CHAPTER I INTRODUCTION

WELFARE AMENITIES: The term welfare amenities refer to various extra benefits provided to employees, in addition to the compensation paid in the form of wage or salary. Balcher defines these benefits as, any wage cost not directly connected with the employees productive effort, performance, service or sacrifice. Cockmar defines welfare amenities as, benefits of an employees and which are not in the form of wages, salaries and time related payments. Different terms are used to denote welfare amenities. They are welfare amenities social change, social security amenities, supplements, sub wages, employee benefits et, the ILO described welfare amenities as, Wages are often augmented by special cash benefits, by the provision of medical and other services or by payments in kind, that form part of the wages for expenditure on the goods and services. In addition, workers commonly receive such benefits as holidays with pay, low cost meals, low rent housing etc. such additions to the wage proper are sometimes referred to as welfare amenities. Benefits that have no relation to employment or wages should not be regarded as welfare amenities though they may constitute a significant part regarded as

welfare amenities even though they may constitute a significant part of the workers total income. Coverage The term welfare amenities covers bonus, social security amenities, retirement benefit like provident fund, gratuity, pension, workmens compensation, housing, medical canteen, cooperative credit, consumer stores, educational facilities, recreational facilities, financial advice and so on. Welfare of employee and his family members is an effective advertising and also a method of buying the gratitude and loyalty of employee. But, while some employee provides these services over and above the legal requirements to make effective use of their work force, some restrict themselves to these benefits, which are legally required. Need for extending welfare amenities : During the World War-II certain non-monetary benefits were extended to employee as means of neutralizing the effect of inflationary condition. These benefits, which include housing, health, education,

recreation, credit, canteen etc., have been increased from time to time as a result of the demands and pressures from trade union, it has been recognized that these benefits help employee in meeting some of their lifes contingencies and to meet the social obligation of employee.

1.

Employee Demands : Employees demands more and varied types of welfare measure

rather than pay hike because of reduction in tax burden on their part of employees and in view of the galloping price index and cost of living. 2. Trade union demands : Trade union competes with each other for getting more and a new variety of welfare measure to their members such as life insurance, beauty clinics. If one union succeed in getting one benefit, the other union persuades management to provide a new model fringe. Thus, the competition among trade union with in an organization results in more and varied benefits. 3. Employees preference : Employee also prefers welfare measure to pay-hike, as welfare measure motivate It the employee for better contribution as an to the

organization. advertisement. 4.

improves

morale

and

works

effective

As a social security : Social security that society furnishes through appropriate

organization against certain risks to which it members are exposed. These risks are contingencies of life like accidents and occupational diseases. Employee has to provide various benefits like safety measure,

compensation in case of involvement of workers in accidents, medical facilities etc. 5. To improve human relations : Human relations are maintained when the employees are satisfied economically, socially and psychologically. Welfare amenities satisfy the workers economic, social and psychological needs. Consumer stores, credit facilities, canteen, recreation facilities etc., satisfy the workers social needs, whereas retirement benefits satisfy some of the

psychological problems about the post-retirement life. However, most of the benefits minimize economic problems of the employee. welfare amenities improve relations. Thus

NEED FOR THE STUDY

The topic which are covered under this project are social security amenities, retirement benefits like provident fund, gratuity, bonus, workmens compensation etc., this study also includes housing, canteen, co-operative credit, consumer stores, educational facilities, recreational facilities etc. The significance of choosing A study on Welfare Amenities of Visakhapatnam Port Trust as my study topic is because Visakhapatnam Port Trust is a huge organization standing in the first position among all the major ports in the country in its performance aspect. The credit

goes to the potential human resource of the organization and its effective management. Human relations are maintained in an

organization when the employees are satisfied economically, socially and psychologically. This is very essential for an organization that wants to be dynamic and growth oriented or to succeed in a fast changing economic environment. Welfare amenities are few of the motivators,

which motivators the employees to contribute more to the organization.

OBJECTIVES OF THE STUDY

My study is based on the trade unions impact on industrial relations in the ports. The following are the objectives of my study: 1. To study the impact of trade unions on industrial relations in Visakhapatnam Port Trust. 2. To study the opinion of the port employees on the trade unions. 3. To study the various methods and objectives of the trade unions in Visakhapatnam Port Trust. 4. To know the views of the employees on the existing trade unions. 5. To offer suggestions to enhance the competitive spirit in order to compete with the other ports. 6. To study the evolution of Human Resource Management and practices. 7. To give suitable suggestions for better participation in Trade Unions.

METHODOLOGY
Research methodology is common parlance refers to a search for knowledge. One can also define it as a scientific and systematic search for pertinent information on a specific topic. In fact research is an art of scientific investigation. Rednam and Mory define research as a

systematized effort to gain new knowledge. There are totally 14 trade unions in Visakhapatnam Port Trust. In which only two of them are working perfectly now. They are as follows: i. The Visakhapatnam Harbour & Port Workers Union Regd.No.65 (Recognized). The present strength of employees is 1794 in the year 2008. ii. The Visakhapatnam Port Employees Union Regd. No. 2611 (Recognized). The present strength of employees is 1723 in the year 2008.

DATA COLLECTION
Date is collected from both primary and secondary sources. They are as follows: Primary Data: The primary data includes the study conducted on a sample of 60 employees by using Questionnaire method and also through interview. The targeted population for the questionnaire is 60 employees. A

structured questionnaire is prepared and passed among all the respondents and their feedback had been noted. Secondary data: The secondary data is collected from the reports and books of Visakhapatnam Port Trust. Also some of the information is gathered from library, magazines and internets.

LIMITATIONS OF THE STUDY

1) As the employees of the organization are very busy with there work schedule. So it was difficult to collect the overall data. 2) 3) Time was another major constraint. Workers are not co-operated because they were busy in work schedule.

