SUMMER TRAINING REPORT ON EMPLOYEE WELFARE SCHEMES AT NATIONAL FERTILIZERS LIMITED, BATHINDA.

SUPERVISED BY: Mr. D.K. BORA HRD MANAGER

SUBMITTED BY:AMARJIT KAUR MBA- 3RD SEM. ROLL NO: - RQ1002A11

LOVELY PROFESSIONAL UNIVERSITY JALANDHAR

PREFACE
For the completion of MBA it has been mandatory to obtain an industrial training in human resource department. This training session really helped me in gathering practical knowledge of human resources. I have prepared this project on the topic EMPLOYEE WELFARE SCHEMES in which i have described about the human resource department, welfare schemes in NFL. The report has been prepared during summer training which lifes greatest treasure is as it is full of experience, observation and knowledge. The training held was very gainful as it took us close to real life. This period also provided a chance to give the theoretical knowledge a practical shape and learn from practical results. The report is a result of 6 week training that i have taken at National Fertilizers Limited, Bathinda. It has been very educative and fruitful experience for me, as it has given me an insight into some practical experience without which classroom knowledge can be regarded as incomplete. I hope this report serve as the practical guide for the Employees Welfare Schemes of the company.

ACKNOWLEDGEMENT
I am highly indebted to the management of National Fertilizers Limited, Bathinda to take me as a summer intern in their organisation. I would like to thank specially Mr. D.K. Bora (Manager HRD) for providing me an opportunity to undertake summer training at NFL, Bathinda. I wish to express my gratitude towards Mr. A.K. Narang (Manager P&A) and Hemant Gupta (Assistant Manager Administration) for permitting me to work under his guidance, without those guidance and co-operation, this project would not have been a success. I have no words to express my gratitude to the profound interest taken by him at every stage of the project. I also express my sincere thanks to my parents and friends who always have been source of inspiration to me and supported me morally and financially in every activity during the training. Above all, i would like to thank almighty for showering his blessing on me in completing the project.

TABLE OF CONTENTS

CHAPTER 1 2 3 4 5

TOPIC INTRODUCTION TO COMPANY INTRODUCTION TO PROJECT OBJECTIVE AND SCOPE OF STUDY RESEARCH METHODOLOGY DATA ANALYSIS AND INTERPRETATION

PAGE NO.

CHAPTER- 1

INTRODUCTION OF COMPANY

NATIONAL FERTILIZERS LIMITED,

BATHINDA

NFL is a Schedule A and Mini Ratna company which was incorporated on 23rd August 1974 with two manufacturing Units at Bathinda and Panipat. The commercial production from these plants commenced w.e.f 1.10.1979 and 1.9.1979 respectively. Subsequently, on the reorganization of Fertilizer group of Companies in 1978, the Nangal Unit of Fertilizer Corporation of India came under the NFL fold. The Company expanded its installed capacity in 1984 by installing and commissioning of its Vijaipur gas based Plant in Madhya Pradesh. Expansion of Vijaipur plant was taken up in the year 1993 for doubling its annual production with capacity. effect The from commercial production from this plant commenced 31.3.1997. The Vijaipur Plant was a landmark ach ievement in project management in India. The plant was completed well within time and approved project cost. In recognition of this achievement, the project was awarded the First Prize in Excellence in Project Management by Govt. of India. Subsequently t he Vijaipur plant doubled its capacity to 14.52 lakh MTs by commissioning Vijaipur Expansion Unit i.e. Vijaipur-II in 1997. The plant annual capacities NFL Corporate office: Noida

have now been re-rated w.e.f. 1.4.2000 from 7.26 lakh MT of Urea to 8.64 lakh MT for Vijaipur-I & Vijaipur-II Plants each. Three of the Units are strategically located in the high consumption areas of Punjab and Haryana. The Company has an installed capacity of 32.31 lakh MTs of Urea and has recorded an ever-best annual sales turnover of Rs.3866 crores and operating profit of Rs 212.84 crores during the year 2006-07. The Companys strength lies in its sizeable presence, professional marketing and strong distribution network nationwide. NFL has embarked on the revamp of Vijaipur I and II plants for augmenting their production capacities by 16% and 23% respectively. NFL, a profitable public sector undertaking operates under the administrative control of Department of Fertilizers in the Ministry of Chemicals &Fertilizers. Kisan Urea NFLs popular brand is sold over a large marketing territory spanning the length and breadth of the country. The Company also manufactures and markets Bio fertilizers and a wide range of industrial products like Methanol, Nitric Acid, Sulphur, Liquid Oxygen, and Liquid Nitrogen etc. The Company has developed Neem coated Urea which on demonstration has improved the crop yield by 45%. The Company is focusing its thrust to widen the marketing operations of Neem coated Urea. The company is also undertaking R&D for the development and production of other value added products like Zi ncated & Sulphur Coated Urea. NFL over the years has developed a team of dedicated professionals in the areas of production, maintenance, project management, s afety and environment control. These professionals are sought after in the Industry both in India & abroad for their Specialized Services. NFL is known in the industry for its work culture, value added human resources, Quality Management, Safety, Environment, Concern for Ecolog y and its commitment to social up liftment. All NFL plants are certified under ISO9001 (2000) for conforming to International Quality Standards and International

Environmental Standard viz. ISO-14001. NFL is equally concerned about the safety of its plants and people and accordingly implemented i nternationally accredited OHSAS-18001 safety standard for its three plants. With the certification of Corporate Office/Marketing operations under ISO -9001: 2000, NFL has become the first Fertilizer Company in the country to have its total business covered under ISO-9001 Certification. Urea is an essential commodity under the Essential Commodities Act, 1955. The Department of Fertilizers (DoF) plans and monitors production, import and distribution of fertilizers and management of subsidy for indigenous and imported fertilizers in the country. In this regard, DoF has recently set up an on line web based Fertilizers Monitoring System. The System of marketing of Urea has undergone a change w.e.f. 1.4.2003 when company has been allowed to market 25% of its produce outside ECA during Kharif 2003. This percentage of sales outside ECA was raised to 50% in Rabi 2003-04, which continue to prevail for 2006-07. NFL enters into a Memorandum of Understanding (MoU) with the Government for each year under which the Government undertakes to assist NFL with regard to availability of inputs, obtaining ECA allocations commensurate with the availability of fertilizers from NFL plants etc. NFL on its part undertakes to adhere to its production and movement plans, achieve its ECA allocation and provide regular feedback to the Administrative department .

COMPANY PROFILE: NATIONAL FERTILIZER LIMITED

A PROFILE INTRODUCTION The rise in fertilizer consumption in India has been quite Phenomenal during the past two & half decades. To meet the rise in consumption of fertilizers, creation of additional Capacity was also planned. The change in worldwide energy Concept and the rise in oil prices in 1973 forced India to broad base it nitrogenous production by adopting new and sophisticated technology, which could use cheaper sources of raw materials hithe rto not tried in the Country. It is in the context that National Fertilizer Limited (NFL) (a public sector Undertaking) was conceived to plan & implement two modern large Capacity single stream nitrogenous fertilizer plants in the predominant fertilizer consuming areas of northern states of India to cater to ever increasing demand for fertilizer in the region. National fertilizer limited was incorporated on 23rdaugust, 1974 for setting up two nitrogenous fertilizer plants, each with a capacity of 5.11 lakh tonnes of urea per annum at Bathinda (Punjab) & Panipat (Haryana) based fuel oil/LSHS as main raw material. On recognition of Fertilizer Corporation of India (FCI) NFL group of Companies, Naya Nangal unit of FCI was taken over by NFL on 1st April 1978. Later on, a gas based fertilizer plant was entrusted to NFL. It has come up at Vijaipur in Guna district of Madhya Pradesh, which started production in July 1988, with an installed capacity of 7.26 lakh tonnes of urea per annum. The Companys Marketing Network comprises of Central Marketing Office at NOIDA, three Z onal Offices at Bhopal, Lucknow & Chandigarh, 16 State Offices and about 40 Area Offi ces spread across the country. Agriculture Extension and Social Welfare activities are undertaken in the adopted villages. It has its registered office at scope complex, core-III, 7-institutional areas, Lodhi Road, New Delhi -110003 and corporate office at A-II, sector 24, and district Gautam Budh Nagar, NOIDA (UP) 201301. A brief about the company & its operating unit is given as under.

THE COMPANY Registered on Authorized capital Paid up capital Capacity 23.8.1974 Rs. 500.00 crores Rs. 490.58 crores 13.70 lakh MT nitrogen

The capacity has increased from 13.70 lakh MT nitrogen to 14.86 lakh MT nitrogen consequent upon commissioning of Nangal unit revamp scheme II w.e.f 1.4.2000. The total capacity of Urea is 32, 30,700 MT which in term of Nitrogen comes to 14.86 lakh MT. NANGAL UNIT INSTALLED CAPACITY Urea Methanol Project cost urea (including revamp) Foreign exchange component (including revamp) Commissioned (urea revamp) 4, 78,500 MT 22,110 MT Rs .283.11 Cr Rs.118.49 Cr 01.02.2001

PANIPAT UNIT INSTALLED CAPACITY Urea Commissioned Project cost Foreign exchange component BATHINDA UNIT INSTALLED CAPACITY Urea Commissioned Project cost Foreign exchange component 5, 11,500 MT 01.10.1979 Rs 239.30Cr Rs 67.87 5, 11,500 MT 01.09.1979 Rs 223.50 Cr Rs 55.79 Cr

VIJAIPUR UNIT -1 INSTALLED CAPACITY Urea Commissioned Project cost Foreign exchange component 8, 64,600 MT 01.10.1988 Rs 533 Cr Rs 185.20

VIJAIPUR UNIT -11 INSTALLED CAPACITY Urea Commissioned Project cost Foreign exchange component 8, 64,600 MT 01.3.1997 Rs 1071 Cr Rs 431Cr

The installed capacities of Vijaipur unit I & II has been reassessed by Fertilizer Industry Coordination Committee (FICC) w.e.f 1.4.2000 and the capacity of both the plants has increased from 7, 26,000 MT to 8 , 64,600 MT from interim reassessed capacity of 8, 53, 400 MT.
PRODUCTS OF NFL

National Fertilizer Limited is the producer of Nitrogenous Fertilizer and t he product of fertilizer is known as Kisan Khad and Kisan urea. Kisan Khad which is calcium ammonium nitrate (CAN) contains 25% nutrient N while Kisan Urea contains 46% nutrient N. Kisan Khad is ideally suited for all types of crops. The marketing territory for Kisan Khad and Kisan Urea is the states of Punjab, Haryana Madhya Pradesh, Uttar Pradesh, Bihar, Maharashtra, Orissa, Andhra Pradesh, J & K, Himachal Pradesh and union territory of Delhi and Chandigarh. NFL is also engaged in undertaking various marketing development activities under the companys agriculture services and farmer education activities for publicity and sales promotion.

MAIN PRODUCTS KISAN KHAD (CAN) KISAN UREA KISAN BIO-FERTILIZER INDUSTRIAL PRODUCTS Liquid nitrogen (N2) Liquid oxygen (O2) Argon gas (Ar) Carbon slurry (C) Sodium nitrate (NaNO 3) Methanol (CH3OH) Carbon dioxide (CO2) Sulphur (S) CORPORATE OBJECTIVES OF NFL In terms of Memorandum of Association, NFL was set up to manufacture and market chemical fertilizer, other chemicals and by - products as well as to provide the allied services in order to achieve and maintain a leading position in the production and marketing of fertilizer. The company has achieved excellent rating and the following micro objectives have been identified.

