Project Report

Overview of the organization

ABOUT THE COMPANY :-

Paras Pharmaceuticals Limited is one of the India’s leading company with

household brands in the Healthcare & Personal care space. We have over four

decades of experience and a series of successful brand launches.

The innovative nature of our products have gained wide acceptance

beyond national boundaries. Paras is known for developing new categories and

are widely respected for its category creation ability. As a result, we have one

super brand in pain management and we are market leaders in at least two other

healthcare categories.

As a corporate we believe in providing innovative solutions to everyday

health & personal care problems and have an entrepreneurial culture to build

categories and brands. In Indian scenario Paras has 2 manufacturing plants, 1

Central warehouse, 5 Zonal Office, 1800 Distributors, 6000 wholesalers,

10,00,000 outlets reach (Direct+ Indirect).

PARAS BELIEF:-

Insights, Innovations and Inspirations.

2

GLOBALISED PARAS:-

Paras products are touching lives of people in more than 45 nations

worldwide including:

Kuwait, Oman, Saudi Arabia, Malaysia, Maldives, Kenya, Singapore, Myanmar,

Ukraine, Panama, West Indies, UAE, and Australia. Thus Paras Network is

operating at a global level.

PARAS PHARMA –MILESTONE:-

In 1960 : Radiant Pharmaceuticals-manufactures Liquid Doses.

In 1965 : Paras Pharmaceuticals (small scale) at Sambalpur (Orissa)-

Manufactures Tablets, Liquids and Capsule.

In 1980 : Paras Pharmaceuticals Pvt. Ltd. at Kalol.

In 1996 : Today’s Paras Pharmaceuticals Ltd.-

Development and formulation of all products.

3

BRAND HISTORY :-

1. STOPACHE TABLET- 1966

2. MOOV CREAM- 1984

3. KRACK SR CREAM- 1993

4. BOROSOFT CREAM- 1996

5. STOPACHE CREAM BALM- 1997

6. WINTER SHIELD CREAM- 1998

7. ITCH GUARD CREAM- 1998

8. RING GUARD CREAM- 1998

9. D’COLD-LIGHT AND TOTAL TABLETS- 1998

10. ITCH GUARD DERMICOOL PRICKLY HEAT POWDER- 1998.

MANUFACTURING LOCATIONS :-

Manufacturing Units:

1. Paras Pharmaceuticals Ltd.

P.O.Kalol, Distt. Ahmedabaad, Mehsaana Highway North Gujarat,

India.

4

2. World Class Manufacturing

Unit :(C.U.S, F.D.A, G.M.P. Certification)

Paras Pharmaceuticals Ltd.

P.O Baddi, Distt.Solan-173205 Himachal Pradesh,India.

CORE VALUES AT PARAS :-

1.SKILL

2.SYSTEM

3.STYLE

4.SPEED

5.FOCUS on current trend and young generation.

6.EMPOWERING Employees, Enrich, Excel

7.COMPETENCE BUILDING.

8.ADAPTABILITY TO NEW ENVIRONMENT

9.RESPECT HUMAN VALUES.

5

PARAS AIMS AT :-

Serving people with value added products.

Not just cosmetics makeovers also to create Healthy new products

categories.

To create paras as a reliable and favored name amongst the masses.

AT PARAS :-

OUR BELIEF : Possibilities.

OUR CULTURE : I Ideas in Action.

OUR VISION : Solutions for better living.

OUR MANTRA : Insight, Innovation, Inspiration.

OUR SPECIALITY : Building Brands, Winning Trust.

6

PRODUCTS AT PARAS :-

DERMICOOL : Thanda raho thanda socho.

ITCHGUARD : Active Life Ka Saathi.

KRACK : Ediyaan Banaye Soft,Rakhe Soft.

LIVON : Baalon Ka Rakshak.

RECOVA : The science of beautiful skin.

RING GUARD : Daad Ka Kaam Tamaam.

STOPACHE : Sab Dardon Ki Ek Dava.

7

2.1 INTRODUCTION

Absence may be authorized or unauthorized caused by circumstances

beyond one's control. Absenteeism has been variously defined by different

authorities.

According to Webster's Dictionary "absenteeism is the practice or habit of

being an "absentee,' and an 'absentee' is one who habitually stays away,"

According to Labor Bureau, Shimla, "absenteeism is the total man shift

because of absences as a percentage of the total number of man shifts

scheduled to work.”

Absenteeism is said to be there when an employee fails to come to work

when he is scheduled to work. Excessive absenteeism involves a considerable

loss to the enterprise because work scheduled are upset and delayed, and has to

give overtime wages to meet the delivery dates, the rates of overtime wages are

double than the normal rates of wages.

The absence of a foreman or Supervisor leads to dislocation of work and

indiscipline hands leads to a great loss in. The absence of trained production as

well as to breakage in machines and this has its repercussions on many other

workers and sections of the factory.

Not only do absenteeism and turnover, leads to wastage or breakage, the

cost of breakage and time spent are also important factors.

Absenteeism and labor turnover are related phenomena and most often,

they go side by side. Usually, a person who remain absent in most of the cases

though not always leave the job. Absenteeism and labor turnover related, the

factors related to them are the same.

9

Workers remain absent from regular work due to hard nature of jobs,

monotony in work and personal reason. This leads to absenteeism. It is normal

and natural tendency among factory workers absenteeism has been vigorously

defined by different authorities. According to Webster’s dictionary absenteeism is

the practice or habits of being absentee and an absentee is one who habitually is

a total no. of shifts scheduled to work. In other word it signifies the absence

employee from work when he is scheduled to be at work it is unauthorized un-

explained the rate of absenteeism two factors are taken into consideration. The

number of persons scheduled to work and number of persons actually present.

A worker who reports for any part of shift is to be considered present. An

employer is considered to be scheduled to work when the employer has work

available and the employee is aware of it and when the employer has no reason

to expect. Well in advance that the employee may stay away from work if he has

taken leave to which he is entitled or on ground or some accident or without any

previous sanction of level. This absence may be authorized or un-authorized or

caused by circumstances beyond one’s control.

2.2 FEATURES

Following are the features of absenteeism:

a) The day before and after holidays are liable to have high rate of

absenteeism.

b) The rate of absenteeism is lowest on pay day.

c) Women are absent more often than men.

d) Absenteeism is generally high among workers below 25 years of age.

e) Operative employees are absent more frequently than there supervisor.

10

f) Percentage of absenteeism is generally higher in the night shift than in the

day shift.

g) Bad weather increases absenteeism, especially among employees who

live at distant places.

Absenteeism in Indian industry is not a new phenomenon. The Royal

Commission on labour reported that high absenteeism prevails among industrial

labour mainly due to their rural orientation. Since then number of individual

researchers have pointed out that absenteeism is higher in mines and it is higher

in northern India than in southern India.

2.3 CAUSES

The causes of absenteeism may broadly be divided into following three

categories:

(I) In-plant Causes

(II) Community and Social Causes

(III) Personal Causes

I. In-plant Causes

a) Working Conditions

Poor working condition affect the workers health adversely. He may

be tired of working environment and thus may remain away from work

without any notice to employer.

11

b) Nature of Work

When work is though monotonous in nature, the workers get tired

physically and mentally. So he frequently remains absent without

information to employer.

c) Absence of regular leave arrangements

Every worker requires at last 15 to 20 days leave in a year for his

personal work. The employer should arrange leave to all workers.