CHAPTERII INDUSTRIAL PROFILE

Introduction to Indian Sea Ports Ports are commonly known as places of safe shelter with necessary infrastructure, for purpose of trade. In that view, there are

airports and seaports are gateway to the world. Seaport is an essential link in the international maritime transport chain. At present, over 85% of international trade goes by sea. In case of developing countries like ours, percentage of international trade would be in the range of 75% -85%. So, there is imperative need for all the seaports in our country to expand rapidly. Ports are meant to provide sea borne vessels, some basic services like dock, harbor or berth facilities for the ships and landing facilities for the passengers and cargo. In India there are 12 major ports, 19 medium ports, 15 minor ports and 4 private ports. The major ports are: 1. 2. 3. 4. 5. 6. 7. 8. 9. Kolkata Chennai Cochin Jawaharlal Nehru Port Kandla New Mangalore Marmugao Mumbai Paradeep

10. Tuticorn

10

11. Visakhapatnam 12. Ennore Port Pvt. Ltd., The medium ports in India are: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. Bedi Bunder Bhavnagar Calicut Cuddalore Gopalpur Kakinada Karwar Magdalla Mandavi Navlakhi Nagapatnam Okha Probandar Redi Salaya Sikka Trivandrum 11

18.

Veraval

The minor ports of India are: 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. Azhikkal Belikeri Beypore Cannanore Coondapur Dahej Jafrabad Jakhan Kasergode Mundra Neendakara Pindhara Pipavav Ponnani Tellicherry

The Private ports in India are 1. Cocanada 2. Tuticorn Container Terminal

12

3. Pipavav 4. Adani The main activities of port are: a) Maintenance of port approaches, navigable channels, and

alongside berths, dredging, conservancy, hydrographic surveys. b) Pilot age, towage, berthing and unberthing of visiting ships. c) Handling, warehousing and transportation of goods in port area. d) Civil, mechanical and electrical engineering and maintenance of harbor crafts and plants. e) Fire fighting and fumigation. f) Stores g) Medical, welfare, housing etc., h) Management of port properties and estates. To carry out various activities, each port engages different types of labor. The workers employed by the port authorities are generally called Port Workers and they work on shore. For work on board the ship, workers registered with Dock Labor Board (DLB) known as Dock Labor are engaged. Ports are classified as Major ports, Medium ports and minor ports. The Major Port Trust Act, 1963 and the Indian Sea Ports Act, 1908,

13

generate the Major ports and the Rules and regulations framed there under. Each Major port has a Board of Trustees representing various interests connected with the port operations and the shipping industry. The Chairman of each Major Port Trust is appointed by the Central Government. Besides Chairman, the Port Trust Board consists of Deputy Chairman, representatives of Customs, Railways, Defence, State

Government, Ship owners, Shippers, etc. All the members of the Board, other than the Chairman and the Deputy Chairman are part time members.

14

CHAPTERIII
COMPANY PROFILE
Visakhapatnam Port Trust Profile : Visakhapatnam was an ancient port city, which had trade relations with Middle East and Rome. Ships were anchored at open roads and loaded with cargo from Visakhapatnam shore by means of small boats. Visakhapatnam Port is one of the major ports on the eastern seaboard of Bay of Bengal at a latitude 17 0 41 N & longitude 830 18E. It is situated in between Kolkata & Chennai Ports. It has acted as a

catalyst in the process of Industrialization of its hinterland along with other ancillary industries. The Port plays a dynamic role in fostering

accelerated development in the region shall contributed significantly to the National Development. Nature harbor: Visakhapatnam is one of the best, natural ports in India and its location provides protection from cyclones, which strikes the east coast regularly during May/November. The Dolphin Nose hill which is to the south of the entrance channel, roses and Durra Hill which are to the north of the entrance channel are land forms which provide tranquil waters for the port for the outer harbor, to artificial break waters provide necessary conditions for tranquil waters. This low range of a maximum

15

of 1.82 meters this section of the sea is advantages for the location of the port. History: The origin of Visakhapatnam goes back as far as the 6th Century, when it formed a port of the famous kingdom of kalong in 6 th century. A.D. Kalong was conquered by the chalkiest of Bandai and in the 7 th Century by eastern chalkiest, which led to the establishment of the avenge kingdom under Vishnu Verdant 1 (615 633 A.D.) Visakhapatnam the anglicized from of which is Visakhapatnam is an ancient town. According to the district manual writers 1989, in the early years of 14th Century Kullotunga choler of the Andhra Dynasty visited the presented site of Visakhapatnam and was so pleased with the place that he built a temple dedicated to Issaquah. since engulfed this temple. In 1858 a survey partly stressed the need for a major port between Madras & Calcutta. A detailed report called Visage the port of central provinces in 1877 made out a strong case of the establishment of a port. How ever this proposal was temporarily frozen due to the The sea has

advent of the First World War. It is only in 1914, that the Bengal Napery Railway initiated a proposal for a harbor at Visakhapatnam. Colonel Cart Wrought Reid of the British Admiralty initiated a proposal for the construction of a harbor

16

at the month of river meghadrigedda for B.N. Railway, which was finally adopted in 1922. The construction started in 1927 and the port was

open to ocean going vessels in 1933 with the arrival of passenger ship S.S. Jala durra. The Bengal, Napery Railway was responsible in

constructing the port, as it needed a sea outlet for Manganese is mined in the central provinces. (M.P.). The port was formally inaugurated by his Excellency lord Willing Down, the then viceroy & Governor General of India on 19 th Dec. 1933. The Island breakwater was constructed by scatting 2 old ships Janis and Willesden which acted as a skeleton around which a rubble mound was formed. Mr. W.C. Ash & M.B. Rattans Burry was the engineer who played prominent role in constructing this beautiful harbor. The port

was constructed at a cost of Rs.378 lakhs and when it was opened it consist of three berths & handled 1.3 lakhs tones of Traffic. Visakhapatnam was a minor port; ships were anchored in the open of shore area and the cargo transported in small muscular boats. The gained the status of a major port in 1963 and it was in February 1964 that the Visakhapatnam port was constituted.