1. PRODUCTIVITY To achieve the best possible levels of production and economy in use of inputs while ensuring safety and proper maintenance of pl ant and machinery and pollution control, more specifically (a) to strive to raise capacity utilization & (b) to improve on consumption norms consistently. 2. RESEARCH AND DEVELOPMENT To carry out R&D activities for-increasing plant availability saving in t he use of energy in different form better recovery of saleable products process improvement/development and increasing utilization efficiency on a sustainable basis in the application of chemical fertilizer in combination with other agricultural inputs. 3. PROFITABILITY To manage the assets, men and material in most effective and efficient manner ensuring reasonable return on investment commensurate with principles laid down by the government from time to time, and Generation of increasing internal resources. 4 .MARKETING AND CONSUMER SERVICES To provide to the farmers high quality in right time and in adequate quantities and with a package of modern agricultural practices, at the same time, maintaining reputation for fair business practices to further intensify promotional efforts for increased use of fertilizer and to maximize distribution of companys products within the areas covered by the company, consistent with govt. policy.

5. ORGANIZATION To develop & maintain an organizational environment for encouraging individual and group initiative and productivity and also sustain fair deal and human approach. 6. GROWTH To achieve reasonable and consistent growth in the business of manufacture and marketing of fertilizer and chemicals compat ible with needs of the market. To work out diversification/expansion schemes to increase company and meet the changing needs of the Customers. 7. OBLIGATION TO SOCIETY  To conduct the business of NFL in accordance with ethical and legal standards and  To undertake socio- economic activities, consistent with government policies, in order to generate good environment, in which the company operates.  To promote development of ancillary industries.  Under social welfare programmers, NFL had earlier adopted ten villages in the Baster district of MP, in these villages major thrust was given on social hygiene, adult education and civic amenitie s to bring about transformation in the life styles of tribal farming community. profitability of the

(8) INFORMATION TECHNOLOGY NL is fast moving towards paperless office. For achieving this objective, local area network (LAN) has been completed at all units and offices of the company. All the units and marketing offices have been connected through wide area network (WAN) WAN comprises of leased time connectivity from NOIDA t o all units and zonal offices. On line integrated web-based computerizations is in advance stage implementation. The computerizations cover Materials Management, Finance & Accounts, Human Resource and Management Information System. The company has its internet website www.nationalfertilizers.com and internet website for providing information to all concerned.

BATHINDA UNIT OF NFL Bathinda unit of national fertilizers Ltd is situated in Bathinda district of Punjab. The unit is situated 8 kms away from Bathinda city on Sibian road. Bathinda unit as one of the sites for fuel oil based plant was basically chosen from consumption point of view. The following factors were considered in view by govt. of India while selecting the site at Bathinda availability of land steady power supply in the vicinity of project availability of good quality water from the Sirhind Canal Bathinda to wn being conjunction of Punjab, Haryana & Rajasthan and all states having potential for fertilizer Consumption.

IMPLEMENTATION OF PROJECT To take up challenging job for completion of this project within a period Of 36 months from the zero date i.e. from 26.09.1974, the contracts were Signed with Toyo Engineering Corporation (TEC) & Engineers India Limited (EIL), well known Japanese & Indian consultancy companies Respectively.
Introduction about the HR department of NFL

In NFL, Bathinda there are 6 sections like: 1) 2) 3) 4) 5) 6) 7) 8) Transport Industrial relation and welfare Legal Medical and administration Public Relations Estate Establishment Hindi

1) Transport:Mr. A.K. Rana is in charge of this section. The section caters to the transport needs of the company. The company has 20 vehicles like 3 school buses, 1 matador, 2 ambulances, 2 ambassadors, 1 Maruti, Tata 407, 3 fire tenders, 2 jeeps, 4 motorcycles, 1 aut o crane, 1 tractor HMT. The company has taken some vehicles on contract basis. The matador is used to carry school children and to meet other local transportation requirements. In jeeps, one jeep is provided to deputy commissioner CISF and the other is provided to Assistant commissioner Fire for performance of their official duties. The ambulances have been used for carrying NFL patients from township to other local hospitals in the city. NFL has 3 Fire tenders which are used in case of fire in the plant as well as surrounding areas. Fire tenders are also provided to District Administration at their emergency call. The company has 4 motorcycles which have provided to inspect the CISF car performing their official duties. In addition to above NFL has hired motor vehicle on round the clock basis to meet the local transportation requirements and also provided on chargeable basis to NFL

employees for going to railway station etc. For the purposes of carrying school children NFL has also hired own buses from the c ontractor and an ambulance to carry patients from Bathinda to outstation hospitals at Ludhiana and Delhi. 2) Industrial Relations and Welfare:Mr. Vinod Mittal is looking after this section. The section comprises of various acts like ESIC Act, Factory Act 1948, Workmens Compensation Act, Trade Union Act, Industrial Disputes Act 1947 etc. the parties involved are:y National Fertilizers Limited(The Management) y National Fertilizers Employees Union(The Workers) y Government Authorities- The Labour Inspector, the Assistant Labour Commissioner and the Labour Commissioner. There is a Works Committee which is also known as Statutory Committee. In this the members are both from the workers and management side and have equal participation. Both the parties use their pressure or tactics to get their demands fulfilled like strikes, lockouts, gherao, agitation etc. the notice of at least 42 days is given before taking action. Postering is also one of the events of this program. 3) Legal:Mr. Karamchand Sharma is charged wi th the responsibility of seeing this section. It is one of the most important sections of the company. Every company is faced with the problem of conflicts or other such type of problems for which there is a need of a proper legal department that deals with the cases of all functional areas like HR, Finance, Marketing etc. all the case go through the Court Appeal Channel: Lower Court, District Court, High Court and Supreme court. It basically handles two types of cases like Civil and Criminal. Civil cases relate to payments, compensation and wages. Criminal cases relate to punishment, death and injuries. There are internal opinions, external cases and panel of advocates. First when any case arises, it is first sent to the companys legal advisor for giving the judgement and if it is not satisfied then it is sent to the outside bodies or it is moved into the court.

The company has its own panel of advocates or it can also go in for hiring the advocates from outside depending upon the stake in the company. Stake is the only determining factor for hiring the advocates fro m outside. In Bathinda unit there is only one legal officer that handles the cases of NFL. 4) Medical and Administration:Mr. R.K. Goel is in charge of this section. This section follows NFL Employees Medical Attendance and Treatment Rule. It is applicable to NFL employees, Trainees and their dependent family members. The section provides two types of treatments namely OPD treatment and indoor treatment. There are also various social security schemes like basic pay and DA, death benefit in which all employees contribute 25% of their incomes. The various security schemes of NFL are: Casual leaves Leave with wages Medical leaves Maternity leave for women Administration section is also looked after by Mr. R.K. Goel. Under this section there are four sub sections like general administration, dispatch, guest house and sanitation. General administration consists of infrastructure like chair, table, and telephone etc needs. The employees have been pr ovided with the facility of fax, Photostat, stamps, furniture, carpets, courier service etc along like motivating tools like suitcases, diaries. Dispatch section deals with the letters, mails, NIT (Notice Inviting Tender) that is needed for communication p urposes. Sanitation deals with cleanliness of washrooms and rooms etc. 5) Public Relations:The in charge of this section is Mr. Vikram Rawat. It is one of the vital functions of any business organisation. It is a link between the company and the public. This department is helpful in creating an image in the minds of the public. Company creates relation with other departments. If any meeting is held by a company then this department should be present

there. Every year Diwali Mela is held by PR department and the profit which is earned by the department is utilized for the welfare schemes. Momentos are provided to VIP visitors from PR section. The various functions of this department are:Plant visitIf any organisation visits the company for industrial visi t then it is the responsibility of PR department to welcome the organisation. Liasoning with MediaIt deals with print media, mass media, newspaper etc. every news that is given in the newspaper is a work of Public relations department. AdvertisementsIt deals with tendering the plant. An ad can be given in the newspaper either with the help of ad agency or by making direct contact with the media. If add is given through agency then 15% discount is given to agency but if it is made through direct contact then no discount is provided. PhotographyThe company has one quarterly magazine VANI in which every information is given related to every department of the organisation. All the units forward their information to the corporate office of the NFL in Noida and they see to it and pass the same to be printed in the magazine. It contains all activities like VIP visits; tree plantation etc. The magazine is common in all the units and has information of all units of NFL.

Diaries and calendarAll the employees of NFL are provided with 1 diary and 1 calendar which are also centralized in corporate office. All the printing of these diaries and calendar is done by the corporate office of NFL based in Noida.

6) Estate:Mr. Kamaldev is looking after this section. The section is basically concerned with the accommodation of employees in township area. Company has approximately 672 acres of land and there are A, B, C, D type of quarters and 1 GMs bungalow. The bungalow is given to units

head. The quarters are allotted to employees according to their basis salary and seniority basis. The quarters are semi furnished but bungalows are fully furnished. The maintenance of quarters is seen by company itself. The company also provides the facility of guest houses which are allotted to those who are not given houses as per their entitlement. Type A B C D Eligibility of quarters Below Rs. 5710/Basic pay Rs. 5710/- in the scale of 5550-160-8910 Basic pay Rs.11050/- in the scale of 10750-300-16750 Basic pay Rs. 5710/- in the scale of 14500-350-18700

The company has also provided the facility of Retention of companys accommodation Resignation- 1 month Transfer- 2 months Retire- 4 months Death- 6 months 7) Establishment:Mr. Hemant Gupta is looking after this section. This section deals with the service matters of the employees. The term service matter implies the entry of the employees in the organisation to the exit of the employees. It basically deals with the pay fixation and the appointment orders of the employees. The company has itself made its own rules and policies to deal with the various matters. All the personnel officers directly report to senior manager Mr. A.K. Narang. 8) Hindi:The most important department of the company is Hindi section which is looked after by Mr. Yashpal Singh. It follows a rule named as Official Language Rule 1976. The committee of Parliament on Official Language contains 30 members in which 20 are from Lok Sabha and 10 from Rajya Sabha. It reviews the progress made in the use of Hindi language in central government offices and submit the report to the President of India. Though Hindi Divas is on 14 th September but in NFL it is celebrated fro m 14th September to 30 th September.

Language wise division of regions: Region A- It includes all the Hindi speaking areas like Bihar, Haryana, Himachal Pradesh, U.P., M.P. etc Region B- It includes those regions which are both Hindi as well as Punjabi speaking like Punjab, Gujarat and Maharashtra. Region C- It includes the remaining regions like those of south. The company has to follow the rules related to the usage of Hindi Language and thats why they organise certain competitions in order to promote this language in the organisation. All the replies to the communications which are received in Hindi are made in Hindi only. Meetings are also held by the company in order to discuss on the various issues 2 times in a year.

