A project reprot on awareness of labour laws at gokak mills

AWARENESS OF LABOUR LAWS AT GOKAK MILLS

TABLE OF CONTENTS

Sr. Index Page no
no
1 Executive summary 1-1

2 Company profile 2-27

3 Conceptual study 28-40

4 Research methodology 41-43

5 Statistical analysis and interpretation 44-69

6 Findings 70-71

7 Suggestions 72-73

8 Conclusion 74-75

9 Bibliography 76-77

10 Annexure 78-81

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EXECUTIVE SUMMARY

It matter of great honor and pride to under take my course in such an
estimated organization, Gokak Textiles LTD (Gokak Mills Division) Gokak. It was my
privilege to do the study on “Awareness of labour laws at Gokak textiles ltd.

Gokak textiles ltd is one of the reputed organization and is the second
largest employment provides in India next to agriculture. It is an ISO 9000 Certified
Company in the year 1994 & ISO 14001Certified Company in the year 2000 for no. 7
Mill.

Main purpose of the study is to study the existing labour laws, voluntary
benefits providing by the organization and satisfaction rate of the workers to the existing
laws. The purpose of study is to find the awareness of labour laws among the workers.

Both primary and secondary data has been used in order to achieve the
objectives. Primary data is collected through questionnaire and personal interaction.
Secondary data colleted through books and company manual.

Findings from the survey is: Most of the workers are satisfied with clanliness,
lightings, drinking water, canteen facility, safety precaution, first aid, gratuity, ESI and
PF benefits provided by the organization.

Suggestions: The company should arrange for session on labour laws so that it
makes them all the employees aware of it and the company should make the
employees aware of calculation of PF, gratuity and it should also tell the workers how
they are benefited from it.

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COMPANY PROFILE

INTRODUCTION

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Indian cotton textile acquires a key and important position in the economy
of our country because of its contribution to the industrial output employment generation
& foreign exchange earning. At present, the contribution of the textile industry to GDP is
about 4%. The textile industry provides direct employment to about more than 30million
people & is the second largest employment provides in India next to agriculture.
It has good labour strength & adopted very modern technology. The
industry apart from being one of the agro based industries is also labour intensive &
produces one of the most important day to day customer items essential for the people.
Cotton is main raw material use for production of yarn and cloth. When the mill feels
lack of cotton by local areas it imports the cotton from Australia & South Africa. The
textile industry is a self reliant industry from the production of raw materials to the
delivery of final products with considerable value addition at each stage of processing.
It is an ISO 9000 Certified Company in the year 1994 & ISO 14001Certified
Company in the year 2000 for no. 7 Mill & this Certification is being issued for the first
textile unit in the south of Vindhya.

LOCATION
Gokak Mills, is situated in the foothills of Sahyadri Hills on the bank of
River Ghataprabha, 70kms from “Belgaum city” and 6km away from “Gokak town” and
near to Ghataprabha & Gokak Road railway station on the Bangalore-Miraj broad gauge
south central line. The height of the waterfalls is about 170ft. It is believed that Gokak
Falls resembles that of Niagara in the general features of fall and its height. There is a
hanging bridge across the river measuring about 210mts long and height above bed is
14mts. “The beauty of the area is beyond expression”.

HISTORY

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A Gokak mill was registered in the year 1885 by Ritche Stewart Ltd, under
the name of Gokak water power and manufacturing company Ltd (GWPCL). On the 5 th
October 1887 the first power house of the country was commissioned and with the help
of 250 HP of mechanical power generated by pelton wheel, which was transmitted to the
spinning mills run by Gokak waterpower and manufacturing company ltd. The
extraordinary length of the line of transmission and speed attained by the huge pulley
wheels were said to surpass only thing as the kind in the world.646.42 hectors is the total
land location of the mill dividing area including village afforestation and area listed in the
total property.
In the year 1887 1 st mill was started with 6000 spindles and in the year 1890
spindles were increased to 29525. In the year 1913 1 st time in Asia started Hydro power
generation by using turbine.
In the year 1919 the company was registered in India as “Gokak Mills Ltd”
then it becomes a rupee company. Ritche Stewart and company limited, united with M/s.
Forbes and company to becomes Forbes Campbell of $ 100000. The company started
with 3 turbines of 250 HP each.
In the year 1924 a waste processing unit was started. In the year 1973 Gokak
Mill merged with Gokak Volkart Ltd, and the Gokak Mill became division of this
company.
In the year 1992 Gokak Volkart merged with Forbes Campbell Ltd, and the
new company named as Forbes Gokak Ltd.
In the year 2007, Gokak Mills came out and made a separate textiles
company as Gokak Textiles Ltd consisting of Gokak Mills, Campbell knitwear and pt
Gokak, Indonesia.

COMPANY PROFILE

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Company Name : Gokak Textiles Ltd.
(A Gokak Mills Division)

Address : Gokak Mills
Gokak – Falls 591308(Belgaum).
Ph: 08332-225004, 225154.
Fax no: 08332- 225354.

Year Establishment : 1887

Products : Cotton and Blended yarn
Grey Cotton and Blended fabric
Dyed yarn
Terry towel

Installed capacity : 90tones of yarns per day

Nature : Textile Business

No. of Spindles : DTA - 89208
7th Mill - 25200

Number of Employees : 4265(As on 30/7/2008)

Capacity of power Generation : Hydro - 6.3 MW
Diesel - 5.6 MW
H.F.O - 6.2 MW

Corporate office :(i) Gopalkrishna Comlpex,
Residency Road,
Bangalore.560 025
Tel.No 91-80-25588079
Fax No 91-80-41232267.

:(ii) Chandivali Estate,
Saki Powai Road, Chandivali,
Andheri (E) Mumbai.-400 072
Tel.No.91-22-28471861/28471864.
Fax No.91-22-28575904.

BOARD OF DIRECTORS

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Mr. Shapoorji Pallonji Mistry-Chairman
Mr. Pallonji Shapoorji Mistry
Mr. Cyrus Pallonji Mistry
Mr. Ashok Debabrata Barat
Mr. Govind Dasu Prasad
Mr. H.S.Bhasker-Executive Director & CEO
Mr. Chandrakanth Girdharalal Shah
Mr. Hoshang shavaksha Billmoria
Mr. Ram Goyal

LAND DETAILS

SI ITEMS Area in Ha
NO
1 Total factory land in Gokak 127.00
2 Undeveloped land
A) Konnur 214.34
B) Gokak 311.35
3 Developed land 315.02
Total area 968

WORKING HOUR

SHIFT HOURS
I Shift 1.00am to 8.00am
II shift 8.00am to 4.30pm
III shift 4.30pm to 1.00am

COMPANY’S GOAL
1. Leadership in quality.
2. Satisfied customer.
3. Consistent growth.

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4. Reasonable profit.
5. Happy community

KEY MESSAGES OF GOKAK MILLS
1. Result Oriented
2. Quick Response
3. Continuous improvement
4. Team wok
5. Development of skills
6. Respected works
7. Display ability develops self-confidence

MISSION
“WE are dedicated to provide quality product and services .we will continue to
develop quality to suit specific customer needs in line with changes in demand .Being a
leading exporter, we will consolidate and enlarge manufacturing facility to meet
customer’s quality standards at reasonable prices”.

