A STUDY ON EMPLOYEE ABSENTEEISM IN

KONGARAR COTTON AND SYNTHETICS LTD

A summer project report submitted to the

ANNA UNIVERSITY
In partial fulfillment of the requirements
For the award of the degree
of

MASTER OF BUSINESS ADMINISTRATION

By
N.NAGARAJU
Reg.No:20206631033
Under the guidance of
Mr.S.DAVID RAJAN
DEPARMENT OF MANAGEMENT STUDIES
DMI COLLEGE OF ENGEERING CHENNAI-602 103
JULY- 2007

DECLARATION

ii

DECLARATION

I, N.NAGARAJU, M.B.A student of DMI College Of Engineering,

Palanchoor, Chennai -602 103, would like to declare that the project work entitled A
STUDY ON EMPLOYEE ABSENTEEISM IN KONGARAR COTTON AND
SYNTHETICS LTD in partial fulfillment of Master of Business Administration course
under Anna University is original project done independently by me under the guidance
of Mr. DAVID RAJAN, Department of Management studies DMI College of
Engineering, Palanchoor, Chennai- 602 103.

Place: Chennai

Date:

(N.NAGARAJU)

iii

CERTIFICATES

iv

CERTIFICATES
This is to certify that the project report entitled A STUDY ON EMPLOYEE
ABSENTEEISM IN KONGARAR COTTON AND SYNTHETICS LTD is a
bonafide record of the work done by Mr.N.NAGARAJU, Reg No:20206631033
submitted in partial fulfillment of the requirement of the award of the degree of
MASTER OF BUSINESS ADMINISTRATION of Anna university.

DIRECTOR

FACULTY GUIDE

VIVA EXAMINATION HELD ON.

INTRNAL EXAMINER

EXTERNAL EXAMINER

ACKNOWLEDGEMENT

vi

ACKNOWLEDGEMENT

I wish to extend my heart full thanks and sincere gratitude to Mr.GOPAL,

Principal of DMI College of Engineering, Palanchoor, who has given me constant
support and encouragement at all level to undergo this project work.
This project work is outcome of 45 days I work in KONGARAR COTTON
AND SYNTHETICS LTD , in partial fulfillment of the requirements for the degree of
Master of Business of Anna University, Chennai. In the accomplishment of this academic
task. I was assisted directly or indirectly by a host our faculty members, my well-wishes,
my colleagues, the officials and the members of my family to whom I am very much
indebted. The following few of them however, deserve special mention here.
I express my sincere and heart full thanks to Mr.S.SUNDRA MURTHY
REDDY MBA(Ph.D) Dean of the Management Studies, for having provided me the
necessary facilities to under go this project work.
I owe personal debt of gratitude of my faculty guide Mr.DAVID RAJAN
faculty of Management studies of DMI College of Engineering, Palanchoor, for his
valuable support, worthy guidance timely help and inspiration at all stages of this project
work.
I would also like to offer my heartfelt gratitude to Mr.R.GURUSWAMY,
managing director of the concern and Mr.PRABAKARAN who has made it possible for
me to complete this project successfully through assistants in showing me the various
details information and its interest.
Finally, yet importantly I thank to all my friends and family members.

vii

CONTENTS

viii

CONTENTS

CHAPTER
NO

II

III
IV
V
VI
VII

TITLE
Declaration
Certificate
Acknowledgement
List of tables
List of charts
Abstract
Introduction
1.1 Introduction to the company
1.2 Introduction to the study
1.3 Profile of the company
Project design
2.1 Research methodology
2.2 Objectives of the Study
2.3 Limitations of the study
Analysis and interpretation
Findings
Suggestions
Conclusion
Bibliography
Annexure

ix

PAGE NO
iii
v
vii
ix
xiii
xv
1
3
6
17
25
27
32
35
37
60
64
66
68
69

CONTETS OF TABLES
LIST OF TABLES

S.NO
1
2
3
4

TITLES
Table showing the response on paid holidays
Table showing the response on salary
Table showing the response on leave(EL, CL)
Table showing the response on training and development

PAGE NO
37
38
39
40

5
6
7
8
9
10
11
12
13
14
15
16
17
18

Table showing the response on welfare facilities

Table showing the response on medical treatment
Table showing the response on work environment
Table showing the response on job security
Table showing the response on provident fund
Table showing the response on group insurance
Table showing the response on pension
Table showing the response on labor union
Table showing the
response on good relation ship with
management
Table showing the response on labor union
Table showing the response on whether they had met any
accident
Table showing the response on whether they have any other
source of income
Table showing the response on job satisfaction

41
42
43
44
45
46
47
48
49

Table showing the response how often taking leave because of

their personal work

54

xi

50
51
52
53

CONTETS OF CHARTS
LIST OF CHARTS

S.NO
1
2
3

TITLES
Chart showing the response on paid holidays
Chart showing the response on salary
Chart showing the response on leave(EL, CL)

4
5
6
7
8
9
10

Chart showing the

Chart showing the
Chart showing the
Chart showing the
Chart showing the
Chart showing the
Chart showing the

response on training and development

response on welfare facilities
response on medical treatment
response on work environment
response on job security
response on provident fund
response on group insurance
xii

PAGE NO
37
38
39
40
41
42
43
44
45
46

11
12
13
14
15
16
17
18

Chart showing the response on pension

Chart showing the response on labor union
Chart showing the
response on good relation ship with
management
Chart showing the response on labor union
Chart showing the response on whether they had met any
accident
Chart showing the response on whether they have any other
source of income
Table showing the response on job satisfaction

47
48
49

Charts showing the response how often taking leave because of

their personal work

54

xiii

50
51
52
53

ABSTRACT
ABSTRACT

The project work has been carried in KONGARAR COTTON AND

SYNTHETICS LTD , located at Pallapalayam in Coimbatore.
This project deals with finding out the factors causing EMPLOYEE
ABSENTEEISM in the organization.
The methodology used to collect primary data for this study is questionnaire
method, and the sample size of the employees are 70. Based on the analysis of the
information, interpretation were drawn.
Factors like disease, environment, salary, alcoholism, job satisfaction were found
out while studying the problem.

xiv

The data has been analyzed using tools like simple percentage and based on the
factors which were found out during the course of the study, for maintaining the
absenteeism of employees

PROJECT TITLE
A STUDY ON EMPLOYEE ABSENTEEISM IN KONGARAR COTTON AND
SYNTHETICS LTD

RESEARCH METHODOLOGY
Research design

: Descriptive study

Research technique

: Questionnaire

Total population

: 200

Sample size

: 70

Statistical tools

: Percentage analysis, chi square test, pie chart, bar chart.

DATA SOURCES
Primary data

: Questionnaire

Secondary data

: Company records, magazines, websites etc.,

xv

OBJECTIVES
PRIMARY OBJECTIVE:
To find the factors which causes the employee absenteeism in KONGARAR
COTTON AND SYNTHETIC LTD

SECONDARY OBJECTIVES:
To find the negative factors which motivate the employee absenteeism
To find the job satisfaction level of the employees
To increase the level of employee satisfaction
To find the inconvenience faced by the employees in the organization
To find the factor which make the employee to continue in the organization

MAJOR FINDINGS
1) Many of the employees are taking leave because of their illness.
2) Most of the employees taking leave for their personal works.
3) From the study, low salary is one of the reason for employees absenteeism
4) Job dissatisfaction is one of the factors affecting employees absenteeism.
5) Poor supervision is causing employee absenteeism.
6) Less paid holidays also causing employee absenteeism..