IMPLEMENTATION OF THE PROJECT Commissioning of water filtration plant Commissioning of DM plant Commissioning of instrument air system Commissioning of boiler Ammonia production Urea production Commercial production started 15 -12-1976 04 -03-1977 13-03-1977 01-08-1977 28 -05-197 02 -06-1979 01-10-1979

INSTALLED CAPACITY Ammonia Ammonia (annual) Urea PROJECT COST The approved project cost of Bathinda unit is Rs. 239.30 crores with a foreign exchange component of Rs 67.87 crores. Foreign exchange was mainly met from Japanese yen credit. However, for certain equipments, foreign exchanges were met out of free foreign exchange and Dutch credit. REQUIREMENTS OF RAW MATERIAL Fuel oil/LSHS Coal 860 MT Day 19000 MT 900 MT/Day of ammonia 2, 97, 000 MT (330 stream days) 1550 MT /Day (330 stream days)

CORPORATE SOCIAL RESPONSIBLITY As a part of corporate social responsibility, NFL undertakes projects in areas in the vicinity of its units for development of villages such as educational facilities for children studying in schools, health camps, rural sports and civic amenities to bring about transformation in the life style of the rural folk. Companys marketing division has adopted about 60 villages throughout its marketing territory where social welfare programmes like health awareness campaigns, animal health camps, assistance to village schools, pr oviding safe drinking water, distribution of sewing machines to ST/SC women and poor widows, tricycles to handicapped etc are undertaken for the upliftment of villagers. Employees of the company have been contributing generously to Prime Ministers National Relief Fund to help the victims of natural calamities.

(As on 31.03.2011) 1.
Shri Satish Chandra Joint Secretary Government of India Department of Fertilizers Shastri Bhawan, New Delhi 110 001 Ms. Neeru Abrol National Fertilizers Ltd. Corporate Office, Noida (U.P.)

Chairman & Managing Director

2.

Director (Finance)

3.

Shri R.K .Aggarwal National Fertilizers Ltd. Corporate Office, Noida (U.P.) Capt. Pavan Kumar Kaul National Fertilizers Ltd. Corporate Office, Noida (U.P.)

Director (Technical)

4.

Director (Marketing)

Shri Tek Chand Company Secretary & Compliance Officer National Fertilizers Limited A-11, Sector-24, Noida-201301 Distt. Gautam Budh Nagar (U.P.)

Investors Complaints E-mail ID : investor@nfl.co.in

UNIT HEADS
Units Contact Person Tel Nangal Shri. B.G.Singh General Manager-I/c Tel. No. :01887-220543 (o) :01887-220510 (R) Fax Email Tel Shri. K.B. Verma Executive Director : 01887-220541 : bgsingh@nfl.co.in : 0164-2760200,2270220 (O) : 0164-2270137 (R) Fax Email Tel Shri. R. K. Bhatia Executive Director Fax Email Tel Shri S. M. H. Rizvi Executive Director : 0164-2270463,2760270 : kbverma@nfl.co.in : 0180-2652676,2652551 (O) : 0180-2665508.2666404 (R) : 0180-2652515,2652874 : rkbhatia@nfl.co.in : 07544-273101 (O) : 07554-273102 (R) Fax Email : 07544-273109 : smhrizvi@nfl.co.in

Bathinda

Panipat

Vijaipur

PLANTS

NFL Operating Plants are at:

National Fertilizers Limited,
Vijaipur, Distt. Guna, Madhya Pradesh-473111. Email: cc@nfl.co.in Fax : 07544 - 273089, 273109 Tel. : 91- 7544 - 273101, 273090

Vijaipur Plant

National Fertilizers Limited,

Gohana Road, Panipat, Haryana-132106. Email: nflpanipat@nfl.co.in Fax : 0180- 2652515 Tel. : 0180- 2652481 to 485, & 0180- 2655570
Panipat Plant

National Fertilizers Limited,

Sibian Road, Bathinda, Punjab-151003. Email: nfladm@nfl.co.in Fax : 0164- 2270463; 01642271270 Tel. : 0164- 2270220/2271200
Bathinda Plant

National Fertilizers Limited,

Naya Nangal, Distt. Ropar, Punjab-140126. Email: nangal@nfl.co.in Fax : 0187-220541 Tel.

Nangal Expansion Plant

FINANCIAL PERFORMANCE

NFL DEVELOPS NEEM-COATED UREA

National Fertilizers Limited (NFL), a premier manufacturer of Nitrogenous Fertilizers in the country, has made strides in developing a process for manufacture of Neem-Coated Urea on commercial scale. NFL has made efforts to harness unique properties of Neem in regulating release of Nitrogen to crops when mixed and applied with urea into soil and making available to farmers a more efficient Nitrogenous fertilizer in the form of its Neem-coated urea primarily based upon research work conducted by Scientists of Indian Agricultural Research Institute, New Delhi. Fertilizers being the costliest input required for commercial crops, it has always been endeavour of various agencies, including Government / Agriculture Universities and other Extension Agencies / manufacturers to develop various measures for enhancing nutrient use, efficiency of fertilizers and crop yields to sustain vital food chain and bring about economy in inputs costs. Since Urea is the richest source of Nitrogen Nutrient (46%N) among the prevalent fertilizers, it has drastically low Nitrogen use efficiency i.e. in the range of 20-40% when applied in low-land condition, particularly to Paddy crop as most of the Nitrogen is lost due to processes like leaching of urea with water, volatilization loss of ammonia and de -nitrification under reduced conditions. NFL, thus, has embarked upon development of Neem -Coated Urea

by using Neem oil water emulsion out of various combinations of mixing / coating of Neem material available. After carrying out extensive laboratory as well as field studies, NFL has found out that Neem-coated urea produced with a thin film of Neem oil -water emulsion of specified concentration has resulted in enhanced shelf -life, reducing caking of material during storage and increased nitrogen availability to crops at the time of their growth and hence significantly contributing towards better crop yields. It has further been reported that the process developed by NFL in producing Neem -coated urea involves marginally higher costs. (2) In order to test the efficacy of Neem-coated urea so developed, under the field conditions, NFL has laid 50 Field Demonstrations on Paddy crop during Kharif-2002 season, covering extensive area spreading up to Panipat, Rohtak and Karnal in the State of Haryana, Meerut and Muzaffarnagar in U.P. and Bathinda in Punjab. At Meerut / Muzaffarnagar, Panipat and Bathinda, demonstrations were laid under the expert guidance and supervision of Extension Wing / KSKs of respective Agriculture Universities. The results obtained under the general parame ters, including increase in yield, insect pest control and general crops stand have been very encouraging with an average savings to the farmers to the extent of around Rs.700/- per Acre by way of increased yields and reduction in expenses towards use of i nsecticides in Paddy crop. Besides above, NFL has distributed around 1,500 Tonnes of Neem-coated urea to farmers through its dealers network in Punjab & Haryana to adjudge general response of farmers as compared to normal urea being marketed by the Compan y. The general response obtained from the farmers indicated a healthy crop stand, reduction in insects / pest attacks and increase in yield, thus, reflecting a general appreciation for the new product developed by NFL. During the current Rabi season, NFL proposes to lay more Field Demonstrations on the farmers fields for crops like Sugarcane, Potato & Wheat with reduced doses of Nitrogen to the extent of 80% through NeemCoated Urea to compare with full recommended dose through normal urea and to establish benefits accrued thereupon in terms of increased productivity. NFL further proposes to distribute increased quantity of Neem-coated urea to farmers through its extensive dealers network in Punjab, Haryana & U.P. to further assess benefits of Neem-coated urea over normal urea with a view to economize on input costs to the advantage of farmers.

NFL has a proven track record of over two decades in the areas of Project Management, Plant operation and Maintenance etc. NFL provides its expertise in the areas of specialised services.

Maintenance of Rotary Equipments

Heavy Equipment Erection

NFL is well known for taking up assignments in India and abroad in the fields of: y y y y y y y y y y y y Commissioning Activities of Plant/ Equipments Heavy Equipment Erection supervision Complete operation of Chemical plants on a continuous basis Overall maintenance of plants; specialised maintenance and repair services/shutdown/turn around jobs. Special maintenance & repair services for rotatory equipment, like pumps, compressors, turbines etc. Energy Audits leading to energy savings Safety Audit Services Design and monitoring of Environment Protection Systems NDT, Corrosion and RLA services Laboratory Services Training of technical manpower in Operation Maintenance and Safety Management Consultancy in Project Management

Assignments Taken Abroad y Assistance in checking the operatability and maintainability of PETROBRAS Fertilizer Plant in Brazil and training of Specialist Welders. y Assistance in operation and maintenance of Ammonia and Methanol Complex of Gulf Petrochemical Industries Co., Bahrain. y Assistance in operation and maintenance of Ammonia Plant of NAPETCO, Libya through UNIDO.

NFL Provides expertise in the area of specialised services .

List of select Assignments & Clients. Undertaken By NFL in Past Years International Assignments Assignments Assistance in checking the operatability & maintainability of Fertilizer Plant & training of specialised Welders. Assistance in the operation & maintenance of Ammonia & Methanol complex plants. Assistance in the operation & maintenance of Ammonia Plant Commissioning supervision of three fuel oil based fertilizer plants in China. Assistance in the Commissioning of Ammonia/Urea plants. Organisation PETROBRAS fertilizer plant in Brazil. Gulf Petro chemical Industries Co., Bahrain. NAPETCO Libya (through UNIDO) China, through Toyo Engg. Corporation, Japan. Venezuela through M/s.Snam Progetti, Italy.

Contracts/MOU under negotiation with for Specialised Services

y y y

Engineers India Ltd. Petroleum India International National Productivity Council

Services Rendered in India

SERVICES RENDERED IN INDIA Assignments Carried Out Plant start-up commissioning, operation and Maintenance services. Organisations in India Gujarat Narmada Valley Corpn.Gujrat Hindustan Fertilizer Corpn.West Bengal Paradeep Phosphates Ltd. Orissa. Compressor Stations under SPIE-CAPAG /NKK/TOYO CONSORTIUM on HBJ gas pipeline. Operation of various Gas Stations of Gas Authority of India Ltd.(GAIL) Numaligarh Refineries Ltd.,Assam Indian Oil Refinery,Panipat,Haryana Haldia Petrochemicals, West Bengal through Toyo Engg.Corporation (TEC) Japan. Chambal Fertilizers, Gadepan through TEC Japan. Ministry of Programme Implementation Govt. of India. Fertilizer plants at National level.

Assistance in the preparation of comprehensive manual on project implementation. Formulation of Award Scheme for excellence in project implementation and formulation of Award scheme. Designing Incentive and Motivation Schemes. Preparation of Corporate Plan. Preparation of Corporate Plan. Services with regard to investigation of industrial accidents/ mis-haps, Organisation restructuring. Computerisation of maintenance system Assistance in the preparation of comprehensive manual on project implementation. Award Scheme for excellence in project implementation and formation of award scheme for excellence in annual performance.

Public Sector Fertilizer Companies in India. Paradeep Phosphates and Chemicals Ltd., (PPCL) Projects & Development India Ltd.

Hindustan Fertilizer Corporation New Delhi. A.P. Rayons Ltd., Andhra Pradesh. Ministry of Programme Implementation, Govt. of India. Fertilizer Companies at National level.