VISION
1. Customers delight through quality products and services.
2. Sustain and continuously enhance all stakeholders’ interest.
3. Create working environment to make all employees produces as a member of team.
4. Creation of clean and healthy environment.

KEY BUSINESS FACTORS OF GOKAK MILLS
1. Highly competitive, wide spread market.
2. Continuous changes in customers needs, which is fashion led.
3. Labour oriented hence high Labour force.
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4. Too many controls by Government and trade.
5. High variable raw materials with fluctuations in price.
6. Appropriate technology to meet global competition.

MILLS ACCTIVITIES

MILL NO. AREA OF ACTIVITY

I Spinning---100% Cotton Carded and Combed
II Spinning and doubling --- Cotton blends Carded and Combed
III Open end spinning, reeling and waste recovery units
IV Spinning, doubling and weaving --- Cotton and blends
V Yarn mercerizing and dyeing
VI Weaving--- Terry towels and Canvas
VII Spinning--- 100% Cotton Carded and Combed EOU

MAN POWER: - as on 31/05/2008
Manager 24
Supervisors 174
Clerks 48
Permanent workers 1955
Badli workers 2064
Multi skill trainee Nil
ITI trainee Nil
Total 4265

QUALITY POLICY
We strive for achieving complete customer satisfaction by supplying quality products
and services by exceeding customer requirements. We are committed to continual
improvement in product quality and services based on customer feed back.

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BUSINESS POLICY
Gokak Mills will strive to improve quality and skill to world standard. We will
manufacture products of consistent quality and price viable to our customers .We will
specialize in certain products for certain selected customers .We will adopt a policy of
continuous learning and improvement to retain our premier status. Exports will receive
priority.

ENVIRONMENTAL POLICY
Gokak Mill No 7(EOU) is engaged in manufacturing of cotton yarns Combed and Carded
is Committed to
• Comply with relevant Legislative, Regulatory and other requirements applicable
to its activities and its products.
• Prevention of pollution by following good management practices, minimizing and
reuse of solid waste wherever possible and conserve natural resources and Bio-
diversity by planting more trees within the mills premises and surroundings areas
by providing saplings.
• Continual improvement in its environmental performance by periodically
reviewing its objectives and targets.
The above policy is well implemented and communicated to all the employees. The copy
of the policy will be made available to the regulatory authorities and public on request.

ENERGY CONSERVATION POLICY
“We commit to save energy by means of systematic and scientific approach
in identifying real opportunities which are economically viable. Ultimate objective is to
reduce cost/ unit of production and also save Fuel, Water and Compressed Air”.

HEALTH AND SAFETY POLICY

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It is the policy of company which that its activities should be conducted so to
ensure that health and safety of its employees as well as other persons, in the factory
premises to ensure that environment around is not damaged.
The Company attaches as great important to the above objectives as it do its
primary business objectives.
The Company believes that restricted to the Health and Safety in the
manufacturing and allied activities are controllable and it will take all reasonable steps
towards this End. While compiling with all relevant rules and regulations the company
will also provide all necessary inputs by ensuring that:
• The plant installed is designed, maintained and operated in such a way that
it is safe and without risk to health.
• All necessary arrangements are made in the mill to ensure safety and
health of the workers during the use, handling, storage and transport of
articles and substances & disposal of trade waste & effluents out side the
mill premises.
• Adequate arrangements are made for fire fighting emergency exists.
• Workers are properly informed, instructed & trained for the job they
handle. Pre-employment training is given.

SUCCESSIVE FACTORS OF THE COMPANY

1. Product Quality: As required by the customer delivery on time.
2. Productivity: Improvement and real growth.
3. Cost of manufacture: Reduction in cost high realization.

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4. Finance: Economically managed funds and shorter cycle time.
5. Appropriate technology: To have an edge in the market.
6. Customer relation and satisfaction.
7. Supplier performance: Consistency in supply and delivery.
8. Effective support service.
9. Skilled and satisfied employees with empowerment.
10.Community support.

PRODUCT COMPITITORS:

Grey yarn for knitting: EOU like Amit, Indocount, Eurotex, Mahaveer,
Nahara spinning mills.
Grey yarn for weaving: Vardhaman, welspun, Jamshree
Terry towels: Vardhaman, Mahaveer, Arunodaya, Nahar etc.
Dyed yarns: Vardhaman Sundraj.

LIST OF EXPORTING COUNTRIES:
India is one of the leaders in the world cotton market .The main competitors
of India are Pakistan, Italy, Korea, Indonesia , Turkey, Brazil and USA.
1. China 11.Dubai 21.South Africa
2. USA 12.Korea 22.Canada
3. UK 13.Magnolia 23.Israel

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4. Belgium 14.Jordan 24.Lebanon
5. Turkey 15.Nepal 25.New Zealand
6. Egypt 16.Bangladesh 26.Mauritius
7. Saudi Arabia 17.Hong Kong
8. Brazil 18.Japan
9. Colombia 19.Taiwan
10. Argentina 20.Australia

VARIOUS DEPARTMENTS AT GOKAK MILLS LTD. Are:

• Research and development
• Production
• Finance
• Purchase
• Stores
• Engineering
• Chemical processing
• Marketing
• Dispatch
• Project and development
• Information technology
• Human resource development

RESEARCH AND DEVELOPMENT DEPT:
The main activity of this department is monitoring the quality
assurance activities. Its functions start from testing of raw materials to quality approval
of end products. It guides the cotton purchase department to procedure-desired quality of

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raw materials for production of required products by considering the process involved.
Quality testing is done at each stage of manufacturing process and relative reports
prepared. It always keeps in touch with production department. The reports and
documents are prepared here as per the ISO requisitions. Few of them are:-

• Process control studies.
• Testing reports.
• Quality assurance reports.
• Yarn testing reports.

RESEARCH AND DEVELOPMENT OBJECTIVES:
• Monitoring the quality to meet customer needs.
• Preparing guidelines for quality acceptance.
• Designing process control studies to prevent market complaints.
• Compiling data for competitive performance evaluation.
• Compiling statistics to study trends for continuous improvement.

• Conducting studies for reduction of waste and costs.

QUALITY OBJECTIVES
• Revising process control and testing based on market feedback.
• Making internal quality acceptance criteria more rigid.
• Compile market request and study trends.
• Region wise market complaint is analyzed.
• Conduct training program.
• Plan daily activities to cover areas at a period of time.
• Device testing plans to suit product needs.

PRODUCTION DEPARTMENT:
Gokak Mills is involved in manufacturing cotton yarns of both grey and
dyed. Gokak Mill also manufactures a small quantity of terry towel and canvas fabrics.

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As earlier mentioned Gokak Mills is integrated with seven different mills. No. 5 mill is a
Dyeing Plant and is managed separately by chemical processing department.