However, in many factories workers are not given any intimation to

the employer. Thus, absences of regular arrangement led to absenteeism.

d) Maladjustment at workplace

When a skilled worker is absent from his job then a new worker is

to be appointed in his place who might not be so skilled in that job. So this

creates more burden for the new workers because he has to taken care of

his own job and also the new work.

e) Night Shift

Due to inappropriate night timings, lack of transportation facility at

night and some domestic reasons, the worker are not able to attend the

night shifts.

f) Frustration

Due to wrong placement, lack of encouragement or promotion

opportunities frustrated workers do not enjoy attending his work regularly

there by resulting in absenteeism.

12

II. Community and Social Causes

a) Absence of transport facilities

Many factories are located away from city limits. Naturally, workers

have to travel long distances. In case of any disturbance in transport

system, workers are unable to reach place of work at proper time and they

have to remain absent. Thus, transport facilities leads to absenteeism.

b) Accidents

Industrial Accidents and occupational diseases bring about

absenteeism. Depending upon the nature of the process and machinery

used rick of accident can be more or less.

III. Personal Causes

a) Bad Habits and Social Evil

A no of workers in city are used to drinking; gambling; and other

bad habits. Such workers are unable to attend duties regularly due to such

bad habits.

b) Lack of Interest

Lack of interest and lack of feeling of responsibility are fundamental

causes of absenteeism. Thinking of mind caused by environmental and

13

sociological factors may lead to development of feeling of responsibility in

the mind of worker about the work.

c) Personal Problems

Due to some personal problem in the house or at workplace they

cannot concentrate on the job well and thus remains absent from work.

2.4 CONSEQUENCES

a) Reduces the efficiency

Absenteeism effect the efficiency of the workers. The workers who

join after the long period of absence would normally be much less

efficient.

b) Creates the indiscipline

The absentees effects the discipline of the workers adversely the

worker who is attending to his work irregularly may not care much for the

indiscipline.

c) Loss of Job

When a worker remains absent for more days so without informing

the employer then his name is cut out and is out of job. It causes bad

effect on both employer and employ.

14

d) Both quality and quantity are effected

If more number of workers are absent then total output is affected.

If alternative arrangement is made by employing casual workers who do

not posses adequate experience the quality goods produced is affected.

e) Indebtedness

When person remain more absent from work then for that holidays

wages are deducted, with few salary the family activities can be done for

then they have to borrow from others and this borrowing increases and

increases. The worker gets indebted in this and it is very difficult for them

to come out of this indebtedness.

f) Family Suffering

Due to absent from work the wages are deducted. The families

have to suffer due to this deduction because these days it is very difficult

to cope up with small salary.

g) Loss of self respect

Due to more absenteeism the workers loss his self respect in

organization, society and family.

h) Reduction of financial resources

Absenteeism causes instability in one’s carrier due to more

holidays from workplace the employ is out from his present job and has to

go to another place for work, this causes bad effect on his career.

15

2.5 EFFECT

Absenteeism is social evil, rather concern for an organization which

hampers production and has ill effect on the management, administration and

family of the workers. However, absenteeism has the following effect on the

organization.

Effect on the organization

a) The company has to pay bonus to the worker, which is double the normal

amount hence there is, a loss of finance to the organization.

b) When a worker is absent, his work has to be shard by other workers thus

increasing the additional responsibility of the co-worker, if such worker are

given to work frequently.

c) If the work of absentee is entrusted to a co-worker, he may not be able to

do that job he being not belong to that work thus could not be completed

which will have bad effect on the workshop production.

d) When a worker is absent particularly in number, it is a big headache for

the administration for regularization of leave or to proceed further in taking

disciplinary action against them. Lot of paper work and extra burden to the

administration is involved apart from stress and strain.

e) The habitual absences have strange relation with his supervisors,

management as well as with a co-worker who has perfected do his work.

Effect on Individual

Absent workers are deprived of economic loss to workers, leave traveling

allowance and privilege leave.

a) They will loss pay and allowances for the period of absence.

b) The absence period is not counted for bonus.

16

The habitual absentees became offender due to one reason or the other and

make them mentally upset which is ultimately have bad effect on social and

domestic life. This will lead the absent worker to indebtedness. This will lead him

to bad vices. This will become a social stigma and will also.

2.6 MODELS OF ATTENDANCE AND ABSENCE BEHAVIOUR

Models represent an attempt to formulate known causative and

moderating factors into an interpretable framework. These are useful in

understanding some of these interrelationships but do have a number of limiting

factors.

There are two competing, though not dissimilar theories for absenteeism:

the psychological and economic theories of workplace attendance. These

attempts to rationalise absenteeism, a multi-dimensional construct, to simple

important determinants. Both of these models highlight the importance of work

and non-work factors in absenteeism. They demonstrate that factors in addition

to illness and direct incapacity account for a proportion of workplace

absenteeism. This leaves open the opportunity for management interventions to

encourage and facilitate attendance by factors that may fall into their control.

However, they down play the role of illness and disease and ignore the possible

contribution that interventions at this level may make.

Psychological Model

Much of the psychological model is based upon work by Steers and

Rhodes, who advance a dichotomous causal model. Employee attendance is

17

conceptualized as largely a function of two variables: the ability to attend and the

motivation to attend.

The model seeks to emphasis as its workplace determinants such job

situational variables as reutilization, job stress, job satisfaction, work

involvement, leadership and co-worker support. The melding of the joint

influences of job satisfaction and pressures to attend result in attendance or

absence.

Research attempts to differentiate between voluntary and involuntary

absence as separate valid constructs. Hackett defines voluntary absences as

being under workers control, being typically short term, casual and illegitimate.

The decision to attend work is based upon motivational factors to attend.

Involuntary absences are typically beyond the control of the worker and tend to

be longer term, are thought to result more often from illness or family

responsibilities, and may be based on the workers ability to attend work. These

constructs are distinctly, differentially and significantly related to subsets of

organizational, personal and attitudinal variables. Being older, having longer

organizational employment record, organization commitment and a higher job

level are positive factors.

It is intuitively attractive to form a hypothesis that those who are less

satisfied with work are more likely to be absent. In a review of a number of meta-

analyses researching the relationship between job satisfaction and employee

absence77 a weak relationship between job satisfaction and absence frequency

of -0.2 was consistently evident. (i.e. job satisfaction accounted for 20% of the

variance of workplace absenteeism).

This lack of strength may be in part attributable to the effect of

unavoidable absences where motivation may not be a factor, external factors,

which attract absence from the workplace, the influence of organizational policies

18

and workgroup norms. Another consistent finding was increased relationship

strength with reduced absence duration. Implying shorter absences were more

likely to occur in association with relative job dissatisfaction.

These theories try to describe voluntary absence propensity as a function

of a behavioral tendency akin to absence proneness, relative work dissatisfaction

competing with the attractiveness of other settings, mounded by social culture

and norms, and influenced by past individual adaptations. It predicts that

absence will be reduced by improving job satisfaction and employee relations

and alludes to the significance of an absence culture.

Steers and Rhodes refer to a diagnostic model of attendance, which

includes consideration of:

major influences on attendance motivation;

major influences on perceived ability to attend and actual

attendance; and

role of societal context and reciprocal relationships.

Economic Theory of Labour Absence

Alternatively, there is the economic theory of labour absence. The

traditionalist economic perspective sees the need to work competing with other

alternatives as commodities within the same market. Much as weights on either

side of a balance scale with a potential advantage for the worker occurring where

standard hours of work exceed a worker’s preferred hours. (so called ‘opportunity

cost’ of taking sick leave) Economists have primarily focused on the effects of

19

incentives, unionization, wages, sick pay provisions and availability, employment

climate and demographic traits. It emphasizes the flattening of organizational

structures and the establishment of discretionary power at work as potential

solutions.

