that BSP management is doing really well in promoting creativity and innovation amongst employees. 13. BSP management is prompt and generous in recognizing and rewarding good performance.
51
As per this figure 71% and 13% of the employees agreed and strongly agreed resp. to the statement that BSP management is prompt and generous in recognizing and rewarding good performance whereas 10% and 6% of the employees disagreed and strongly disagreed to the same statement. This gives the picture that BSP management is working well towards enhancing the morale of the employees and has been successful in its attempt to make employees feel that they are doing a good job. 14. The working condition in BSP is good and conducive for better performance.
.
As per the figure, 66% and 19% of the employees agreed and strongly agreed resp. to the statement that the working condition in BSP is good and conducive for better performance where as 13% and 2% of the employees disagreed and strongly disagreed to this statement. This result shows that majority of the employees are happy with their working conditions whereas still there are 15% of the employees who are not satisfied with their working conditions.
52
15. The employee morale at BSP is quiet high.
As per the figure 68% and 23% of the employees agreed and strongly agreed resp. to the statement that the employee morale at BSP is quiet high but 3% and 6% of the employees disagreed and strongly disagreed to this statement. This is a very positive indicator for the management, as 91% of the employees say that the employee morale is quiet high.
53
Part 2 (Working of IR)
16. Are you aware that there is a truck provided by BSP free of cost to facilitate a cremation in case of death of an employee or his/her dependent?
According to the above figure 100% of the employees are aware that a truck is provided by BSP free of cost to facilitate a cremation in case of death of an employee or his/her dependent. This is a very high level of awareness amongst the employees and management should be relieved that this initiative is well appreciated by the employees.
54
17. Are you aware that an amount of
5000 is paid by BSP through IR section as funeral
expenses in case of death of an employee?
As per the figure 96% of the employees are aware that an amount of
5000 is paid by BSP
through IR section as funeral expenses in case of death of an employee. This also shows a high level of awareness amongst the employees related to this issue.
18. Are you aware that the helpline counter at Main Hospital Sector- 9 is run by IR section?
55
As per the figure 79% of the employees are aware that the helpline counter at Main Hospital Sector- 9 is run by IR section whereas 21% of them are still unaware about this. This shows that there is less awareness about this facility provided by IR than the other facilities provided. It may be possible that the employees, who have not availed of medical services of late or might not have faced any problem wherein the helpline staff could have helped them, are the ones who are not aware of this. 19. Are you aware of the existence of a separate liaison cell for SC/ST within IR section?
As per the figure 78% of the employees are aware of the existence of a separate liaison cell for SC/ST within IR section whereas 22% are not aware about this. This is a substantial number because of the fact that the majority of the employees belong to the general category and they don’t need to avail the services provided by this cell.
56
20. Are you aware that the various scholarship schemes for wards of BSP employees are now being run by education department instead of IR section?
As per the figure, 89% of the employees are aware that the various scholarship schemes for wards of BSP employees are now being run by education department instead of IR section, whereas 11% of them are still not aware. In general the awareness level is sufficiently high. 21. The IR section responds quickly and efficiently to situations like work accidents and employee unrest.
57
As per the above figure, 68% and 15% of the employees agreed and strongly agreed resp. that the IR section responds quickly and efficiently to situations like work accidents and employee unrest whereas 13% and 4% disagreed and strongly disagreed to this statement. This result shows that the IR section is working efficiently in case of work accidents because 85% of the employees agree and are satisfied with the working of the IR dept.
22. The IR section acts as an effective communication channel between management and employees in general.
As per the above figure 65% and 10% of the employees agreed and strongly agreed to the statement that the IR section acts as an effective communication channel between management and employees in general, whereas 16% and 9% of the employees disagreed and strongly disagreed to the statement. This shows that three quarters of the employees are appreciating the efforts of IR in acting as an effective communication channel between management and employees which is a very good number.
58
23. The IR section has to perform various difficult and unpleasant jobs.
As per the above figure 66% and 13% of the employees agreed and strongly agreed to the statement that IR section has to perform various difficult and unpleasant jobs whereas 16% and 5% of the employees resp. disagreed and strongly disagreed to the statement. Almost 79% of the employees agree that IR has to perform various difficult jobs which means that the employees are also aware of the situation and condition in which IR dept. has to work.
24. The IR section plays the role of facilitating negotiation between management and employees in the exigency (urgent need) of employee unrest quiet effectively.