17

V.P.T. Berths: Inner Harbor: Multi Purpose: Oil: Mooring: Fertilizer Berth: Total Outer Harbor: LPG Terminal: ORE: GCB: OSIT: Multipurpose: New Oil Mooring: Total 1 2 1 1 2 1 ---------8 ---------13 2 1 1 -----------17 ------------

18

Location: Visakhapatnam port lies on the Eastern seaboard of India in the state of Andhra Pradesh, midway between Kolkata and Mumbai rail route. This harbor situated in the mouth of Meghadri Gedda is natural and is connected to the sea by a narrow channel. It is a well-protected deep-sea port formed by a turning basin and three arms. The approach to the harbor is through a channel about 1 km. in length. Latitude 1741 north Longitude 8318 east With the protection afforded by a high promontory into the sea known as Dolphin Nose and a low tidal range to a maximum of a 6 feet (1.82m), the location of the port is ideal. Though the construction of the port is started in 1927,

Visakhapatnam Port took its concrete shape in 1933 as a monocommodity port initially and blossomed shortly into a multi-commodity port with a variegated cargo profile. This port is enriched with a

naturally protected deep-water basin, most suitable for deep draft berths. It is located in such a way that it offers protection from the

cyclonic storms which strike the East Coast, by a high promontory into the sea, popularly known as Dolphins nose hill which is to the south of entrance channel. This port was the first port in the country, to build an outer port.

19

Port are commonly known as places of safe shelter with necessary infrastructure. For purpose of trade a port is transshipment point between sea and surface transport and of entry and exist for import and export trade. There are 12 major ports and 163 minor intermediate

ports located on the India coastline. Visakhapatnam Port Trust was an ancient port city, which had trade religious with Middle East and Rome. The construction of harbor at Visakhapatnam was thought after the transfer of power from East India Company to the crown. In fostering the countries foreign trade

and economic development Visakhapatnam is playing a vital role. Visakhapatnam is a natural harbor such that surrounded by chain of hills providing safe anchorage to ships. Notable among the chain of hills are Dolphin nose rosy hill. Perspective plan for Visakhapatnam port 1996-2020: The Port desires to ahead & peep into the future to enable it to formulate appropriate developmental, operational & management strategies to fulfill to avowed policy of providing a high standard & efficient port services to its customers clientele. Accordingly, the research planning department of port trust was entrusted with the task of preparing the perspective plan in consultation with the other developments of the port & concerned

20

authorities associated with the port industry. The study divided into 4 parts. Technology Perspective Cargo Perspective Developmental Perspective Organization Perspective The main aim of this perspective plan is to provide qualitative services a service no way second to that of services provided by the other party in the world to its customers, through adequate & efficient port facilities that meet & fulfill the demand from the increasing cargo through out from the port to year. Environmental Improvement Measures: Port gives importance to the environmental protection. Plantation of 1,40,000 plants to provide green belt and mitigate dust pollution. Purposed in 1998-1999, 25000 plants. Environmental Park in Kailasa

hills amount spent so far is an Rs.8.5 crore. Quality Policy (ISO 9002): VPT committed to provide prompt, efficient & safe services at optimum cost for ensuring quick turnaround of sea, rail road borne cargo and its carriers, maintaining total transparency in all the transactions & shall continually strive to meet the quality expectations of port users.

21

Salient features of VPT: i. Opened in 1933 with 3 berths and initial investments Rs.3.7 crore. Cargo throughout in the first year of operation was Rs.1.3 lakh tones. ii. First port to construct a deep draft outer port way back in 1967 to accommodate large iron ore and oil carriers upto 1,50,000 DWT. iii. First port among the major ports of India to construct a deep draft bulk berth having draft upto 16m way back in 1976. iv. First port among the major ports of India to introduce

computerization. v. First port on East Coast of India accommodate Suezmax tankers drawing 270 MLOA along side berth. vi. Recipient of Best Port of the Nations award in 1988-1989 for highest sale of efficiency. Objectives of Port: The main objective of working of the port is to import & export cargo on sea through ships. By this the very benefit that occurs to the nation follows:

a. b.

Securing the required goods for the country. Exporting the surplus cargo from the country.

22

c. d.

Maintaining the economic balance within the country. Earning foreign exchange to the country.

Set up of the Organization: Each major port has a Board of Trustees representing various interest connected with the port operations & the shipping industry. The chairman of each major port trust is appointed by Central Government Besides, Chairman the port Trust Board Comprises Deputy Chairman, representatives of Customers, Railways, Defence, State Government, ship owners, shippers etc. All members other than the Chairman & Deputy Chairman are port time members. There are 10 departments in Visakhapatnam Port Trust and those departments are categorized under 2 heads: Assisting Department Operational Department Assisting Department a) Administrative Department b) Finance Department c) Personal Department d) Researchs Planning Department e) Materials Department f) Medical Department

23

Operational Department: g) Marine Department h) Traffic Department i) Mechanical Department j) Engineering Department FUNCTIONS OF DIFFERENT DEPARTMENTS: a) Administrative Department: The Secretary heads it. The functions of this department are like Administrative Policy, Board matters, legal matters & Co-ordination of all departments. b) Finance Department: Financial adviser & Chief Accounts Officer head this Department. The functions of this department are Managing Finance matters, preparation and computation of budgets; inter audit and revenue realization etc.

24

c)

Personal Department: The Department is headed by manager (Operations). The matters

related to personnel policies and the recruitment of employees, sanctioning of posts, their welfare, needs, training on personal matters & Industrial etc. It is responsible for creating and conducting

harmonized relations in the organization, so as to achieve maximum productivity & better facilities in the work. d) Research & Planning Department: This Department consists of compiling information, port statistics; project capital budgets, forecasting trade, traffic analysis trade

promotion and data processing of wage bills etc. e) Materials Department: Chief material manager heads this department. The function of this department is procurement of materials, storage of stores & supply to all departments as per requirements & norms. f) Medical Department: Chief medical officer heads this Department. It provides health, sanitary & medical facilities to the employees of all Departments of Port Trust. g) Marine Department:

25

This is under the control of deputy conservator. It is responsible for safe navigation of vessels and berthing, Pilot age, maintenance of dredging a port, fire service and other functions of this department. h) Traffic Department: Traffic Manager heads this Department. The activities of this

Department are responsible for smooth flow of traffic by allotting berths to the ships visiting the port & collects berthing charges, rail traffic operations. i) Mechanical Department: This Department is under control of Chief Mechanical Engineer. It maintains all electrical & Mechanical equipment and executed projects works regarding purchase & Installation of big electrical or mechanical equipment. j) Engineering Department: Chief Engineer heads this Department. The functions of this

department are construction of project works and maintenance of civil works like building quarters & mainly berths etc.

