Absenteeism of Employeesat

Agron Remedies Private Limited

(DISSERTATION REPORT SUBMITTED TOWARDS

PARTIAL FULFILLMENT OF POST GRADUATE

DIPLOMA IN MANAGEMENT)

College

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(Approved by AICTE, Govt. of India)

ACADEMIC SESSION

xxxx-xxxx

Under the guidance of: Submitted By:

COLLEGE ADDRESS

CERTIFICATE FROM THE FACULTY GUIDE

This is to certify that the project work entitled CORPORATE SOCIAL

RESPONSIBILITY IN EMERGING MARKETS, is a bonafide work carried out by

Ms.YOUR NAME, a candidate for the PGDM (2008-2010) of COLLEGE NAME, approved

by AICTE under my guidance and direction.

Signature of the Guide

YOUR SUPERVISOR NAME

PREFACE

There is a famous saying The theory without practical is lame and practical without theory is blind.
Absenteeism is a serious workplace problem and an expensive occurrence for both employers and
employees seemingly unpredictable in nature.Human resource is an important part of any business and
managing them is an important task.
Our institution has come forward with the opportunity to bridge the gap by imparting modern scientific
management principle underlying the concept of the future prospective managers.
To the emphasis on practical aspect of management education the faculty of COLLEGE NAME has with
a modern system of practical training of repute and following management technique to the student as
integral part of PGDM in accordance with the above obligation under going project in Agron Remedies
Private Limited, Kashipur (Moradabad). The title of my project is Absenteeism of Employee

Certainly this analysis explores my abilities and strength to its fullest extent for the achievement of
organization as well as my personal goal.

YOUR NAME

ACKNOWLEDGEMENT
Acknowledgement is an art, one can write glib stanzas without meaning a word, on the other hand one
can make a simple expression of gratitude

I take the opportunity to express my gratitude to all of them who in some or other way helped me to
accomplish this challenging project in Agron Remedies PrivateLimited, Kashipur (Moradabad). No
amount of written expression is sufficient to show my deepest sense of gratitude to them.

I am extremely thankful and pay my gratitude to our GUIDANCE NAME and my faculty guide
GUIDANCE NAME COLLEGE NAME for their valuable guidance and support on completion of this
project in its presently.

I am very thankful NAME (HR Manager) for their everlasting support and guidance on the ground of
which I have acquired a new field of knowledge.

A special appreciative Thank you in accorded to all staff of Agron Remedies Private Limited,
Kashipur (Moradabad) for their positive support.

I also acknowledge with a deep sense of reverence, my gratitude towards my parents and member of my
family, who has always supported me morally as well as economically.

At last but not least gratitude goes to all of my friends who directly or indirectly helped me to complete
this project report.

Table of Contents
CHAPTER -1: ABOUT COMPANY...................................................................................1

1.1 COMPANY PROFILE ..................................................................................... 2

1.2 RESEARCH & DEVELOPMENT ................................................................ 4

1.3 OTHER INFORMATION.............................................................................. 6

CHAPTER -2: RESEARCH METHODOLOGY...........................................................7

2.1 RESEARCH METHODOLOGY ...................................................................... 8

2.2 LITERATUER REVIEW.................................................................................. 9

CHAPTER- 3: INTRODUCTION.....................................................................................11

3.1 REASONS TO CHOOSE THE PROJECT...................................................... 12

3.2 ABSENTEEISM............................................................................................. 13

3.3 MEASUREMENT OF ABSENTEEISM......................................................... 16

3.4 PECULIAR FEATURES OF ABSENTEEISM............................................... 17

3.5 CAUSES OF ABSENTEEISM ....................................................................... 18

3.6 EFFECTS OF ABSENTEEISM ON INDUSTRIAL PROGRESS................... 20

3.7 ANALYSIS OF CAUSES............................................................................... 21

3.8 ABSENTEEISM - TYPES & THEIR CONTROL .......................................... 22

3.9 GUIDELINES & MEASURES FOR CONTROL OF ABSNTEEISM ............ 28

3.10 THE BRADFORD FACTOR & ABSENTEEISM .......................................... 33

CHAPTER-4: ANALYSIS & INTERPRETATION.........................................................37

CHAPTER-5 CONCLUSION, SUGGESTIONS & LIMITATION ...............................43

BIBLIOGRAPHY ............................................................................................................47

ANNEXURE .....................................................................................................................48

CHAPTER -1
ABOUT COMPANY
1.1 COMPANY PROFILE
Agron Remedies is a well established ISO 9001:2000 Certified Company of PharmaceuticalFormulation
since 1985, having a state of the art manufacturing plant.
At present they are manufacturing uncoated Tablets, Sugar and Film coated Tablets, Capsules, Betalactum
Capsules, Dry Syrup and Liquid orals.
Their product range comprises Antibiotics, Analgesics, Tonics, Antidiarrhoeals, Antihypertensives,
Tranquilizers, Antituberculosis Drugs, Steroids, Antiallergics, Hematinics, Antimalarials, Antiulcers,
Anticough and Antiasthmatics, Antacids and several other drugs.
The plant is situated at KASHIPUR which is an industrial town of Uttranchal. Several very popular
manufacturing companies like Surya Roshani Ltd., India Glycol Ltd., SRF Ltd., Pashupati Acrylon Ltd.
And many other are based at Kashipur. Our plant is situated in lush green and very healthy environment
of Uttranchal, away from any kind of pollution.