59
As per the above figure, we can see that 63% and 13% of the employees agreed and strongly agreed to the statement that the IR section plays the role of facilitating negotiation between management and employees in the exigency (urgent need) of employee unrest quiet effectively whereas 20% and 4% of the employees disagreed and strongly disagreed to the statement resp. This shows that 76% of the employees are satisfied by the role played by IR for negotiations in case of any exigency which is a very substantial number. 25. a) Do you have any suggestions for improving the working of IR?
b) If yes, what are your suggestions?
1.
Personnel from IR section should visit shopfloors more frequently and they should
directly interact with the people. 2.
Workshops should be conducted more frequently to increase the awareness about
the working of the IR department. 3.
At the grass root level awareness is not there about IR.
4.
IR should not act as Middleman.
5.
IR should not act as a part of management but as a representative in neutral to
both management and employees keeping in sight the interests of both. In recent past it has secured the interest of management only. 60
FINDINGS
61
1.
The current IR scenario at Bhilai Steel Plant is peaceful and harmonious.
2.
More than 66% of the employees are aware that Industrial Disputes Act is being implemented at BSP in place of MP & CG IR Act.
3.
Although there are 15 Registered Trade Unions operating at BSP (Plant Location) , almost half of the employees are unaware of it.
4.
Concept of “Single Representative Union” has been central to the IR scenario at BSP for decades, and therefore the awareness about other unions is quiet low.
5.
The employees in general have attached to the Steel Workers Union traditionally.
6.
The IR scenario in general is found to be harmonious by the respondents, whereas the absence of a strong representative union is also felt at the same time.
7.
Management has in general proved to be capable of fulfiling the genuine demands of the employees.
8.
Work culture is based on discipline.
9.
BSP management is doing well in promoting creativity and innovation amongst employeesby implementing various schemes.
10. Working conditions at BSP are conducive and employees are happy with it. 62
11. Employee morale is quiet hig in the employees.
12. Almost 75% of the employees are appreciating the efforts of IR in acting as an effective communication channel between management and employees.
13. Majority of the employees are satisfied by the role played by IR for negotiations in case of any exigency.
Limitations a. As BSP is a very large organisation it was not possible to cover each and every department for the survey.
b. Few respondents were reluctant or suspicious in responding to questions.
c. Respondents may not reveal the fact because of job insecurity.
d. The respondents’ opinion can be biased.
e. Looking at the number of questions, few respondents did not give their opinion because they did not have enough time to fill it.
63
RECOMMENDATIONS
1.
As per the majority of the respondents, the absence of a strong trade union is
affecting the working of the employees. Therefore the management should communicate with the employees more to understand what exactly is their problem and how do they suggest to solve it and may consider it favourbly.
2.
Awareness about the working of the IR department should be conveyed to the
employees so that they are able to be more benefitted from its services, by organizing workshops or putting relevant and updated information on BSP’s Intranet.
64
CONCLUSION This project helped me in getting an insight into the iron and steel industry and working of a unit (BSP) of SAIL. The anlysis of current Industrial Relations scenario at BSP helped me in gaining real world knowledge and how does it work. Currently there are 15 registered Trade Unions operating at BSP, but there is no Strong trade union worth its name. Also the rivalry among the trade unions is not proving to be beneficial because in any case the interests of the employees are at stake. On one hand employees say that they want a union to fulfil their genuine demands and on the other hand there are already 15 registered unions, out of which the Steel Workers Union has for long been the Single Representative Union, now embroiled in its internal disputes and connected court cases.
Although the IR department is doing great but certainly it cannot be a substitute for a strong trade union and therefore need is felt for a Strong Trade Union by many employees because according to the survey carried out, the respondents feel that their genuine interests are not taken care of. Inspite of all this the IR scenario at BSP is reasonably harmonious and peaceful which is credited 65
to the management. The proactive measures taken by management have proved to be a great support. However, the present IR scenario at Bhilai Steel Plant is set to undergo many changes in near future because the central government has issued a notification that henceforth the “Appropriate Government” for Bhilai Steel Plant shall be the central government as SAIL of which BSP is a unit, is a central government undertaking. The foremost implication of this developement is that henceforth Bhilai Steel Plant shall be governed under Industrial Disputes Act,1947(ID Act), instead of the existing MP & CG IR Act,1960. In turn the concept of “Single Representative Union” shall be replaced by multiplicity of trade unions. This will facilitate the formation of new unions ( this trend has already begun) and shall increase inter-union rivalry. This development is not likely to be good for the IR scenario in general and employees in particular. But, the process of implementation of ID Act 1947 is very slow due to central government’s own compulsions such as shortage of personnel/staff, lack of infrastructure. The BSP management can afford to breathe easily atleast till the time the above issues are setteled.