1. MIXING:-It is first step in production process of No. 4 Mill here various fibers like
cotton and polyesters are mixed together.

2. BLOWROOM:-In the Blow room, Machine, Opens the cotton and cleans them by
passing through various openers and beaters various impurities like seeds bit, stones
leaves etc, are removed here and cleaned and cotton is passed to carding Department.

3. CARDING:-Carding Department is called as “Heart of Spinning” because without
Carding can’t spin good yarn. In this process the materials through five wires point, here
impurities remaining in Cotton and Short immater fibers are removed. The Card produces
a continuous stand of fibers called as “Sliver”.

Comber Department:-
1. Sliver Lap: To Convert carding sliver into lap from which is suitable for Ribbon Lap.
2. Ribbon Lap: Is later fed in the Comber. Here short fibers are extracted along with dust
(if present).

4. DRAWING:-Here work is done as making the sliver uniform and also makes the
fibers parallel to the axis of the Sliver it becomes parallel by improve blending of fibers
by drafting several as slivers to require thickness.

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5. INTER:-Making the sliver in to a bobbin by giving some amount of twist to roving
which will stand in ring frame.

6. SPINNING:-In this process the rove is to get the required liniest density and twist is
given to get the required strength and effect. The yarns are wounded on cops (spindles)
form the section, the cops are sent to post spinning section with the spinning Advice Slip.

7. WINDING: - (Post Spinning Section) In the process bobbin caps are on large cones.
Which are suitable for markets? Yarn are cleaned and sent on large packages uniformly.
The weight of the cones package varies as per customer requirement.

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8. DOUBLING AND TWISTING:-Doubling is the process in which two or more single
yarns are spiraled uniformly with each other by delivering them to get here a pair of roller
and twisting them together, by means of revoking spindle. This is done to get *higher
strength resistances increased, and *reduced careless of yarns and *fancy effect.
The processed cones are sent to packing section with a slip to counts details
advice but cone specification called “Winding details from post spinning.”

9. PACKING:-The cones are passed through ultra-violet rays cabin for checking if any
defects, then they are checked for weight. The approved cones are packed in cartons bags
as on pallets and carton are used for exports and bags for domestic sales.

FINANCE AND ACCOUNTS DEPARTMENT:
This section looks after the allocation of funds for various activities
accounting of the transactions in monitory terms and manage the cash flow. All the major
financial decision is taken at the head office. This department at Gokak maintains
accounts for various transactions and works and costing.

MAJOR ACTIVITIES:

• Cost accounting – Financial Accounting
• Cotton Godown Inventory
• Stores Godown Inventory Management
• Central Excise, Sales Tax, Customs, Insurance, Logistic activities etc.

OBJECTIVES:

• To maintain the clear-cut information of the transaction and maintain the records
and the books of accounts.
• To show records to Government offices.
• To show profit, expense, assets & liabilities details at any time.
• To ensure endurance to accounting principles.

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THE ACCOUNTS MAINTAINED ARE:

• Cotton Purchase Accounts.
• Stores Purchase Accounts.
• Cash or Bank Accounts.
• Scrap Waste Sales Accounts.
• Sales Accounts.
• Different Assets Accounts.

BANKERS:
• Union Bank of India
• State Bank of India
• Punjab National Bank
• Standard Chartered Bank

COSTING SECTION:
The operations of this section are:
• To maintain production records and reports from every mill
• To calculate cost of production
• Maintenance of cost audit reports
• Preparation of monthly / yearly budgets.

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PURCHASE DEPARTMENT:

This section looks after the purchase of required spares, consumables, dyes,
chemicals, etc. This department ensures that right material of right quality and quantity is
available at right time.
• Identification and development of vendor.
• Timely placement of order.
• Follow up of orders for supply.
• Timely payment to suppliers.
• Periodic review of purchase activities

SEVEN DIFFERENT FILES MAINTAINED HERE ARE:

• Spares Material.
• Material Engineering.
• Material Packing.
• Material General.
• Material Miscellaneous.
• Material Dyeing.
• Import.

STORES DEPARTMENT:
Stores Department or Management refers to the management and
control of stores materials and related activities. In other words, it refers to the planning,
storing, issuing and controlling stores inventory. Other than cotton all other materials are

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stored like packing material, capital goods, engineering inputs, machinery spare parts,
electrical etc. In Stores Department, “Weighted Average Method” is followed for issuing
the materials.

Functions:
• Identification of all materials stored.
• Receipts of incoming stores materials.
• Inspection of all receipts.
• Storage and preservation of goods.
• Issue and dispatch.
• Maintenance of stores records.
• Inventory control.
• Stock taking, i.e. physical verification of goods.
The main activities of this department are storing and issuing of spares
and general stores. Approximately around 70,000 different items are stored at Gokak
Mills. They are classified into six categories:
• General Stores.
• Engineering.
• Spares.
• Dyeing stores.
• Packing.

STORES OBJECTIVES:

• Confirm supply as per Purchase Order.
• Ensure quantity and correctness.
• GRN preparation and approval in time.

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• Verification of bills and Purchase Order amount.
• To satisfy user and issuing material in time.
• To co-ordinate with purchase department, suppliers, users and accounts
department.

ENGINEERING DEPARTMENT:
This department is responsible for all engineering activities and to ensure
that all machines and equipment’s are in good working conditions.
There are five sections in this department:
Section Functions

Mechanical Workshop Repairing activities, humidification
systems, boilers, and automobile
maintenance.
Electrical Maintenance of electrical
equipments.
Civil Maintenance of building, roads, etc.
and maintenance of effluent
treatment and sanitation.
Power Generation Generation of power, Hydro D.G
set / HFO maintenance.
Electronics Maintenance of electronic
equipments.

OBJECTIVES OF ENGINEERING DEPARTMENT:
• Planning and maintaining the maintenance schedule and use of genuine spares.
• Reduction of inventory in stores Department.
• Reduce machine down time by regular monitoring.
• Conduct training program and regular emphasis to reduce waste.
• Identifying place for improvement.

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• Maintain the machine condition in order to produce good quality products at
minimum costs.
• To provide in time services to the customer to produce within planned period.
• Conducting studies and educating the concern to reduce waste.

CHEMICAL PROCESSING DEPARTMENT:
This department receives the sample from customer for shade
matching. It develops the shade in laboratory to match party’s sample. Developed shade
will send to the party for approval. After approval of the shade customer will give the
requirement to the marketing department with count, shade number, quality & delivery
data. Marketing department passes above details to production department. Production
planning & control department prepares a production plan & arranges for grey yarn,
colour & chemicals.

THE PROCESS OF DYEING AT MILL NO 5:

Dye packing winding:-when the yarn is to be dyed/bleached the first process shall to be
wind the yarn from a common cone to a preformatted tube with low tension. So that the
same can be processed further.

Scouring:-This is process of removing the natural was present in the cotton. So that the
same can be bleached/dyed (using some chemical).

Bleaching:-This is the process of removing the natural color of cotton & making white.

Dyeing:-This is a process of giving required color to the yarn. This is done with various
color combination & chemicals.