MAJOR SUGGESTIONS
From the study most of the employees taking leave because of their illness. So
management should improve medical treatment for their employees.
Management should improve supervision.
xvi

 Management should improve welfare facilities.

They should increase salary based by service and performance.
They should increase paid holidays per month.
Organization should improve job security of the employees.

xvii

CHAPTRE-1

INTRODUCTION

1.1 INTRODUCTION TO THE

COMPANY

INTRODUCTION TO THE COMPANY

BRIEF HISTORY
Kongarar cotton and synthetics ltd is deemed limited company engaged in cotton
spinning, was incorporated in the year 1983.The factory is located in S.F.No:37/3A,
Bogigounden Dasarpatti village, Palla palayam post , Udumaipet taluk.
The company was originally started with a capacity of 2200spindles in the year of
1985. By implementing various modernization, balancing and expansion schemes with
the financial assistance of ICICI, SIPCOT, the company is able to achieve the present
capacity of 12,960 spindles and one open end machine with a capacity of 168 rotors.
The company is engaged in the manufacture of cotton yarn and their blends of
various combed counts ranging from 90s to 100s.

PROMOTERS AND THEIR BACKGROUND

The company was originally promoted by Sri.R.Gurusamy @ Ashok Rudrappan
along with their family members. However, later on, R.Gurusamy has taken over the
controlling interest interest of the company and as of now, the management lies with
Mr.Ashok Rudrappan.
Mr.Ashok Rudrappan is a well known vertern textiles technologist. He has 25
years of rich and successful experience in textile industry, backed by his strong academic
carrier in block burn university, UK.

1.2 INTRODUCTION TO THE

STUDY

INTRODUCTION TO THE STUDY

TEXTILE INDUSTRY
The textile industry occupies a unique place in our country. One of the earliest to come
into existence in India, it accounts for 14% of the total Industrial production, contributes
to nearly 30% of the total exports and is the second largest employment generator after
agriculture.
Textile Industry is providing one of the most basic needs of people and the holds
importance; maintaining sustained growth for improving quality of life. It has a unique
position as a self-reliant industry, from the production of raw materials to the delivery of
finished products, with substantial value-addition at each stage of processing; it is a
major contribution to the country's economy.

Its vast potential for creation of employment opportunities in the agricultural, industrial,
organised and decentralised sectors & rural and urban areas, particularly for women and
the disadvantaged is noteworthy.

Although the development of textile sector was earlier taking place in terms of general
policies, in recognition of the importance of this sector, for the first time a separate Policy
Statement was made in 1985 in regard to development of textile sector. The textile policy
of 2000 aims at achieving the target of textile and apparel exports of US $ 50 billion by
2010 of which the share of garments will be US $ 25 billion. The main markets for Indian
textiles and apparels are USA, UAE, UK, Germany, France, Italy, Russia, Canada,
Bangladesh and Japan.

The main objective of the textile policy 2000 is to provide cloth of acceptable quality at
reasonable prices for the vast majority of the population of the country, to increasingly
contribute to the provision of sustainable employment and the economic growth of the
nation; and to compete with confidence for an increasing share of the global market.

As a result, the As a result, the textile industry in developed countries will face intensified
competition in both their export and domestic markets. However, the migration of textile
capacity will be influenced by objective competitive factors and will be hampered by the
presence of distorting domestic measures and weak domestic infrastructure in several
developing and least developed countries.

The elimination of quota restriction will open the way for the most competitive
developing countries to develop stronger clusters of textile expertise, enabling them to
handle all stages of the production chain from growing natural fibers to producing
finished clothing, The OECD paper says that while low wages can still give developing
countries a competitive edge in world markets, time factors now play a far more crucial
role in determining international competitiveness. Countries that aspire to maintain an
export-led strategy in textiles and clothing need to complement their cluster of expertise
in manufacturing by developing their expertise in the higher value-added service
segments of the supply chain such as design, sourcing or retail distribution. To pursue
these avenues, national suppliers need to place greater emphasis on education and
training of services-related skills and to encourage the establishment of joint structures
where domestic suppliers can share market knowledge and offer more integrated
solutions to prospective buyers.

The textile industry is undergoing a major reorientation towards non-clothing

applications of textiles, known as technical textiles, which are growing roughly at twice
rate of textiles for clothing applications and now account for more than half of total
textile production. The processes involved in producing technical textiles require
expensive equipments and skilled workers and are, for the moment, concentrated in
developed countries. Technical textiles have many applications including bed sheets;
filtration and abrasive materials; furniture and healthcare upholstery; thermal protection
and blood-absorbing materials; seatbelts; adhesive tape, and multiple other specialized
products and applications. India must take adequate measures for capturing its market by
promoting

research

and

development

in

this

sector.

The mood in the Indian textile industry given the phase-out of the quota regime of the
multi-fibre arrangement (MFA) is upbeat with new investment flowing in and increased
orders for the industry as a result of which capacities are fully booked up to April 2005.
As a result of various initiatives taken by the government, there has been new investment
of Rs.50,000 crore in the textile industry in the last five years. Nine textile majors
invested Rs.2,600 crore and plan to invest another Rs.6,400 crore. Further, India's cotton
production increased by 57% over the last five years; and 3 million additional spindles
and 30,000 shuttle-less looms were installed

..

The industry expects investment of Rs.1,40,000 crore in this sector in the post-MFA
phase. A Vision 2010 for textiles formulated by the government after intensive interaction
with the industry and Export Promotion Councils to capitalise on the upbeat mood aims
to increase India's share in world's textile trade from the current 4% to 8% by 2010 and to
achieve export value of US $ 50 billion by 2010 Vision 2010 for textiles envisages
growth in Indian textile economy from the current US $ 37 billion to $ 85 billion by
2010; creation of 12 million new jobs in the textile sector; and modernisation and
consolidation

for

creating

globally

competitive

textile

industry.

There will be opportunities as well as challenges for the Indian textile industry in the
post-MFA era. But India has natural advantages which can be capitalised on strong raw
material base - cotton, man-made fibres, jute, silk; large production capacity (spinning 21% of world capacity and weaving - 33% of world capacity but of low technology);
industry in developed countries will face intensified competition in both their export and
domestic markets. However, the migration of textile capacity will be influenced by
objective competitive factors and will be hampered by the presence of distorting domestic
measures and weak domestic infrastructure in several developing and least developed
countries.

The elimination of quota restriction will open the way for the most competitive
developing countries to develop stronger clusters of textile expertise, enabling them to
handle all stages of the production chain from growing natural fibres to producing
finished clothing, The OECD paper says that while low wages can still give developing

countries a competitive edge in world markets, time factors now play a far more crucial
role in determining international competitiveness. Countries that aspire to maintain an
export-led strategy in textiles and clothing need to complement their cluster of expertise
in manufacturing by developing their expertise in the higher value-added service
segments of the supply chain such as design, sourcing or retail distribution. To pursue
these avenues, national suppliers need to place greater emphasis on education and
training of services-related skills and to encourage the establishment of joint structures
where domestic suppliers can share market knowledge and offer more integrated
solutions to prospective buyers.