AGRON belong to a very highly reputed group of KASHIPUR who always believe in high ideals and
ethics. Our main emphasis is on quality and our motto is Quality is our business for which we never
compromise.
We always believe in long term relationship and we are sure that once our business contacts are
established with you the same will continue for a very long time.
Our unit is exempted from Central Excise Duty and applicable C.S.T is 1% instead of 4%.

DETAILS
Company Name : Agron Remedies Private Limited
Address : Agron Remedies Pvt. LtdMoradabad Rd, KashipurUttaranchal (INDIA)Level of Office : Head
Office
Phone No : 05947 27527,909837 041989,09837 050929
Website : www.agronremedies.com
Industry : Pharmaceuticals/ BioTech/ Research City : Kashipur (Moradabad)State : Uttaranchal

Company Type : Industry Best

No. of Employees : 100
Sector : Private

1.2 RESEARCH & DEVELOPMENT

Agron Remedies Private Limited has reinforced its focus on R&D and has substantially scaled up on its
investments to build its capabilities in all the areas of generic research as a short to medium term strategy.
Generic drug development encompasses both small and large molecules. Agron Remedies Private Limited
strongly believes that there are attractive opportunities in the highly competitive global generic space, not
only in vanilla generics but also in value added and difficult to develop complex generics. The business
focus is backed with the building up of captive manufacturing operations and of complying with the
regulatory standards of the advanced markets. Focus on the generics business strategy will provide the
company with a sustainable model to move up the value .
Agron Remedies Private Limited generic drug development meets the speed and quality attributes, as all
the elements of research have been conducted within the campus. Backward integration through in-house
API development and front-end efficient marketing/distribution of products would provide the desired
impetus to the generics program from lab scale development to commercialization.
Agron Remedies Private Limited has committed a substantial amount of its resources to the development
of Novel Drug Delivery Systems and this shall be the key element in providing momentum to consolidate
its objective of value addition.Agron Remedies Private Limited has an aspiration to make pioneer within
the area of drug discovery, sometime in the recent future, and is looking into various models and
therapeutic segments to carve out a meaningful space in the arena of medical needs that are not fulfilled.
Agron Remedies has in-licensed a number of novel products for the domestic market, form overseas
collaborators, and continue to do so to provide the most advanced therapy avenues to the Indian patients.
Agron Remedies Private Limited is progressing with leaps and bounds in the Nutraceutical segment of
healthcare and wellness. Nutraceutical R&D efforts are mainly directed towards providing low fat and
low calorie nutritional products for the better management of health. Commendable success has been
achieved in this area of research and development. Agron Remedies is building its future uponappropriate
and timely protection of its R&D efforts. A number of patent applications are emerging from the in-house
innovations which have gone on to be Agron Remedies Private Limited has state of the art manufacturing
facility located Kashipur (Moradabad) to carry out most advance research. Agron Remedies - R&D has
inherent strength in analytical chemistry and specialization in creating high quality formulations as per
the required specifications.

1.3 OTHER INFORMATION

DEPARTMENTS

1) Distribution Department

2) Finance Department

3) H.R Department

4) Sales and Administration department along with Marketing & Sales.

RECRUITMENT AND INCENTIVE POLICY

Recruitment in the company is done by department heads of respective department and final recruitment
done by Honourable director Mohit Aggarwal.
In sales, incentive based on performance- with overall achievement of target, volume wise and unit wise.

CHAPTER -2
RESEARCH METHODOLOGY

2.1 RESEARCH METHODOLOGY

The research reveals that one of the major problems is absenteeism in our industry. Absenteeism hinders
planning, production, efficiency and functioning of the organisation. In fact high rates of absenteeism
affect an organisation state of health and also supervisory and managerial effectiveness.

1) OBJECTIVES OF RESEARCH

i. To identify the rate of absenteeism of worker.

ii. To identify the causes of absenteeism.

iii. To suggest any measures to reduce the rate of absenteeism

2) Sample Selection And Size

The population for the study comprised of absentees for current year, the total sample 50 workers.

3) Date Collection And Statistical Tools

The sources of data for the purpose of study were both primary and secondary.
Primary data was collected through questionnaire which was mainly close -ended questionnaire and
discussion with workers whereas secondary data was collected from records maintained by personal
department and time office. Percentage method is used for the analysis of data and bar graphs are used to
present that data.

2.2 LITERATUER REVIEW

1. Ernest B. Akyeampong has written a research paper Trends and seasonality in Absenteeism. In this
paper the author focus on that at which time period the employees are more absent.