NFL IS THE PROUD RECIPIENT OF SEVERAL AWARDS IN VARIOUS AREAS

PRODUCTIVITY AWARDS AWARDS National Productivity Award for Bio Fertilizers FAI Award for Best Overall Performance of an Operating Nitrogenous Fertilizer unit Productivity Award by NPC

YEAR
2002-03

UNIT

Vijaipur

1999-00

Vijaipur

1997-98

Bathinda

Certificate of Merit from NPC

1997-98

Bathinda

Certificate of Merit by NPC

1996

Nangal

Commendation certificate for outstanding work in Energy Conservation by the Ministry of Power, Govt. of India Second Best Productivity Award by

1996

Vijaipur

1993-94

Panipat

Second Best National Productivity Award by National Productivity Council (NPC) Certificate for Productivity Improvement by National Productivity Council

1993-94

Panipat

1991-92

Bathinda

OTHER PRESTIGIOUS AWARDS & RECOGNITIONS AWARDS Golden Peacock Innovation Award from IOD, N. Delhi. National Energy Conservation Award from the Ministry of Power National Energy Management Award from CII Golden Peacock Innovation Award from IOD Energy Conservation Award from the Ministry of Power. Best Energy Conservation Implementation Gold Award by Institutional Green Land Society, Hyderabad. National Energy Conservation Award by Ministry of Power, G.o.I Udyog Excellence Gold Medal and Citation by Industrial Economic Forum, G.o.I Corporate Performance Award by Economic Times. First Prize in Excellence in Project Mgt. By Ministry of Program Implementation.

YEAR
2005

UNIT Panipat

2005

Vijaipur-I

2005

Vijaipur

2005

Panipat

2000

Vijaipur

1999-00

Panipat

1995

Vijaipur

1995

Bathinda

1993-94

NFL

1989

Vijaipur

POLLUTION CONTROL AWARDS AWARDS Silver Award for outstanding achievement in Environment Management by M/s Green tech Foundation, Hyderabad Madhya Pradesh State Level Annual award on Environment 11th Indira Gandhi Memorial National Gold Award for Environmental & Ecological Implementation Best Pollution Control Implementation Gold Award from International Green land Society, Hyderabad Environment Protection Award by Fertilizer Association of India Environment Protection Award by Fertilizer Association of India

YEAR
2004-05

UNIT

Vijaipur

1999-00

Vijaipur

1998-99

Vijaipur

1998-99

Vijaipur

1995-96

Vijaipur

1991-92

Vijaipur

SAFETY AWARDS AWARDS Prashansha Patra by National Safety Council of India Suraksha Puruskar for adopting Occupational Safety and Health Management Systems from NSC. Yogyata Praman Patra 2001 award by NSC National Safety Award 2002

YEAR
2005

UNIT

Vijaipur

2004

Bathinda

2003-04

Bathinda

2003-04

Nangal

National Safety Award 2002(Runner up) Punjab State Safety Award 2003

2003-04

Bathinda

2003-04

Nangal

Yogyata Praman Patra 2003

2003

Bathinda

Prashansa Puraskar 2000 award by NSC Haryana State Safety & Welfare Award

2000

Bathinda

1999-00

Panipat

National Safety Award

1999 & 2000

Bathinda

Yogyata Praman Patra by NSC, Mumbai

1998-99

Vijaipur

Safety awards (5 Nos.) by Punjab Govt.

1998 & 1999

Bathinda

Award for Excellence in Safety by FAI

1997-98

Nangal

Award from National Safety Council, USA

1997

Panipat

British Safety Council Safety Award

1997

Nangal

Award of Honour by NSC,USA

1996

Nangal

British Safety Council Award

1996

Nangal

Sarv Sresht Safety Award

1994 & 96

Vijaipur

Longest Accident Free Period by NSC, USA Longest Accident Free Man days by NSC, USA

1992

Nangal

1990

Panipat

EMPLOYEES SKILL AWARDS AWARDS Punjab State Krit Veer Award

YEAR
2003

UNIT Bathinda

Krit Veer Award to 1 employee by Punjab Govt. Vishwakarma Rashtriya Puraskar from the Ministry of Labour & Employment, G.o.I Krit Vir awards to 13 employees by Punjab Govt. Krit Vir awards to 13 employees by Punjab Govt. Vishwakarma Rashtriya Puraskar to three employees. Krit Award to 6 Employees by Punjab State Labour Deptt. Vishwakarma Rashtriya Puraskar to one Employee by Ministry of Labour, G.o.I Krit Vir Award to 5 employees by Punjab State Labour Deptt. Prime Ministers Shramvir Award to four employees for Unconventional repairs of Air Compressor Blades

2002

Nangal

1999

Bathinda

1995, 96 & 98

Bathinda

1995 & 1996

Nangal

1993

Bathinda

1993

Bathinda

1992

Nangal

2002

Nangal

1984

Panipat

ISO CERTIFICATIONS PLANTS / OFFICE

Vijaipur Plant

CERTIFICATION
ISO-9002/ISO-14001 ISO 9001:2000

AWARDED SINCE 1997-98/98-99 2003-04 1999-00/2000-01 2003-04 2004-05 2000-01/2001-02/03-04 2003-04 2003-04 2002-03 2001-02 2002-03

Panipat Plant

ISO-9002/ISO-14001 ISO 9001:2000 OHSAS-18001

Bathinda Plants

ISO-9002/14001/18001 ISO 9001:2000 OHSAS-18001

Nangal Plant

ISO 9001: 2000 ISO-14001

CO/CMO

ISO 9001:2000

The Cornerstone of NFL's meritorious track record is its human resource. At NFL, we firmly believe that our employees are our most valued resources. NFL has always been a forerunner in the fertilizer sector and this has been made possible through the company's thrust on human resources development. NFL offers a host of exciting career/opportunity to dynamic/young/qualified individuals in Production/Maintenance/Marketing/Finance and Human Relations. NFL has three induction levels Management Trainees/Technicians & Operator Apprentices & Commercial Apprentices. Developmental and functional programs based on training needs, as judged in the area of updation of technical supervisory and managerial skills along with specialized requirements from time to time. The services which have been developed in the a rea of Training and Development within the organization are readily available to other organizations within the laid policies and procedures of the Company.
Caring Organization

The Company's concern for its employees is reflected through its efforts in t he area of health, safety and welfare of its employees. NFL not only meets the statutory obligations, but has undertaken numerous voluntary measures beyond the statutory requirements. The Company has well equipped hospitals, canteens recreation clubs, housing facilities, schools and safe working environment. The onus of NFL's high production levels lies on harmonious and cordial industrial relations at all its manufacturing Units. The Company has not lost even a single man day on this account.
To cater to the needs of training and development, NFL has a well defined and well designed training plan. Major activities undertaken by HRD are:

Recruitment and Training of Trainees at various levels viz. officers, supervisors and workers.

Organizing of developmental and functional programs based on training needs, as judged in the area of updation of technical, supervisory and managerial skills along with specialized requirements from time to time. Imparting of training to people from other organisations within India and abroad. Formulate policies regarding manpower deployment on hire to other organisations within India and abroad. The services which have been developed in the area of Training and Development within the organisation are readily available to oth er organisations within the laid policies and procedures of the Company.

MANPOWER STATUS AS ON 28.02.2010

UNIT Total Employees Executives Non Executives

NANGAL BATHINDA PANIPAT VIJAIPUR CMO CO TOTAL PERCENTAGE

1510 873 904 842 458 173 4760

342 335 374 394 316 141 1902 40.02

1168 538 530 448 142 32 2858 59.98

The complete farmer satisfaction through best services is the drawing force of NFLs marketing, strategy. The Company has expanded its programme from improving the crop productivity at farm level to the overall development of the farming community. To provide to the farmers high quality products in the right time, NFL has an extensive and integrated marketing network. The Company provides comprehensive capsules of various fertilizer promotion activities, which includes agronomical programmes, use of extension media, publicity and farmer development programmes.

NFL's area of operation

Soil testing services are provided free of cost to the farmers to advocate the balanced use of fertilizers at economic levels. One mobile soil testing unit caters to the need of the remotest of remote farmers in far areas and provide technical guidance to the farmer at field level.

Soil testing services

Other farm services include fertilizer demonstration on cultivators fields, field days, fertilizer/farmers Mela, pilot project, adoption of villages etc. NFL also conducts various training programmes to educate the farmers on the balanced use of fertilizer and its timely application besides providing guidance on pesticide s & fungicides.

Educating the farmers

NFLs Farmer Training Centre at Vijaipur caters to the training needs of small and marginal farmers, particularly those belonging to tribal areas in the State of Madhya Pradesh. The training schedules are tailor made to suit the requirement of the farmers. To commemorate the 50th anniversary of Indias independence, the Company has undertaken a Sustainable Integrated Rural Development Programme, titled Sulabh, National Fertilizer Development Initiative fo r Tribal Areas (SUNADITA). The mission of the project is to help the farming community in eradicating poverty and empowering people with self sustaining process of economic well being.

KISAN UREA Kisan Urea is a highly concentrated, solid, nitrogenous fertilizer containing 46% of nitrogen. It is completely soluble in water; hence nitrogen is easily available to crops. It contains nitrogen in amider form which changes to ammonical form and is retrieved by soil colloides for longer duration. Urea is avail able in granular form and be applied by drill and broadcasting. Kisan Urea is ideally suitable for all types of crops and for foliar spray which instantly removes nitrogen deficiency. Kisan Urea also has a strong and long lasting effect on crop resulting i n bumper crops. Carbonic acid present in Kisan Urea helps in absorption of other nutrients like phosphate and potash by roots of crop.

FOOD GRAINS Rice Wheat Millets Jawar Bajra Maize HORTICULTURE Apple Banana Grapes Mangoes Orange Papaya Pineapple

CASH CROPS Sugarcane Cotton Jute Fodder

VEGETBLES AND OIL SEEDS Castor Cotton Seeds Groundnut Mustard Sunflower Sesame Soya been Onion Potatoes Tomatoes Mushroom Cabbage Cauliflower

NFL has a long tradition of nurturing the environment in and around its manufacturing Units. At NFL, we believe in sustainable development without degrading the environment and are fully committed to our responsibility to the Society. In line with our commitment to this object, we have installed with state of art effluent treatment facilities at all our Units. At NFL Vijaipur the Company has adopted cleaner technology to minimise generation of pollutants.

All the pollutants generated in the manufacturing process are treated at source and pollution control schemes have been incorporated at the inception stage itself. NFL meets the standards prescribed by the Central and State Pollution Control boards and ensures that our Pollution Control measures are upgraded from time to time. The major facilities available at NFL's operating Units are : a) b) c) d) e) Installation of NOX Abatement Scheme along with associated sodium nitrite/nitrate plants for Nitric Acid Plant at Nangal. Provision of Thermal Urea Hydrolyser at Nangal. Facilities for cyanide and chromate treatment of effluent from carbon recovery and cooling towers sections at Nangal. Provision of acoustic granulators for reducing dust emissions from Prilling towers at Panipat & Bathinda. Provision of additional electrostatic precipitators on all the coal fired boilers at Panipat, Bathinda and Nangal.

The Company has also adopted an extensive Affo restation programme and has planted more than 1.5 lakh trees of different species. The once barren stretch of land around NFL Vijaipur Unit in Madhya Pradesh is now a lush green belt with about 1.5 lakh trees-which stands testimony to the Company's Commitment to environment preservation.