Finishing:-This is a process of imparting the required properties of the yarn to have
softness, good feel etc.

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Singeling:-This is a process of removing the protruding hairs from the yarn by burning it.
This is done very carefully so that it will not harm the yarn.

Drying:-Here wet processed material is dried.

Final winding:-After the wet processes the yarns are wound on cones with tension. So
that they can be fed to either knitting or weaving machines.

MARKETING DEPARTMENT:
Marketing department is located in Mumbai. All activities are
governed and controlled in Mumbai itself. It is having three divisions mainly:
EXPORTS: The division concentrates on all export and the marketing of Terry Towel in
both export and domestic market.
DOMESTIC SALES: It looks after sales of Terry Yarns and Grey Fabrics in domestic
markets through its branch offices located in various centers all over India
VALUE ADDED TEXTILE: It concentrates on processed yarns for both export and
domestic markets. It has agents for offering better service and to collect information on
markets

DISPATCH DEPARTMENT:
Under this department packed goods are sent to the respective parties. Here
packed production is 90 tones per day and sent to the parties according to their
specification i.e. through ship or road transport.
Under this process, finished goods are first sent to the “Packing Department”,
here goods are packed and sent to the “Finished Goods Godawan”. According to the
contract, goods are sent or dispatched to the respective parties.

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PROJECT & DEVELOPMENT DEPT:
This section looks after renovation, modernization and expansion. It also
does planning and execution of capital purchases and designing is done in computer.

OBJECTIVES:
• Updating the technology.
• Modernization process, planning and execution.
• New project installation.
• Making technical survey from supplier.
• Clearance of obsolote machinery.

INFORMATION TECHNOLOGY (IT) DEPARTMENT:
To identify computer application and arrange to design, develop and
implement in Gokak Mills Division, Gokak Vadodara Spinning Mills including head
office, Branches and Depots. The main function is for the designing, developing and
implementing and maintenance of new system packages as per user’s requirements. It
should provide necessary locking controls such that only the concerned users use the
relevant data’s. It is responsible for maintenance and procuring of hardware, software and
other related equipments and also to train the users for the effective use of systems
developed carry out the same.

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HUMAN RESOURCE DEPARTMENT:
The function of this department is linked with all departments of the
Company to maintain good relation between management and employees leading to
organization and increase in production.

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FUNCTIONS OF HRD :
• Man power planning
• Recruitment and selection
• Grievance handling
• Industrial Relations
• Performance Appraisal
• Placement, training and development
• Wage and salary Administration
• Health and safety measures
• Promotion, demotion, transfer, and retirement

TYPES OF TRAINING:
• Pre-employment
• Refresher
• Development
• Functional

TRAINING PROGRAMMES:
• Creativity of managers
• Energy saving and maintenance
• ISO 9000 refreshers program
• Fire fighting training

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• Awareness program on Total Quality Management
• Camp Awareness Programs
• Leadership And Motivation

WELFARE FACILITIES:
HOSPITAL:
• 35 bedded with modern equipment’s qualified doctors, medical facilities
available around the clock.
• Scholarship to children of employees
• Recreational facilities
• Quarters, houses for employees
• School
• Canteen facility
• Employees co-operative credit society

SAFETY DEPARTMENT:
In the industries like Forbes Gokak ltd. Accidents are like very imminent. To
core up with the same personnel department has imparted one safety in charge Mr.
Sheelavant who looks after if any such accidents take place over the work place.
The endeavour of the safety department is going to bring down the possibilities of
the accidents and as such to the zero level for the companies like Forbes Gokak Ltd. It is
not enough if they put the machines and some workers to operate the same because the
accidents are very imminent during those operations.
So the Gokak Textiles Ltd. Has adopted the safety department which in terms takes
care of both minor and major accidents takes place.

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As per the data, I have collected the observation shows that the safety department is
functioning properly through the accidents taken place in the industry since past in
decreasing order every year.

PROCEDURE OF RECRUITMENT AND SELECTION
Workmen: A special committee, which includes managers, HRD managers, training
officers, chief medical officer, production manager does workmen selection. Generally
workmen are recruited from near by areas. It is also done on the bases of list sent by the
union.
Eligibility: SSLC as minimum qualification, good physical health, now recently MSKL
(multi skilled trainee) has been introduced where SSLC qualification is must.
After selecting the workmen following phases is to be passed through
Phase I: 12 months training
Phase II: 6 months training
In the period of 18 months training the workmen’s performance is evaluated by
top level management and then given a badli pass, considering the factors like
attendance, work practice, behaviour and punctuality. The pay given is equal to the
permanent employee. In addition to ESI is given.

Clerks: Minimum qualification required is BA, BCom, or SSLC .

Officers: For the officers’ post required qualification is diploma, others features looked
upon are the experience knowledge skills.
Initially Advt is given in news paper for vacancies. The form is filled by
them in which contains all details of qualification, excellence, years of experience,

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subject knowledge, quality of experience, personality etc. Then selection is done looking
at the initial requirements & then called for the interview. After final selection is done by
top leader, they have to work for 6 months as a prohibitory period. If the management is
satisfied with that employees works in 6 months duration, then his job is confirmed.

Managers: Selection is done directly by personal interview by the top level management.
Here the qualification and experience counts more for the final selection

CONCEPTUAL STUDY

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FACTORY ACT, 1948
The factory act, is a social legislation which has been enacted for
occupational safety, health & welfare of workers at work places.
Objectives
1) To regulate working condition in manufacturing establishments.
2) To ensure adequate safety, sanitation, health, working hours, leave, with wages &
weekly holidays for workers employed in factories.
3) It is protective legislation protecting employees from exploitation by employers.
4) Act regulates employment of women and young persons in factories.

‘Factory’ means any premises where 10 or more workers are working, or
working on any day of the preceding 12 months, & manufacturing process is carried on
with the aid of power. ‘Manufacturing process’ means process of making, altering,
repairing, ornamenting, finishing, packing, oiling, washing, cleaning, breaking up,
demolishing or otherwise treating or adapting any articles or substance with a view to its
use, sale, transport, delivery, disposal. ‘worker’ means a person employed in any
manufacturing process or cleaning or any work incidental to manufacturing process & it
also includes person employed through contractor.

Occupier of the factory: ‘occupier’ of a factory means the person who has ultimate
control over the affairs of the factory. It includes a partner/ member in case of firm and

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director in case of company. In case of Government company, the person appointed to
manage the affairs of the factory. He has to give notice 15 days before he begins to
occupy the premises as a factory, giving details as prescribed in section 7.

Duties of the occupier: Every occupier shall ensure, as for as possible, the health,
safety, and welfare of all workers while they are working in the factory.

Duties of manufacturer: Every person who designs, manufactures, imports or supplies
any article for use in factory shall designed and constructed as to be safe and without
risks to the health of the workers. Adequate safety information about the article should be
given.

Health measures: The factory should be kept clean and arrangement to dispose of waste
and effluents. Adequate ventilation, lighting, drinking water, latrines, urinals and
spittoons should be provided. Artificial humidification should be at prescribed standard
level. Overcrowding should be avoided.