In this paper he said that illness-related absences are highly seasonal, reaching a peak during the winter
months (December to February) and a trough during the summer (June to August). The high incidence in
winter is likely related to the prevalence ofcommunicable diseases at that time, especially colds and
influenza.
The low incidence during the summer may be partly because many employees take their vacation during
these months. Because of survey design, those who fall ill during vacation will likelyreport vacation
rather than sickness or disability as the main reason for being away from work.Compared with the
annual average, part-week absences are roughly 30% more prevalent in the winter months and almost
20% less so during the summer months.
Seasonality is much less evident in full-week absences.

2. Mariajos Romero and Young-Sun Lee has written a research paper A National Portrait of Chronic
Absenteeism in the Early Grades. In this paper he focused on the following points:

(i) How widespread is the Problem of Early Absenteeism?

(ii) Does Family IncomesImpact Early Absenteeism?
(iii) What is the Impact of Early Absenteeism on Academic Achievement?

3. Morten Nordberg and Knut Red has written a research paper Absenteeism,Health Insurance, and
Business Cycles. In this he wants to evaluate how the economic environment affects worker absenteeism
and he also isolate the causal effects of business cycle developments on work-resumption prospects for
ongoing absence spells, by conditioning on the state of the business cycle at the moment of entry into
sickness absence.

The author finds that

(i) That business cycle improvements yield lower work-resumption rates for persons who are absent, and
higher relapse rates for persons who have already resumed work.
(ii) That absence sometimes represents a health investment, in the sense that longer absence now
reduces the subsequent relapse propensity.
(iii) That the work-resumption rate increases when sickness benefits are exhausted, but that workresumptions at this point tend to be short-lived.

CHAPTER- 3
INTRODUCTION

3.1 REASONS TO CHOOSE THE PROJECT

In my PGDM I had studied a subject Industrial Relation. In this subject I studied about Absenteeism.
After studying this topic I want to gain some practical knowledge on this and try to find out the causes of
Absenteeism. Initially it appeared to me quite a simple project, but as I started working on it only then I
understood its real significance.
It is often easier for the organizations to make arrangement to cover staffs, which are going to be off for
long periods. However, employees taking odd days off here and this become more problematic, can have
an immediate impact.
If remain unchecked, this type of absence can send out the wrong signals to colleagues who, in some jobs,
are likely to have to cover for those absent. If employers fail to take action, a buggins turn mentality
may emerge. Frequent absence may have serious repercussions where staff are employed in customerfacing roles or employed on production lines. The impact of absence may be most directly felt and the
need to arrange cover at short notice may be paramount.

3.2 ABSENTEEISM
CONCEPT OF ABSENTEEISM
It refers to workers absence from their regular task when he is normally schedule to work. The according
to Websters dictionary
Absenteeism is the practice or habit of being an absentee and an absentee is one who habitually stays
away from work.
According to Labour Bureau of Shimla: Absenteeism is defined as the total man shifts lost because of
absence as percentage of total number of man shifts scheduled .
In other words, it signifies the absence of an employee from work when he is scheduled to be at work.
Any employee may stay away from work if he has taken leave to which he is entitled or on ground of
sickness or some accident or without any previous sanction of leave. Thus absence may be authorised or
unauthorised, wilful or caused by circumstances beyond one s control.

Maybe even worse than absenteeism, it is obvious that people such as malingerers and those unwilling to
play their part in the workplace can also have a decidedly negative impact. Such team members need
individual attention from frontline supervisors and management.
Indeed, as prevention is better than cure, where such a problem occurs, it is always important to review
recruitment procedures to identify how such individuals came to be employed in the first place.
For any business owner or manager, to cure excessive absenteeism, it is essential to find and then
eliminate the causes of discontent among team members.
If they find their supervisor or job unpleasant - really unpleasant - they look for legitimate excuses to stay
home and find them with things such as upset stomachs or splitting headaches.
Any effective absentee control program has to locate the causes of discontent and modify those causes or
eliminate them entirely. In other words, if we deal with the real reasons team members stay home it can
become unnecessary for t hem to stay Any investigation into absenteeism needs to look at the real reasons
for it. Sometimes team members call in sick when they really do not want to go to work.
They would not call you up and say, Im not coming in today because my supervisor abuses me.
Or, Im not coming in today because my chair is uncomfortable. Or, I m not coming in today because
the bathrooms are so filthy; it makes me sick to walk into There are a few essential questions to consider
at the outset if you want to make a measurable improvement to your absenteeism figures.
Why is your present absenteeism policy ineffective?
Where and when is excessive absenteeism occurring? In many cases, under- trained supervisors could be
a contributing factor.
What are the real causes for absences?
It is commonly expected that low pay, poor benefits and high workloads will be the major causes.
However, in numerous employee surveys absenteeism generally has been identified as a symptom of low
job satisfaction, sub-standard working conditions and consistent negative and unfair treatment received by
first-line supervisors.
How much formal training have your supervisors received on absenteeism containment and reduction? If
your answer is none or very little, may be you have found the solution.
As with every other element within your organization, you cannot ask a person to do a job he or she has
never been trained to do. Many human resources specialists have found that repetitive, boring jobs
coupled with uncaring supervisors and/or physically unpleasant workplaces are likely to lead workers to
make up excuses for not coming to work.
If your team members perceive that your company is indifferent to their needs, they are less likely to be
motivated, or even to clock on at all. One way to determine the causes of absenteeism is to question your
supervisors about excessive absenteeism, including what causes it and how to