The textile industry is undergoing a major reorientation towards non-clothing

applications of textiles, known as technical textiles, which are growing roughly at twice
rate of textiles for clothing applications and now account for more than half of total
textile production. The processes involved in producing technical textiles require
expensive equipments and skilled workers and are, for the moment, concentrated in
developed countries. Technical textiles have many applications including bed sheets;
filtration and abrasive materials; furniture and healthcare upholstery; thermal protection
and blood-absorbing materials; seatbelts; adhesive tape, and multiple other specialized
products and applications. India must take adequate measures for capturing its market by
promoting research and development in this sector.

The mood in the Indian textile industry given the phase-out of the quota regime of the
multi-fibre arrangement (MFA) is upbeat with new investment flowing in and increased
orders for the industry as a result of which capacities are fully booked up to April 2005.
As a result of various initiatives taken by the government, there has been new investment
of Rs.50,000 crore in the textile industry in the last five years. Nine textile majors
invested Rs.2,600 crore and plan to invest another Rs.6,400 crore. Further, India's cotton
production increased by 57% over the last five years; and 3 million additional spindles
and 30,000 shuttle-less looms were installed.

The industry expects investment of Rs.1,40,000 crore in this sector in the post-MFA
phase. A Vision 2010 for textiles formulated by the government after intensive interaction
with the industry and Export Promotion Councils to capitalise on the upbeat mood aims

to increase India's share in world's textile trade from the current 4% to 8% by 2010 and to
achieve export value of US $ 50 billion by 2010 Vision 2010 for textiles envisages
growth in Indian textile economy from the current US $ 37 billion to $ 85 billion by
2010; creation of 12 million new jobs in the textile sector; and modernisation and
consolidation

for

creating

globally

competitive

textile

industry.

There will be opportunities as well as challenges for the Indian textile industry in the
post-MFA era. But India has natural advantages which can be capitalised on strong raw
material base - cotton, man-made fibres, jute, silk; large production capacity (spinning 21% of world capacity and weaving - 33% of world capacity but of low technology);

LATEST NEWS IN TEXTILE SECTOR

1. Ministry of finance has added 165 new textile products under duty drawback
schedule. The new products included wool tops, cotton yarn, acrylic yarn, viscose
yarn, various blended yarn/fabrics, fishing nets etc. Further, the existing entries in
the drawback schedule relating to garments have been expanded to create separate
entries of garments made up of (1) cotton; (2) man made fibre blend and (3)
MMF. Separate rates have been prescribed for these categories of garments on the
basis of composition of textiles.
2. After the phasing out of quota regime under the multi-fibre pact, India can
envisage its textile sector becoming $100b industry by 2010. This will include
exports of $50b. The proposed targets would be achieved provided reforms are
initiated in textile sector and local manufacturers adopt measures to improve their
competitiveness. A 5-pronged strategy aiming to attract FDI by making reforms in
local market, replacement of existing indirect taxes with a single nationwide VAT,
liberalization of contract norms for textile and garments units, elimination of
restrictions that cause poor operational and organizational performance of
manufacturers, was suggested.
3. The Union Minister Shankarsinh Vaghela said that the Board for Industrial and
Financial Reconstruction (BIFR) had approved rehabilitation schemes for sick
NTC mills at a cost of Rs 3,900 crore. Of the 66 mills, 65 unviable mills have

10

been closed after implementing voluntary retirement scheme (VRS) to all

employees. According to him, the government has already constituted assets sale
committees comprising representatives of Central and state governments,
operative agency, BIFR, NTC and the concerned NTC subsidiary to effect sale of
assets through open tender system.
4. Proposals for modernization of NTC mills have been made to the consultative
committee members, including formation of a committee of experts to improve
management of these mills. Even the present status of jute industry was under the
scanner of the consultative committee.
5. The Government had announced change from the value-based drawback rate
hitherto followed to a weight-based structure for textile exports that will
discourage raw material exports and also curtail the scope for misusing the
drawback claims by boosting invoice value of exports.
6. NCDEX launched its silk contract (raw silk and cocoon) on Thursday, January
20,2005.. With this launch, the total number of products offered by NCDEX goes
up to 27.The launch of the silk contract will offer the entire suite of fibres to the
entire value chain ranging from farmers to textile mills. With the objective of
protecting the interests of the those affected but WTO agreements and
globalisation process, Government of India jointly with NCDEX has adopted a
policy of encouraging future contracts of silk. The Ministry of Textiles and the
Central Silk Board (CSB) had decided to introduce futures trading in mulberry
cocoons and raw silk on NCDEX. The basic purpose is to mitigate the risk
associated with the changing prices through an efficient price discovery
mechanism. Futures trading on the NCDEX will provide an alternative trading
avenue for farmers, weavers and traders and help them make a better price
discovery for their produce. It will also help them to reduce risks associated with
price volatility through hedging CDEX. The basic purpose is to mitigate the risk
associated with the changing prices through an efficient price discovery
mechanism. Futures trading on the NCDEX will provide an alternative trading
avenue for farmers, weavers and traders and help them make a better price
discovery for their produce. It will also help them to reduce risks associated with
price volatility through hedging

11

ABSENTEEISM
The state of chronic absence from work. Absenteeism is usually addressed
through progressively stricter disciplinary measures that can result in the termination of
the individual's employment.

ABSENTEEISM IN INDIA
The rate of absenteeism in Census Sector at all India level decreased to 9.88 percent
during as 2002, as compared to 9.95 percent during 2001. Out of 31 States/Union
Territories, the rate of absenteeism was higher in 8 States than the absenteeism rate at
national level. The highest absenteeism rate of 13.54 percent was reported in Himachal
Pradesh followed by Goa (13.12 percent), whereas the lowest absenteeism rate was
recorded at Information regarding absenteeism amongst workers in an industry or an
industrial establishment on account of reasons other than strikes, lockouts, lay-off,
weekly rest or suspension, provide a sound database for gauging the employees morale,
commitment and level of job satisfaction, which have a direct bearing on productivity.
The effects of high levels of absenteeism are wide ranging and affect everyone in
the organisation. It cannot be regarded purely as a management problem. Employers,
workers and their representatives have an interest in ensuring that a few absent workers
do not jeopardise their prosperity or job satisfaction.
Absenteeism is one of the indicators to monitor and evaluate various employees'
welfare programmes and labour policies. With this aim in view, statistics on absenteeism
amongst the directly employed regular workers are collected as a part of the Annual
Survey of Industries. Absenteeism rate amongst these workers in an industry or a state are
worked out as percentages of mandays lost on account of absence to the mandays
scheduled to work in the respective industry or state.

12

Statistics on number of factories reporting absenteeism, percentage of such factories,

mandays scheduled to work, mandays lost due to absence and percentage of absenteeism
by States, Industries and Sectors during the year 2002, are presented.