Safety measures: All machinery should be properly fenced to protect workers when
machinery is in motion. Safety appliances for eyes, dangerous dusts, gas and fumes
should be provided. Adequate fire fighting equipment should be available. Safety officer
should be appointed if numbers of workers in factory are 1000 or more.

Welfare measures: Adequate and suitable facilities for washing, sitting, storing and
drying of cloths, first aid boxes, canteen, rest rooms etc.

Working hours: Adult worker cannot be employed for more than 48 hours in a week and
9 hours in a day. If he is asked to work on weekly holiday, he should have full holiday on
one of three days immediately or after the normal day of holiday. The worker should be

31

given rest intervals and overtime. Total period of work inclusive of rest interval cannot be
more than 10.5 hours. Notice of period of work should be displayed.

Overtime wages: If workers works more than 9 hours in a day or 48 hours in a week,
overtime wages are double the rate of wages are payable.

Employment of women and young person: A woman worker cannot be employed
beyond 6 a.m. and after 7 p.m. Shift change can be only after weekly or other holiday and
not in between. A child who was completed his 14 th year or an adolescent shall not be
required or allowed to work in any factory.

Leave: A worker is entitled in every calendar year annual leave with wages at the rate of
one day for every 20 days of work performed in the previous calendar year, provided that
he had worked for 240 days or more in the previous calendar year. Child worker is
entitled to one day per every 15 days and maternity leave up to 12 weeks and lay off days
will be considered.

Wages for OT and leave salary: Wages for leave encashment and overtime will include
dearness allowance and cash equivalent of any benefit. However, it will not include
bonus or overtime.

Notice of accidents, diseases and dangerous occurrences: Notice of any accident
causing disablement of more than 48 hours, dangerous occurrences and occupational
diseases should be informed to factories inspector.

32


ESI (EMPLOYEE STATE INSURANCE ACT-1948)

The ESI act is a social security and a social insurance measure aiming
towards providing cash and medical benefit to employees in the events of sickness,
maternity, employment injury, accidents, disablement or death. Every employee
(including casual and temporary employees), whether employed directly or through a
contractor, who is in receipt of wages upto Rs. 10,000 p.m. is entitled to be insured under
the E.S.I. Act. However, apprentices engaged under the Apprentices Act are not entitled
to the E.S.I. benefits.

FINANCES
The scheme is primarily funded by contribution raised from insured
employees and their employers in the implemented areas as a small but specified
percentage of wages payable to such employees.
An employee covered under the scheme has contribute 1.75% of the
wages where as employer contributes 4.75% of the wages payable to an employee.
Employees earning less than Rs.40/- a day are exempted from payment of contribution.

Benefits under ESI ACT-1948
1. MEDICAL BENEFIT

33

The scheme provides full range of medical care such as (a) Out patient
treatment (b) In patient treatment (c) Domiciliary treatment by visits at the residences (d)
Specialist consultation and diagnostic facilities (e) Free supply of drugs and dressings (f)
X-ray and laboratory services (g) Ambulance services or conveyance charges for going to
hospitals or diagnostic centers (h) Free diet during admission in hospitals (i) Family
welfare services and other national health programme services (j) Special provision
including super speciality treatment (k) Free supply of artificial limbs, aids and
appliances for physical rehabilitation.

2. SICKNESS BENEFIT
It represents periodical payments made to an insured person for the period
of certified sickness after completing nine months in insurable employment. The benefit
is payable at the standard benefit rate, corresponding to his daily average wages, It’s
however, not payable for any day on which the employee works, remains on leave,
holiday or strike, in respect of which he receives wages.
To qualify for this benefit, contribution should have been payable for
atleast 78 days in the relevant contribution period. The maximum duration for availing
sickness benefit is 91 days in two consecutive benefit periods. No sickness benefit shall
be payable for the first two days of sickness following, at an interval of not more than
15days, after the sickness in respect of which sickness benefits were last paid. The
sickness benefit is paid at a standard rate for 28 wage slabs. The rate of payment vary
from Rs. 14/- to Rs. 125/- per day averaging just above 50 percent of the daily wages.
After exhausting the sickness benefit payable upto 91 days, an insured
person, if suffering from tuberculosis/leprosy, mental and malignant diseases or any of
the 34 specified long term diseases is entitled to extended sickness benefit.

3. MATERNITY BENEFIT
A periodical cash benefit is payable to an insured woman employee, in
case of confinement, miscarriage, premature birth of a child, or sickness arising from

34

pregnancy, etc., occurring or expected to occur in a benefit period, if the contributions, in
respect of her were payable for at least (70 days) in the two immediately preceding
contribution periods. Maternity benefit is normally payable for a maximum period of 12
weeks in case of confinement, 6 weeks in case of miscarriage of medical termination of
pregnancy and for one additional month in case of sickness arising out of confinement
duly certified by an authorized medical officer.

4. DISABLEMENT BENEFIT
Disablement benefit is payable in the form of cash installments, to an
employee who is injured in the course of his employment and is, permanently or
temporarily, disabled, or contacts any occupational disease. It is sufficient if it is proved
that the injury was caused by an accident arising out of, and in the course of employment,
no matter when it occurred, and where it occurred.

5. DEPENDANTS BENEFIT
Periodical pension is paid to the dependants of a deceased insured person
where death occurs as a result of an employment injury or occupational disease.

6. Other benefits
(i) Funeral expenses are in the nature of a lump sum payment upto a maximum of Rs.
2500/- made to defray the expenditure on the funeral of deceased insured person.
(ii) Rehabilitation allowance

35


THE PAYMENT OF GRATUITY ACT,1972

‘Gratuity’ refers to additional retirement benefit to be secured to labour for
the contribution of their services in the organization.
Objects of the act
1) Gratuity was considered as a provision for old age.
2) It was payment given by an employer to his employees.
3) It came to be paid compulsorily to employees engaged in factories, mines, oilfields,
plantation, ports, railway companies, motor transport undertakings, shops & other
establishment.
4) It provides for rewarding employees who have served a long career in organization.
5) It serve as an incentive to employees to continue sustained services in the organization
for long duration.
The payment of Gratuity act, 1972 came into force on 16th September 1972.

The Payment of Gratuity Is Calculated By The Following Given Formula

LAST DRAWN SALARY 15 NO. Of. Years (Min 5 Years)
(15 DAYS) X X

26

36


1) After completing five years any of the organization(Gokak Mills ) He is eligible for
the gratuity.
2) After completion of the service the employee is paid the gratuity based on the
remaining years excluding the 5years.
3) The employee is 15 days salary for each rest of the years, eg:- ( 5years+8years) the
employee will be paid (15days of 8years=120days salary).

Employees provident funds act, 1952

The PF act is enacted to provide for the institution of provident fund,
pension fund and deposit linked insurance fund for employees in factories and other
establishment. The employees provident fund and miscellaneous provision act is a social
security legislation to provide for provident fund, family pension and insurance to
employees. Employee has to pay contribution towards the fund and employers also pay
equal contribution.