reduceit.ofcourseyoureyour supervisors have made no efforts to get to know the team members in their
respective departments, they may not be able to provide reasons.
However, just the act of questioning may get the ball rolling and signal to your supervisors that their
involvement is important. Once a manager finds the real reasons for absenteeism there is another
important step. Through open communication, you need to change the team member s way of reacting
and responding to discontent.
Other problems will no doubt arise in the future. If the way of responding has not been reviewed, then the
same cycle is likely to start all over again. So, often absenteeism problems can be sheeted back to the
supervisor level and to unsatisfactory working conditions. Without improvement in these areas, you can
expect your high rate of absenteeism to continue.

3.3 MEASUREMENT OF ABSENTEEISM

For calculating the rate of absenteeism we require the number of people scheduled to work and number of
people actually present. Absenteeism can be find out of absence rate method.
For Example:
a) Average number of employees in work force : 100
b) Number of available workdays during period : 20
c) Total number of available workdays (a x b) : 2,000
d) Total number of lost days due to absences during the period : 93
e) Absenteeism percent (d [divided by] c) x 100 : 4.65%
Since absenteeism is a major barometer of employee morale, absenteeism above 5 percent has to be
considered as very serious (across most industries 3 percent is considered standard).

3.4 PECULIAR FEATURES OF ABSENTEEISM

On the basis of studies undertaken certain observations may be made:

a) The rate of absenteeism is lowest on payday; it increases considerably on the days following the
payment of wages and bonus. The level of absenteeism is comparatively high immediately after payday.
When worker either feel like having a good time or in some other cases return home to their villages
family and after a holiday, has also been found to be higher than that on normal days.

b) Absenteeism is generally high workers below 25 years of age and those above 40. The younger
employees are not regular and punctual. Presumably because of the employment of a large no. of new
comers among the younger age groups, while the older people are not able to withstand the strenuous
nature of the work.
c) The percentage of absenteeism is higher in the night shift than in the day shift. This is so because
workers in the night shift experience great discomfort and uneasiness in the course of their work than they
do during day time.
d) Absenteeism in India is seasonal in character. It is the highest during March-April-May, when land has
to be prepared for monsoon, sowing and also in harvest season (Sept-Oct) when the rate goes as high as
40%.

3.5 CAUSES OF ABSENTEEISM

The Royal Commission Labour observed that high absenteeism among Indian labour is due to rural
orientation and their frequent urge for rural exodus.
According to Acharaya In modern industrial establishment the incidence of industrial fatigue, mal
nutrition and bad working conditions aggravate that feeling for change among industrial worker and some
time impel them to visit their village home frequently for rest and relaxation.

The general cause of absenteeism may be summarised as below:1) MALADJUSTMENT WITH FACTORYIn factory the worker finds caught within factory walls, he is
bewildered by heavy traffic, by strangers speaking different and subjected to strict discipline and is
ordered by complete strangers to do things which he cannot understand. As a result he is under constant
strain, which cause him serious distress and impairs his efficiency. All these factors tend to persuade him
to maintain his contacts .

2) SOCIAL AND RELIGIOUS CEREMONIES

Social and religious ceremonies divert workers from workers to social activities. In large number of cases
incidence of absenteeism due to religious ceremonies is more than due to any other reason.

3) HOUSING CONDITIONS
Workers also experience housing difficulties. Around 95% of housing occupied by industrial workers in
India is unsatisfactory for healthful habitations. This leads to loss the interest in work.

4) INDUSTRIAL FATIGUE
Low wages compel a worker to seek some part time job to earn some side income. This often result
inconstant fatigue, which compels to remain absent for next day.

5) UNHEALTY WORKING CONDITION

Irritating and intolerable working conditions exist in a factory. Heat, moisture, noise, vibration, bad
lighting, dust fumes and overcrowding all these affect the workers health causing him to remain absent
from work a long time.

6) ABSENCE OF ADEQUATE WELFARE ACTIVITIES

High rate absenteeism is also due to lack of adequate welfare facilities Welfare activities include clean
drinking water, canteen, room shelter, rest rooms, washing and bathing facilities, first aid appliances etc.

7) ALCOHOLISM
Some of the habitual drunkards spend whole of the ir salary during first week of each month for drinking
purpose. Therefore 2 or 3 weeks after getting their salary absent themselves from their work.