ENVIRONMENTAL POLICY:NFL is committed to achieve Pollution Free Environment and Balanced Ecology by adopting Environmental Management System through: 1) Environmental Management System as Corporate Policy with continued efforts for improvement. 2) Training and Motivation of employees including contractors for awareness on environment and ecology. 3) Assessing environmental aspects before starting a new project or scheme and before decommissioning any installed capacity. 4) Advising and educating customers in the safe use, transportation, storage and disposal of products sold by the company. 5) Operation of manufacturing plants and utilities in efficient manner to minimise the waste generation and consequent adverse environmental impact. 6) Improvement and development in process technology. 7) Development and maintenance of emergency management plants. 8) Conducting regular environmental audits and compliance with the Statutory and legal requirements.

QUALITY POLICY:NFL is committed to serve the farming community and other customers to their satisfaction by manufacturing and marketing high quality fertilizers and industrial products through: Process improvement and development. Economy in use of inputs and optimization of utilization efficiency. Safety of plant and personnel. R&D activities for energy saving and process improvement. Pollution control and ecological balance. Organizational environment of group initiative, innovation and productivity. 7) Human resource development. 8) Compliance with statutory laws and regulations. 1) 2) 3) 4) 5) 6)

SAFETY, HEALTH AND ENVIRONMENT POLICY:National Fertilizers Limited Bathinda is totally committed to conduct all its activities in harmony with society and nature without compromising on the health and safety of employees as well as the people living around the complex. A full-fledged Safety, Health and Environment protection department has been set up in the unit to achieve fulfilment of its statutory obligations concerning prevention of personal injuries, maintain ing safe working conditions and protection of environment. For effective implementation of the Safety, Health and Environment(SHE) policy, the following steps have been incorporated in the working system: 1) All concerned departments/sectional heads shall be responsible to comply with statutory requirements and to maintain safety of the plant, man, machinery and environment. 2) Each and every employee shall observe the safe system of work and follow proper safety work permit system while carrying out maintenance jobs inside the factory. 3) Workers shall be encouraged to participate in the suggestion schemes, good housekeeping competitions and celebration of National Safety Day and Fire Service Day. 4) A Central Safety Committee shall be constituted with proper representation from workers and management for monitoring and improving health and safety standards of all the employees and their families.

5) Safety consciousness of employees shall be evaluated in their appraisal report. 6) All contractors, sub-contractors, transporters and other agencies entering NFL premises for executing any work shall be instructed to follow prescribed safety procedure framed by the company. It shall also form part of their contract work order. 7) Safety, Health and Environment performance shall be co vered suitably in the annual report of the company. 8) Safety Audits and Risk Analysis shall be carried out at regular intervals and recommendations of the audit team shall be implemented. 9) While procuring plant and equipment machinery, Safety, Health and Environmental aspects shall be given due priority. 10) Mental as well as physical fitness of all the employees shall be ensured. Periodical medical check up of all employees shall be carried out. 11) Responsibility and accountability of employees towards safety, health and environment shall be raised by providing appropriate information and training through Safety literature, instructions and other different forms of media for continual improvement and development of their Safety, Health and Environment standards.

LOGO OF NATIONAL FERTILIZERS LIMITED

CHAPTER- 2

INTRODUCTION

TO

PROJECT

EMPLOYEE WELFARE
Welfare includes anything that is done for the comfort and improvement of employees and is provided over and above the wages. Welfare helps in keeping the morale and motivation of the employees high so as to retain the employees for longer duration. The welfare measures need not be in monetary terms only but in any kind/forms. Employee welfare includes monitoring of working conditions, creation of industrial harmony through infrastructure for health, industrial relations and insurance against disease, accident and unemployment for the workers and their families. Employee welfare entails all those activities of employer which are directed towards providing the employees with certain facilities and services in addition to wages or salaries. In general these are the benefits that an employee must receive from his/her company, like allowances, housing for those companies which provide transportation, medical, insurance, food and some other way where the employee has right to demand. Employee welfare defines as efforts to make life worth living for workmen. These efforts have their origin either in some statute form formed by the state or in some local custom or in collective agreement or in the employers own initiative. PRINCIPLES OF EMPLOYEE WELFARE SERVICE The principles which are to be followed in setting up a employee w elfare service are as follows: The service should satisfy real needs of the workers. This means that the manager must first determine what the employees real needs are with the active participation of workers.  The service should be such that can be handl ed by cafeteria approach. Due to the differences in sex, age, marital status, number of children, type of job and the income level of employees, there are large differences in the choice of a particular benefit. This is known as the cafeteria approach. Such an approach individualises the benefit system, though it may be difficult to operate and administer.  The employer should not assume a benevolent posture.

 The cost of the service should be calculated and its financing should be established on a sound basis.  There should be periodical assessment or evaluation of the service and necessary or timely action should be taken on the basis of feedback. The purpose of the benefits is to increase the economic security of the employees.

Types of Employee Welfare Services

Safety Services Prevention of accidents is an objective which requires no explanation.

The costs of accidents are enormous in suffering to the injured, in reduction or loss of earnings, in disabilities and incapacities which afflict those involved and in compensation, insurance and legal costs, in lost time, filling in reports and attending to enquiries, and in spoilage of materials, equipment and tools to management. Accidents are the consequenc e of two basic factors: technical and human. Technical factors include all engineering deficiencies, related to plant, tools material and general work environment. Thus, for example, improper lighting, inadequate ventilation, poor machine guarding and c areless housekeeping are some hazards which may cause accidents. Human factors include all unsafe acts on the part of employees. An unsafe act is usually the result of carelessness. Young and new employees, because of their difficulty in adju sting to the work situation and to life in general, also have many more accidents than do old and nature workers.
The Phenomenon of Accident Proneness . Some persons believe wrongly in the theory that certain individuals are accident prone, that is , they have some personality trait as opposed to some characteristic of the environment which predisposes them to have more accidents than others in work condition where the risk of hazards is equal to all.

Components of a Safety Service Among the many components of a safety service the following have proved effective when applied in combination:
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Appointment of safety officer In big organizations, the appoint ment of a safety officer to head t he safety department is a must. In small organizations, the personnel manager may look after the functions of this department. The head of the safety department, who is usually a staff man, is granted power to inspect the plant for unsafe condition, to promote sound safet y practices (through posters and safety campaigns), to make safety rules, and to report violations to the plant manager. Support by line management The head of the safety department, whether enjoying a staff or a functional position, by him, cannot make a plan safe. His appointment lulls line management into assuming that all its safety problems have been solved. Elimination of hazards Although complete elimination of all hazards is virtually an

impossibility but following steps can be taken to help reduce them:

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Job safety analysis All job procedures and practices should be analysed by an expert to discover hazards. He should then suggest changes in their motion patterns, sequence and the like. Placement A poorly placed employee is more apt to incur injury than a properly placed employee. Employees should be placed on jobs only after carefully estimating and considering the job requirements with those which the individual apparently possesses.

Personal protective equipment Endless variety of personal safety equipment is available nowadays which can be used to prevent injury. Safeguarding machinery Guards must be securely fixed to all power driven machinery.

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Materials handling Though often ignored, the careless handling of heavy and inflammable materials is an important source of several injuries and fire. Hand tools Minor injuries often result from improperly using a good tool or using a poorly designed tool. Therefore, close supervision and instruction should be given to the employees on the proper tool and its usage . Safety training, education and publicity Safety training is concerned with developing safety skills, whereas safety education is concerned with increasing contest programmes, safety campaigns, suggestion awards, and various audiovisual aids can be considered as diffe rent forms of employee education. Safety inspection An inspection by a trained individual or a committee to detect evidence of possible safety hazards (such as poor lighting, slippery floors, unguarded machines, faulty electrical installations, poor work methods and disregard of safety rules) is a very effective device to promote safety. Health Services The prevention of accident constitutes only on segment of the fun ction of employee maintenance. Another equally important segment is the employees general health, both physical and mental. There are two aspects of industrial health services :-

 Preventive  Curative The former consists of pre-employment and periodic medical examination, removal or reduction of health hazards to the maximum extent possible, Surveillance over certain classes of workers such as women, young persons and persons exposed to special risks. Counselling Services An employee very often comes across problems which have emotional content. For example, he may be nea ring retirement and feeling insecure or he may be getting promotion and feeling hesitant to shoulder increased responsibility or he may be worried due to some family problem.

Employee Welfare in India

The chapter on the Directive Principles of State Policy in our Constitution expresses the need for labour welfare thus:  The State shall strive to promote the welfare of the people by securing and protecting as effectively as it may a social order in which justice, social, economic and political , shall inform all the institutions of the national life.  The State shall, in particular, direct its policy towards securing:  That the citizens, men and women equally, have the right to an adequate means of livelihood;  That the ownership and control of the material resources are so distributed as to sub serve the common good. o The State shall make provision for securing just and humane conditions of work and for maternity relief. Factories Act, 1948 The principal Act to provide for various labour welfare measures in India is the Factories Act, 1948. The Act applies to all establishments employing 10 or more workers where power is used and 20 or more workers where power is not used, and where a manufacturing process is being carried on.
Employee Welfare Officer Section 49 of the factories act provides that in every factory wherein 500 or more workers are ordinarily employed the employer shall appoint at least one welfare officer.

The welfare officer should possess; (i) a university degree; (ii) degree or diploma in social service or social work or social welfare from a recognized institution; and (iii) adequate knowledge of the language spoken by the majority of the workers in the area where the factory is situated. Supervision Counselling workers Advising management Establishing liaison with workers Working with management and workers to improve productivity. Working with outside public to secure proper enforcement of various acts.

y y y

Health of Employees Cleanliness. Every factory shall be kept clean by daily sweeping or washing the floors and work rooms and by using disinfectant where necessary. Disposal of wastes and effluents. Effective arrangements shall be made for the disposal of wastes and for making them innocuous. Ventilation and temperature. Effective arrangements shall be made for ventilation and temperature so as to provide comfort to the workers and prevent injury to their health.

Dust and fume. Effective measures shall be taken to prevent the inhalation and accumulation of dust and fumes or other impurities at the work place. Artificial humidification. The State Government shall make rules prescribing standard of humidification and methods to be adopted for this purp ose. Overcrowding. There shall be in every work room of a factory in existence on the date of commencement of this act at least 9.9cubic meters and of a factory built after the commencement of this act at least 4.2 cubic meters of space for every employee. Lighting. The State Government may prescribe standards of sufficient and suitable lighting. Drinking Water. There shall be effective arrangement for wholesome drinking water for workers at convenient points. Latrines and urinals. There shall be sufficient number of latrines and urinals, clean, well-ventilated, conveniently situated and built according to prescribed standards separately for male and female workers. Spittoons. There shall be sufficient number of spittoons placed at convenient places in the factory.

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Safety of Employees Fencing of machinery. All dangerous and moving parts of machinery shall be securely fenced. Screws, bolts and teeth shall be completely encased to prevent danger. Work on or near machinery in motion. Lubrication or other adjusting operation on moving machinery shall be done only by a specially trained adult male worker. Employment of young persons on dangerous machines. No young person shall be allowed to work on any dangerous machine (so prescribed by the state government) unless he is sufficiently trained or is working under the supervision of knowledgeable person. Device for cutting off power. Suitable device for cutting of power in emergencies shall be provided. Hoists and lifts. These shall be made of good material and strength, thoroughly examined at least once in every six months and suitably protected to prevent any person or thing from being trapped.