ABSENTEEISM IN STATES
State-wise absenteeism rate amongst the directly employed regular workers during
the year 2002 is presented. It is observed2.34 percent in Manipur followed by Nagaland
(2.81 percent). However, it is observed that as Andaman & Nicobar Islands, Nagaland
and Manipur constitute even less than one percent of the total mandays scheduled to work
in the country, high or low absenteeism rate in these States may not be of much
relevance. The highest absenteeism rate amongst the States/Union Territories in which
the mandays scheduled to work were reported to be more than 5 percent was reported in
Maharashtra (13.07 percent). An increase in absenteeism rate as compared to that in
2001 was recorded only in 13 States/Union Territories. In Tripura and Andaman &
Nicobar Islands, there is a sharp decrease in the absenteeism rate, whereas, in Dadar &
Nagar Havali, there is a sharp increase in the absenteeism rate.

ABSENTEEISM IN INDUSTRIES
Industry-wise absenteeism rate amongst the directly employed regular workers during
2002 is presented. It reveals that during 2002, the highest rate of absenteeism was
reported at 16.18 percent in the industry group 371-Recycling of metal waste and scrap',
whereas the lowest rate at 5.92 percent was reported in industry group '014-Agricultural
and animal husbandry service activities, except veterinary activities. Out of a total of 62
industry groups, the absenteeism rate in 26 industry groups was recorded more than 10
percent. This implies that absenteeism is more or less a region related problem, because
industry-wise rate of absenteeism is more evenly spread over a large number of industry
groups, as compared to its state-wise spread where the state to state variation is
comparatively quite steep. Out of 62 industry groups, absenteeism rate was higher than
absenteeism rate at the national level in at least in 26 industry groups. Like wise, out of
62 industry groups, an increase in the rate of absenteeism during 2002, was witnessed in
29 industry groups over absenteeism rate of 2001.
13

ABSENTEEISM IN STATES BY SECTORS

The State-wise and Sector-wise absenteeism rates during 2002. For the purpose
of studying absenteeism by type of ownership, units have been divided into three sectors,
viz., Public, Joint and Private Sectors. Among the three sectors, the highest rate of
absenteeism at all India level was reported in Public Sector (10.87 percent), followed by
Private Sector (9.79 percent) and Joint Sector (9.37 percent).
The rate of absenteeism in Public Sector, varied between a highest rate of 16.67
percent in Manipur and lowest rate of 1.39 percent in Meghalya. In Joint Sector, the
absenteeism rate varied between a highest rate of 20.54 percent in Goa and lowest rate of
0.99 percent in Tripura. In Private Sector, the absenteeism rate varied between a highest
rate of 13.50 percent in Himachal Pradesh and a lowest rate of 2.34 percent in Manipur.

ABSENTEEISM IN INDUSTRIES BY SECTORS

Industry-wise and Sector-wise absenteeism rate for the year 2002.In Public Sector,
the highest rate of absenteeism of 25.33 percent was recorded in industry group 359Manufacture of transport equipment whereas the lowest rate of absenteeism was recorded
at 3.40 percent in industry group, 153-Manufacture of grain mill products, starches and
starch products, and prepared animal feeds. In Joint Sector, the highest rate of
absenteeism at 27.50 percent was reported in industry group 251-Manufacture of rubber
products, whereas the lowest rate of 3.24 percent was observed in the industry group
151-Production, processing and preservation of meat, fish, fruit, vegetables, oils and
fats. In Private Sector, the highest rate of absenteeism at 13.38 percent was recorded in
industry group 251-Manufacture of rubber products, whereas the lowest rate of 3.08
percent was reported in industry group 371-Recycling of metal waste and scrap.
.

14

DEFINITION - ABSENTEEISM POLICY:

The organization policy which addresses chronic absence from work.
Absenteeism policies usually contain guidelines for topics such as the following:
*Allowable absences;
* Payment for work including payment for days missed before and after a holiday;
*Types of excused and unexcused absences;
* Days/hours worked on a normal work schedule before payment of overtime
hours occurs within a pay period;
* Policy about calling in absences; and
* Supervisor management of absenteeism via paying attention to selected patterns of
absences and tardiest.
Also Known As: Often used interchangeably with attendance policy, depending
on content. My view is that an attendance policy is much more narrowly defined and
limited to attendance, as opposed to absenteeism policies which are much broader and
address absenteeism management issues and more.

FACTORS MOTIVATING ABSENTEEISM:

The following are the factors affecting absenteeism:

Illness

Personal work

Poor supervision

Salary

Job dissatisfaction

Less paid holidays

15

1.3 PROFILE OF THE

ORGANIZATION

16

PROFILE OF THE ORGANIZATION

BRIEF HISTORY
Kongarar cotton and synthetics ltd is deemed limited company engaged in cotton
spinning, was incorporated in the year 1983.The factory is located in S.F.No:37/3A,
Bogigounden Dasarpatti village, Palla palayam post , Udumaipet taluk.
The company was originally started with a capacity of 2200spindles in the year of
1985. By implementing various modernization, balancing and expansion schemes with
the financial assistance of ICICI, SIPCOT, the company is able to achieve the present
capacity of 12,960 spindles and one open end machine with a capacity of 168 rotors.
The company is engaged in the manufacture of cotton yarn and their blends of
various combed counts ranging from 90s to 100s.

PROMOTERS AND THEIR BACKGROUND

The company was originally promoted by Sri.R.Gurusamy @ Ashok Rudrappan
along with their family members. However, later on, R.Gurusamy has taken over the
controlling interest interest of the company and as of now, the management lies with
Mr.Ashok Rudrappan.
Mr.Ashok Rudrappan is a well known veteran textiles technologist. He has 25
years of rich and successful experience in textile industry, backed by his strong academic
carrier in block burn university, UK.

17

KEY FACTORS
RAW MARERIALS
The basic raw material required is cotton fiber. Cotton is a natural fiber which can
be processed to produce a wide variety of end products. The staple length, fineness,
cleanliness and strength determine method of processing of cotton fiber for various end
products. The staple length, fineness, and strength drive the yarn count for which a
particular variety of cotton is appropriate. The cleanliness of cotton is another parameter
that affects the quality of the product and has an impact on the process irrespective of the
count of yarn for which the fiber may be appropriate.
Estimating the cotton crop, fluctuations in its price and the final ability to stock
cotton are key factors in the success of textile companies in India. Thus manufacturer
have to physically buy and store cotton for future requirements with no hedge against
price fluctuations. This is especially true of the yarn sector where the cost of cotton in
the final yarn price is 55-60%. The yarn industry operates at a profit before tax level of
about 9% while cotton prices fluctuate by 30% to 50% in a year. Thus the entire profit
can be wiped out by wrong judgments related to cotton purchase. Seasons like 1993-94
when cotton prices doubled with in a period of 4-5 months spells high risk for spinners
and can result in disastrous consequences for the entire yarn industry.
It is pertinent to mention that once the company drives the strength of purchasing
raw materials on cash payments at discount, the benefit accruing on account of such
purchases would add up to the efficiencies.

POWER & FUEL

The availability of power is stable for all the units. Power & fuel is one of the
major components of cost constituting 10-13% of the realizations.

18

The actual

consumption of power is based on the capacity utilized and the product mix, which is
dependent upon the marked requirement.

DIRECT LABOR
The availability of skilled/semi-skilled/unskilled labor is abundant. The
company had already 200 permanent employees on roll.