8) INDEBTNESS
All those workers who undergo financial hardships usually borrow money lenders at interest rate which
are very high, which often cumulates to more than 11 12 times their actual salaries. To avoid the
moneylenders they usually absent themselves from work because they are unable to return the money in
stipulated

9) IMPROPER & UNREALISTIC PERSONNEL POLICIES

Due to favouritism and nepotism which are in the industry the workers generally become frustrated. This
also results in low efficiency, low productivity, unfavourable relationship between employee and
supervisor, which in turn leads to long period of absenteeism.

10) INADEQUATE LEAVE FACILITIES

Negligence on part of the employee to provide leave facility compel the worker to fall back on ESI leave.
They are entitled to 50 days leave on half on pay. Instead of going without pay the worker avail them of
ESI facility.

3.6 EFFECTS OF ABSENTEEISM ON

INDUSTRIAL PROGRESS
It is quite evident that absenteeism is a common feature of industrial labour in India. It hinders industrial
growth and its effect in two fold.
1) LOSS TO WORKER
Firstly due to the habit of being absenting frequently worker s income is reduced to a large extent. It is
because there is a general principle of no work no pay. Thus the time lost in terms of absenteeism is a
loss of income to workers

2) LOSS TO EMPLOYERS
On other hand, the employer has to suffer a greater loss due to absentees. It disturbs the efficiency and
discipline of industries consequently, industrial production is reduced. In order to meet the emergency and
strikes, an additional labour force is also maintain by the industries. On certain occasions, those workers
are employed who present themselves at factory gates. During strikes they are adjusted in place of absent
workers. Their adjustment brings serious complications because such workers do not generally prove
themselves up to work. Higher absenteeism is an evil both for workers and the employers and ultimately
it adversely affects the production of industries.

3.7 ANALYSIS OF CAUSES

1) FAMILY ORIENTED & RESPONSIBILITES
It was observed that about 40% case absenteeism is family oriented and more responsibilities of workers.
It increases in harvesting season.

2) SOCIAL CEREMONIES
In 20 % cases it was found that social and religious functions divert worker .

3) HOUSING FACILITY

In about 30% cases, the workers remain absent because there is no housing facilities and the workers stay
alone and great distance from factory.

4) SICKNESS AND ACCIDENT

In 20% case the workers remain absent due to ill health and disease and in 15% cases workers remain
absent due to accident.

5) TRANSPORTATION
Most of the workers have to travel long distance to reach the work place . Most of the workers are not
satisfied with transport facilities.

6) WELFARE FACILITES
In 13% cases, the workers are not satisfied with welfare facilities.

7) WORKING CONDITIONS
In 21% cases, the workers feel that there is not good working condition, because they work in standing
position which causes to remain absence for relaxation.

8) MANAGEMENT SYSTEM
Near about 34% people are dissatisfied with management system because they feel that their work is not
being recognised and promotions are biased.

3.8 ABSENTEEISM - TYPES & THEIR CONTROL

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

1. INNOCENT ABSENTEEISM
Innocent absenteeism refers to employees who are absent for reasons beyond their control; like
sickness and injury. Innocent absenteeism is not culpable which means that it is blameless. In a
labour relations context this means that it cannot be remedied or treated by disciplinary measures.

2. CULPABLE ABSENTEEISM
Culpable absenteeism refers to employees who are absent without authorization for reasons which are
within their control. For instance, an employee who is on sick leave even though he/she is not sick, and it
can be proven that the employee was not sick, is guilty of culpable absenteeism. To be culpable is to be
blameworthy. In a labour relations context this means that progressive discipline can be applied.
For the large majority of employees, absenteeism is legitimate, innocent absenteeism which occurs
infrequently. Procedures for disciplinary action apply only to culpable absenteeism. Many organizations
take the view that through the process of individual absentee counselling and treatment, the majority of
emplo yees will overcome their problems and return to an acceptable level of regular attendance.

COUNSELLING INNOCENT ABSENTEEISM

Innocent absenteeism is not blameworthy and therefore disciplinary action is not justified. It is obviously
unfair to punish someone for conduct which is beyond his/her control. Absenteeism, no matter what the
cause, imposes losses on the employer who is also not at fault. The damage suffered by the employer
must be weighed against the employee's right to be sick. There is a point at which the employer's right to
expect the employee to attend regularly and fulfill the employment contract will outweigh the employee's
right to be sick. At such a point the termination of the employee may be justified, as will be discussed.

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

1. Initial counselling(s)

2. Written counselling(s)

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

4. Discharge

1. Initial Counselling

Presuming you have communicated attendance expectations generally and have already identified an
employee as a problem, you will have met with him or her as part of your attendance program and you
should now continue to monitor the effect of these efforts on his or her attendance.

If the absences are intermittent, meet with the employee each time he/she returns to work. If absence is
prolonged, keep in touch with the employee regularly and stay updated on the status of his/her condition.
(Indicate your willingness to assist.)