There are considerable overlaps between the above two models. It is

argued that the economic model is perhaps more predictive for the effects of

flexible work places, the effects of changing norms and the presence of external

factors and sees the effect of trade-offs between income and leisure and the

influence of award provisions, task oriented work groups and the provision of

opportunities for employees to have a say in the workplace.

Rather than seeing these models as competing alternatives, more insight

into voluntary absence may be gained in viewing them as complementary

perspectives.

Both of these models highlight the importance of work and non-work

factors in absenteeism.

Both models attempt to view absenteeism as a “rational” choice between

competing variables. The models imply linear or additive relationships between

factors; however studies of workplaces show a more idiosyncratic action and

interaction of factors with marked inconsistency of variables as a cause, outcome

or moderator. Whilst absence is usually considered to be the outcome variable,

some research suggests that absence can have a causative relationship in

lowering job satisfaction, supervisory support, performance and job achievement.

Job satisfaction, in its relationship with absenteeism, can be moderated by other

factors such as promotion opportunity, attendance ability or attendance pressure.

Associations between dependent workplace variables such as job

satisfaction and non-work satisfaction suggest the interplay of external factors.

20

More work needs to be done in understanding the moderators and mediators of

these relationships.

In the end, these models are trying to explain work absence with

constructs, which are relatively difficult to define or measure. With no absolute

standard the surrogates who are used must be subject to misclassification and

misinterpretation.

These models demonstrate that factors in addition to illness and direct

incapacity account for a proportion of workplace absenteeism. This leaves open

the opportunity for management interventions to encourage and facilitate

attendance by factors that may fall into their control.

2.7 GENERAL CONDITIONS FOR GRANT OF LEAVE IN GOVERNMENT

ORGANISATIONS

a) Leave cannot be claimed as a matter of right.

b) The Leave Sanctioning Authority can refuse or revoke leave of any

kind if exigency arises.

c) It is not open to the leave Sanctioning Authority to alter the kind of

leave due and applied for.

d) No leave of any kind can be granted for a continuous period exceeding

five years except with the sanction of the President.

e) An official on leave should not take up any service or employment

without obtaining prior explicit sanction of the Competent Authority.

f) Gazetted Government Servant should produce Medical Certificate from

Authorised Medical Attendant and Non-Gazetted Government Servant

from AMA or RMP for leave on medical grounds. Second medical

21

opinion, if necessary may be obtained by the leave Sanctioning

Authority.

g) A Government servant on leave on medical grounds will be permitted

to return to duty only on production of medical certificate of fitness.

h) Over-stayal of leave without proper sanction will be debited against

HPL Account of the employee to the extent of HPL is due and the

excess treated as EOL.

i) Period of over-stayal will not count as a service for increment or

pension.

22

3.1 REVIEW OF LITERATURE

An attempt has been made to review the literature pertaining to various

aspects of Human Resource Management in the Government as well as private

sector industry. The review of studies provides proper prospective about the

research problem and helped to formulate a suitable methodology of the study. A

few of the major researches in the area have been explained below.

Rick D. Hackett (1990) in his research titled “Age, Tenure, and Employee

Absenteeism” revealed that two demographic/personal characteristics in the

Steers and Rhodes' (1978, 1984) process model of employee attendance, and on

which considerable research has accumulated in the absenteeism literature, are

age and tenure. Recent narrative reviews of this research show that the results

are quite mixed and likely to depend upon sex of the sample and absence type. A

meta-analysis (Hunter, Schmidt, & Jackson, 1982) of this literature revealed that

age (but not tenure) had a modest (p = -.23) relationship with avoidable

absences, neither age nor tenure was associated with unavoidable absences,

and sex of sample was identified as a moderator. Implications of these findings

for the Steers and Rhodes' model are discussed in light of possible directions for

future research.

Mark John Somers (1995) in his study titled “A test of the relationship

between affective and continuance commitment using non-recursive models”

concluded that affective commitment emerged as the most consistent predictor of

these outcome variables and was the only view of commitment related to

turnover and to absenteeism. A three component model of organizational

commitment was used to study job withdrawal intentions, turnover and

absenteeism. In contrast, normative commitment was related only to withdrawal

24

intentions while no direct effects for continuance commitment were observed.

Continuance commitment, however, interacted with affective commitment in

predicting job withdrawal intentions and absenteeism. The form of the interaction

was such that high sunk costs tempered relationships between affective

commitment and the relevant outcome variables.

Andrew A. L. and Ian R. Gellatly (1996) in their study on “Exit-voice and

employee absenteeism: A critique of the industrial relations literature”

examined the effects of collective voice on employee absenteeism through

traditional exit-voice analyses suffers from a number of important theoretical and

empirical limitations. The research is limited theoretically in that the framework

used cannot discretely classify absenteeism as a form of either exit or voice. This

inability reflects a larger problem with the exit-voice framework’s lack of adequate

attention to the conditions under which collective voice mechanisms fail and the

consequences of such failure for the behavior of industrial relations actors.

Absences were regarded as voluntary or involuntary based on the reasons

provided by the employees or supervisors in his study on “Employee

Absenteeism, Organizational Commitment, and Job Satisfaction: Another Look”

by Sagie A.(1998). it was hypothesized that voluntary as opposed to involuntary

absenteeism can be predicted by organizational commitment, job satisfaction,

and their interactive effect. Intention to quit was expected to predict voluntary

absenteeism as well. Subjects were 140 clerks in an Israeli municipality (average

age was 41). Moderated multiple regression analyses of attitudes and objective

(personnel records) or subjective (self-reported) absence data yielded support for

the first hypothesis. Nonetheless, the intention to quit was not significantly related

to either type of absence. Theoretical and methodological considerations were

discussed and implications for continued research were outlined.

25

Easton, Fred F. and John C. Goodale (2002) in their study on “Labor

scheduling with employee turnover and absenteeism” concluded that most labor

staffing and scheduling models presume that all employees scheduled for duty

reliably report for work at the beginning of their shift. For industries with even

moderate turnover or absenteeism, this assumption may be quite costly. The

study present a profit-oriented labor scheduling model that accounts for the day-

to-day flux of employees and capacity induced by voluntary resignations, new

hires, experience curves, and absenteeism. The proposed model also anticipates

revenue losses due to reneging by customers whose patience decays

exponentially with queue time. The computational studies suggest that firms with

comparatively high transaction volumes, long transaction times, and/or relatively

tight profit margins may experience significant benefit from this approach.

Compared with conventional labor scheduling models, the proposed method

boosts average expected profits by more than 10 percent in certain operating

environments.

Diane R. Skåtun and John D.S. (2004), in their paper on “The Impact of

Turnout on Turning Up: the Complementarity of Attendance among Co-Workers”

studied the effects of complementarities in work attendance on absenteeism. It

investigates the case where workers, who turn up for work, cover the workload of

absent colleagues. Thus, externalities arise from workers being absent from

work. The effort workers exert in the workplace is negatively related to worker

turnout. Attendance levels of workers are strategic complements, as workers are

more likely to turn up when turnout is high. Firms increase wages and improve

working conditions in response. In contrast to the more standard shirking

literature, the firm sets employment levels higher. Workers may benefit from

draconian firing rules.

Jinhee Kim, Benoit Sorhaindo and E. Thomas Garman (2006)

researched on “Relationship between Financial Stress and Workplace

26

Absenteeism of Credit Counseling Clients”. The researchers examined how

financial stress was associated with absenteeism of credit counseling clients.