FINISHED GOODS
Cotton yarn is classified on the basis of counts. Typically the higher count is of
superior quality. Coarse yarn (less that 17s) is used for low cost fabric, industrial
garments etc. Medium quality yarn (20-40s) is used for shirting, knitting and other
textiles. Super fine yarn (above 40s) is used for premium shirting and other sophisticated
fabrics.

19

CRITICAL FACTORS
Mainly four factors appear to have contributed to the success in this industry,
which have helped the Company to survive despite the recession in the industry.

Location: The right location for well-developed infrastructure especially power, and
access to raw material and labor.

Appropriate plant selection: Import liberalization has enabled machinery import

from all over the world including second-hand machinery imports and their delivery
periods are extremely long. Indian machines are less expensive in many cases such as
spinning, our projects have all local machines.

The work culture: Traditionally considered an intangible indulgence, inculcating the

right work ethos to provide the cutting edge in terms of quality and productivity is now
coming into its own in the managerial mind-set. New units have the advantage of being
able to promote a suitable work ethic from the very beginning.

Older plants are

handicapped in this regard with the legacy of an obstructive industrial relations climate.

20

Commercial skill: Given the high content of raw material (which is agro-based) in
the overall product cost, the commercial judgment in timing and selection of raw
materials is crucial. In fact, this factor very often constitutes the essential difference in
end year performance between mills.
Cotton prices fluctuate in commodity pattern depending on local crop, global
prices (which in turn depend on crop in major growing countries), government policy,
carry over stocks, speculative pressures etc. Raw material (cotton) accounts for 60-70%
of total cost of production of yarn.
The Company has all the above factors in its favor and would need, need based
Working Capital facilities to achieve greater operating efficiencies.

21

TEXTILE MANUFACTURING PROCESS

SPINNING

BLOW ROOM
Cotton bales are opened and fed into it. It opens lumps of cotton, removes dirt
and foreign matter.

Rolls cotton fiber mass into sheets for feeding into cards (In

advanced machines such fibers are fed into cards directly through chutes).

CARDS
Further opens fiber lumps, removes dirt and very short fibers, separates fibers and
orients them in a vertical direction. Fibers are then converted into a silver to be fed into
draw frame.

DRAW FRAME
Several carded slivers are combined and drawn to produce another sliver. It
achieves parallelization, orientation and uniformity in the sliver.

COMBING
This process is optionally used. It is used in case of superior yarns, which require
high degree of uniformity and orientation. It separates each fiber, removes short fibers
and again orients all fibers in the vertical direction.

22

SPEED FRAME
Carded or combed sliver of fiber is drawn and twisted into roving. Roving has
less mass per length compared to sliver. It has just enough twist to hold the fiber together
and is very weak.

RING FRAME
Roving is fed, desisted, drawn and twisted again to form yarn. Twist inserted
through a revolving spindle around a ring into a strand of fiber delivered from a pair of
rollers. Twist inserted much higher than at the roving stage and it imparts strength to the
resultant yarn. Lower or higher twist reduces the strength. Lower twist makes the yarn
soft, higher twist makes it more lively, crisp and curly. Optimum twist also depends on
the cotton used. For the same count of yarn, if superior longer staple cotton is used
desirable yarn strength is achieved with less twist. Also for certain uses like hosiery and
knit goods as the process does not put too much tension on yarn like weaving, weaker
yarns are acceptable. As a result, hosiery or knitted yarns are produced with lower twists
than weaving yarns.

WINDING
Essentially this converts the package of the yarn. In ring spinning yarn is wound
on the bobbin. A bobbin normally holds about 1,000 to 3,000 m of yarn weighing about
60 to 80g. This is too small to handle. Besides ring yarn would have some faults which
can either create problems in weaving or in the appearance of the fabric. A winding
machine unwinds the yarn from bobbins and winds them on a much bigger package
called cones. A cone normally contains about 1 to 1.25kg of yarn, in other words, about
15 to 20 bobbins are converted into one cone. It also clears the yarn to remove faults.

23

Modem automatic machines clear the yarn electronically to remove faults such as thin
and thick places and neps (small lumps or fibers). It also delivers the yarn in exact
metered length. At breaks it produces a knot free yarn by splicing the broken ends
together. The nature of this package also, makes it transportable over long distances.
Thus spinning mills end product is in this package and this becomes the terminal
manufacturing process. Yarn is sold hicone forms and to ensure good weaving it is
specified as Ante coned, electronically cleared and spliced.
(Note: In case of dyed yarns for pattern weaving cones are dyed before the next process
of warping).

WARPING
Cones of yarn are creeled on to a machine and winding about 500 to 700 threads
together produces a sheet of yarn on beam. Its length is precise and preset to avoid
wastage at subsequent stage.

24

CHAPTRE-2

RESEARCH DESIGN

25

2.1 RESEARCH METHODOLOGY

26

RESEARCH METHODOLOGY
INTRODUCTION
Research can be defined as a scientific

and systematic search for pertinent

information on a specific topic It is a systemized effort to gain new knowledge.

RESEARCH DESIGN
A research design is the arrangement of

conditions for

collection

and

analysis of data in a manner that aims to combine relevance to the research purpose with
economy in procedure. In this study descriptive type of research design has been used.

DESCRIPTIVE RESEARCH DESIGN

Descriptive research studies are those studies which are concerned with
describing the character of a group.

DATA COLLECTION
The purpose of the investigation has been clearly defined the problem of
collecting the data arises.
There are two types of data, there are
a) Primary Data
b) Secondary Data

PRIMARY DATA
The data has been collected from the employees through questionnaire and
interview method.

27

SECONDARY DATA
The secondary data are those which have been collected by some one else and
which have already been passed through the statistical analysis.
Example: Records, Magazines, Internet etc,

SAMPLE SIZE
The size of the sample taken from the study was 70 respondents out of 200
Employees.

TYPES OF QUESTIONNAIRE USED

Questionnaire consists of
Closed ended questions
Multiple-choice questions
Ranking scale questions

SAMPLING TECHNIQUE
In this study convenience sampling technique has been used. The sample was
selected based on the convenience of both the researcher and the respondent.

TOOLS ANALYSIS
SIMPLE PERCENTAGE METHOD
This method is used to simplify the members through the use of percentage. The
data are reduced in a standard from which base equal to 100 which facilities relative
comparison.

28

PIE DIAGRAM
A pie diagram is pictorial representation of a statistical data with several subdivisions in a circular form.

CHI SQUARE TEST

Chi-Square
Chi-square test is used to compare the relationship between the two (2) variables.
Objectives:
1. To recognize situations requiring the comparison of more than two means or
proportions.
2. To use Chi-square distribution to see whether two classifications of the source
data are independent of each other.
3. To use Chi-square distribution for confidence intervals and testing hypothesis
about a single population variance.
4. To use Chi-square test to check whether a particular collection of data is well
described by a specified distribution.
Chi-square test allows us to do a lot more than just test for the quality of several
proportions. If we classify a population into several categories with respect to two (2)
attributes, we can than use a chi-square to determine whether the two (2) attributes are
independent of each other.
This is used to test the difference observed between two columns of number
found in two distinct categories. A Chi-square analysis can be used when data satisfy
four conditions.
1.