You may require the employee to provide you with regular medical assessments. This will enable you to
judge whether or not there is any likelihood of the employee providing regular attendance in future.
Regular medical assessments will also give you an idea of what steps the employee is taking to seek
medical or other assistance.
Formal meetings in which verbal warnings are given should be given as appropriate and documented. If
no improvement occurs written warning may be necessary.

2. Written Counselling
If the absences persist, you should meet with the employee formally and provide him/her with a letter of
concern. If the absenteeism still continues to persist then the employee should be given a second letter of
concern during another formal meeting.
This letter would be stronger worded in that it would warn the employee that unless attendance improves,
termination may be necessary.

3. Reduction(S) of Hours and or Job Reclassification

In between the first and second letters the employee may be given the option to reduce his/her hours to
better fit his/her personal circumstances. This option must be voluntarily accepted by the employee and
cannot be offered as an ultimatum, as a reduction in hours is a reduction in pay and therefore can be
looked upon as discipline.
If the nature of the illness or injury is such that the employee is unable to fulfil the requirements of his/her
job, but could for example benefit from modified work, counsel the employee to bid on jobs of such type
if they become available. (N.B. It is inadvisable to "build" a job around an employee's incapacitates
particularly in a unionized environment. The onus should be on the employee to apply for an existing
position within his/her capabilities.)

4. Discharge

Only when all the previously noted needs and conditions have been met and everything has been done to
accommodate the employee can termination be considered. An Arbitrator would consider the following in
ruling on an innocent absenteeism dismissal case.

a) Has the employee done everything possible to regain their health and ret urn to work?

b) Has the employer provided every assistance possible? (i.e. counselling, support, time off.)

c) Has the employer informed the employee of the unworkable situation resulting from their sickness?

d) Has the employer attempted to accommodate the employee by offering a more suitable position (if
available) or a reduction of hours?

e) Has enough time elapsed to allow for every possible chance of recovery?

f) Has the employer treated the employee prejudicially in any way?

As is evident, a great deal of time and effort must elapse before dismissal can take These points would be
used to substantiate or disprove the following two fold test.

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

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

CORRECTIVE ACTION FOR CULPABLE ABSENTEEISM

As already indicated, culpable absenteeism consists of absences where it can be demonstrated that the
employee is not actually ill and is able to improve his/her attendance.
Presuming you have communicated attendance expectations generally, have identified the employee as a
problem, have met with him/her as part of your attendance program, made your concerns on his specific
absenteeism known and have offered counselling as appropriate, with no improvement despite your
positive efforts, disciplinary procedures may be appropriate.
The procedures for corrective/progressive discipline for culpable absenteeism are generally the same as
for other progressive discipline problems. The discipline should not be prejudicial in any way. The
general procedure is as follows:

1. Initial Warning(s)

2. Written Warning(s)

3. Suspension(s)

4. Discharge

1. Verbal Warning

Formally meet with the employee and explain that income protection is to be used only when an
employee is legitimately ill. Advice the employee that his/her attendance record must improve and be
maintained at an improved level or further disciplinary action will result. Offer any counselling or
guidance as is appropriate.
Give further verbal warnings as required. Review the employee's income protection records at regular
intervals. Where a marked improvement has been shown, commend the employee. Where there is no
improvement a written warning should be given to employess.

2. Written Warning

Interview the employee again. Show him/her the statistics and point out that there as been no
noticeable (or sufficient) improvement. Listen to the employee to see if there is a valid reason and
offer any assistance you can. If no satisfactory explanation is given, advise the employee that he/she
will be given a written warning. Be specific in your discussion with him/her and in the counselling
memorandum as to the type of action to be taken and when it will be taken if the record does not
improve. As soon as possible after this meeting provide the employee personally with the written
warning and place a copy of his/her file. The written warning should identify any noticeable pattern If
the amount and/or pattern continues, the next step in progressive discipline may be a second, stronger
written warning. Your decision to provide a second written warning as an alternative to proceeding to
a higher level of discipline (i.e. suspension) will depend on a number of factors. Such factors are, the
severity o f the problem, the credibility of the employee's explanations, the employee's general work
performance and length of service.. Suspension (only after consultation with the appropriate
superiors)
If the problem of culpable absenteeism persists, following the next interview period and immediately
following an absence, the employee should be interviewed and advised that he/she is to be suspended.
The length of the suspension will depend again on the severity of the problem, the credibility of the
employee 's explanation, the employee's general work performance and length of service. Subsequent
suspensions are optional depending on the above condition.

4. Dismissal (only after consultation with the appropriate superiors)

Dismissals should only be considered when all of the above conditions and procedures have been met.
The employee, upon displaying no satisfactory improvement, would be dismissed on the grounds of
his/her unwillingness to correct his/her absence record.

3.9 GUIDELINES & MEASURES FOR

CONTROL OF ABSNTEEISM
Absenteeism is a disease that appears whenever a company fails to inoculate itself through the use of
sound management practices. To cure excessive absenteeism, one has to know the exact causes and then
examine the available, workable and proven solutions to apply against those causes.
To embark upon a successful absenteeism reduction program, you need to make sure you have some basic
information and facts about absenteeism in your company.
Consider the following four questions, which should help you further focus your ideas and put a plan into
action.