26

Notable Events: i. Emerged as Top Ranking Port of the country for the second year in successor with highest throughout among major ports

((44.343) million tones). ii. A clear lead of 6.4 Million tones over 2 nd highest throughout of Candela Port. iii. Highest throughout of 74.04 laky tones through ore handling complex 1st time since inception of the plan in 1965. iv. Zero demurrage on port account to the iron ore ships launched at the port an event unheard in the history of port. v. Savings to the exchanger to the tune of about Rs.76 cores through improved performance of ore handling complex. vi. Lowest ever pre-berthing detention of 57 hours and lowest ever turn round time of 3.51 days. vii. Highest ever Avg. berth day output of 10,772 tones surpassing the provided best throughout of 9,799 tones by 10%. viii. Highest compound annual growth rates of 13.98% in the berth any output during the 9th plan Higher among major ports. ix. x. Highest ever container through put of 21,517 Toes Highest ever gang shift output of 689 tones.

27

xi.

Rest. 60,00,000 direct saving to the port through reduction in hire charged for iron ore wagons.

xii.

Saving of 2,200 tippling hours by twin and third wagon theyre through improved performance.

xiii.

Highest productivity in respect of 28 cores out of 40 predominant carried handled through the port.

xiv.

High operating surplus of Rest. 171.15 cores in the history of the Port.

xv. xvi. xvii.

One of the finest operating ratios of 56.6%. Highest earning of Rs.14.85 croes by port railway system. 32% reduction in over time despite handling of highest cargo with highest productivity, 24% reduction in staff strengths in staff strengths and 40% increase in the unit rate of O.T. allowance.

xviii.

Savings to the tune of Rs.140 cores through reduction in inventory.

xix.

Saving to the tune of Rs.68 lashes owing to the reduction of maintenance dredging.

xx.

Savings to the tune of 5 cores or 10% required & maintenance expenditure of mobile equipment.

xxi.

40% reduction in inventory owing to better inventory mgmt. Practices.

28

xxii.

22% reduction in water consumption, 15% reduction in power consumption, 8% reduction in HSD oil consumption & 30% reduction in petrol consumption owing to several administrative reforms launched during the year.

xxiii.

Highest imports of 178.67 laky tones in a year (Previous best 173 lakes tones in 1999-2000).

xxiv. xxv.

Highest transshipment of crude & P.O.L. 9.32 million tones. Highest exports of aluminum calcimined petroleum coke, wheat, granite, illuminate sand etc.

Visakhapatnam port trust is one of the major bulk cargos handling in India. The port has been adopting itself to the changing needs of the bulk traffic, keeping peace with the technological revolution of shipbuilding and transportation system: Total port area Total land area Total water spread Inner harbor Outer harbor Total reclaimed are MAIN ACTIVITIES OF PORT The main activities of port are: i. Maintenance of port approaches, navigable channels and along side berths, dredging, conservation, hydrographic surveys. = = = = = = 4369 hectares 3882 hectares 300 hectares 100 hectares 200 hectares 3537 hectares

29

ii. iii.

Pilot age, towage, berthing and un-berthing of visiting ships. Handling, warehousing and transportation of goods in the port area.

iv.

Civil, mechanical and electrical engineering and maintenance and fumigation.

v. vi. vii.

Fire fighting and fumigation. Stores Medical, welfare, housing etc.

MANAGEMENT OF PORT PROPERTIES AND ESTATES: To carry out various activities each port engages different types of labour. The workers employed by the port authorities are generally

known as port workers and they work on shore. For work on board the ship, workers registered with docked labour board know as dock labour are engaged. There will be large number of workforce besides

equipment etc. organization requires high degree of skill coordination, cordial relations etc, for the successful operation of port. The successive Chairmans of Visakhapatnam Port Trust: 1. 2. 3. 4. Col. H.Cart Wright Reid (1921 1928) Mr. W.C. Ash (1928 1934) Sri M.R.O.B. Ratten Bury (1934 1936) Mr. E.G. Lilley (1936 1941)

30

5. 6. 7. 8. 9.

Mr. W.E.M. Crealock (1941 1945) Sri. S. Nanjundiah (1945 1958) Sri C.R. Reddy, I.A.S. (1958 1967) Sri H. Samba Murthy (1967 1970) Sri B.K. Rao, I.A.S. (1973 1978)

10. Sri R. Srinivasan (1978 1980) 11. Sri T.R. Prasad, I.A.S. (1980 1983) 12. Sri R.K.R. Gonela, I.A.S. (1983 1988) 13. Sri P.V.R.K. Prasad, I.A.S. (1988 1992) 14. Sri T. Gopala Rao, I.A.S. (1992 1997) 15. Padmasri S.R. Rao, I.A.S. (1998 - ) Environmental Policy: Visakhapatnam Port Trust is connected to minimizing the adverse impact of its operations on the environment. Towards this end, it shall endeavor to: i. Install, maintain and operate port facilities to comply with applicable environmental laws; rules soothe statutory regulations. ii. Continual improvement of environmental performance by a system of review. iii. Set sound environmental objectives & targets.

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CHAPTERIV

WELFARE AMENITIES IN VISAKHAPATNAM PORT TRUST

The Visakhapatnam Port Trust has been providing both statutory and non-statutory Benefits to all its employees. All the permanent enjoy various financial as well as non-financial benefits both intramural and extramural. Statutory Provisions are those which are compulsory on the part of employers to provide to employee. They are contained in various acts & legal designation of the Government apart from the various regulation that are passed from time to time, which relate to VPT alone like Visakhapatnam Port Employee (recruitment, seniority and promotions) regulations 1964. The factories act 1948 deals with all the basic welfare aspect that should be followed by any factory. The aspects covered under this act are working facilities sitting facilities, First-aid & ambulance, canteens, shelters & rest houses, crches, welfare officers etc. VST has adequate over and above those mentioned in the factories Act 1948. There is a first aid center and ambulance and a

32

fire-fighting devise are in the premises to the work area. VPT has 15 canteens, 50 Lunch cum-rest rooms located in various work spots catering to the needs of workers, the port also provides for welfare officers as prescribed in the Factories Act 1948.

