Dose the company change DA as per the changes taking place in the environment

ANALYSIS AND INTERPRETATION OF THE STUDY

14. Dose the company change DA as per the changes taking place in the environment

In table no. 14, it is clear that only 75% answered favourably where as 25%

felt that they were paid less , when they are asked about DA by the management.

Maximum number of the respondents opinion is that they are getting DA according to law. Minimum of them disagreed with this.

15. What is your opinion in comparing salary/wage with similar

In table no. 15, it is clear that only 80% of employers are saying that they are very happy with the wage/salary that was provided by the FACCOR when comparing with other industries and 20% of employers are saying that it is good when comparing to other industry.

16. Suggestions

77 a) you want better salary

b) More monitory benefits are expected

SUMMARY

An organization has to balance fairly financial and non financial rewards extrinsic awards. Effective awards and intrinsic awards. Effective reward system requires not only that the absolute level of compensation paid by an organization compares favorably but also enquires that it satisfies the principles of internal equity and equity with the job content. The employees gets pay satisfaction of the perceived salary is equal to actual salary received and actual salary is less than perceived salary the employee is dissatisfied with the salary. The remuneration paid by the employer for the services of hourly, daily, weekly and fortnightly employees.

The remuneration paid to the clerical and managerial personnel employed on monthly or annual basis. It is the amount of remuneration for unit of time excluding incentives, overtime pay etc. Is the amount of wage fixed for the unit of time fixed on the basis of job evaluation standards. Is an assembly of all properly evaluated standard wage rate set from in the sequence according to the job and size of the rate. Refer to compensation given to the employees over and above wage rates which often is not directly related to output performance of time worked refer to special rates to certain period such as over time, Sundays and holidays.

The objective of wage and salary administration is numerous and sometimes conflict with each other. Candidates decide upon their career in a particular organization mostly on the basis of the amount of remuneration the organization mostly on the basis of the amount of remuneration the organization offers qualified and competent people join the best paid organization. The organization should aim at payment of salaries at that level where they can attract competent and qualified people. If the salary does not present compare favorably with that of other similar organization. Employees quit the present one and join the other organization.

To protect in public as progressive employers and to comply with the wage legislations. To pay according to comply with wage legislations. To pay according to the content land difficulty of the jobs and in tune with the effort and merit of the employees. To facilitate pay role administration of budgeting and wage and salary control. To simply collective bargaining procedure and negotiations. To promote organization feasibility.

Over all salary range for all the jobs in an organization is arranged. Each job grade will be assigned salary range. These individual salary ranges will be filled into an overall range Overall salary grades of the organization may be adjusted on the data information collected about the salary levels of similar organizations. Individual salary may also be adjusted based on the performance of the individual employees. Indian Ferro Alloy Industry is not as old as the Steel Industry. From a humble start in the fifties the capacity has grown enormously with enough potential to increase exports in future. However, the high power tariff in India is the stumbling block. Though the industry started getting power from National Power Corporation at NTPC tariff, it is still higher than the power tariff available in countries like Norway, China, and Russia, Kazakhstan etc., which are a major producers and exporters of Ferro alloy too.

What is more, the import duty on Ferro alloy has also been reduced drastically to 25 per cent in the post – liberalized era. Further, steel exporters are eligible to import their raw material including Ferro Alloys free of duty against advance license. With plenty of raw materials like ores and reluctant available in the country, what the industry needs is a level playing field by power being made available at international comparable tariff. The Indian Ferro Alloy Industry is more than four decades old, as produces Bulk and Noble Ferro Alloys.

Through this Industry is not as old as the steel industry, its capacity has increased substantially from a humble start in the fifties, meeting the requirement of the steel industry in the country. The growth of the steel industry has not picked up as expected, whereas the growth of the Ferro Alloy Industry has stepped up, much more than the expected level. With the result, the capacity available in the country is much more in the Ferro Alloy Industry.

It is a lot of potential to increase its exports in the near future. India has been bestowed with adequate resources of all basic raw materials required for the production of Manganese, Silicon and Chrome Alloys. Most of the Ferro Alloy Units have come up in the six States Andhra Pradesh, Madhya Pradesh, Maharashtra, Orissa and West Bengal, mainly due to availability and or proximity of the raw materials. Ferro Alloys is a power intensive industry.

The total connected load of the industry has grown almost 8 to 9 times from 130 MVA in the mid sixties to over 1000 MVA as on date. With the result, the installed capacity of the industry is 1.5 million tones of Bulk and Noble Ferro Alloys. Capacity of Manganese Alloys is around 700,000 tones. Ferro Silicon 175.000 tones and Ferro Molybdenum, Ferro Vanadium, Ferro Tungsten, Silicon Magnesium, Ferro Titanium, Ferro Phosphorous, etc., around 20,000

tones. FACOR was established as a public limited company by the families of SHARAF‟S and MOR‟S.