Data were collected by a national non-profit credit counseling organization, from

consumers who telephoned seeking assistance in debt management. The results

indicate credit counseling clients’ financial stress affects their absenteeism at

work. Clients with high levels of financial stress are more likely to experience

higher levels of absenteeism; thus spending work hours handling personal

finances, which decreases the time they are at work. The results suggest some

insight into providing financial education and assistance for employees with

financial strains as productivity loss might influence their pay.

After going through the work of various researches and surveys done, it

has been found that most of the researchers have used secondary data alone as

a base of their study. The present study has used data collected from the primary

sources in addition to secondary data. Study of employee’s absenteeism in a

Punjab based IT company not only for the purpose of evaluation but for the better

job satisfaction of the employees and better performance of the company has

also failed to attract attention of any researcher.

Thus, most of the studies covered topics related to absenteeism in non-IT

industries. There appears enough scope for carrying out the study and making

an analysis of employee’s absenteeism and its effectiveness in IT sector based

in Punjab which is far behind the neighboring States as far as growth of IT sector

is concerned.

27

RESEARCH METHODOLOGY

This chapter describes the methodology in terms of the research design

involving sampling, tools, questionnaire design, methods of collecting data and

its analysis. The questionnaire, its validity and reliability and the techniques used

for analysis of the final data are outlined. The methodology of the pilot and the

main study is explained.

Both primary as well as secondary data has been used for the study.

Primary data has been collected by using a questionnaire comprising of 15

questions and getting it filled by employees of the company.

4.1 PLAN ADOPTED FOR RESEARCH STUDY

The research methodology adopted for the study is summarized in a

flowchart (see Figure 1.0)

4.2 DESIGNING OF A QUESTIONNAIRE

The success of the questionnaire method for collecting information

depends largely on the proper designing of the questionnaire. The designing of a

questionnaire is a highly specialize job and requires a great deal of skill and

experience. It is difficult to lay down any hard and fast rules to be followed in this

connection.

Most of what is known about making questionnaire is based on

experience. Neither a basic theory nor a fully systemized approach to the

problem has been developed. Never the less the extensive experience of many

researchers and limited number of organized experiments have let to a

considerable understanding of the problem. These are definitely help a beginner

29

researcher to avoid pitfalls, but they can not be substituted for creating

imagination in designing the questionnaire procedures.

30

FORMULATION OF RESEARCH

EXTENSIVE SURVEY OF LITERATURE ANDREVIEW & IDENTIFICATION OF GAPS

CONCEPTUAL FRAMEWORK

DESIGN OF QUESTIONNAIRES

PRE-TESTING OF THE QUESTIONNAIRES

MODIFICATIONS AND REFINEMENT

MAIN STUDY

DATA COLLECTION

DATA ANALYSIS AND INTERPRETATIONUse of statistical techniques and graphical representation

DISCUSSION OF THE FINDINGS FROM THE STUDY

RECOMMENDATIONS

Figure 1.0 Flow-chart of Methodology

4.3 SCOPE OF THE STUDY

In view of the objectives of this study the respondents were chosen from

five different departments including Finance, Human Resource, Marketing,

Working classe (Technical) Department. During the present study, the researcher

also held informal discussions with experts in HRM from industry to know their

views regarding factors contributing towards effectiveness of an employee’s

absenteeism reduction system.

The present study makes use of primary data for critically examining the

effectiveness of attendance system prevailing in the company.

4.4 SAMPLING PLAN

4.4.1 Sample Size

The sample comprised of employees from each of the identified

department in Paras Pharmaceuticals. Total of 200 employees were covered for

collection of data.

4.5 Data Collection

Primary data collected for the present study was restricted to sample

departments mentioned in section 5.3 Selection of the sample was purposive and

based on the judgment.

31

4.5.1 Primary Data

A) Respondents

All the major departments of the company were identified and

employees selected on random basis were covered for collection of data.

B) Tools

Separate pre-tested questionnaires were designed for employees.

The questionnaires were pre-tested for clarity on six respondents (three

from the HR department and three from other than HR). Improved

questionnaires were used for final collection of data.

4.6 DATA ANALYSIS

The primary data received through questionnaires from employees of

different departments of the company was classified and tabulated. Quantitative

and Qualitative analysis was done and inferences were drawn in line with

objective of the study.

Techniques

The data was classified and tabulated. Statistical techniques were applied.

Number and percentages were calculated and Chi-Square test was applied to

see the difference between different variables and correlations between different

variables.

32

Crosstabs with Chi-Square Test.

Chi-Square Test was applied for crosstabs tables to check whether two

variables are independent of each other or not.

This chapter delineates the methodology in terms of the research design,

sampling design, questionnaire design, methods of data collection and the

analysis of data. The research design described the conceptual framework within

which the research study has been conducted. The pre-testing of the

questionnaires, their validity and the techniques used for analysis of the final data

are outlined. The chapter explained the methodology of the pilot and the main

study and also highlights the methods and techniques used for the analysis of

data.

4.7 OBJECTIVES OF THE STUDY

1. To understand the meaning and concept of various terms used in the

study.

2. To study the concept and theory of attendance and absence behavior at

workplace in general and its application in PARAS PHARAMCEUTICALS

LTD. BADDI.

33

3. To study employees opinion and satisfaction level towards existing leave

policy.

4. To study the overall impact of absenteeism on organizational

performance.

5. To find the reasons why the employees remain absent from their work.

6. To recommend some preventive measures to reduce the rate of

absenteeism.

4.8 LIMITATIONS OF THE STUDY

1. In the era of corporate confidential environment, employees do not

provide the complete information that may harm the research

conclusion.

2. The information given by the low level employees may be bias as they

usually remain under the essence of hallo effect of the researches and

are scared being pointed out in the future as later assumes that the

researcher sometimes may have in groups with the top level

managers.

3. Time and cost are the general barriers that affect the efficiency and

validity of the research.

34

GOVERNMENT GUIDELINES FOR ABSENTEEISM CONTROL

The Government has framed law under labor department to control

absenteeism in the factories and government establishments.

5.1 TYPES OF ABSENTEEISM

There are two types of absenteeism, each of which requires a different

type of approach.

a) Innocent Absenteeism

Innocent absenteeism refers to employees who are absent for reasons

beyond their control; like sickness and injury. Innocent absenteeism is not

culpable which means that it is blameless. In a labour relations context this

means that it cannot be remedied or treated by disciplinary measures.

b) Culpable Absenteeism

Culpable absenteeism refers to employees who are absent without

authorization for reasons which are within their control. For instance, an

employee who is on sick leave even though he is not sick and it can be proved

that the employee was not sick is guilty of culpable absenteeism. To be culpable

is to be blameworthy. In a labour relations context this means that progressive

discipline can be applied.

36

For the large majority of employees, absenteeism is legitimate, innocent

absenteeism which occurs infrequently. Procedures for disciplinary action apply

only to culpable absenteeism. Many organizations take the view that through the

process of individual absentee counseling and treatment, the majority of

employees will overcome their problems and return to an acceptable level of

regular attendance.

5.2 Identifying Excessive Absenteeism

Attendance records should be reviewed regularly to be sure that an

employee's sick-leave days are excessive compared to other employees. If a

supervisor suspects that an employee is excessively absent, this can be

confirmed through reviewing the attendance records.

If all indications show that an employee is excessively absent, the next

step is to gather as much information as possible in order to get a clearer picture

of the situation. The employees' files should be reviewed and the employee’s

immediate supervisor should document all available information on the particular

employee's history.