Q. Why is your present absenteeism policy ineffective?

Absenteeism policies vary in effectiveness. Most ineffective policies I have reviewed have a common
denominator: They allow "excused" absences, whereas those that do work are "no fault" policies.

Q. Where and when is excessive absenteeism occurring?

Numerous studies have concluded that under trained supervisors is one of the main causes of
absenteeism. Therefore, any company experiencing absente eism of greater than 3 percent should
consider supervisors as a potential contributor to the problem.
Given that this may be the case, you first should check the percentage of employee absenteeism by
supervisor to see if it is concentrated around one or two supervisors. If it is, you've begun to uncover the
obvious--undertrained supervisors. If, however, your research reveals that the rate of absenteeism is
almost equally distributed throughout your factory, you will need to investigate other possible cause s.

Q. What are the real causes for absences?

People-oriented companies are very sensitive to employee opinions. They often engage in formal ministudies to solicit anonymous employee opinio ns on topics of mutual interest. These confidential worker
surveys commonly ask for employee opinion regarding higher-than-normal absenteeism.

In other words, employees revealed that repetitive, boring jobs coupled with uncaring supervisors and/or
physically unpleasant workplaces led them to make up excuses for not coming to work, such as claiming
to be sick.One way to determine the causes of absenteeism is to question your supervisors about their
employees' excessive absenteeism, including what causes it and how to
Q. How much formal training have your supervisors received on absenteeism containment and reduction?
If you find that your supervisors hesitate to provide meaningful answers to your questions, then you're on
the right track toward a solution. Ask yourself, "How much formal training have I given my supervisors
in the areas of absenteeism reduction and human resources skills?" If your answer is none or very little,
your solution can't be far behind. The fact of the matter is, you cannot ask a person to do a job he or she
has never been trained to do.

Following are the measures to control absenteeism:-

1) ADOPTION OF A WELL DEFINED RECRUITMENT PROCEDURE

The selection of employees on the basis of command, linguistic and family consideration should be
avoided. The management should look for aptit ude and ability in the prospective employees and should
not easily yield or pressure of personal likes and dislikes. Application blanks should invariably be used
for a preliminary selection and tools for interviews. The personal officer should play more effective role
as coordinator of information, provided that he has acquired job knowledge in the function of selection.
Employers should also take into account the fact that selection should be for employee s development,
their reliance. They should as far as possible rely on employment exchange.

2) PROVISION OF HEALTHFUL AND HYGENIC WORKING CONDITION

In India, where the climate is warm and most of the work involves manual labour, it is essential that the
workers should be provided with proper and healthy working conditions. The facilities of drinking water,
canteens, lavatories, rest rooms, lighting and ventilation, need to be improved. Where any one of these
facilities is not available, it should be provided and all these help in keeping the employee cheerful and
increase productivity and the efficiency of operations throughout the plant .

3) PROVISION OF REASONABLE WAGES AND ALLOWANCE AND JOB SECURITY TO

WOTRKERS

The wages of an employee determine his as well as his family standard of living. This single factor is
important for him than other. The management should, therefore pay reasonable wages and allowances,
taking into account the capacity of the industry to pay.

4) MOTIVATORS WELFARE AND SOCIAL MEASURES

The management should consider the needs of workers and offer them adequate and cheap housing
facilities, free of subsidised food, free medical and transport facilities, free education facilities for their
children and other monetary benefits. As for social security is concern, the provision of Provident Fund,
SBI facilities, Gratuity and Pension, all those need to be improved.

5) IMPROVED COMMUNICATION AND PROMPT REDRESSAL OF GRIEVANCES

Since a majority of the workers are illiterate or not highly educated bulletins and written notices journals
and booklets are not easily understood by them. Meetings and concealing are called for written
communication becomes meaningful only when workers can readied understood them, too many notices

should be avoided only the essential ones should be put on the boards, which should be placed near the
entrance inside the canteen and in areas which are frequently visited by the workers so that they are aware
of the policies of the company and any sort changes being made.

6) LIBERAL GRANT OF LEAVE

The managements strict attitude in granting leave and holidays even when the need for them is genuine,
tempts workers to go on E.S.I. leave for under this scheme, they can have 56 days leaves in years on half
pay. An effective way of dealing with absenteeism is to liberalise leave rules.

7) SAFETY AND ACCIDENT PREVENTION

Safety at work can be maintained and accidents can be prevented if the management tries to eliminate
such personal factors as negligence, overconfidence, carelessness, vanity, etc and such material factorizes
unguarded machinery and explosives, defective equipment and hand tools. Safe methods of operation
should be taught. In addition consistent and timely safely instruction, written instructions (manual) in the
regional language of the area should be given to the work force.