Applicability of the act: Application to factories and any other establishment or class of
establishments employing 20 or more persons which may be specified by central
government by notification in official gazette and can be made applicable by central
government to establishments employing less than 20 person or if the majority of
employees agree. Once the provision of act become applicable, it continues to be
applicable even if number of employees less than 20 person.

Employees provident fund scheme: This is the main scheme under the act. Both
employer and employee have to pay contribution to provident fund. The employer has to
deduct contribution of employee from the salary of employee and has to pay both

37

employees contribution as well as employers’ contribution by a challan in prescribed
form.

Benefits under the scheme: Members will get loan for education, house building, for
marriage and medical treatment etc during employment.

Employees’ pension scheme: This scheme is applicable to all subscribers of employers’
provident fund. If employees work 10 years in a factory then only get pension.

Contribution: The principal employer is liable to pay contribution of his own
employees as well as employees employed through contractor. Contribution of both
employer and employee is same i.e. 12% each. Employer has to pay his contribution to
EPF. He cannot deduct his contribution from wages of the employee. However, he has to
deduct employees share from his salary and pay the same in EPF scheme.
The employers’ contribution of 8.33% will be diverted to the fund of
pension scheme and 3.67% balance will be retained in the EPF scheme. Totally 15.67%
as a employees provident fund. The 8.33% is on maximum salary of Rs. 6500/-. If some
employers are paying contribution on salary in excess of Rs. 6500/-, the excess
contribution will be credited to provident fund account and not to pension scheme.

Benefit under the scheme: Members will get pension on superannuation or retirement
from service or permanent disablement during employment. Widow or widower’s
pension, children pension (up to 25 years) or orphan pension payable to the beneficiaries
of such employees. If person is unmarried or has no family, pension is available to
nominee for a specified period.

Employees Deposit Linked insurance scheme: The purpose of the scheme is to provide
life insurance to employees who are already covered under PF. The employee does not
38

contribute any amount to the scheme. The salary limit for coverage of employees is same
as that of provident fund. The employer contributes 1.1% as a employees deposit linked
insurance scheme.

INDUSTRIAL DISPUTES ACT, 1947

The Industrial Disputes Act, 1947 came into existence in April 1947. It
was enacted to make provisions for investigation and settlement of industrial disputes and
for providing certain safeguards to the workers.

Causes for the disputes in the organization:-
1) Demand for increase in wages, dearness allowance, and bonus.
2) Demand for improvement in the working conditions and to reduce working hours.
3) Demand for benefit such as medical facilities, education. Recreation and convenyance
arrangements.
4) Faulty policies of recruitment, transfers, promotions, and lay-offs etc.
5) Absence of the discipline, leadership, miss use of the existing legistation.
6) Communication gap in-between and within the organization.

Objects of the acts
1) To promote majors for securing and preserving the smooth and harmonious relations
between employers and workers.
2) To promote collective bargaining between management and labour

39

3) To prevent illegal strikes and lockouts.
4) Compensation arrangements in case of lay-off and retrenchment of workman.
5) Prevention of unfair labour practices.
6) Provision for payment of wages from date of the award till the suit pending before
court of law decided.
7) Reference of individual disputes to grievance settlements authorities.

TRADE UNION ACT-1926

It refers to an organization of workers that is formed for the purpose of
maintaining and improving the condition of workers. The industrial society got divided
into two groups-workers and employers. This resulted in the revolution of trade unions.
"Trade Union" means combination, whether temporary or
permanent, formed primarily for the purpose of regulating the relations between
workmen and employers or between workmen and workmen, or between employers and
employers, or employee and employee or for imposing restrictive condition on the
conduct of any trade or business, and includes any federation of two or more Trade
Unions;

Functions of trade union
1) To provide better working conditions & ensure suitable remuneration.
2) To encourage workers participation, protect & promote all interests of workers in the
industry in management.
3) To provide financial, social, psychological & moral help to trade
union members.
4) To provide for facilities such as recreation areas, libraries etc for its

40

members & their facilities.
7) To provide loan in times of need to union members.
8) To improve educational levels of union workers through training &
other programmes.
9) To offers any assistance in times of need & difficulty.
10) To develop political awareness among workers.
11) To spread awareness amongst workers regarding their duties &
responsibilities enhancing the political status of the country.

Objectives of trade union
1) Helping to secure better wages.
2) To secure better working condition & basic needs.
3) To ensure that workers receive their share due in the prosperity of
the company.
4) To protect the interests of workers through bargaining.
5) To negate & form of exploitation by employers upon workers.
6) To develop a sense of group support and backing amongst workers.
7) Helpful in minimizing labour problems.

41


RESEARCH METHDOLOGY

42


Objectives of the study:
• To study the existing labour laws at Gokak mills.
• To check the awareness of labour laws among the workers.
• To study the rate of satisfaction/ dissatisfaction of the workers towards the
facilities.

Statement of the problem:
‘To find the awareness of labour laws among the employees’

Scope of the study:
The survey is restricted to mill no 1,3 and engineering departments and labour laws that
are
• Factory act, 1948
• Employees state insurance act, 1948
• Employees provident fund act, 1952
• Trade union act, 1926
• Industrial dispute act, 1947

43

• Payment of gratuity act, 1972

Sampling
Population: Total population size is .
Sample size: The sample size is 50 workers.
Sample unit: It consist of mill no 1, 3 and engineering departments.

Research design: The research design used is descriptive and the primary information
collected through questionnaire considering 50 workers as sample.

Data collection method:
Primary data
• Questionnaire
• Random sampling
• Personal interaction
Secondary data
• Text books
• Company manual
Method used for analysis: Frequency distribution
Graph representation: pie charts
Statistical package: SPSS (Statistical Package for social science)

Limitation of the study:
• Workers were busy most of the time.
• Survey was difficult in working hours.
• More illiterate workers.

44


Procedure: The questionnaire was personally explained to each employee and responses
were taken down.

STATISTICAL ANALYSIS
AND INTERPRETATION

45


1. You are working in this organization as

Frequency Percent Valid Cumulative
Percent Percent

Valid permanent 32 64.0 64.0 64.0
temporary 18 36.0 36.0 100.0
Total 50 100.0 100.0

46


temporary

permanent

Interpretation: From the above pie chart it is clear that the most of workers are
permanent workers. About 36% of the workers are on temporary basis.

2. Facilities provided by the organization.

Light

Percent Percent
Valid yes 49 98.0 98.0 98.0
no 1 2.0 2.0 100.0
Total 50 100.0 100.0
47


Drinking water

Percent Percent
Valid Yes 48 96.0 96.0 96.0
No 2 4.0 4.0 100.0
Total 50 100.0 100.0

Rest room

Percent Percent
Valid yes 50 100 100 100

light drinking water
no
no

yes yes

Canteen

Percent Percent
Valid yes 49 98.0 98.0 98.0
no 1 2.0 2.0 100.0
Total 50 100.0 100.0

Sitting facility

48


Percent Percent
Valid yes 4 8.0 8.0 8.0
no 46 92.0 92.0 100.0
Total 50 100.0 100.0

Latrines & urinals

Percent Percent
Valid yes 50 100.0 100.0 100.0

sitting facility
canteen
no
yes

no

yes

Interpretation: From the above pie charts it is clear that the most of workers are
satisfied with the light, drinking water, and canteen facilities, but about 1% of the
workers are not satisfied with light and canteen facilities and about 2% of the workers
with the drinking water facility. Most of the employees said that there is no rest room and
sitting facility provided to them.