Individual Communication

After all available information has been gathered, the administrator or

supervisor should individually meet with each employee whom has been

identified as having higher than average or questionable (or pattern) absences.

This first meeting should be used to bring concerns regarding attendance to the

employee's attention. It is also an opportunity to discuss with the employee, in

some depth, the causes of his or her attendance problem and possible steps he

37

or she can take to remedy or control the absences. Listen carefully to the

employee's responses.

The tone of the meeting should not be adversarial, but a major purpose of

the interview is to let the employee know that management treats attendance as

a very important component of overall work performance. Keep your comments

non-threatening and work-oriented. Stick to the facts (i.e. patters, profiles, rates

etc.). The employee should be given a copy of there attendance report with

absences highlighted for discussion.

This interview will give you the opportunity to explore in depth with the

employee the reasons for his or her absence. Gather facts - do not make any

assumptions. Provide support and counselling and offer guidance as the

occasion demands to assist the employee to deal with the specific cause of the

absence.

Often, after the initial meeting employees reduce their absenteeism. The

meeting shows that you are concerned and that absenteeism is taken seriously.

The employee's attendance should be closely monitored until it has been

reduced to acceptable levels. Appropriate counselling should take place as is

thought necessary. If a marked improvement has been shown, commend the

employee. The meeting should be documented and a copy placed in the

employee's file.

Proof of Illness

Sometimes it is helpful in counseling employees with excessive innocent

or culpable absenteeism to inquire or verify the nature and reasons of their

absence.

38

The extent to which an employer may inquire into the nature of and

reasons for an employee's absence from the workplace is a delicate issue. The

concepts of an employee's privacy and an employer's need for information

affecting the workplace often come into conflict. Seldom is the conflict more

difficult to resolve than where personal medical information is involved.

Unions will often strongly object to any efforts by management to inquire

more deeply into the nature of an employee's illness. You will need to consider

the restraints of any language in collective agreements in relation to this issue.

Generally speaking, however, the following "rules of thumb" can be derived

from the existing jurisprudence:

1. There is a prevailing right to privacy on the part of an employee unless the

employer can demonstrate that its legitimate business interests

necessitate some intrusion into the employee's personal affairs.

2. When such intrusion is justified it should be strictly limited to the degree of

intrusion necessitated by the employer's interests.

3. An employee has a duty to notify his employer of an intended absence,

the cause of the absence and its expected duration. This information is

required by the employer to meet its legitimate concerns to have at its

disposal facts which will enable it to schedule work and organize its

operation.

4. An absent employee has an obligation to provide his employer with

information regarding any change to his condition or circumstances

relating to it which may affect the employer's needs as described in item

#3 above. As such, the interest of the employer in having this information

outweighs the individual employee's right to privacy.

5. An employer rule requiring proof for every absence is unreasonable if an

absenteeism problem does not exist.

39

6. A mere assertion by the person claiming to be sick is not satisfactory

proof.

7. The obligation to prove sickness, where the employer requires proof, rests

with the employee.

8. An employer is entitled upon reasonable and probable grounds to refuse

to accept a physician's certificate until it contains sufficient information to

satisfy the employer's reservations. (i.e. seen by physician, some

indication of return to work, etc.). Non-production of a required medical

certificate could result in loss of pay until the certificate is produced.

9. Where a medical certificate is rejected by an employer (as in #8 above)

the employer must state the grounds for rejection and must point out to

the employee what it requires to satisfy the onus of proof.

10.An employer may require an employee to prove fitness for work where it

has reasonable grounds to do so. In a health care setting the nature of the

employer's business gives it a reasonably irresistible interest in this

personal information for the purpose of assessing fitness.

11.Where any unusual circumstances raise reasonable suspicion that an

employee might have committed an abuse of an income protection

program an employer may require an employee to explain such

circumstances. For example, an employer may require responses as to

whether the illness confined an employee to his/her bed or home; whether

an employee engaged in any outside activity and the reasons for the

activity.

In summary then, any intrusion into the employee's privacy must be shown

to be reasonable, based on the individual circumstances and in relation to the

operation of the employer's business. If income protection abuse is suspected

the extent to which such intrusion is "reasonable" would be far greater than in the

case where it is not. If you are not clear on whether an inquiry is legally justified it

is advisable to consult your superior.

40

After the Initial Interview

If after the initial interview, enough time and counseling efforts, as

appropriate, have passed and the employee's absenteeism has not improved, it

may be necessary to take further action. Further action must be handled with

extreme caution - a mistake in approach, timing or severity can be crippling from

both an administration and labour relation's point of view.

Determining whether counseling or disciplinary action is appropriate,

depends on whether the employee's absences are innocent or culpable. If the

employee's absenteeism is made up of both innocent and culpable absences,

then each type must be dealt with as a separate issue. In a labour relation's

context innocent absenteeism and culpable absenteeism are mutually exclusive.

One in no way affects the other.

Counseling Innocent Absenteeism

Innocent absenteeism is not blameworthy and therefore disciplinary action

is not justified. It is obviously unfair to punish someone for conduct which is

beyond his/her control. Absenteeism, no matter what the cause, imposes losses

on the employer who is also not at fault. The damage suffered by the employer

must be weighed against the employee's right to be sick. There is a point at

which the employer's right to expect the employee to attend regularly and fulfill

the employment contract will outweigh the employee's right to be sick. At such a

point the termination of the employee may be justified, as will be discussed.

The procedure an employer may take for innocent absenteeism is as follows:

1. Initial counseling(s)

41

2. Written counseling(s)

3. Reduction(s) of hours and/or job reclassification

4. Discharge

Initial Counseling

Presuming you have communicated attendance expectations generally

and have already identified an employee as a problem, you will have met with

him or her as part of your attendance program and you should now continue to

monitor the effect of these efforts on his or her attendance.

If the absences are intermittent, meet with the employee each time he/she

returns to work. If absence is prolonged, keep in touch with the employee

regularly and stay updated on the status of his/her condition. (Indicate your

willingness to assist.)

You may require the employee to provide you with regular medical

assessments. This will enable you to judge whether or not there is any likelihood

of the employee providing regular attendance in future. Regular medical

assessments will also give you an idea of what steps the employee is taking to

seek medical or other assistance. Formal meetings in which verbal warnings are

given should be given as appropriate and documented. If no improvement occurs

written warning may be necessary.

Written Counseling

If the absences persist, you should meet with the employee formally and

provide him/her with a letter of concern. If the absenteeism still continues to

persist then the employee should be given a second letter of concern during

another formal meeting. This letter would be stronger worded in that it would

42

warn the employee that unless attendance improves, termination may be

necessary.

Reduction(s) of hours and or job reclassification

In between the first and second letters the employee may be given the

option to reduce his/her hours to better fit his/her personal circumstances. This

option must be voluntarily accepted by the employee and cannot be offered as

an ultimatum, as a reduction in hours is a reduction in pay and therefore can be

looked upon as discipline.

If the nature of the illness or injury is such that the employee is unable to

fulfill the requirements of his/her job, but could for example benefit from modified

work, counsel the employee to bid on jobs of such type if they become available.

(N.B. It is inadvisable to "build" a job around an employee's incapacitates

particularly in a unionized environment. The onus should be on the employee to

apply for an existing position within his/her capabilities.)

Discharge

Only when all the previously noted needs and conditions have been met and

everything has been done to accommodate the employee can termination be

considered. An Arbitrator would consider the following in ruling on an innocent

absenteeism dismissal case.