In the History of Ferro Alloys, this has become the first of its kind and a major producer of Ferro Manganese in the country. FACOR is not only a leader in the field of Ferro Alloys, but also produces special steels of high standard. Its diversified activities extended beyond mining and production of Ferro Alloys, to making the special steel and embrace the production and manufacture of synthetic yarn and maize products. Low Ferro Chrome was imported to India until 1966 to meet the demand of steel industry. Then, FACOR has step up a Ferro Chrome plant with two furnaces having capacity of about 12000mt low/high Carbon Ferro Chrome to substituted the imports of Ferro Chrome and meet the domestic demand along with Ferro Manganese Production and saved lot of valuable foreign occupies the first position as producer and exporter of Ferro Alloys, in the country. It is a pride for the organization for such credentials.

It is the country‟s first Ferro Alloys Plant. It is the first plan to innovate and introduce Chromium Alloys and also the only single unit to meet country‟s requirements. It is the first unit to produce Magnesium Ferro Silicon.It is the first to take up the erection and commissioning of the wholly indigenous furnace without any foreign component or consultancy. The first in the country‟s to export Ferro Manganese. It is the first among the various Ferro Alloys, producing unit to take up the manufacture of low Carbon Ferro A

FACOR has built up a good track record and developed into India‟s largest manufacturer and exporter of Ferro Alloys, and maintained this position over the time. Personnel Department. The personnel department plays a vital role in the organizational climate of any organization. The personnel department of FACOR has also drawn clear guidelines for personnel policies and procedures, their by setting up an atmosphere of mutual confidence and respect.

Thus it helps to develop harmonious relations between management and the work force.

A thorough job analysis is under taken and then existing employee pool is referred and matches to the required employee qualities with job specification, if it matches the employee is assigned the job, if not a new candidate will be introduced into the organization. One of the basic raw materials for FACOR is power, which constitutes shortage, and heavy and continuous power cuts and low voltages, production hampered and there were heavy losses due to non availability of finished goods at required time. So FACOR planned to establish its own power generate plant

during 1990-91 and the cost of generation is almost 50% of cost of power supplied by APSEB power generated in the plant is meeting also 50% of the FACOR requirement.

The basic raw material for power plant lubricants is produced from HPCL Vizag.

The FACOR provides employment nearly for 10000 employees and has been instrumental in building industrial township of Shreeramnagar (A.P) Durgaprasad and Sri Durgapur (Orissa).

The raw materials are smelted/heated to 1500 to 2000c and then alloys are trapped from electric arc furnaces in molten states, at prescribed intervals, along with the bye-products which are called slag. The melt is separated into metal and slag and collected in receptacles. After cooling the metal and slag are handled separately.

The organization must keep the wage levels at the competent level, in order to prevent quite. Internal equity does mean payment of similar wages for similar jobs with in the organization. External equity implies payment of similar wages to similar jobs in comparable organization. To protect in public as progressive employers and to comply with the wage legislations. To pay according to comply with wage legislations. To pay according to the content land difficulty of the jobs and in tune with the effort and merit of the employees. To facilitate pay role administration of budgeting and wage and salary control. To simply collective bargaining procedure and negotiations. To promote organization feasibility.

After cooling the metal and slag are handled separately.

The adoption of quality management system should be a strategic decision by the top management of an organization. The design and implementation of an organization‟s quality management system is influenced by varying needs, particular objectives, the products provided, the processes employed and the size and structure of the organization. This international standard is based on eight quality international standard to imply uniformity in the structure of quality

management systems of uniformity of documentation.To identify and meet the needs and expectation of its customers and the interested parties (people in the organization suppliers, owners, society) to achieve competitive advantage , and to do this effective and efficient manner and to achieve, maintain, and improve overall organizational performance and capabilities.

The application of quality management principles not only provades direct benefits but also makes an important contribution to managing costs and risks. Benefit, cost and risk management considerations are important for the organization, its customers and other interest parties. growth and diversification in the related areas and for that reason FACOR has acquired/set up a mini-steel plant at Nagapur (Maharashtra) to produce quality steel. A charge – chrome plant located at D.P. Nagpur, randia, dist. Balasore, costing around 45 crores. This is a 100% Export Oriented unit with a production capacity of 50,000 tones per annum.

The employee provident Fund and miscellaneous provisions Act 1952, is a social Security Act. It was mainly passed with a view to make some provisions for the future of the individual workers after his retirement or for his dependents is case of early death. It is also framed to inculcate the habit of saving among the workers for the further contingencies.

The main object of this act provide substantial security and timely monetary benefit and assistance to individual employee and their families when there are problems in need some assistance to meet their family and school obligations, and also to protect them, when they become older, disabled or and in case of early death of the employee and also in meeting some other contingencies.

The capacity increase of the Ferro industry in general, followed the course to meet the planned target of steel industry in the country, and also to remain potential exporters of Ferro Alloys in the international market to earn substantial foreign exchange for the country. However,

the performance of the industry started deteriorating from the mid-sixties, due to various reasons, the foremost being, steep increase in the power tariff, fuel, oil, raw materials and transport charges.