3. Are you satisfied with canteen facility provided by the organization.

Percent Percent
Valid satisfied 32 64.0 64.0 64.0
highly 6 12.0 12.0 76.0
satisfied
dissatisfied 10 20.0 20.0 96.0
highly 2 4.0 4.0 100.0

49

dissatisfied
Total 50 100.0 100.0

highly dissatisfied

dissatisfied

highly satisfied
satisfied

Interpretation: From the above pie chart it is clear that most of the workers are satisfied
with the canteen facility. About 20% of them are dissatisfied, 12% are highly satisfied,
and 4% of the employees are highly dissatisfied by the canteen facility provided by the
organization.

4. Working hour in Gokak mills is in between.

Percent Percent
Valid <8hr 10 20.0 20.0 20.0
>8hr 2 4.0 4.0 24.0
8hr 38 76.0 76.0 100.0
Total 50 100.0 100.0

50


<8hr

>8hr

8hr

Interpretation: From the above pie chart it is clear that most of the workers said that the
working hours is 8 hours per day, where as 20% of them said that the working hours are
less than 8 hours and 4% said that it was more than 8 hours.

5. Are you aware of different kinds of leaves available in this organization?

Percent Percent
Valid yes 46 92.0 92.0 92.0
no 4 8.0 8.0 100.0
Total 50 100.0 100.0

51


no

yes

Interpretation: From the above pie chart it is clear that most of the workers are aware
but only 8% of the workers are unaware of different kinds of leaves.

6. Do you know about the overtime wages and its calculation?

Percent Percent
Valid yes 25 50.0 50.0 50.0
no 25 50.0 50.0 100.0
Total 50 100.0 100.0

52


yes

no

Interpretation: From the above pie chart it is clear that half of the workers said that they
knew about the over time wages and its calculation.

7. Safety instructions displayed on dangerous machines.

Percent Percent
Valid yes 46 92.0 92.0 92.0
no 4 8.0 8.0 100.0
Total 50 100.0 100.0

53


no

yes

Interpretation: From the above pie chart it is clear that 92% of the workers said that
there is safety instructions displayed on dangerous machines, where as 8% of them said
no.

8. Is there first aid provision in your organization?

Percent Percent
Valid yes 43 86.0 86.0 86.0
no 7 14.0 14.0 100.0
Total 50 100.0 100.0

54


no

yes

Interpretation: From the above pie chart it is clear that most of the workers said there is
first aid provision, where as 14% of them said no.

9. Does the company give first aid training for the workers?

Percent Percent
Valid yes 19 38.0 38.0 38.0
no 31 62.0 62.0 100.0
Total 50 100.0 100.0

55


yes

no

Interpretation: From the above pie chart it is clear that about 38% of the employees
were given training on first aid, but 62% of the employees said they were not given
training on first aid.

10. Does the organization give fire fighting training?

Percent Percent
Valid yes 26 52.0 52.0 52.0
no 24 48.0 48.0 100.0
Total 50 100.0 100.0

56


no

yes

Interpretation: From the above pie chart it is clear that most of the workers were given
training on fire fighting, but 48% of them were not trained.

11. Any safety measures/precaution taken while fire accidents, injuries etc.

Percent Percent
Valid yes 49 98.0 98.0 98.0
no 1 2.0 2.0 100.0
Total 50 100.0 100.0

57


no

yes

with the safety measures/ precaution taken while fire accidents, injuries, etc., but 2% are
not satisfied.

12. Are you satisfied with medical benefit under ESI act?

Percent Percent
Valid satisfied 40 80.0 80.0 80.0
S highly 5 10.0 10.0 90.0
satisfied
dissatisfied 4 8.0 8.0 98.0
58

highly 1 2.0 2.0 100.0
dissatisfied
Total 50 100.0 100.0

highly dissatisfied

dissatisfied

highly satisfied

satisfied

Interpretation: From the above pie chart it is clear that most of the workers said that
they are satisfied with the medical benefit under ESI act, 10% of them are highly
satisfied, 8% are dissatisfied, and only 2% are highly dissatisfied.

13. Are you aware of ESI benefits?

Medical

Percent Percent
Valid yes 48 96.0 96.0 96.0
no 2 4.0 4.0 100.0

59

Total 50 100.0 100.0

Sickness

Percent Percent
Valid yes 45 90.0 90.0 90.0
no 5 10.0 10.0 100.0
Total 50 100.0 100.0

medical sickness
no

no

yes

yes

Funeral

Percent Percent
Valid yes 45 90.0 90.0 90.0
no 5 10.0 10.0 100.0
Total 50 100.0 100.0

60


Accidents

Percent Percent
Valid yes 48 96.0 96.0 96.0
no 2 4.0 4.0 100.0
Total 50 100.0 100.0

funeral accidents
no no

yes yes

Interpretation: From the above pie chart it is clear that most of the workers are aware of
the ESI benefits like medical, sickness, funeral, and accidents. Whereas 10% are not
aware of the sickness and funeral benefits and 4% are not aware of medical and accident
benefits under ESI act.

14. Are you aware of payment of gratuity?

Percent Percent
Valid yes 38 76.0 76.0 76.0
no 12 24.0 24.0 100.0
Total 50 100.0 100.0

61


no

yes

Interpretation: From the above pie chart it is clear that most of the workers are aware of
payment of gratuity but 24% of the workers are unaware.

15. Do you know what is EPF, EPS and its rate/amount of contribution.

Percent Percent
Valid yes 20 40.0 40.0 40.0
no 30 60.0 60.0 100.0
Total 50 100.0 100.0
62


yes

no

Interpretation: From the above pie chart it is clear that the workers know about EPF and
EPS but they don’t know the amount of contribution.

16. Under provident fund act benefits provided by the organization.

Education loan

Percent Percent
Valid yes 26 52.0 52.0 52.0

63

no 24 48.0 48.0 100.0
Total 50 100.0 100.0

Home loan

Percent Percent
Valid yes 38 76.0 76.0 76.0
no 12 24.0 24.0 100.0
Total 50 100.0 100.0

education loan home loan
no no

yes

yes

For marriage

64

Percent Percent
Valid yes 39 78.0 78.0 78.0
no 11 22.0 22.0 100.0
Total 50 100.0 100.0

Medical

Percent Percent
Valid yes 28 56.0 56.0 56.0
no 22 44.0 44.0 100.0
Total 50 100.0 100.0

medical
for marriage
no

no

yes

yes

Interpretation: From the above pie chart it is clear that most of the workers said that
they are benefited from the provident fund act provided by the organization. Where as
48% of them said they are not benefited by the education loan, 44% of them by the
medical, 24% of them by home loan, and 22% of them are not benefited from marriage
benefits under PF act provided by the organization.