There must be two observed data sets of data or one observed set of data
and our expected set of data. Typically their data sets are in form (R rows
and C column) or in frequency distribution from (one row and C columns
or R rows and one column).

29

2.

The two sets of data must be based on the same sample size.

3.

Each cell in the data contains an observed or expected count of five or

larger.

4.

The different cells in a row or column must represent categorical variables.

Degree of Freedom:
(Number of Rows 1) (Number of Columns 1)
(Oi Ei)2
________
Ei
Oi

Observed Value

Ei

Expected Value

Ei

RT CT
N

RT

Row total for the row containing that cell.

CT

Column total for the column containing that cell.

Total number of observations.

ANALYSIS
In this project Tables, Charts, Statistical tools, Chi-Square was used.

INTERPRETATION
After a very brief description of the back ground of company in which the
research was carried out and the sample was analyzed and discussed how the results were
interpreted in this project.

30

2.2 OBJECTIVES OF THE STUDY

31

OBJECTIVES OF THE STUDY

PRIMARY OBJECTIVE:
To find the factors which causes the employee absenteeism in KONGARAR
COTTON AND SYNTHETIC LTD

SECONDARY OBJECTIVE:
To find the negative factors which motivate the employee absenteeism
To find the job satisfaction level of the employees
To increase the level of employee satisfaction
To find the inconvenience faced by the employees in the organization
To find the factor which make the employee to continue in the organization

32

SCOPE OF THE STUDY

The primary objective of the study is to design the questionnaire and to find the
reason for employee absenteeism.
The researcher has designed the questionnaire to find the reason for employee
absenteeism. The questionnaire was given to 70 respondents and data was collected from
the employees and valuable suggestions were given to reduce the employee absenteeism
and to increase the job satisfaction in the concern.
In this research the researcher has found the reason for employee absenteeism.
Based on these suggestions and conclusion are given.
This study can be used for future reference and can be considered as a secondary
data for further development. To extend this research will help the concern for reducing
its employee absenteeism rate.

33

2.3LIMITATIONS OF THE STUDY

34

LIMITATIONS OF THE STUDY

Due to personal inconvenience the researcher could not meet the employees who
had night shift.
Lack of time is the major limitations.
It is only based on the Kongarar cotton and synthetics ltd employees only.

35

CHAPTRE-3

ANALYSIS AND INTREPRETATION

36

TABLE 1 :SHOWING THE RESPONSE ON PAID HOLIDAYS

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
07
12
17
26
08
70

OF PERCENTAGE %

CHART-1

Inference:
17% of the sample responded
38% of the sample responded
24% of the sample responded
11% of the sample responded
10% of the sample responded

paid holidays facility is excellent.

paid holidays facility is good.
paid holidays facility is neutral.
paid holidays facility is bad.
paid holidays facility is very bad.

37

10
17
24
38
11
100

TABLE 2 : SHOWING THE RESPONSE ON SALARY

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
6
08
29
21
06
70
CHART-2

Inference:
9% of the sample responded salary is excellent.
11% of the sample responded salary is good.
41% of the sample responded salary is neutral.
30% of the sample responded salary is bad.
9% of the sample responded salary is very bad.

38

OF PERCENTAGE %
09
11
41
30
09
100

TABLE 3:SHOWING THE RESPONSE ON LEAVE(EL, CL)

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
16
23
18
07
06
70

OF PERCENTAGE %

CHART-3

Inference:
23% of the sample responded leave(EL,CL) is excellent.
33% of the sample responded leave(EL,CL) is good.
26% of the sample responded leave(EL,CL) is neutral.
10% of the sample responded leave(EL,CL) is bad.
08% of the sample responded leave(EL,CL) is very bad.

39

23
33
26
10
08
100

TABLE 4 :SHOWING THE

DEVELOPMENT
RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

RESPONSE ON TRAINING AND

NUMBER
RESPONSE
19
27
19
04
01
70

OF PERCENTAGE %
27
39
27
06
01
100

CHART-4

Inference:
27% of the sample responded Training and Development is excellent.
39% of the sample responded Training and Development is good.
27% of the sample responded Training and Development is neutral.
06% of the sample responded Training and Development is bad.
01% of the sample responded Training and Development is very bad.

TABLE 5 :SHOWING THE RESPONSE ON WELFARE FACILITIES

40

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
12
9
18
25
06
70

OF PERCENTAGE %
17
13
26
36
08
100

CHART-5

Inference:
17% of the sample responded welfare facilities is excellent.
13% of the sample responded welfare facilities is good.
26% of the sample responded welfare facilities is neutral.
36% of the sample responded welfare facilities is bad.
08% of the sample responded welfare facilities is very bad.

TABLE 6 :SHOWING
TREATMENT

THE

RESPONSE

41

ON

MEDICAL

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
7
19
13
21
10
70

OF PERCENTAGE %
10
27
19
30
14
100

CHART-6

Inference:
10% of the sample responded Medical treatment
27% of the sample responded Medical treatment
19% of the sample responded Medical treatment
30% of the sample responded Medical treatment
14% of the sample responded Medical treatment

TABLE 7 :SHOWING
ENVIRONMENT

THE

42

is excellent.
is good.
is neutral.
is bad.
is very bad.

RESPONSE

ON

WORK

RESPONSE
EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

NUMBER
RESPONSE
19
24
15
08
04
70

OF PERCENTAGE %
27
34
21
12
06
100

CHART-7

6%
12%

27%

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD

21%
34%

Inference:
27% of the sample responded Work environment
34% of the sample responded Work environment
21% of the sample responded Work environment
12% of the sample responded Work environment
06% of the sample responded Work environment

is excellent.
is good.
is neutral.
is bad.
is very bad.

TABLE 8 :SHOWING THE RESPONSE ON JOB SECURITY

RESPONSE

NUMBER

OF PERCENTAGE %

43

RESPONSE
14
27
14
08
07
70

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

20
38
20
12
10
100

CHART-8

10%

20%

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
Slice 6

12%

20%

38%

Inference:
21% of the sample responded Job security
34% of the sample responded Job security
27% of the sample responded Job security
12% of the sample responded Job security
06% of the sample responded Job security

is excellent.
is good.
is neutral.
is bad.
is very bad.

TABLE 9 :SHOWING THE RESPONSE ON PROVIDENT FUND

RESPONSE

NUMBER

OF PERCENTAGE %

44

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

RESPONSE
12
26
17
08
07
70

17
38
24
11
10
100

CHART-9

Inference:
17% of the sample responded Provident fund is excellent.
38% of the sample responded Provident fund is good.
24% of the sample responded Provident fund is neutral.
11% of the sample responded Provident fund is bad.
10% of the sample responded Provident fund is very bad.

TABLE 10 :SHOWING THE RESPONSE ON GROUP INSURANCE

RESPONSE

NUMBER

OF PERCENTAGE %

45

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

RESPONSE
13
29
14
08
06
70

19
41
20
11
09
100

CHART-10

Inference:
17% of the sample responded Group Insurance is excellent.
38% of the sample responded Group Insurance is good.
24% of the sample responded Group Insurance is neutral.
11% of the sample responded Group Insurance is bad.
10% of the sample responded Group Insurance is very bad.