The Employee Provident Fund:

The act provides for contribution made for Provident Fund& Family pensions both from the employee as well as the employee. VPT

provides for a contribution of 6% of the employee basic salary & a similar percentage by the port trust. Pension: After retirement the pension will be paid as follows Pension = (Last 10 months avg. basic pay /2) x (Qualified service/33). Commutation: Facility of Commutation of 40% of pension is available. Commutation = 40% of basic pension x 12 x commutation factor (Age factor).

Gratuity:
Gratuity is paid to the employees on termination of employment after he has rendered at least 5 years of continues service on any of the following conditions. a) b) c) On his superannuating On his retirement or resignation On his retirement or resignation

33

d)

On his death or disablement due to accident of disease. The amount of gratuity to be paid in VPT is according to the

formula: (Last pay + DA) x 15/26 x Qualified service. Dearness Allowance (DA): This is the rate of compensation over the Basic Pay and will be paid along with the salary. The percentage of DA will be changed every quarter. The DA installments would be released 4 times in a year w.e.f. 1st Jan, 1st Apr, 1st Jul, 1st Oct. The DA depends on the All India consumer Price Index (AICPI). House Rent Allowance (HRA): VPT is paying House Rent Allowance of 17.5% to the Class III & IV employees and for officers it is 15% per month. The employees who are residing at the Quarters provided by VPT are not eligible to receive HRA.

34

Port Allowance (City Compensatory Allowance): VPT is paying Rs.200/- per month towards Port Allowance to all the employees. Transport Reimbursement (Conveyance): VPT is paying Rs.180/to all the per month towards This is Transport allowed to

Reimbursement

employees.

handicapped employees at double the rate. Washing Reimbursement: VPT is paying Rs.50/- per month towards Washing Reimbursement to the employees. Working area and Rs.65/- per month to the employees working in dusty areas like Ore Handling Complex etc., Holidays Wages: Employees who attends to duties in holidays and Sundays will be paid holiday wage. This will be paid at the rate 1 times the actual pay per day. Overtime Allowance: Overtime will be paid to the employee who continued the work beyond specified timings of the shift. This will be paid at the rate of double the actual pay per Hour. Outstation Allowance:

35

Employees who go to other ports on board, the port craft for dry docking/repairs would be allowed in addition to normal pay and allowances. Outstation Allowance at the rate of 33 1/3% of revised basic pay from the date of departure to the date of return to home port. Family Security Fund: A contribution of 20/- per month is being recovered from the salary of each employee towards the Family Security Fund. In the case of death of an employee Rs. 50,000 shall be is paid to the family member of the employee. Welfare Compassionate Scheme: In case of death of an employee, a funeral advance of Rs. 1200/shall be paid immediately to the family of the employee as funeral advance. House Building advance: a) For new house up to 50 months basic pay r the actual cost of construction whichever is less shall be given as advance for house building at the rate of interest of 11.5% b) For improvement, renovation addition to the existing house, actual cost or a maximum of Rs. 1.80 lakhs whichever is less hall be given. Motor Vehicle advance:

36

Vehicle advance up to 8 times of basic or Rs. 30,000/-, which ever is less, shall be given as an advance for purchasing motorcycles. It can be availed maximum of 3 times in the whole service after repaying the previous advance. Personal Computer advance: Personal Computer advance up to 10 times of basic pay or Rs. 80,000/- or the actual cost of computer, which every is less, shall be given as an advance for purchasing Personal Computer. Recovery will be in a maximum of 100 monthly installments. Leave Travel Concession: It is a compensatory allowance granted to a Government Servant to cover the expenses which he incurs in traveling in the interest of public service. LTC is being provided to employees of VPT to go any where in India once in 4 years block period. Incase of an employee whose family lives away from him at his house town, he can avail of LTC for self only to visit the home town every year.

37

Free power: 100 units of free power supply shall be given to the employees who resides at VPT employee quarters. Leaves: The employees of the VPT are eligible avail different kind of Leaves as follows. Casual Leave: The Employees of VPT are entitled to avail 12 Casual Leaves per each year. These leaves cannot be carry forwarded to the next year. These leaves shall be availed within a calendar year. Earned Leave: The Employees of VPT are entitled to avail 30 Earned Leaves per each year. These leaves are credited in advance at a uniform rate of 15 days on the 1st of January and 1st of July every year. These leaves can be carry forwarded to the subsequent years. The employees can also encash their Earned Leaves. Half Pay Leave: The Employees of VPT are entitled to avail 20 Half Pay Leaves per each completed year of service. These leaves are credited inadvance at a rate of 10 days on the 1st of January and 1st of July every year. The

38

employees cannot encash their commuted Leaves. These Leaves can be availed with or Without Medical Certificate. Commuted Leave: The Employees of VPT are entitled to avail 20 commuted leaves on half pay basis or 10 commuted leaves on full pay basis. leaves are acoountable to Half Pay Leaves. These

These leaves shall be

availed by producing Medical Certificated from authorized Medical Officer. Leave Not Due: It is granted to a permanent servant when there is no Half Pay Leave at credit. It is limited to a maximum of 360 days. This cannot be granted in the case of Leave Preparatory to Retirement. Extra Ordinary Leave: It is granted when no other leave is admissible. This can be

availed upto 3 months with or without Medical Certificate to All Officials, Upto 24 months to the officials who have completed 3 years continuous service. Study Leave: It is granted to the employees with not less than 5 years service under going a special curse consisting of higher studies or specialized training in a professional or technical subject having a direct and close connection with the sphere of his duties. Maximum period of 24 months 39

in the entire service and may be granted at a stretch or in different spells. This will not be debited to the leave account. Maternity: The functioning of Port Hospital (Golden Jubilee Hospital) during the years was solin factory. The 124- bedded hospital equipped with a complete range of medical instruments for diagnosis and treatment of personnel has rendered satisfactory service during the year 2005-06 the functioning of various branch dispensaries casualty and first aid centers is also satisfactory. The facilities provided at this hospital are: a) About 33 doctors and 17 visiting consultant Doctors from different disciplines are available to look after the patients. b) Diagnostic services like clinical and Bio-chemical laboratory, Radiology with 500 mA. treadmill and ECG. c) Full-Fledged Physiotherapy unit to rehabilitated paralytic cases and accident cases. d) AIDS Cell e) National programmes like pulse polio immunization. f) De-addiction clinic to treat addicted employees. X-Ray plant, Ultra sound scanner,