65


17. Is there any deduction from the salary as PF.?

Percent Percent
Valid yes 50 100.0 100.0 100.0

yes

Interpretation: From the above pie chart it is clear that all the workers are aware of
deduction of salary as PF.

66


18. Do you know whom to approach in case of any grievance and dispute with a
co-worker or with employer?

Percent Percent
Valid yes 48 96.0 96.0 96.0
no 2 4.0 4.0 100.0
Total 50 100.0 100.0

no

yes

Interpretation: From the above pie chart it is clear that most of the workers know whom
to approach in case of grievance and dispute with a co-worker or with employer, but only
4% of the workers did not know whom to approach.

67


19. Causes of disputes.

Percent Percent
Valid lack of3 6.0 6.0 6.0
communication
lack of18 36.0 36.0 42.0
cooperation
improper 5 10.0 10.0 52.0
management
wages 3 6.0 6.0 58.0
does the higher21 42.0 42.0 100.0
authority
misuse their
power
Total 50 100.0 100.0

lack of communicatio

does the higher auth

lack of cooperation

w ages improper management

causes for disputes in the organization is because the higher authority misuse their power,
36% due to lack of cooperation, 10% due to improper management, and 6% due to lack
of communication and wages.

68


20. Are you satisfied with the functioning of trade union?

Percent Percent
Valid yes 44 88.0 88.0 88.0
no 6 12.0 12.0 100.0
Total 50 100.0 100.0

no

yes

with trade union functions but 12% of the workers are not satisfied with the functions of
the trade union.

69


21. Does the trade union solve the problems between the workers and the management?

Percent Percent
Valid yes 43 86.0 86.0 86.0
no 7 14.0 14.0 100.0
Total 50 100.0 100.0

no

yes

trade union solved the problems between the workers and the management, but 14% of
them said that the trade union did not solve the problems.

70


22. Are you aware of contribution deducted from the salary for being a member of trade
union.

Percent Percent
Valid yes 50 100.0 100.0 100.0

yes

Interpretation: From the above pie chart it is clear that hundred percentage of the
workers are aware of contribution deducted from the salary for being a member of trade
union.

71


FINDINGS

72


• About 99% of the workers are male and 64% of the workers are permanent
workers.
• The company has got a huge section of people who have been working here from
the past many years.
• Majority of the workers are aware of health, welfare and safety measures
provided by the mill.
• Most of the workers are residing in company quarters.
• About 90% of the workers are paid less, but have more work load.
• About 76% of the workers are working 8 hour/day.
• About 92% of the workers are aware about leaves given by the organization.
• About 50 % of the workers are aware about the over time wages, but they don’t
know how it is calculated.
• About 93% of the workers are aware of the ESI benefits.
• About 66% of the workers know about the PF benefits provided by the
organization. but about 37% of the workers are not satisfied by the PF benefit
provided by the company.
• About 76% of the workers are aware of gratuity. About 24% of the workers are
not aware of the gratuity as they are temporary workers.
• The major cause for dispute in the company is because of lack of cooperation
among the workers and also because the higher authority misuse their powers.
• About 88% of the workers are satisfied with the functioning of trade union.

73


SUGGESTIONS

74


• The company should arrange for session on labour laws so that it makes them all
the employees aware of it.
• The company should make the employees aware of calculation of PF, gratuity and
it should also tell the workers how they are benefited from it.
• Employers should maintain good relationship with doctors. They need to cross
check the doctors’ facility with the workers.
• The workers should be told whom to approach in case of any grievance and
dispute with a co-worker or with employer.
• Food quality has to be improved and varieties of break fast have to be provided.
• The latrines and urinals have to be cleaned and maintained properly.
• Organization should provide safe drinking water to the workers in engineering
department.
• Safety officer should make the workers aware of the first aid facility and where it
is located.
• The management has to conduct health camps frequently for workers.
• The management has to improve the quality of education.
• Management should provide fire fighting training to all the workers.
• Management should provide transport facilities to the workers.

75


CONCLUSION

76


Gokak textiles ltd is one of the reputed organization in India .GTL is a producer
of terry towels, suitings, fabrics, canvas etc and exporting all over world(24 countries).
Workers need improvements in facilities like drinking water, canteen, cleanliness,
sitting facility, rest room, leaves, and quality of education. The workers are aware of all
labour laws, but they are not satisfied with benefits provided by the organization.

77


BIBLIOGRAPHY

78


Books

• Labour law by Reshma Arrora
• Company documents

Website
• www.indianlabourlaws.com
• www.gokakmills.com

79


ANNEXURE

80


Name : _______________________________________________

Age :________________ Designation :_____________

1. You are working in this organization as
a) Permanent b) Temporary (Badli)

2. Facilities provided by the organization

Facilities Yes No
Light
Drinking water
Canteen
Rest room
Sitting facility
Latrines & urinals

2. Are you satisfied with canteen facility provided by the organization?
a) Satisfied b) Highly satisfied c) Dissatisfied d) Highly dissatisfied

3. Working hour in Gokak mill is in between.
a) <8hr b) >8hr c) 8hr d) 8hr+overtime

4. Are you aware of different kinds of leaves available in this organization?
a) Yes b) No

5. Do you know about the overtime wages & its calculation?
a) Yes b) No

6. Safety instruction displayed on the dangerous machines.
a) Yes b) No

7. Is there first aid provision in your organization?
a) Yes b) No

8. Does the company give first aid training for the workers?
a) Yes b) No

81


9. Does the organization give fire fighting training?
a) Yes b) No

10. Any safety measures/precaution taken while, any fire accidents,
injuries etc
a) Yes b) No

11. Are you satisfied with medical benefit under ESI act?
a) Satisfied b) Highly satisfied c) Dissatisfied d) Highly dissatisfied

12. Are you aware of ESI benefits?

Benefits Yes No
Medical
Sickness
Funeral
Accidents

13. Are you aware of the payment of gratuity?
a) Yes b) No

14. Do you know what is EPF, EPS & its rate/amount of contribution?
a) Yes b) No

15. Under provided fund act benefits provided by the organization

Benefits Yes No
Education loan
Home loan
For marriage
Medical

16. Is there any deduction from the salary as PF.
a) Yes b) No

17. Do you know whom to approach in case of any grievance & dispute with a co-worker
or with employer.
a) Yes b) No

18. Causes of disputes.
a) Lack of communication
b) Lack of co-operation
c) Improper management

82

d) Wages.
e) Does the higher authority misuse their power.

19. Are you satisfied with the functioning of trade union?
a) Yes b) No

20. Does the trade union solve the problems between workers and management?
a) Yes b) No

21. Are you aware of contribution deducted from the salary for being a member of trade
union.
a) Yes b) No

22. What are the other services you expect from this organization?

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A project reprot on awareness of labour laws at gokak mills

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