TABLE 11 :SHOWING THE RESPONSE ON PENSION

RESPONSE

NUMBER

OF PERCENTAGE %
46

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

RESPONSE
12
25
18
09
06
70

17
36
26
13
08
100

CHART-11

Inference:
17% of the sample responded Pension is excellent.
36% of the sample responded Pension is good.
26% of the sample responded Pension is neutral.
13% of the sample responded Pension is bad.
08% of the sample responded Pension is very bad.

TABLE 12 :SHOWING THE RESPONSE ON LABOR UNION

RESPONSE

NUMBER

OF PERCENTAGE %

47

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

RESPONSE
19
27
19
04
01
70

27
39
27
06
01
100

CHART-12

Inference:
27% of the sample responded Labor Union is excellent.
39% of the sample responded Labor Union is good.
27% of the sample responded Labor Union is neutral.
06% of the sample responded Labor Union is bad.
01% of the sample responded Labor Union is very bad.

TABLE 13 :SHOWING THE RESPONSE ON GOOD RELATION

SHIP WITH MANAGEMENT
RESPONSE
NUMBER
OF PERCENTAGE %
RESPONSE
48

YES
NO
TOTAL

54
16
70

77
23
100

CHART-13

90%
80%
70%
60%
50%
40%
30%

NO
YES

77%

20%
23%

10%
0%
YES

NO

Inference:
77% of the sample responded good relationship with management is yes.
23% of the sample responded good relationship with management is no.

TABLE 14 :SHOWING THE RESPONSE ON HOW FREQUENTLY

TAKING LEAVE
RESPONSE

NUMBER
RESPONSE
49

OF PERCENTAGE %

FREQUENTLY
WEEKLY
MONTHLY
HALF YEARLY
YEARLY
NEVER
TOTAL

0
7
25
21
15
2

0
10
35
30
22
3

70

100

CHART-14

0.4
0.35
0.3
0.25
0.2
0.15
0.1
0.05
0

30%

10%

3%
ev
er
N

hl
y
on
t
M

ye
ar
ly
al
f

on
t

hl
y

y
W
ee
kl

ly

en
t
Fr
eq
u

22%

35%

Inference:
Nobody taking leave frequently.
10% of respondents are taking leave weekly.
35% of respondents are taking leave monthly.
30% of respondents are taking leave half yearly.
22% of respondents are taking leave yearly.
3% of respondents are taking leave never.

TABLE 15 :SHOWING THE

HAD MET ANY ACCIDENT
RESPONSE

RESPONSE ON WHETHER THEY

NUMBER
RESPONSE
50

OF PERCENTAGE %

YES
NO
TOTAL

17
53
70

24
76
100

CHART-15

80%
70%
60%
50%
40%

76%

30%
20%
10%

24%

0%
YES

NO

Inference:
24% of the sample responded they had met accident .
76% of the sample responded they hadnt met accident

TABLE 16 :SHOWING THE RESPONSE ON WHETHER THEY

HAVE ANY OTHER SOURCE OF INCOME
RESPONSE
NUMBER
OF PERCENTAGE %
RESPONSE

51

YES
NO
TOTAL

13
57
70

19
81
100

CHART-16

90%
80%
70%
60%
50%
81%

40%
30%
20%
10%

19%

0%
YES

NO

Inference:
19% of the employees having other source of income.
81% of the employees having no other source of income.

TABLE 17 :SHOWING THE RESPONSE ON JOB SATISFACTION

RESPONSE

NUMBER
RESPONSE
52

OF PERCENTAGE %

EXCELLENT
GOOD
NEUTRAL
BAD
VERY BAD
TOTAL

19
36
8
04
05
70

26
51
11
5
7
100

CHART-17

60%
50%
40%
30%

51%

20%
26%

d
ba

ut
ra
l

5%

G
oo
d

Ex
ce
lle
nt

0%

7%

er
y

11%

Ba
d

10%

Inference:
26% of the sample responded job satisfaction is excellent.
51% of the sample responded job satisfaction is good.
11% of the sample responded job satisfaction is neutral.
05% of the sample responded job satisfaction is bad.
07% of the sample responded job satisfaction is very bad.

TABLE 18 :SHOWING THE RESPONSE HOW OFTEN TAKING

LEAVE BECAUSE OF THEIR PERSONAL WORK
RESPONSE

NUMBER

OF PERCENTAGE %
53

RESPONSE
18
35
05
07
05
70

FREQUENTLY
WEEKLY
MONTHLY
HALF YEARLY
YEARLY
TOTAL

26
50
07
10
07
100

CHART-18

60%
50%
40%
30%

50%
26%

ye
ar
ly

on
t

hl
y

y
W
ee
kl

en
t

ly

0%
Fr
eq
u

10%

7%

7%

H
al
f

10%

ye
ar
ly

20%

Inference:
26% of the employees taking leave frequently because of their personal work.
50% of the employees taking leave weekly because of their personal work.
7% of the employees taking leave monthly because of their personal work.
10% of the employees taking leave half yearly because of their personal work.
07% of the employees taking leave yearly because of their personal work.

TABLE 19: SHOWING THE PERCENTAGE OF RESPONDENT ON

REASON THEY TAKING LEAVE

54

RANK
FACTOR
Disease / poor health
Personal reasons
Tiredness
Family problem
Problem with superiors
Dissatisfaction over work
Poor treatment
Fear of accident
Work stress
Financial problems
Poor quality of work life
Alcoholism
Union problem
shift

10

11

12

24
20
18
21
7
4
2
1
3

20
22
15
18
9
6
3
2
2
3

19
17
21
14
5
7
2
3
6
4
2

16
10
19
16
8
10
8
4
7
6

2
8
12
7
6
4
11
8
6
10
13
6
7

5
6
4
6
7
8
4
12
13
17
4
6
4

3
4
2
5
11
13
9
10
8
13
9
3
6
7

6
3
1
2
10
7
21
13
9
8
3
5
4
6

3
4
2
1
8
11
18
8
14
7
8
4
11
8

2
5
1
3
5
14
12
9
13
6
9
7
4
3

1
5
2
12
7
4
12
8
6
11
14
9
9

5
7
3
6
7
3
8
14
19
20
8

13

5
4
7
2
5
22
18
17
30

CHI-SQUARE TEST
Welfare facilities Vs. Opinion about the job satisfaction
Welfare Facilities
Job Satisfaction

Excellent
Good

Excellent Good Neutral Bad

Very Bad Total

1
1

0
1

1
6

55

6
10

4
7

12
25

14

4
6
7
15
22
16
30

Neutral
Bad
Very Bad
Total

1
1
1
5

6
3
2
18

4
2
1
23

6
3
2
22

1
0
0
2

18
9
6
70

Null Hypothesis(H0) : There is no significant relationship between the opinion

about welfare facilities and job satisfaction.