40

g) Round-the-clock casualty and Ambulance service to meet any emergency and minor operation. h) Twin Air Condition Operation Theaters with special equipment to Conduct major and minor operations. i) Intensive care unit with 4 beds for critical cases. j) Premature Nursery with incubators and photo therapy units for the premature infants. k) Super speciality treatment to the employees at specialized corporate hospitals. l) Medical facilities are also extended to retired employees, CISF personnel and dependants and staff working in port schools and colleges. Functioning of Dispensaries: Dispensaries are established at all the residential colonies and near dock area to cater to the requirement of employees and workers and their children. Well Baby Clinic: A well baby clinic for immunization of children against Polio, DPT, Measles on every Wednesday and Saturday. Occupational/Executive Health Care Clinic:

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Occupational health care clinic for periodic medical check-up to retired employees, their dependents, CISF personnel, staff working in schools and colleges. Check ups are conducted twice a week for male employees and once a week for female employees. First Aid Center: The number of First Aid Cases attended was satisfactory 13,890 patients were attended to First Aid Centers during the year 2005-06 against 9,547 patients during the year 2004-05. One increment shall be given to the employees when an employee or his spouse undergone family planning operation after two kids. EMPLOYEE WELFARE AMENITIES IN VPT NON STATUTORY PROVISIONS Housing facilities: 1) Allotment of residences regulations 1968. The above mentioned regulations come in to force with effect from 05-12-1968. The regulations apply to the allotment of residences to the employees of the Visakhapatnam Port Trust.

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2)

Ineligibility of Employee Owning houses for allotment: If he already in occupation of accommodation or its continued

retention of the same or if his own.

Since the allotment of

accommodation, or become owner in full or in part whether in his own name or in the name of any other person a house locate within 12 KM of the place of his duty and in which he can, in the opinion of Board reside constantly with his official duties or his wife or by dependent child owns or become owner in full or part of a house which is located within 12 km of the place of his duty and in which he can in the opinion of the Board reside constantly with his official position. Classification of Residence: Type Type-I Single roomed Type-II Double roomed Type-III Type-IV Category of Employees All Class IV employees All Class III employee drawing less than 2940/- per month. All Class III employees drawing Rs.5,690/- not less than Rs.2240/All Class I & II officers drawing Rs.5500/- but not less than Rs.4000/-. All Class I officers drawing less than Rs.7500/- but not less than Rs.5,500/Not Rs.5,000/- and above.

Type V

Type-VI (Bungalow)

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ALLOTMENT OF QUARTERS: STATEMENT SHOWING THE PARTICULARS OF HOUSING AS ON 31-3-2005. In addition to 1750 quarters allotted to port personnel, 626 quarters were allotted to CISF, 15 quarters were allotted to Audit, Welfare Association, Police, Temple priest and Municipal Corporation. EDUCATIONAL FACILITIES Education Assistance regulations 1990: i. The above mentioned Regulations came into force with effect from 15-11-1990. ii. These will apply to the employees of the VPT, including those on deputation, excluding the following: iii. Persons in casual or daily rated or adhoc or paert time employment. iv. Persons employed on contract except, where the contract provided otherwise. Persons paid from contingencies: The above regulations will also apply to employees on deputation to other organizations or Foreign Service Provided to that effect necessary provision is expressly made in the terms of deputation for Foreign Service. Eligibility:

44

Subject to the provisions of these regulations 11 to 24 all the employees without any pay limit are eligible to claim childrens educational allowance. subsidy. In the case of both the husband and wife who are employee to whom these regulations apply, only one of them is admissible. In case of either of the husband and wife working in a different organization, to the that she/he is to eligible from her/his employers such facility. The above facility is admissible irrespective of scholarship is received. However, if free scholarship is awarded reimbursement of Reimbursement of tuition fee and Hostel

tuition fee/hostel subsidy is admissible to the extent of fee actual paid. Children Educational Allowance: For the purpose of drawing children education allowance the employee must be compelled to send his child to a school away from the station. There are certain condition that are applied such as not

approved by India School Certificate Examination, a particular school run by a particular religion, school where teaching is conducted in language than that of a child. The admissibility of children education allowance will have to be determined with reference to the standard of the school viz., primary, secondary or Higher Secondary or Senior Secondary and the medium of

45

instruction and the language of the child and not the absence of any particular subject in particular institution. The allowance is admissible if there is not proper transport to go to school of requisite standard and back to home and if there is no vacancy to admit the child at the school at a station to which the employee is pasted. The allowance is admissible to employee at the following rates. The following are the limits with regard to the payment of tuition fee payable and actually paid by the employee. Education: VPT is running 3 High Schools and 3 Primary Schools at Salagramapuram and Malkapuram. The details of strength of staff and students are as follows. In addition, one primary school and one high school at Sri Sambamurthinagar residential colony are managed by Municipal

Corporation in the buildings provided by Visakhapatnam Port Trust.

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FESTIVAL ADVANCE: Festival Advance Regulations 1991: These regulation came into force with effect from 13.3.1991. In these regulations, certain terms are defined and the important of them are enumerated her under for information and guidance. means, the advance admissible under regulations. Calendar year means the year beginning on 1 st January and ending on 31st March following. Accounts officer means the Financial Advance

Adviser and Chief Accounts officer or any other authorized, on behalf of FA & CAO. Important Festival Means: i. ii. iii. iv. v. vi. vii. viii. ix. x. New Years day (of all religions and faiths) Pongal Republic Day Mahasivaratri Sri Ramanavami Ramjan Bakrid Independence Day Vinayaka Chavithi Vijaya Dasami

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xi.