Exports started sliding from 1978 onwards. The eighties witnessed the maximum erosion in the export performance of the Ferro Alloy Industry. However, after initiation of the liberalization programmed, there has been a spurt in the export of Bulk Ferro Alloys. Like all other Sectors, exports from this sector have also increased.

The Industrial development of any country depends upon the strengths of the basic industries like Iron and Steel, Cement, Power Generation, Electric and Electronic etc., steel is the life blood of any industry and also prime requirement for human development. Thus the Ferro Alloys are the basic raw materials for steel manufacture with various properties for different application. FACOR Shreeramnagar, works division is fulfilling this demand for steel industry in the country, thus has unmatched reputation of this-quality production not only in the domestic market but also in the international market.To help the organization to attain its goals by providing well-trained and well-motivated employees. To utilize the human resources effectively in the achievement of organizational Goals. To enhance the job satisfaction and self actualization of employees by Encouraging and assisting every employee to realize his or her full potential.

To establish and maintain productive, self respecting and internally satisfying working relationships among all the members of the organization. To bring about maximum individual development of members of the organization by providing opportunities for training and advancement. To develop and maintain a quality of work life which make employment, in the organization a desirable personal and social situation. To maintain high employee morale and sound human relations by sustaining and improving various conditions and facilities.To manage change to the mutual advantage of individuals, groups, the organization and the society. Principle stresses on the development of every person working in an organization. By this employees will be able to develop themselves to the maximum extent of their capabilities. Their abilities, productivity and efficiency can be used for achieving the objectives of the organization.

FINDINGS

 Most of the employees satisfied with their job.

 Many of the employees agreed that their salary is providing good feeling and accomplishment.

 Most of the respondents agreed that rewards should be given on the basis of performance.

 Maximum number of respondents agreed with the compensation.

 Most of the employees agreed with the organization policies.

 Mostly all the employees agreed that company is much concern about employees.

 Many of the respondents agreed recognition of employee‟s contribution.

 Most of the agreed that wages, Salaries and increments are followed every year.

 Maximum number of the respondents agreed about the Wages and Salary system in FACOR is Satisfactory.

 Many of the employees agreed that Wage and Salary structure implemented according to qualification and experience.

 Many of the respondents agreed that Bonus and Incentives are relative to the employees contribution.

 Mostly all the employees responded positively that they are getting their pay as per the laws

 All the employees reacted positively that they are paid for overtime.

 Maximum of the respondents agreed that they are getting benefits on time and when needed.

 Above of the employees agreed that they are getting gratuity according to laws while leaving the job.

SUGGESTIONS

 The Wages and Salary policy adopted by management is not up to standard level.

 The management is paying acting allowance if a person acts in place of another and plays

additional expenditure. The additional expenditure can be avoided by employing multi skilled workers.

 The management may announce efficiently based increments to attract deficient, skilled,

committed and personal. So that the experienced skilled employee do not go to other small industries and create a competition to this organization.

 Standard safety precautions are not followed at the work spot.

 In order to solve the power problem management started a power plant but is not in use today it become a dead weight.

QUESTIONNAIRE

A STUDY ON EVALUATION OF WAGE & SALARY ADMINISTRATION

2) Which factor is here important to have job satiesfaction

(a)Salary (b) Management (c) Welfare benefits (d) Working conditions

3) The salary gives good feeling & personal accomplishment.

a) Strongly Agree b) Agree c) Disagree d) Strongly Disagree

4) Rewards should be given on the basis of better performance of the employee.

a) Strongly agree b) Agree c) disagree d) Strongly disagree 5) Compensation commensurate with all levels of employee

a) Strongly agree b) Agree c) disagree d) Strongly disagree 6) Are you getting the salary on time every month

a) Yes b) No

7) Whether wages, salaries and increments are followed every year.

a) Strongly agree b) Agree c) disagree d) Strongly disagree

8) The Wages and salary system for all Employees in FACOR is satisfactory.

a) Strongly agree b) Agree c) disagree d) Strongly disagree

9) Wage & Salary structure implemented according to Qualification & Experience.

a) Strongly agree b) Agree c) disagree d) Strongly disagree

10) Bonus & Incentives are they relative to the employee‟s contribution.

a) Strongly agree b) Agree c) disagree d) Strongly disagree 11) Are you getting your pay as per the laws?

87 a) Yes b) No

12) Are Employee‟s paid for overtime if their work overtime above their contracted hours?

a) Yes b) No

13) How frequently your wages &salary structure is modified

a) Yearly b) Half yearly c) Quarterly d) More than 1 year

14) Dose the company change DA as per the changes taking place in the environment

a) Yes b) No

15) What is your opinion in comparing salary/wage with similar industries?

a) Very Good b) Good c) Bad

In document Wage and Salary Administration Sample Full Project (Page 72-87)