Welfare of Employees Chapter V of the factories Act contains provisions about the welfare of employees. These are as follows:
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There shall be separate and adequately screened washing facilities for the use of male and female employees. There shall be suitable places provided for clothing not worn during working hours and for the dying of wet clothing. There shall be suitable arrangement for all workers to sit for taking rest if they are obliged to work in a standing position. There shall be provided the required number of first -aid boxes or cupboard (at the rate of one for every 150 workers) equipped with the prescribed contents readily available during the working hours of the factory. The State Government may make rules requiring that in any specified factory employing more than 250 employees a canteen shall be provided and maintained by the occupier for the use of the employee. There shall be provided sufficiently lighted and ventilated lunch room if the number of employees ordinarily employed is more than 150. Restrictions in the Factories Act on the employment of young persons: 1. Prohibition as to employment of children (Section 67) No child who has not completed his fourteenth year shall be required or allowed to work in any factory.

2. Employment of Children and Adolescent (Sec tion 68) A child who has completed his fourteenth year or an adolescent shall not be required or allowed to work in any factory unless following conditions are fulfilled:

 The manager of the factory has obtained a certificate of fitness granted to such young  While at work, such child or adolescent carries a token giving reference to such certificate. 3. Certificate of fitness (Section 69) Before a young person is employed in the factory, a certifying surgeon has to certify that such person is fit for that work in the factory.
Welfare Funds In order to provide welfare facilities to the workers employed in mica, iron, ore, manganese ore and chrome ore, limestone and dolomite mines and in the beedi industry, the welfare funds have been esta blished to supplement the efforts of the employers and the State Government under respective enactments.

The welfare measures financed out of the funds relate to development of medical facilities, housing, supply of drinking water, support for education of dependents and recreation, etc. Voluntary Benefits Benefits are also given voluntarily to workers by some progressive employers. These include loans for purchasing houses and for educating children, leave travel concession, fair p rice shops for essential commodities and loans to buy personal conveyance. Machinery Connected with Employee Welfare Work
1. Chief inspector of Factories It is the duty of the Chief inspector of factories (who generally works under the administrative control of the labour commissioner in each state) to ensure enforcement of various provisions of Factories Act i8n respect of safety, health and welfare of workers. 2. Central Labour Institute The institute was set up in Bombay in 1966 to facilitate the proper implementation of the Factories Act, 1948; to provide a centre of information for inspectors, employers, workers and others concerned with the well being of industrial labour and to stimulate interest in the application of the principles of industrial safety, health and welfare.

3. National Safety Council The National Safety Council was wet up on 4th March, 1966 in Bombay at the initiative of the Union Ministry of Labour and Rehabilitation, Government of India, as an autonomous national body with the objective of generating developing and sustaining a movement of safety awareness at the national level. 4. Director General of Mines Safety The Director General of Mines Safety enforces the Mines Act, 1952. He inspects electrical installation and machinery provided in the mines and determines the thickness of barriers of 2 adjacent mines in order to prevent spread of fire and danger of inundation. Appraisal of Welfare Services  One of the main obstacles in the effective enforcement of the welfare provisions of the Factories Act has been the quantitative and qualitative inadequacy of the inspection staff.  At present, a labour welfare officer is not able to enforce laws independently because he has to work under the pressure of management.  Women workers do not make use of the crche facilities either because they are dissuaded by the management to bring their children with them or because they have to face transport difficulties. National Commission on Employee Recommendations  The statutory provisions on safety are adequate for the time being effective enforcement is the current need.  Every fatal accident should thoroughly be enquired into and given wide publicity among workers.  Employers should play a more concerted role in safety and accide nt prevention programme and in arousing safety consciousness.  Safety should become a habit with the employers and workers instead of remaining a mere ritual as at present.  Unions should take at least as much interest in safety promotion as they take in claims for higher wages.

SOCIAL SECURITY The connotation of the term Social Security varies form country to country with different political ideologies. In socialist countries, the avowed goal is complete protection to every citizen form the cradle to the grave.

There are some components of Social Security: Medical care  Sickness benefit  Unemployment benefit  Old-age benefit  Employment injury benefit  Family benefit  Maternity benefit  Invalidity benefit and  Survivors benefit Social Securities may be of two types  Social assistance under which the State finances the entire cost of the facilities and benefits provided.  Social insurance, under the State organizes the facilities financed by contributions from the workers and employers, with or without a subsidy from the state. Social Security in India At present both types of social security schemes are in vogue in our country. Among the social assistance schemes are the most important.


The social insurance method, which has gained much wider acceptance than the social assistance method, consists of the following enactment s. The workmens Compensation Act, 1961. The Employees State Insurance Act, 1948. The employees State Insurance Act, 1948. The Maternity Benefit Act, 1961. Employees compensation Act, 1923 a. Coverage . This Act covers all workers employed in factories, mines, plantations, transport undertakings, construction works, railways, ships, circus and other hazardous occupations specified in schedule II of the Act. The Act empowers the State Government to extend the coverage of the Act by adding any hazardous occupation to the list of such occupations is schedule II.

 Administration. The Act is administered by the State Government which appoints Commissioners for this purpose under sec. 20 of the Act.  Benefits. Under the Act, compensation is payable by the employer to a workman for all personal injuries caused to him by accident arising out of and in the course of his employment which disable him for more than 3 days. 2. Employees State Insurance Act, 1948 1. Other than seasonal factories, run with power and employing 20 or more workers. 2. Administration. The Act is administered by the ESI Corporation, an autonomous body consisting of representatives of the Central and State Governments, employers, employees, medical profession and parliament. 3. Benefits. The Act, which provides for a system of compulsory insurance, is a landmark in the history of social security legislation in India. 1. Medical Benefit. An insured person or (where medical benefit bas been extended to his family) a member of his family who requires medical treatment is entitled to receive medical benefit free of charge. 2. Sickness Benefit. An insured person, when he is sick, is also entitled to get sickness benefit at the standard benefit rate corresponding to his average daily wage. 3. An insured woman is entitled to receive maternity benefit (which is twice the sickness benefit rate) for all days on which she does not work for remaining during a period of 12 weeks of which not more than 6 weeks shall precede the expected date of confinement. 4. The Act makes a three-fold classification of injuries in the same way as is done in the workmens compensation Act. 5. Dependants Benefit. If an insured person meets with an accident in the course of his employment a dies as a result thereof, his dependants, i.e. his widow, legitimate or adopted sons and legitimate unmarried daughters get this benefit. 3. The Maternity Benefit Act, 1961 Maternity benefit is one of the important benefits provided under the Employees State Insurance Act, 1948. Another important legislation in this respect is the Maternity Benefit Act, 1961. The Act covers only those persons who are not covered by the Employees State Insurance Act. The Act entitles a woman employee to claim maternity leave from her employer if she has actually worked for a period of at least 160 days in the 1 2 months immediately

preceding the day of her expected delivery. The act further provides for the payment of medical bonus of Rs. 250 to the confined woman worker. The committee on the status of women in India 1974 has, therefore, recommended the following changes in the Act: 1. The administration of the fund should follow the pattern already established by the ESIC. 2. For casual labour a minimum of 3 months of service should be considered as qualification service for this benefit. 3. This will provide greater incentive to women workers to participate in trade union activities. 1. The Payment of Gratuity Act, 1972 2. Coverage. The Act applies to every factory, mine, oilfield, plantation, port and Railway Company and to every shop or establishment in which 10 or more persons are employed, or were employed, on any day of the preceding 12 months. 3. Administration. The Act is administered by a controlling authority appointed by the appropriate Government. 4. Benefits. Under the Act gratuity is payable to an employee on the termination of his employment after he has rendered continuous service for not less than five years. The completion of continuous service of five years is, however, not necessary where the termination of the employment is due to death or disablement Gratuity is payable at the rate of 15 days wages based on the rate of wages last drawn by the employee for every complete year of service or part thereof in excess of six months. But the amount of gratuity payable to an employee shall not exceed Rs. 3.5 lakh. 5. Source of Funds . Under the Act gratuity is payable entirely by the Employer. For this purpose is required either (i) to obtain insurance with the Life Insurance Corporation, or (ii) to establish a gratuity fund. Thus it is his liability to pay the premium in the first case to make the contribution in the second case. Employee welfare has the following objectives: 1. To provide better life and health to the workers . 2. To make the workers happy and satis fied. 3. To relieve workers from industrial fatigue and to improve intellectual, cultural and material conditions of living of the workers.

The basic features of employee welfare measures are as follows: 1. Employee welfare includes various facilities, services and amenities provided to workers for improving their health, efficiency, economic betterment and social status. 2. Welfare measures are in addition to regular wages and other economic benefits available to worke rs due to legal provisions and collective bargaining. 3. Employee welfare schemes are flexible and ever -changing. New welfare measures are added to the existing ones from time to time. 4. Welfare measures may be introduced by the employers, government, employees or by any social or charitable agency. 5. The purpose of employee welfare is to bring about the development of the whole personality of the workers to make a better workforce.

The very logic behind providing welfare schemes is to create efficient, healthy, loyal and satisfied labour force for the organization. The purpose of providing such facilities is to make their work life better and also to raise their standard of living. The important benefits of welfare measures can be summarized as follows:
y y

y y

They provide better physical and mental health to workers and thus promote a healthy work environment . Facilities like housing schemes, medical benefits, and education and recreation facilities for workers families help in raising their standards of living. This makes workers to pay more attention towards work and thus increases their productivity. Employers get stable labour force by providing welfare facilities. Workers take active interest in their jobs and work with a feeling of involvement and participation. Employee welfare measures increase the productivity of organization and promote healthy industrial relations thereby maintaining industrial peace. The social evils prevalent among the labours such as substance abuse, etc are reduced to a greater extent by the welfare policies.

The employee welfare schemes can be classified into two categories viz. statutory and non-statutory welfare schemes. The statutory schemes are those schemes that are compulsory to provide by an organization as compliance to the laws governing employee heal th and safety. These include provisions provided in industrial acts like Factories Act 1948, Dock Workers Act (safety, health and welfare) 1986, Mines Act 1962. The non statutory schemes differ from organization to organization and from industry to industr y.

STATUTORY WELFARE SCHEMES

The statutory welfare schemes include the following provisions: 1. Drinking Water: At all the working places safe hygienic drinking water should be provided. 2. Facilities for sitting: In every organization, especially factories, suitable seating arrangements are to be provided. 3. First aid appliances: First aid appliances are to be provided and should be readily assessable so that in case of any minor accident initial medication can be provided to the needed employee. 4. Latrines and Urinals: A sufficient number of latrines and urinals are to be provided in the office and factory premises and are also to be maintained in a neat and clean condition. 5. Canteen facilities: Cafeteria or canteens are to be provided by the employer so as to provide hygienic and nutritious food to the employees. 6. Spittoons: In every work place, such as ware houses, store places, in the dock area and office premises spittoons are to be provided in convenient places and same are to be maintained in a hygi enic condition. 7. Lighting: Proper and sufficient lights are to be provided for employees so that they can work safely during the night shifts. 8. Washing places: Adequate washing places such as bathrooms, wash basins with tap and tap on the stand pipe are prov ided in the port area in the vicinity of the work places. 9. Changing rooms: Adequate changing rooms are to be provided for workers to change their cloth in the factory area and office premises. Adequate lockers are also provided to the workers to ke ep their clothes and belongings. 10. Rest rooms: Adequate numbers of restrooms are provided to the workers with provisions of water supply, wash basins, toilets, bathrooms, etc.