1. Has the employee done everything possible to regain their health and

return to work?

2. Has the employer provided all assistance possible? (i.e. counseling,

support, time off.)

43

3. Has the employer informed the employee of the unworkable situation

resulting from their sickness?

4. Has the employer attempted to accommodate the employee by offering a

more suitable position (if available) or a reduction of hours?

5. Has enough time elapsed to allow for every possible chance of recovery?

6. Has the employer treated the employee prejudicially in any way?

As is evident, a great deal of time and effort must elapse before dismissal can

take place.

These points would be used to substantiate or disprove the following two fold

test.

1. The absences must be shown to be clearly excessive.

2. It must be proven that the employee will be unable to attend work on a

regular basis in the future.

5.3 Corrective Action for Culpable Absenteeism

As already indicated, culpable absenteeism consists of absences where it

can be demonstrated that the employee is not actually ill and is able to improve

his/her attendance.

Presuming you have communicated attendance expectations generally,

have identified the employee as a problem, have met with him/her as part of your

attendance program, made your concerns on his specific absenteeism known

and have offered counseling as appropriate, with no improvement despite your

positive efforts, disciplinary procedures may be appropriate.

44

The procedures for corrective/progressive discipline for culpable absenteeism

are generally the same as for other progressive discipline problems. The

discipline should not be prejudicial in any way. The general procedure is as

follows: [Utilizing counseling memorandum]

1. Initial Warning(s)

2. Written Warning(s)

3. Suspension(s)

4. Discharge

Verbal Warning

Formally meet with the employee and explain that income protection is to

be used only when an employee is legitimately ill. Advice the employee that

his/her attendance record must improve and be maintained at an improved level

or further disciplinary action will result. Offer any counseling or guidance as is

appropriate. Give further verbal warnings as required. Review the employee's

income protection records at regular intervals. Where a marked improvement has

been shown, commend the employee. Where there is no improvement a written

warning should be issued.

Written Warning

Interview the employee again. Show him/her the statistics and point out

that there has been no noticeable (or sufficient) improvement. Listen to the

employee to see if there is a valid reason and offer any assistance you can. If no

satisfactory explanation is given, advise the employee that he/she will be given a

written warning. Be specific in your discussion with him/her and in the counseling

memorandum as to the type of action to be taken and when it will be taken if the

45

record does not improve. As soon as possible after this meeting provide the

employee personally with the written warning and place a copy of his/her file. The

written warning should identify any noticeable pattern

If the amount and/or pattern continue, the next step in progressive

discipline may be a second, stronger written warning. Your decision to provide a

second written warning as an alternative to proceeding to a higher level of

discipline (i.e. suspension) will depend on a number of factors. Such factors are,

the severity of the problem, the credibility of the employee's explanations, the

employee's general work performance and length of service.

Suspension (only after consultation with the appropriate superiors)

If the problem of culpable absenteeism persists, following the next interview

period and immediately following an absence, the employee should be

interviewed and advised that he/she is to be suspended. The length of the

suspension will depend again on the severity of the problem, the credibility of the

employee's explanation, the employee's general work performance and length of

service. Subsequent suspensions are optional depending on the above condition.

Dismissal (only after consultation with the appropriate superiors)

Dismissals should only be considered when all of the above conditions and

procedures have been met. The employee, upon displaying no satisfactory

improvement, would be dismissed on the grounds of his/her unwillingness to

correct his/her absence record.

46

DATA ANALYSIS AND INTERPRETATION

This chapter is devoted to in-depth study and analysis of primary data

collected from the employees of the various departments of the company.

Responses received from respondents in respect of each question of the

questionnaire have been tabulated, analyzed below to arrive at an interpretation.

Out of 200 employees to whom the questionnaire was given, 128 have

responded and submitted the questionnaire duly filled-up.

Response Data

The sample size is of 200 and out of these 128 has responded and 72

people have either ignored to respond or have not given the required information.

Sample Size Responses Percentage of

response

200 128 64

48

QUESTION NO. 01

Respondent’s Working Place.

Table 6.01 Question Number 01

Scales Number of

Respondents

Percentage

HR 23 17.97

Marketing 42 32.82

Finance 08 6.25

Working class 55 42.96

49

Interpretation

Majority of the sample employees were engaged in either Working class

(43%) or Marketing (33%) activities. Employees from the Finance division

comprised only 6% of the total respondents.

QUESTION NO. 02

Marital Status


Scales Number of

Respondents

Percentage

Married 40 31.25

Unmarried 88 68.75

Division-wise Respondents

23

42

8

55

0

10

20

30

40

50

60

HR Mkt Fin Wc

Divisons

Re

spo

nd

en

ts

50

Marrital Status

40

88

Married

Unmarried

Interpretation

The present study shows that about two third of the employees are

unmarried in the organization.

The result shows that majority of the employees are free from family

responsibilities and hence can contribute more time at workplace.

QUESTION NO. 03

Employee’s Age Group


Scales Number of

Respondents

Percentage

Above 25 years 38 29.68

25-40 years 65 50.78

More than 40 years 25 19.54

51

Interpretation

The study revealed that more than 50% of the sample employees were

from age group 25-40 years. More than 40 years old were as low as 19%.

The result found that Paras Pharmaceuticals is a young organization with

dynamic workforce.

QUESTION NO. 04

Leave Procedure


Scales Number of

Respondents

Percentage

Yes 77 60.15

No 51 39.85

52

Age Group

38

65

25

Above 25

25-40 yrs

> 40 yrs

Simplifies Procedure

77

51Yes

No

Interpretation

Seventy Seven (60.15%) out of 128 employees selected for the present

study in Paras agree that the existing procedure for availing leave by the

employees is quite simplified. However, 40% of the respondents feel that the

procedure need to be further simplified.

The results of the study demand that the company need to further simplify its

Procedure for leave.

QUESTION NO. 05

Problems while processing leave applications


Scales Number of

Respondents

Percentage

Yes 58 45.32

No 70 54.68

53

Interpretation

The study found that majority (55%) of the sample employees does not

face any problem while processing their leave applications. 45% however, feel a

need for improvements.

QUESTION NO. 06

Employee’s Leave Entitlement


Scales Number of

Respondents

Percentage

Yes 54 42.18

No 74 57.82

54

Interpretation

Majority of the sample employees are of the view that present leave

entitlement in a year is not sufficient to meet their requirements.

During the present study, it was found that leave entitlements of the

employees was fixed more than five years back. Therefore, it need a review.

QUESTION NO. 07

Reasons for Taking Leave


Scales Number of

Respondents

Percentage

Professional Stress 43 33.59

Personal or family sickness 39 30.47

Social Cause 15 11.72

55

Further studies 31 24.22

Interpretation

The study has revealed that major reason for taking leave by the

employees has been the professional stress (34%) while personal or family

sickness is equally consuming their leave stocks. Further, the present study

found that up-gradation of knowledge also need leaves.

The company needs to take necessary measures to reduce mental stress.

As up-gradation of knowledge by the employees will help them to better

perform at workplace and hence benefit is passed on to the company

incentive scheme need to be introduced.

QUESTION NO. 08

Discrimination in Leave Sanction


Scales Number of

Respondents

Percentage

Yes 51 39.84

No 77 60.16

56

Interpretation

It was found that seventy seven (60%) of the total 128 sample employees

strongly believe that there is discrimination in leave sanction by superiors.

The results suggest that the company need to device a procedure to minimize

discrimination. Faith of employees with their superiors is must for a healthy

work environment.