Deepavali Any other festival, which the Chairman of VPT may declare by a

general or special order after taking consideration various factors. The advance, under these Regulations is admissible to all employees irrespective of their pay range but not applicable to persons not in whole time employment of the Board of apprentices and persons paid from contingencies. Conditions of Eligibility: Advance is to be granted only on the one of the important festivals indicated, above irrespective of religious faith of the employees concerned. Advance is admissible only one occasion in a calendar year even if the festivals qualifying for advance fails twice in a calendar year. It can be granted to employee but excluding leave preparatory to retirement or leave preparatory to final cessation so service, the date on which he applied for. It will not granted unless and advance already It will not be granted to a

granted to him has been fully recovered.

temporary employee unless he is likely to continue in service for period of a at least one-year beyond the month in which advance is disbursed Competent authority to sanction, the advance in individual cases can relax this condition. On this festival advance no interest is charged and the amount of advance is enhanced to Rs.7,000/- from 1 st December 2006. There is

48

prescribed application in which one has to apply. The advance will be disabused before the festival in respect of which it is sanctioned. Recovery: The Visakhapatnam Port Sports Council (VPSC) teams have participated in various tournaments during the period from 01-04-2005 to 31-03-2006. Childrens Day Celebrations: VPSC conducts childrens day celebrations on eve of Jawaharlal Nehru Birth Day on November 14 th Every year. On that day VPSC

Conducts various sport and games among the children of the port, DLB employees and of CISF Personnel. Chairman/ Dy. Chairman will

distributes the prize to the successful participant in various event. Annual Inter Department Games & Sports: a) VPSC will organize annual Inter Departmental games and sports at Diamond Jubliee stadium and Rajiv Gandhi Indoor Stadium every year and trophies will be distributed to the successful participants. b) Sparing of employees and workers for the training courses organized by working Education Centre, for a period of 3 months duly treating the training period as on duty besides granting TA & DA and other allowances admissible. OTHER FRIENGE BENEFITS & WELFARE ACTIVITIES:

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Port provided a welfare fund a budget of Rs.25 lakhs from which the following welfare amenities are taken. Financial Assistance for Education: Financial assistance to employee and their children for

prosecuting higher studies in intermediate, Graduation and post graduation, polytechnic, Engineering, Medicine and Professional Courses like ICWAL, Company Secretary etc., was rendered. i. Amount disbursed in 2005-2006 is Rs. 9,69,230/- for 656 applicants. ii. Financial assistance for purchase of text books for the children of Class-IV employees up to 10th standard. iii. Merit scholarships for the first three ranks secured in public examination unto Intermediate and two ranks above Intermediate course by the children of port employees. Other Financial Assistance: i. Rendered financial assistance to the turn of Rs.1000 in each case from the welfare fund for the damaged/burnt houses of the employees in cyclone/fire accidents. ii. Financial assistance of Rs.50/- per day to the employees suffering from ordinary diseases and Rs.75/- per day to the employees suffering from serious illness subject to minimum of Rs.2500/depending upon the no. of employees suffering from serious 50

illness and additional amount of Rs.400/- was for paid for special diet. iii. Financial assistance for infrastructure including gas equipment, utensils, electric equipment etc., was provided to 15 canteens and 50 lunch cum rest rooms locked in various work spots. Power and water is supplied tree of cost. iv. Financial assistance was rendered for payment of examination conduct by Dashina Bharatha Hindu Prachara Sabha, Hyderabad and Chennai. Cash awards were also granted to the children of Post Employees who pass Hindi Examinations. OTHER WELFARE ACTIVITIES: The participant employee/workers are granted 9 days special casual leave to attend the industrial study tour and a recoverable advance of Rs.2000/- per participants is rendered. Recreating facilities in the residential colonies: The functioning of Bala Vihar writing and tailoring classes leave to attend the industrial study tour and a recoverable advance of Rs.2000/per participants is rendered. Widow welfare association: Widow welfare Association formed for the benefit of widow of deceased employees they are running one LPG India Gas Unit and Petrol Bunk, in Salagramapuram housing colony satisfactorily. 51

i.

Homeo clinics are running for the benefit of employees and their families at work places & at Port Housing colony at SG Puram and Harbour park under Sarada Mahila Samajam/VPT with a monthly remuneration of Rs.1000/-.

ii.

Reimbursement of cost of transportation of dead bodies of the decreased employees/family members referred to outstation hospitals.

iii. iv.

Port provides artificial limbs to the employees in need. An amount of Rs.2,500 is paid to the family of the deceased employees towards funeral expenses from compassionate fund.

v.

Family Security Mutual Fund Scheme: In order to relieve the burden of huge payment of the balance

amount of HBA granted by the Port in the case of employees who dies while in service the VPT evolved a scheme called HBA Family Security Mutual Fund Scheme. As per the scheme the principal amount

together with interest towards payment of H.B.A., due there on, an amount not exceeding rupees. i. Reimbursement of cost of spectacles up to Rs.400/for

operational category and Rs.250/- for non operational category or the actual cost of spectacles which ever is less. An amount of Rs.97,465/- was spent towards spectable reimbursement to the

52

non-operational category employees and Rs.44,765/- towards reimbursement to operation category employees. ii. The port cultural association SAGARI has conducted several programmers during the year.