NON STATUTORY SCHEMES

Many non statutory welfare schemes may include the following: 1. Personal Health Care (Regular medical check -ups): Some of the companies provide the facility for extensive health check -up 2. Flexi-time: The main objective of the flexitime policy is to provide opportunity to employees to work with flexible working schedules . Flexible work schedules are initiated by employees and approved by management to meet business commitments while supporting employee personal life needs 3. Employee Assistance Programs: Various assistant programs are arranged like external counselling service so that employees or members of their immediate family can get counselling on various matters. 4. Harassment Policy: To protect an employee from harassments of any kind, guidelines are provided for proper action and also for protecting the aggrieved employee. 5. Maternity & Adoption Leave: Employees can avail maternity or adoption leaves. Paternity leave policies have also been introduced by various companies. 6. Medi-claim Insurance Scheme: This insurance scheme provides adequate insurance coverage of employees for expenses related to hospitalization due to illness, disease or injury or pregnancy. 7. Employee Referral Scheme: In several companies employee referral scheme is implemented to encourage employees to refer friends and relatives for employment in the orga nization.

WELFARE SCHEMES OFFERED BY NFL

SPECIAL DEATH BENEFIT SCHEME

In order to provide better security to the employees of NFL, Bathinda Unit, in the event of death of any employee, due to any reason during service, all employees of NFL, Bathinda Unit contribute an amount of Rs. 60/ - each from their salary and the total amount so collected is paid to the nominee of the deceased employee.
BENEVOLENT SCHEME

In terms of the Benevolent Scheme, in the event of death of an employee of NFL, under any circumstances during service, all employees of the Company contribute an amount of Rs. 25/- each from their salary and the total amount so collected is paid to the wi dow / widower of the deceased employee. There is, however, no contribution from the Management side. The said Scheme was introduced in NFL w.e.f. 1 st November 1994.
SPECIAL WELFARE FUND SCHEME

A Special Welfare Fund has been constituted for undertaking welfare projects in the neighborhood of the Company's Offices or for giving relief to hard cases inside the establishment. All employees contribute @ Rs. 5/ - p.m. towards this fund with matching grant by the Management subject to minimum of Rs. 1000/ p.m. for each Unit / office (Revised contribution is w.e.f. 1.10.2009). A Managing Committee consisting of representatives of Management and employees administers the fund.

SELF INSURANCE OF OUTSTANDING HOUSE BUILDING ADVANCE

A self Insurance Scheme for the purpose of providing insurance cover for outstanding HBA and interest due thereon is in vogue in the Company within the following parameters:a) Employees who have taken HBA from the Company, contribute @ Rs. 2/per one thousand per annum w.e.f. 1.4.2000 on the amount of HBA outstanding and interest due thereon in her name as on 1 st April of each financial year, which is recoverable in 12 equal monthly instalments from the salary of employees. b) The fund so generated is utilized to meet the liability of the deceased employee towards repayment of HBA and interest accrued thereon. c) For matching contributions on behalf of company, necessary accounting adjustments are carried out at Corporate Office at the time of death of an employee with regard to the outstanding amount of HBA along with interest thereon by debiting Company's share to the respective Unit/Office. d) The fund is managed by a Governing body comprising of representatives o f Management, Officers' Associations and recognized Unions. e) The said Scheme was introduced in the Company w.e.f. 1.4.1992.
RELIEF MEASURE TO THE FAMILIES OF THE DECEASED EMPLOYEES IN CASE OF DEATH / PERMANENT TOTAL DISABLEMENT WHILE IN SERVICE

a) In the event of death of an employee at any place, other than at the Plant while on duty, the Company should arrange for the transportation of the body.

b) An amount of Rs. 2500/- shall be payable to the family of the deceased employee as "Funeral Expenses". c) All dues should be settled and paid within 15 days from the date of death of the employee. d) The Company has introduced a Social Security Scheme, w.e.f. 11.12.1998. The existing scheme of providing compassionate employment to the dependents of the deceased employee on account of permanent total disablement / death / retirement on account of permanent while in service of the Company shall cease to operate retrospectively w.e.f.11.12.1998. The details of the said Scheme are as under:

NFL'S SOCIAL SECURITY SCHEME OBJECTIVE

To provide financial benefit to an employee / nominee of the deceased, as the case may be, in the event of death / permanent total disablement / retirement on medical grounds.
ELIGIBILITY

All regular employees (both executives & non-executives) including Company Trainees appointed against regular posts, who die while in service or suffer permanent total disablement and cease to be in employment with the company or are discharged from services by NFL because of permanent total disa bility on medical grounds, on or after the date of implementation of the scheme.
EFFECTIVE DATE

The Scheme shall come into force w.e.f. 11.12.1998. The existing Scheme of providing compassionate employment to the dependents of the deceased employees on account of permanent total disablement / death / retirement on

medical grounds while in service of the Company shall cease to operate w.e.f. 11.12.1998.
BENEFITS UNDER THE SCHEME

a) On separation from the service of the Company on account of permanent total disablement / death / retirement on medical grounds, the employee / beneficiary shall be provided lump sum benefit equivalent to Basic Pay + DA (restricted to Rs. 15000/- p.m.) for 50% of the left over months of service limited to 60 months pay, whichever is less, to be released in a phased manner subject to tax deduction under the Income Tax Law. b) The minimum amount payable to the beneficiary under the scheme will be Rs.1.00 (one) lakh irrespective of left over service.
RELEASE OF PAYMENTS

The payment under the Scheme /shall be released, in a phased manner, as indicated below:

1st Year 2nd Year 3rd Year 4th Year

40% of admissible amount 20% of admissible amount 20% of admissible amount 20% of admissible amount

In the first year, the beneficiary shall be paid 40% of the admissible amount or Rs. 1.00 lakh whichever is more. Balance amount shall be paid in three equal annual installments, subject to tax deduction under the Income Tax Law.

CONDITIONS FOR BEING A BENEFICIARY UNDER THE SCHEME

The benefit under the SCHEME shall not be extended in the following circumstances: i) Outstanding loans / advances and other dues, if any, taken by the employee from the Company have not been repaid/settled. ii) Company's quarter, if allotted, has not been vacated.
GENERAL

a) Clarifications to these rules, as and when required shall be issued by Personnel Deptt. at Corporate Office suo-moto or on reference received from any of the Unit/Office; b) Where any doubt arises as to the interpenetration of these rules, it shall be referred to Corporate Office for decision which would be final and binding.
REVIEW

The Management reserves the right to withdraw the whole or an y part of the Scheme. It will also have the right to curtail or expand the benefit under the Scheme, at its sole discretion at any time.
GROUP SAVING LINKED INSURANCE SCHEME

a) The Group Saving Linked Insurance Scheme (GSLIS) of LIC has been introduced in all Units/Office of the Company providing coverage of insurance amount ranging from Rs.1.20 Lakh to Rs. 4.00 lakh in the event of death of an employee. The Scheme provides for a monthly contribution of the total sum insured, out of which 35% is appropriated towards risk for insurance cover and 65% is credited to Savings Portion. b) In the event of unfortunate death of a member covered under the Scheme, the nominee becomes entitled for Life Insurance benefit as applicable to the member's category plus the amount accumulated with interest in the saving fund account of the member.

c) In the case of survival up to the normal retirement date or early withdrawal by resignation or termination of service, the total accumulated amount in the savings portion with interest lying to the credit of the member in the saving fund account becomes payable. d) The contributions paid under the Scheme are eligible for exemption under the Income Tax Act, 1961 (Section 88.) The Maturity proceeds or claims amount are also free from Income Tax. The contributions are payable on monthly basis through deduction from employee's salary.

WELFARE EXCURSION SCHEME

Two Excursion Trips in a Calendar year are arranged by the Club at Units. However, at Mktg. Division & Corporate Office, where there are no clubs, such excursion trips are arranged by the concerned Welfare / Industrial Relations Department. Under the Scheme, the places to be visited during such Excursion trips are arranged within a distance of 500 kms. Each way from the Township / place of work. One night stay is also allowed for the said trip. However Company does not bear any extra expenses on account of boarding / lodging and the employees make their own arrangement for night stay and avail their own leave. Management provides hire charges for two buses for each trip at Units and total three buses for the two trips at C.O. & CMO. A sum of Rs. 50/- per member per year is also given to the respective clubs and where there are no clubs, the amount @ Rs. 50/ -per employee availing the facility is placed at the trips. All other expenses on such trips are, however, met through the contributions of the employees availing this facility.

LONG SERVICE AWARD SCHEME

In terms of Company's policy regarding grant of long service award, employees are given an award on completing specified length of service of 10/15/20/25/30 & 35 years, as per details given below:
No. of years of service in the Company Amount of Award

i) ii) iii) iv) v) vi)

On completion of 10 years service On completion of 15 years service On completion of 20 years service On completion of 25 years service On completion of 30 years service On completion of 35 years service

Rs. 900/Rs. 1150/Rs. 1250/Rs. 1500/Rs. 1800/Rs. 2200/-

SCHOLARSHIP TO THE OUTSTANDING CHILDREN OF NFL EMPLOYEES

Children of NFL employees studying in schools who secure the first three positions in Annual Examinations out of the first five (for SC/ST's, first three position among SC/ST students) in the classes mentioned against each in the next class tenable for one year provided they continue their studies in the next class.
Class Amount of Scholarship (per month)

I to IV Academic sessions. V to IX X to XI

Rs. 70/- per month w.e.f. 2008-09

Rs. 100/Rs. 150/-

-do-do-

WELFARE AND SPORTS GRANTS / FACILITIES

Following grants / facilities are providing for this purpose: -

SPORTS GRANTS Under this head, budget allocations are made for the following:i) ii) iii) Unit Annual Sports / Welfare Grants. Grants for holding inter- unit tournaments. Sponsored Tournament. Annual Grants for Sports Nangal 80,000 30,000 Vijaipur 60,000 60,000 Bathinda/ Panipat 60,000 25,000 25,000 Budget for Inter Sponsored T A/DA

Given below are break-up of grants for sports activities:-

Unit Tournament Tournament 25,000

30,000 C.O. / CMO 30,000 taking All Units/ of Offices players deputed etc. 35,000 15,000 into account no. of games, no. Actual be complied by unit