QUESTION NO. 09

Motivational Leave Culture


Scales Number of

Respondents

Percentage

Yes 93 72.66

No 35 27.34

57

Interpretation

Most of the sample employees consider that a motivational leave culture

exists in the company.

The study has also found that majority of the employees are taking leave due

to reason of professional stress. Therefore, a minimum leave must be availed

by all the employees for

a balanced performance.

QUESTION NO. 10

Sharing of Personal Problems with Superiors


Scales Number of

Respondents

Percentage

Yes 39 30.47

No 89 69.53

58

Interpretation

The study has indicated that 89 of the total 128 respondents (69.5%) do

not share their problems with the superiors. Only 30.4% like to share them with

others.

Finding of the study indicate that the relation between subordinates and

superiors need to be improved for better productivity in the working.

QUESTION NO. 11

Working Conditions


Scales Number of

Respondents

Percentage

Yes 93 72.66

No 35 27.34

59

Interpretation

Study found that most of the employees in the organization are happy with

the working conditions at workplace.

This result shows a healthy sign which need to be continued by the company

for a better productivity.

QUESTION NO. 12

Relation with Immediate Boss


Scales Number of

Respondents

Percentage

Good 116 90.63

Bad 12 9.37

60

Interpretation

Almost all the sample employees (90.6%) have good relations with their

bosses.

This result supports previous results of the study in regards to a good working

environment in the company.

QUESTION NO. 13

Medical & Transport Facilities


Scales Number of

Respondents

Percentage

Yes 85 66.41

No 43 33.59

61

Interpretation

The study has further revealed that one third of the respondent employees

feels that sufficient medical and transport facilities are being provided by the

company to them.

A better medical and transport facility inspire the employees to come to work

even in hard days which reduce absenteeism to a large extent.

QUESTION NO. 14

Prior permission before proceeding on Leave


Scales Number of

Respondents

Percentage

Yes 83 64.84

No 45 35.16

62

Interpretation

The present study has recorded that most of the employees in the

organization proceed on leave with prior permission from their bosses.

The result indicate that the bosses i.e. management of the company is in a

better position for a planned working to generate better results due to

employees not going on leave without knowledge of their bosses.

QUESTION NO. 15

Distance from Residence to Workplace


Scales Number of

Respondents

Percentage

00 – 05 kms 15 11.72

05 – 10 Kms 70 54.68

10-15 kms 31 24.22

Above 15 Kms 12 9.38

63

Interpretation

The present study has further revealed that more than half of the

employees are staying at a reasonably short distance of 05-10 kms. Only 12 out

of 128 respondents (9%) commute daily from places more than 15 kms distance

from workplace.

Short travels always help an employee to be record less absenteeism.

Correlation between Q. 5 and Q.1

(Correlation between Problems while processing of Leave Applications &

Functional Division)

Crosstab

Q5

TotalYES

NO

Q1HR

Count 7 16 23

% within Q5 12.1% 22.9% 18.0%

Marketing Count 15 27 42

64

% within Q5 25.9% 38.6% 32.8%

FinanceCount 5 3 8

% within Q5 8.6% 4.3% 6.3%

Working classs

Count 31 24 55

% within Q5 53.4% 34.3% 43.0%

Total Count 58 70 128

% within Q5 100.0% 100.0% 100.0%

Finding

With the correlation between Problems while processing of Leave

Applications & Functional Division the result shows that 58 employees face

problem and 70 do not. The Chi–square test is applied and it is more than 0.05

so, it shows that different departments have difficulty in availing leave.

The employees need to be provided regular break intervals while working



Age Group)

Cross tab

SQ5

TotalYES

NO

Q3Above 25 YRS

Count 19 19 38

% within Q5 32.8% 27.1% 29.7%

25-40 YRS Count 30 36 66

% within Q5 51.7% 51.4% 51.6%

65

More Than 40 YRSCount 9 15 24

% within Q5 15.5% 21.4% 18.8%

TotalCount 58 70 128

% within Q5 100.0% 100.0% 100.0%

Findings

With the correlation between Age group of employees with the Problems

while processing of Leave Applications the result shows that 58 employees face

problems while 70 number employees do not report facing any problem. The

Chi–square test is applied and level of significance is 0.629 which is more than

0.05 and therefore, it shows that different age group employees have difficulty in

availing leave. However, lower age group employees of less than 25 years have

more difficulty than the others and those in the age group of more than 40 years

have minimum difficulty.



Reasons for Taking Leave)

Cross tab

Q5

TotalYES

NO

Q7PROFESSIONAL STRESS

Count 21 23 44

% within Q5 36.2% 32.9% 34.4%

PERSONAL OR F SICKNESS Count 20 19 39

66

% within Q5 34.5% 27.1% 30.5%

SOCIAL CAUSECount 7 8 15

% within Q5 12.1% 11.4% 11.7%

FURTHER STUDIESCount 10 20 30

% within Q5 17.2% 28.6% 23.4%


% within Q5 100.0% 100.0% 100.0%

Findings

With the correlation between the Problems while processing of Leave

Applications with the reasons for taking leaves by the employees the result

shows that 36.2% and 34,5% employees face problems due to professional

stress and sickness respectively The Chi–square test is applied and level of

significance is 0.491 which is more than 0.05 and therefore, it shows that the

employees found difficulty in availing leaves for different reasons.



Working Conditions)

Cross tab

Q5Total

YES NO

Q11YES

Count 47 46 93

% within Q5 81.0% 65.7% 72.7%

NO Count 11 24 35

67

% within Q5 19.0% 34.3% 27.3%


% within Q5 100.0% 100.0% 100.0%

Findings

With the correlation between the Working Conditions at the work place

with the Problems while processing of Leave Applications the result shows that

81% employees face problems due to working conditions. The Chi–square test is

applied and level of significance is 0.05 which is more than 0.05 and therefore, it

shows that the employees do not found difficulty in availing leaves due to working

conditions at work place.



Distance from Residence to Workplace)

Cross tab

Q5

TotalYES

NO

Q150 - 5 km

Count 5 10 15

% within Q5 8.6% 14.3% 11.7%

5 -10 kmCount 33 37 70

% within Q5 56.9% 52.9% 54.7%

10-15 km Count 16 15 31

68

% within Q5 27.6% 21.4% 24.2%

Above 15 kmCount 4 8 12

% within Q5 6.9% 11.4% 9.4%


% within Q5 100.0% 100.0% 100.0%

Findings

The correlation results show that 56.9% employees face problems due to

distance of 05-10 kms from their residence to the workplace. The Chi–square

test is applied and level of significance is 0.541 which is more than 0.05 and

therefore, it shows that the employees found difficulty in availing leaves due to

the distance factor.


(Medical & transport Facilities and Distance from Residence to Workplace)

Cross tabulation

Q15

TotalUPTO 5 km 5.1-10 km 10.1-15 km

>15 km

Q13

YESCount 12 44 20 8 84

% within Q15 60.0% 62.9% 64.5% 66.7% 65.6%

NOCount 3 26 11 4 44

% within Q15 20.0% 37.1% 35.5% 33.3% 34.4%

TotalCount 15 70 31 12 128

% within Q15 100.0% 100.0% 100.0% 100.0% 100.0%

69

Findings

The correlation between the Transport and Medical facilities with the

distance of residence of an employee to the workplace was established. In

maximum cases (66.7%) the Transport & Medical facilities have relation with the

distance. More the distance there will be higher requirement for a transport

facility. The Chi–square test is applied and level of significance is 0.652 which is

more than 0.05 and therefore, it shows that the employees staying at far

distances found more need for a better transport and medical facility.