LEARNING OUTCOME 1.
Working of a large organisation like BSP which is a unit of SAIL (Steel Authority
of India Limited). 2.
Operation of various departments (both Works and Non-Works).
3.
How does actually the concepts of HR apply in real sense in such a large
organization whose manpower is approximately 31,000 (As on 1st June 2011) . 4.
Day-to-day working of IR department in a large organization
5.
Measures taken to maintain good relations with employees
6.
How does the nature of this relationship impact the employees
7.
Relevance of Trade Unions in the current industrial scenario
8.
Better understanding of IR in terms of what are the tasks to be done by the IR
department and how should the situations be tackled. 66
References 1. Comapny website
2.
C.S.V. Ratnam, Industrial Relations, Oxford University Press, N. Delhi, 2006
3. Company Journals
4. Reports on Documentation of Major IR activites
5. Internet
a. http://www.sail.co.in/ b. http://www.sail.co.in/pnu.php?tag=bhilai c. http://pblabour.gov.in/pdf/acts_rules/inustrial_disputes_act_1947.pdf d. www.cci.in/pdf/surveys_reports/iron-steel.pdf e. http://www.steelworld.com/newsletter/may11/ws0511.pdf
67
f.
http://www.steelads.com/info/largeststeel/TOP30-Worlds-Largest-Steel-
Companies.html
Annexures 68
Questionnaire Dear Sir/Madam, I am conducting a survey on “Industrial Relations scenario at BSP and working of the IR department ” to be submitted towards the partial fulfillment of MBA Degree. Kindly extend your help. The information you give will be kept confidential and will be used only for study purpose. Thanking You Sonal Piparsania Alliance University, School of Business, Bangalore MBA (HR)
Name (optional): ____________________________________________ Department: ________________________________________ Designation: ________________________________________ Year of Joining: ________________
Part 1 1. Are you aware that there is a concept of “Single Representative Union” under MP & CG IR Act? Yes
No 69
2. Are you aware that there are 15 registered trade unions operating at BSP (Plant location)? Yes No 3. Are you aware that Industrial Disputes Act, 1947 is being implemented at BSP (Plant location) in place of MP & CG IR Act?
Yes
No
4. Are you aware that Steel Workers Union (affiliated to INTUC) has for long been the single Representative Union at BSP (Plant location) as per MP & CG IR Act?
Yes
No
5. Are you aware that the captive mines of BSP are already under the ambit(scope) of Industrial Disputes Act? Yes No 6. Does the absence of a strong trade union affect your working? Yes
No
7. The IR scenario at BSP is harmonious and peaceful.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
8. The absence of a Strong Representative Trade Union is affecting the genuine interests of employees.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree 70
9. In the changed industrial scenario in the country, trade unions are increasingly becoming irrelevant.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
10. The BSP management accedes (agrees) to the genuine demands of employees even without any role performed by the trade unions.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
11. The work culture at BSP is based on discipline and self-motivation.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
12. The suggestion scheme and quality circle scheme facilitates as well as rewards creativity and innovation amongst employees.
o
Strongly Disagree 71
o
Disagree
o
Agree
o
Strongly Agree
13. BSP management is prompt and generous in recognizing and rewarding good performance.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
14. The working condition in BSP is good and conducive for better performance.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
15. The employee morale at BSP is quiet high.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
Part 2 16. Are you aware that there is a truck provided by BSP free of cost to facilitate a cremation in case of death of an employee or his/her dependent?
72
Yes No 17. Are you aware that an amount of 5000 is paid by BSP through IR section as funeral expenses in case of death of an employee?
Yes
No
18. Are you aware that the helpline counter at Main Hospital Sector- 9 is run by IR section? Yes No 19. Are you aware of the existence of a separate liaison cell for SC/ST within IR section?
Yes
No
20. Are you aware that the various scholarship schemes for awards of BSP employees are now being run by education department instead of IR section?
Yes
No
21. The IR section responds quickly and efficiently to situations like work accidents and employee unrest.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
22. The IR section acts as an effective communication channel between management and employees in general.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
73
23. The IR section has to perform various difficult and unpleasant jobs.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
24. The IR section plays the role of facilitating negotiation between management and employees in the exigency (urgent need) of employee unrest quiet effectively.
o
Strongly Disagree
o
Disagree
o
Agree
o
Strongly Agree
25. a) Do you have any suggestions for improving the working of IR?
Yes
No
b) If yes, what are your suggestions?
Date:
74