Settlement of dues on Retirement/ Resignation/ Death- No Dues Certificate

Every employee of NFL shall retire from service of NFL on attaining the age of 60 years. A notification will be issued at least 3 months in advance by the concerned Personnel Department to this effort for the information of the employee concerned with a copy to Finance department Vigilance Department, Administration, Materials, Library, co-operative society etc to enable them to take timely action for settlement final dues. With a view that the retiring employees/ dependents of deceased employees get their final dues expeditiously, it has now been decided as under: a) To deal with the cases of resignation/ death of employees a committee be constituted in all units/ offices to assist the concerned employee and / or their department for expeditions release of final payment. The committee should also assist the dependents of the deceased employee in obtaining death/ successions certificate, wherever required. Personnel department should invariably send a copy of the notification to the Chairman of the committee for taking necessary action. A copy of the circular notifying the constitution the constitution of said committee may also be sent to Personnel department Corporate Office. b) In case of an employee retiring on superannuation, a notification at least 3 months in advance may be issued for information of the employee concerned with a copy to finance Department for timely action for settlement/ release of final dues. c) After issue of notification with regard to superannuation, Personnel department of the Unit/ Division would also ensure the collection of No Demand Certificate from all the concerned departments and advise the consolidated position accordingly to Fi nance department at least one month before the date of retirement. This would also detail the position with regard to balance of Earned Leave due to the employee at the time of retirement for release of cash there against. d) Orders to release the gratuity after having financial occurrence and administrative approval of the competent authority would be issued by Personnel Department of the Unit/ Division at least one month before the date of retirement along with request of the retiring employee for settlement of PF account. e) On receipt of requisite notification with regard to Superannuation, gratuity and encashment of Leave orders etc from the personnel

department, Finance Department after ascertaining the position of various outstanding advances and interest t hereon, would keep the final account of the retiring employees ready at least 15 days before the date of retirement. f) On receipt of request for settlement of Provident Fund account though Personnel Department, Finance Department would also ensure its settlement, so that the same could be released on the date of retirement. g) After compilation of position of the final account, cheque for the dues of the retiring employees would be handed over to him on the day of retirement, after retaining the outstanding amou nt of advances (HBA, Conveyance, House Hold etc) & interest due thereon. h) In the Units, where employees have been allotted company quarters in township, it may not be possible to obtain the No Demand Certificate from the East Department before the date of s uperannuation in case the employee retains the accommodation after retirement for the period as admissible under allotment rules. In such cases estimated amount equivalent to rental, electricity and water charges and any other cost of deficiency noticed in the house may be retained as security equivalent to 20% of gratuity from the dues of the employees. Refund of these recoveries will be made on receipt of vacation report and No Demand Certificate from Estate Department after adjusting the recoveries of re nt, electricity and water charges etc as intimated by Estate Department.

PAYMENT OF GRATUITY

With effect from 24.5.94, all employees irrespective of their salary/ status are covered under the payment of Gratuity Act, 1972. As a result of thereof, Death cum-retirement Gratuity Scheme no more remains in operation. However, for the purpose of calculation of gratuity, employees or their legal heirs/ nominees (in case of death of an employee) or at option to choose any set of benefits, in Toto, either under the Payment of Gratuity Act, 1972 or under the Death -cumRetirement Gratuity Scheme, whichever is more beneficial to them. The benefits available under the Act and the scheme in case of death are as under:-

Payment of Gratuity Act Rate of Gratuity Act 15 days wages for every completed year of service or part thereof in excess of 6 months by taking a month of 26 days, subject to a maximum of Rs. 3.5 lakh (w.e.f 24.9.1997)

Death-cum-Retirement Gratuity Scheme 1/4th of the employee monthly emoluments for each completed 6 months of qualifying service or part thereof subject to a maximum of 16.5 times monthly emoluments or Rs. 3.5 lakh, whichever is less by taking a month of 26 days. Death during 1st year of qualifying service(2 months emoluments) Death after 1 year but before 5 years of qualifying service(6 months emoluments)

Rate of gratuity in case of death Same as above

CHAPTER- 3

OBJECTIVE AND SCOPE OF STUDY

OBJECTIVE OF THE STUDY:-

As we know that the employees are the life lines of the business, so no business can be done without them. But in the competitive market, it is more difficult to retain the employee and this can only be done if the employees are fully satisfied from head to toe. If the company is not able to satisfy the employee then they will surely leave the organisation and join the other. The main objective of my study is to analyse, what are the various welfare policies and services provided by the NFL to its employees and their satisfaction level from those benefits. That is what I try to do in this report to know that the employees are satisfied with the welfare policy of NFL. The main scope of the study is: To find out the employees satisfaction level.  To find the pitfalls in employees.  To throw light on the weak and strong points which effect employees satisfaction?  To find out the reasons why does the employe e want welfare schemes?  And what NFL should improve to increase its welfare policies. SCOPE OF THE STUDY:The study is conducted at National Fertilizers Limited, Bathinda for a period of 45 days. The study is based on primary and secondary data.

RESEARCH METHODOLOGY:RESEARCH PROBLEM:To study that, are the employees satisfied with the welfare policies of NFL Bathinda?

TYPES OF RESEARCH:Blend of descriptive & conclusive method has been used in this research for the collection of data. As the research is related to the study of employees satisfaction about the welfare policy. Which can more efficiently be studied through direct questions, personal interview and informal talks, experiment research will not much effective also, considering the time constraints, descriptive research leading to conclusive result is the most suitable design for this research.

SOURCES OF DATA COLLECTION:Primary sources:These sources include the data collected by the researcher himself for his own study. It includes direct conversation with the company officers of different departments and staff and that is with the help of the questionnaire. SAMPLE DESIGN: - RANDOM SAMPLING. SAMPLE SIZE: SAMPLE UNIT: 50. INDIVIDUAL. NFL Bathinda.

GEOGRAPHICAL LOCATION: -

DATA COLLECTION METHOD: - Questionnaires to be filled by employees. Secondary sources:The preparation of this report has also made use of secondary sources like the companys welfare policies which is available with the officers have been studied deeply.

LIMITATIONS OF THE STUDY:In spite of the best efforts, there are always some problems or limitations associated with market research that cannot be removed but can be minimized only. In this survey also there could be certain errors due to those factors. The study may have the following limitations:  It was very difficult for me to get the forms filled because of the officers busy schedule and therefore providing me insufficient time for filling up the forms.  This study is based on the assumption that responses are true and factual although at times that may not be the case.  Though every care has been taken to eliminate such biases, but considering the human factor the possibility of small bias having come up cannot be ruled out altogether.  Consumer behaviour is dynamic in nature and thus over the time, finding of today may become invalid tomorrow.

DATA ANALYSIS AND INTERPRETATION:Q1. From how much time are you with NFL? a) Less than 2 years b) 2-5 years c) 5-10 years d) More than 10 years As per the research the data collected shows that the 75% of the employees are with NFL form 10 years. It clearly shows that NFL is well established organisation and 15% employees are working in NFL from 5 10 years and 10% are working there from 2-5 years. NFL has also recruited new employees that are working from less than 2 years. Q2. Are you fully aware about the welfare schemes provided by NFL? a) Yes b) No c) Approximately There are 65% of the employees who are fully aware with NFL welfare schemes. And 35% of the employees were aware about the welfare schemes approximately. Q3. What are the welfare schemes provided by NFL? a) Medical b) Housing c) Social security d) All

There are so many schemes provided by NFL as medical, housing facility, social security at the time of employees death etc. if we talk about medical facility it is very useful for a NFL employee that he or she can receive treatment from eminent hospital. 17.5% employees are satisfied with the medical facility and 12.5% housing facility and more than 60% are satisfied with all facilities. 10% employees are satisfied with social security. Q4. Are you fully satisfied with the welfare schemes of NFL? a) Yes b) No As per data collected, it shows that NFL is fully able to satisfy its employees with the welfare schemes. According to them these welfare schemes are time consuming and that is provided only to a few. Other reason is that NFL does not care for an employees and that are provided only to a few. Q5. Do you feel that NFL schemes are much better than other government companies? a) Yes b) No The ratio of schemes provided by NFL is 80%, it means this organisation is much better than any other government company. The government companies just offer only 60% schemes which are mentioned in Factory Act, 1984. NFLs medical schemes are providing cheap medical services as it has Indian famous hospital on its penal for all units.

Q6. According to your point of view which scheme is best for employees? a) Social security scheme b) Welfare excursion scheme c) Long service award scheme d) Sports e) Medical f) Housing g) All are best A number of schemes are provided by NFL. In these schemes 45% of the employees are satisfied with the medical and 42% are satisfied with all the schemes and 12.5% employees are satisfied with social schemes. Q7. Do you think social security scheme is beneficial for employees family? Is there any need to increase its amount? a) Yes b) No In this all the employees are more satisfied with the social security scheme because it gives security to the employees family after death. But the employees want to increase the amount of this scheme. 80% of the employees are agreed on this question that the amount should be increased. Q8. Do you think the excursion scheme is beneficial? a) Yes b) No

Two excursion trips in a calendar year are arranged by the club at units however, at marketing division and corporate office where there are no clubs, such excursion trips are arranged by the concerned welfare/ industrial relations department. Under the scheme, the place of 400kms each way from the township/place of work. One night stay is also allowed for the said trip. However company doesnt bear any extra expenses on account for boarding/ loading and the employees do make their own arrangement for night stay and avail their own leave. 95% employees are satisfied with this scheme but 5% are not satisfied with it because it is only for club member and not for all. Q9. According to your point of view the scholarship and sports grant to the outstanding children of NFL employees should be increased? a) Yes b) No NFL also provides scholarship grant to the outstanding c hildren of NFL employees but this amount is very low, so the employees want to increase this amount. 70% employees agree and 30% employees do not agree with this point. Q10. Are you fully satisfied with the medical policy of NFL? a) Yes b) No 68% of the employees are satisfied with the medical facility provided by NFL and 33% are not satisfied because this policy has a long process and needs detailed documents of the patient. NFL has famous hospital on its panel, it is providing best medical

facilities to its employees but in other ways the policy is having some weak points also.

FINDINGS  In Bathinda there are many companies, despite of tough competition still good number of people is joining NFL.  Above 80% of the employees are satisfied with the welfare schemes of NFL.  The schemes provided by NFL are durable. Moreover these schemes are beneficial for the employees as well as their family.  Another plus point of NFL is that the company is providing the welfare schemes to all employees irrespective of their levels.  Other companies are providing less welfare schemes as compared to NFL.  NFL is providing Long Service Award Scheme to the employees as per their experience. 80% employees are satisfied with the present scheme and 20% want extra medical facility.  The medical facility is very useful for the employees because it provides cheap and quality treatment and the company has very eminent hospital on its panel.

Recommendation for improvement in employees welfare policy The following factors can play an im portant role for improvement in the employee welfare policy:  Spreading awareness regarding welfare policy among the employees.  Motivating the employees for giving out good performance in order to achieve the awards of good workers.  Time to time counselling is necessary for employee awareness and for the amendments in the policy.  Some employees are not satisfied with the medical policy of NFL, which needs some improvements.  70% employees agree upon the opinion that welfare schemes should be amended after 5 years.

CONCLUSION In the end after completing the project I conclude that welfare policy is very important for each and every organisation. These policies play a vital role for the development of human resources well as the organisation as a whole. Organisation may not be able to attain the required results which are expected if the welfare policies are not followed properly. Proper control s hould be implemented in the organisation in order to check whether welfare policies are followed or not. While working on the project, I came to know that employee welfare schemes play significant role and should not be neglected at any cost. At the end I would like to conclude that NFL is following the welfare policies in a much better way than any other organisation. It is providing many welfare schemes which are mentioned in Factories Act, 1948. I had 6 weeks training in NFL. It was a great experience to work in such a reputed organisation. Proper rules and regulations are being followed. Working atmosphere is co-operative and friendly.

BIBLIOGRAPHY WEBSITES:www.nationalfertilizers.com www.wikipedia.com A quarterly magazine of the company named Vani has also been referred.