70

7.0 CONCLUSIONS AND RECOMMENDATIONS

Based on the findings of the present study by critically examining the

effectiveness of various systems including that for processing leave applications

prevailing in the company to reduce absenteeism in the organization using

primary data as well as informal discussions with experts in HRM from industry,

conclusions were drawn and the following recommendations are made:

1. The present study shows that about two third of the employees are

unmarried in the organization. The result shows that majority of the

employees are free from family responsibilities and hence can contribute

more time at workplace. The company may introduce a motivational

scheme for more working hours and availing less leaves.

71

2. The study revealed that more than 50% of the sample employees were

from age group 25-40 years. More than 40 years old were as low as 19%.

The result found that Paras Pharmasuticals is a young organization with

dynamic workforce who invest their energy in the company. The company

needs to take measures for better utilization of energy of young workforce.

3. Seventy Seven (60.15%) out of 128 employees selected for the present

study in Paras agree that the existing procedure for availing leave by the

employees is quite simplified. However, 40% of the respondents feel that

the procedure need to be further simplified. The results of the study

demand that the company need to further simplify its Procedure for leave.

4. Majority of the sample employees are of the view that present leave

entitlement in a year is not sufficient to meet their requirements. During

the present study, it was found that leave entitlements of the employees

was fixed more than five years back. Therefore, it needs a review.

5. The study has revealed that major reason for taking leave by the

employees has been the professional stress (34%) while personal or

family sickness is equally consuming their leave stocks. Further, the

present study found that up-gradation of knowledge also need leaves.

The company needs to take necessary measures to reduce mental

stress.

As up-gradation of knowledge by the employees will help them to

better perform at workplace and hence benefit is passed on to the

company incentive scheme need to be introduced.

6. It was found that seventy seven (60%) of the total 128 sample employees

strongly believe that there is discrimination in leave sanction by superiors.

72

The company need to device a procedure to minimize discrimination. Faith

of employees with their superiors is must for a healthy work environment.

7. The study has indicated that 89 of the total 128 respondents (69.5%) do

not share their problems with the superiors. Only 30.4% like to share them

with others. Finding of the study indicate that the relation between

subordinates and superiors need to be improved for better productivity in

the working. There can be more family get together organized by the

company.

8. Study found that most of the employees in the organization are happy with

the working conditions at workplace. This result shows a healthy sign

which need to be continued by the company for a better productivity.

9. The study has further revealed that one third of the respondent employees

feels that sufficient medical and transport facilities are being provided by

the company to them. A better medical and transport facility inspire the

employees to come to work even in hard days which reduce absenteeism

to a large extent.

10.The present study has recorded that most of the employees in the

organization proceed on leave with prior permission from their bosses.

The result indicate that the bosses i.e. management of the company is in a

better position for a planned working to generate better results due to

employees not going on leave without knowledge of their bosses.

11.Company should work for encouragement and motivation of employees

through dedicated or augmented training programmes for time

management and other behavioural activities. Superior should play their

part in making employees feel that their contribution to the working group

73

and to the objectives of the firm is really valued. Employees recognition

can reinforce appropriate attendance behaviour. Lack of concern or

inattention can give rise to increased rates of leave taking.

12.Rewards, penalties or incentives have an important role in absence

management and the creation of the attendance culture. Such devices can

vary from unambiguous rewards such as financial gain, through to clear

penalties such as dismissal or even prosecution for fraud. There is a

tendency to underestimate the importance of acknowledgement and public

recognition as a form of reward and the use of relative disincentives

including requirements to account for leave and provide direct information

to superior of leave taken.

13.Grievances procedures have an important role in addressing workplace

conflict. Workplace grievances appear to have a direct association with

increased absenteeism particularly in the short term. Such grievances

may generate sufficiently felt inquiry to concurrently generate grievance

action and withdrawal in the form of absenteeism. Developing procedures

to deal with disputes including consultative and participating mechanisms

may intercede in this process. Opportunities should be developed to

provide effective occupational health and safety committees or

consultative committees with sufficient training and commitment to create

open channels of communication.

74

8 BIBLIOGRAPHY

Rick D. Hackett (1990), “Age, Tenure, and Employee Absenteeism”, McMaster

University, Human Relations, Vol. 43, No. 7.

Kothari, C.R. (1993), “Research Methodology”, Wiley Eastern Limited, New

Delhi.

Somers, M. (1995), “A test of the relationship between affective and continuance

76

commitment using non-recursive models”, Journal of Occupational Psychology,

No. 66, 185-192.

Sagie, A. (1998), “Employee Absenteeism, Organizational Commitment, and Job

Satisfaction: Another Look”’, Journal of Vocational Behaviour, Vol. 52, No. 2.

Easton, Fred F. and John C. Goodale (2002), “Labor scheduling with employee

turnover and absenteeism”, Working paper, Syracuse University.

Diane R. Skåtun, and John D.S. (2004), “The Impact of Turnout on Turning Up:

the Complementarity of Attendance among Co-Workers”.

Gupta, Shashi K., and Joshi Rosy (2004),“Human Resource Management”,

Kalyani Publishers, New Delhi.

Jinhee Kim, Benoit Sorhaindo, and E. Thomas Garman (2006) “Relationship

between Financial Stress and Workplace Absenteeism of Credit Counseling

Clients”.

Mohanty, Girishbala (2007), “Industrial Psychology and Organizational

Behaviours”, First Edition, Reprinted 2007, Kalyani Publishers, New Delhi.

Paras Pharmasuticals, “Balance Sheet of the Year 2006-07”, Paras

Pharmasuticals Limited, Mohali.

“www.Parasbpo.com”, Website of Paras Pharmasuticals Limited.

77

http://www.hfclconnect.com/

Annexure – ‘I’

9. Questionnaire for the Employees of Paras Pharmaceuticals to Assess Employee Absenteeism in the Company

Note:

1. The study is purely for the academic purpose and the findings will not be used for any other purpose. You may kindly give your frank views.

2. Please Tick mark the most appropriate answer.

Questions

79

1. In which division are you working?

1) HR 3) Finance 2) Marketing 4) Working class

2 What is your marital status?1) Married 2) Unmarried

3. What is your age group? 1) Above 25 3) More than 40 2) 25-40

4 Is the procedure simplified for availing leave? 1) Yes 2) No

5. Have you ever faced any problem while processing your leave applications?1) Yes 2) No

6. Do you think that the leave entitlement is sufficient to meet your general requirements in a year? 1) Yes 2) No

7. Due to which of the following reasons you take maximum leave?1) Professional Stress 3) Social Cause 2) Personal or family 4) Further studies sickness

8 Have you ever found any discrimination in leave sanction?.1) Yes 2) No

9. Does any motivational leave culture exists in your organization? 1) Yes 2) No

10.Do you share your personal problems with your superiors in the organization? 1) Yes 2) No

11.Are you satisfied with the working conditions? 1) Yes 2) No

12.How is your relation with your immediate boss?1) Good 2) Bad

13.Are you satisfied with the medical & transport facilities?

80

1) Yes 2) No

14.Do you normally take prior permission from your boss before proceeding on leave? 1) Yes 2) No

15.How much is the distance you travel from residence to workplace?1) 00 – 05 kms 3) 10-15 kms 2) 05 – 10 Kms. 4) above 15 Kms

___________________________________________________________________________Name of Employee (Optional)_________________________________________Designation (Optional)______________________________________________Signature (Optional) ________________________________________________

81

Project Report

Documents

Transcript of Project Report