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54

DETAILS OF VPE WELFARE FUND FOR THE YEAR 2005 2006

S.No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. 18. 19. Description of the Head of Expenditure in the Welfare Fund Clubs Bala Vihar Cultural Activities Picnics Artificial Limbs Prolonged Sickness Canteens Fire Accidents Sports and Games Scholarship Scheme Port Contribution to HBA Reimbursement of cost of spectacles (Operational category) Reimbursement of cost of spectacles (Non Operational Category) Incentive for Hindi and Hindi Books Remuneration to the Attendant of Port Dispensary Chinamushidivada Homeo clinics Primary and Secondary Education in port schools/Jr. college at Port Residential Colonies Laser Surgery treatment reimbursement Miscellaneous Total Actual Expenditure -1450.00 61000.00 3090.00 -2250.00 13200.00 -521914.00 969230.00 600000.00 52329.00 32680.00 500.00 26110.00 12000.00 10000.00 209161.00 -18110.00 2500000.00

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VPE WELFARE FUND BUDGET FOR THE YEAR 2006-07

S.No. 1. 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. 12. 13. 14. 15. 16. 17. Description of the Head of Expenditure in the Welfare Fund Clubs Bala Vihar Cultural Activities Picnics Artificial Limbs Prolonged Sickness Canteens Fire Accidents Sports and Games Scholarship Scheme Port Contribution to HBA Reimbursement of cost of spectacles (Operational category) Reimbursement of cost of spectacles (Non Operational Category) Incentive for Hindi and Hindi Books Remuneration to the Attendant of Port Dispensary Chinamushidivada Homeo clinics Primary and Secondary Education in port schools/Jr. college at Port Residential Colonies Total Actual Expenditure 5000.00 10000.00 70000.00 15000.00 -10000.00 80000.00 -500000.00 1000000.00 600000.00 90000.00 50000.00 1000.00 25000.00 12000.00 10000.00 2500000.00

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CHAPTERV SUMMARY AND SUGGESTIONS

SUMMARY The process of study is basically dealing with objectives and methodology adopted and the conclusions arrived at the detailed study on Welfare Amenities impact on industrial relations on VPT. The study was conducted to know the existing unions and their objectives in Visakhapatnam Port Trust and to know the satisfaction of employees. There are totally 14 trade unions among which only 4 are in VPT. All the 4 unions are recognized. There was no central law for these

trade unions. Only 2 of these unions are major. They are: a) The Visakhapatnam Harbour and Port Workers Union Regd. No.65 (Recognized). From 2001 to 2007 there is a small increase in the strength of the employees. In 2001 there are 1657 members but in 2007 the members were increased to 1734. b) The Visakhapatnam Port employees Union Regd. (Recognized). No. 2611

There was a drastic fall in the strength of the The

employees in this union form the year 2001 to 2007.

members in this union in 2001 were 2674 and now in 2007 the number of members was increased to 1693.

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The union was selected for 2 years.

Eight of the unions were

activated for policy making but one of these is not working from the last 4 years. Random checking is made once in two years. In 1998 government introduced the Check of System Ministry appointed by the Board of Trustees. In a year 6-7 meetings was held by the union. Apart from Grievances there is Open-door system. In 2000 Dec. and 2001 Jan. a major dispute was occurred between the major unions because of incentives. Competition, which had taken lot of changes in the present environment. Each and every person getting ready to face the competition in every sector of the life by opening up of the economy to outside world and greater role to the private sectors were initiated. Here global competition has taken lot of changes in the world market. These changes faced by each and every country in making their own strategies for their survival in the global market. Before introduction of Foreign Exchange Regulation Act, 1973 Indian industries has their own nature of strategies but introduction of this Act and introduction of Globalization and Liberalizationin 1991 along with 7th Five year Plan in 1985 they had to face the competition in the global market and many PSUs failed to withstand this competition

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dropped into losses with excess manpower the business have to face competition and change its technology.

SUGGESTIONS
1. Visakhapatnam Port Trust can further improve its efficiency through motivation of its employees and by imparting training to them in the latest and more innovative techniques. 2. For every performance of the employees, Visakhapatnam Port Trust should encourage them with a positive stroking and other performance appraisal techniques. 3. Workers participation in management should be encouraged and then the employees will be able to view the positive prospects of the reform processes i.e., steps like privatization and downsizing of the employee strength. 4. More innovative techniques to reduce the increased workload of individuals. 5. In deciding remuneration for different categories of workers, the management should take into the considerations of worker opinions and suggestions. 6. The Workers should be trained to participate in the Management. 7. To discuss important matters, the Workers should have access to middle Management.

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8. Most of the respondents have said they have regular meetings with the Management. This practice of having regular meetings should be maintained.

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ANNEXURE I QUESTIONNAIRE
Topic: Welfare facilities available in VPT with special reference to housing, medical, canteen and education of children. Personal data Name Age Sex Qualification Designation: 1. Are you aware organization? Yes 2. [ ] of the welfare facilities provided [ by ] the : : : : :

No

Are you satisfied with all these facilities? Yes [ ] No [ ]

3.

If Yes, do you have any suggestions Yes [ ] No [ ]

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Housing Facilities: 1. Are you provided with the housing facility? Yes 2. 3. 4. Yes Yes Yes 1. 2. [ [ [ [ ] ] ] ] No No No No [ [ [ [ ] ] ] ]

Are the houses will be ventilated? Do you get sufficient water? Are you satisfied with the housing facility?

Medical Facilities: Is all types of medical facilities are provided in hospital? Yes [ ] No [ ] Are the doctor, nurses, and compounders available at the appropriate time? Yes 3. 4. Yes Sufficient 5. [ [ [ ] ] ] No No Non Sufficient [ [ [ ] ] ] Is standard medicines are available in the hospital dispensary? Are there _______ medicines available in the hospital dispensary?

Is there sufficient Space? Yes [ ] No [ ]

6.

Are you satisfied with the cleanliness of the dispensary? Sufficient [ ] Non Sufficient [ ]

Canteen Facility: 1. 2. 3. 4. Are you satisfied with the quality of Food? Sufficient Sufficient Yes [ [ [ ] ] ] Non Sufficient Non Sufficient No [ [ [ ] ] ] Are you satisfied with the price of the food? Is there recipes speak available in the canteen? Is the canteen and the utensils in the canteen are perfectly cleaned?

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Yes 5.

No

Are you satisfied with the facilities in the canteen? Sufficient [ ] Non Sufficient [ ]

Education of the Children: 1. 2. What Standard of facility is there? Good [ ] Not Good [ ] Is the sufficient classroom in the school? Sufficient 3. [ ] Non Sufficient [ ]

Are there sufficient books available in the school library? Sufficient [ ] Non Sufficient [ ]

4. 5.

Is the school always maintains clean? Yes Satisfied [ [ ] ] No Not Satisfied [ [ ] ] Are you satisfied with the educational facilities provided?

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