Alternate Hypothesis(H1) : There is a significant relationship between the

opinion about welfare facilities and job satisfaction.
ROW TOTAL * COLUMN TOTAL
EXPECTED FREQUENCY (Ei) =
GRAND TOTAL

Observed
Frequency
(O)

Expected
Frequency
(E)

(O-E)

(O-E)2

(O-E)2/E

1
1
1
1
1
1
6
6
3
2
6

0.857
1.786
1.286
0.643
0.429
3.086
6.429
4.629
2.314
1.543
3.943

0.143
-0.786
-0.286
0.357
0.571
-2.086
-0.429
1.371
0.686
0.457
2.057

0.020
0.617
0.082
0.128
0.327
4.350
0.184
1.881
0.470
0.209
4.232

0.024
0.346
0.063
0.198
0.762
1.410
0.029
0.406
0.203
0.135
1.073

56

10
4
2
1
4
7
6
3
2
0
1
1
0
0

8.214
5.914
2.957
1.971
3.771
7.857
5.657
2.829
1.886
0.343
0.714
0.514
0.257
0.171

1.786
-1.914
-0.957
-0.971
0.229
-0.857
0.343
0.171
0.114
-0.343
0.286
0.486
-0.257
-0.171

3.189
3.664
0.916
0.944
0.052
0.735
0.118
0.029
0.013
0.118
0.082
0.236
0.066
0.029

0.388
0.620
0.310
0.479
0.014
0.094
0.021
0.010
0.007
0.343
0.114
0.459
0.257
0.171
7.936

Degree of Freedom = (r 1) (c 1)
= (5 1 ) (5 1)

= 16

The calculated value = 7.936

The table value = 26.296 at 5% level of significance
2

= (O-E)2/E
= 7.936

The table value of 2 for 16 degree of freedom at 5% level of significance is

26.296. The calculated value is lesser than the table value. So the null hypothesis
taken is accepted, and we can conclude it, as there is no significant relationship
between the opinion about welfare facilities and job satisfaction.

57

CHAPTRE-4

58

FINDINGS

FINDINGS

1) From the study 10% of the employees responded

paid holidays facility is

excellent, 17% of them told good, 24% of them told neither good are bad 38% of
them told bad and 11% of them told very bad.
2) 54% percentage of the employees taking leave because of their illness.

59

3) 9% of the employees responded salary is excellent, 11% of them told good, 41%
of them told neither good are bad 30% of them told bad and 9% of them told very
bad.
4) 26% of the employees taking leave frequently because of their personal work.
50% of the employees taking leave weekly because of their personal work. 7% of
the employees taking leave monthly because of their personal work. 10% of the
employees taking leave half yearly because of their personal work. 07% of the
employees taking leave yearly because of their personal work.
5) 23% of the employees responded leave facility (EL,CL) is excellent, 33% of them
told good, 26% of them told neither good are bad 10% of them told bad and 8%
of them told very bad.

6) 27% of the employees responded training and development is excellent, 39% of

them told good, 27% of them told neither good are bad 06% of them told bad and
1% of them told very bad.
7) 17% of the employees responded welfare facility is excellent, 13% of them told
good, 26% of them told neither good are bad 36% of them told bad and 8% of
them told very bad.
8) 10% of the employees responded medical treatment facility is excellent, 27% of
them told good,19% of them told neither good are bad 30% of them told bad and
14% of them told very bad.
9) 27% of the employees responded work environment is excellent, 34% of them
told good, 21% of them told neither good are bad 12% of them told bad and 6%
of them told very bad.
10) 20% of the employees responded job security is excellent, 38% of them told good,
20% of them told neither good are bad 12% of them told bad and 10% of them
told very bad.

60

11) 17% of the employees responded provident fund is excellent, 38% of them told
good, 24% of them told neither good are bad 11% of them told bad and 10% of
them told very bad.
12) 19% of the employees responded group insurance is excellent, 41% of them told
good, 20% of them told neither good are bad 11% of them told bad and 9% of
them told very bad.
13) From the study 17% of the employees responded pension is excellent, 36% of
them told good, 26% of them told neither good are bad 13% of them told bad and
8% of them told very bad.
14) 27% of the employees responded labor union is working excellent, 39% of them
told good, 27% of them told neither good are bad 06% of them told bad and 1%
of them told very bad
15) From the study none of them taking leave frequently, 10% of them taking leave
weekly, 35% of them taking leave monthly, 30% of them taking leave half yearly,
6% of them taking leave yearly, and 1% of them taking leave rarely.
16) 24% of the employees had met accidents, 76% of them had not met any accidents.
17) 19% of the employees having some source of income other than salary, 81% of
them havent any source of income other than salary.
18) From the study 26% employees job satisfaction level is excellent, 51%good, 11%
neither good or bad 5%bad and 7% very bad.

61

CHAPTRE-5

62

SUGGESTIONS

SUGGESTIONS
From the study most of the employees taking leave because of their illness. So
management should improve medical treatment for their employees.
So many employees taking leave for their personal work. So management should
improve supervision.

63

 To reduce the absenteeism the management should improve

their welfare

facilities.
Management should increase salary based by service and performance.
They should increase paid holidays per month.

CHAPTRE-6

64

CONCLUSION

CONCLUSION

This study attempts to find the factors affecting employee absenteeism in

kongarar cotton and synthetics ltd. Thus the study find out some factors like illness,
personal work, salary, job dissatisfaction, less paid holidays etc,.

65

This study may use as a secondary data for the future study.

CHAPTRE-7

66

BIBLIOGRAPHY

BIBILIOGRAPHY
Human resource management

- V.S.P.Rao

Research Methods For Business

( A Skill Building Approach- 4the)

- Uma Sekaran

67

Statistical Method

- Shanthi Sofia

Business Statistics

- S.T. Gupta

WEBSITES
www.shrm.org
www.schrma.org

www.economywatch.com

A STUDY ON EMPLOYEE ABSENTEEISM

IN KONGARAR COTTON & SYNTHETICS LTD
Questionnaire:
Section A : Personal
68

Name
Age
Sex:
Total Experience
Experience in this company
Designation
Salary

:
:
:
:
:
:

Section B: General:
1. How do you feel about the following constitutions?
S.N CONSTITUENTS
o
1
2
3
4
5
6
7
8
9
10
11
12

Excellent

Good Neutral

Bad Very
Bad

Paid holidays
Good Salary
Leave(EL,CL)
Training and development
Welfare
Facilities
(Canteen, Transportation,
First Aid)
Medical Treatment
Good Work environment
Job Security
Provident Fund
Group insurance
Pension
Labor union

2. Does your management maintain good relationship with workmen?

[ ] Yes

[ ] No

3. How do you take leave?

[ ] Frequently

[ ] weekly
69

[ ] Monthly

Not
Available

[ ] Half yearly

[ ] Yearly

[ ] Never

4. Indicate why are you taking leave: (Rank them):

S.NO FACTOR
1
2
3
4
5
6
7
8
9
10
11
12
13
14

RANK

Disease / Poor health

Personal Reasons
Tiredness
Family problem
Problem with superiors
Dissatisfaction over work
Poor treatment
Fear of accident
Work stress
Financial problems
Poor quality of work life
Alcoholism
Union problem
Shift

5. Have you ever met any accident?

[ ] Yes

[ ] No

5.1. If yes specify the reason:

.
6. Do you have any other source of income?
[ ] Yes

[ ] No

7. What is your opinion about the job satisfaction?

[ ] Excellent
[ ] Very good
[ ] Not sure
[ ] Bad
[ ] Very bad
70

8. How do you feel about your future scope with this company?
..
..

71