8) CORDIAL RELATIONS BETWEEN SUPERVISORS AND WORKERS

The supervisor should be recognise that industrial work is a groups task and cannot be properly done
unless discipline is enforced and maintained. Cordial relations between the supervisors and these workers
are therefore essential for without them, discipline cannot be increased. One of the consequences of
unhealthy relations between supervisors and subordinates is absenteeism.

9) DEVELOPMENT OF WORKERS BY TRAINING

The system of workers education should be so designed as to take into account their educational needs as
individuals for their personal evaluation, as operatives for their efficiency and advancement, as citizens
for happy integrated life in the community, as members of a trade union for the protection of their
interests.

The educational programs according to their national commission on Labour should be to make a
worker:-

a) A responsible, committed and disciplines operative.

b) Aware of his rights and obligations.

c) Lead a calm, clean and health life, based on a firm ethical foundation.

d) A responsible and alter citizen.

CHAPTER-4

ANALYSIS & INTERPRETATION

Q. For how many years you are working with AGRON REMEDIES Pvt. Ltd.?

60%

50%

40%

30%

20%

10%

0%

0-2 Years 2-5 Years 5-10 Years >10 Years worker

Interpretation It can be seen that 56% of the workers at AGRON REMEDIES Pvt. Ltd. are working for
more than 10 years whereas 36% are working for more than 5 yrs.

Q. How often you remain absent in a month?

no of absents in a

month

nil once twice >twice

Interpretation- It can be seen that 96% of the workers do not remain absent.

Q. According to you what are the main reasons for employees absent?

reason for being

absent

stress personal prob

Interpretation- According to 96% workers, personal problem is the reason for being

absent. 4% think that stress can also be the reason.

Q. Your views regarding present Absenteeism Policy of AGRON REMEDIES Pvt.

views regarding

absenteeism policy

excellent good fair poor

Interpretation- It can be seen that 76% workers rate the present absenteeism policy

as good whereas 22% rate it as excellent.

Q. Are you clear about your work / job responsibilities?

clarity regarding work

well

clear

good fairly

clear

don't

know

Interpretation- It can be seen that 94% of the workers at AGRON REMEDIES Pvt.

Ltd. are clear regarding their work responsibilities.

Q. Are you satisfied with your work?

satisfaction regarding

work

well

satisfied

good fair not

satisfied

Interpretation- 82% of the workers are fully satisfied with their work whereas 16%

workers think their work as good.

Q. Views regarding working environment of AGRON REMEDIES Pvt. Ltd.?

views regarding working

env.

excellent good fair poor

Interpretation- 82% workers feel that the working environment at AGRON

REMEDIES Pvt. Ltd.is good & 14% feel it as excellent

Q. Your relations with your superiors?

relations with superiors

excellent good fair poor

Interpretation- 76% workers have good relations with the superiors whereas 22%

have excellent relations with the superiors.

Q. Yours superiors behaviour towards your problem?

60%

50%

40%

30%

20%

10%

0%

superiors behaviour

towards your problems

excellent good fair poor

Interpretation- 42% workers think that their superior s behaviour toward their

problems is excellent & 56% workers consider it as good.

Q. Yours views regarding facilities provided AGRON REMEDIES Pvt. Ltd.?

facilities provided at

Company

excellent good fair poor

Interpretation 86% workers consider that facilities provided to them are good

whereas 10% consider them as excellent.

CHAPTER-5

CONCLUSION,

SUGGESTIONS

&

LIMITATION

CONCLUSION

Finding and analysis reveals the following conclusion

1) Almost 56% of the workers at AGRON REMEDIES Pvt. Ltd. are working for

more than 10 years whereas 36% are working for more than 5 yrs.

2) Almost 96% of the workers do not remain absent.

3) According to 96% workers, personal problem is the reason for being absent.

4% think that stress can also be the reason.

4) Almost 76% workers rate the present absenteeism policy as good whereas

22% rate it as excellent.

5) Almost 94% of the workers at AGRON REMEDIES Pvt. Ltd. are clear

regarding their work responsibilities.

6) 82% of the workers are fully satisfied with their work whereas 16% workers

think their work as good.

7) 76 % workers have good relations with the superiors whereas 22% have

excellent relations with the superiors.

8) 42% workers think that their superiors behaviour towards their problems is

excellent & 56% workers consider it as good.

SUGGESTIONS AND RECOMMENDATIONS

Absenteeism is a serious problem for management because it involves heavy

additional expenses. The management should take the following measures to reduce

the rate of absenteeism:-

1) Provide Incentives- An incentive provides an employee with a boost to their

motivation and avoid unnecessary absenteeism. Incentives like two hours of

bonus pay for every month of perfect attendance can improve a lot.

2) Employee Assistance Program- If you confront an employee about his or her

frequent absenteeism and you find out that it is due to personal problems refer

them to EAP.

3) Sickness Reporting Tell employees that they must phone in as early as

possible to advise why they are unable to make it to work and when they

expect to return.

4) Return to Work Interview- When an employee returns to work then ensure

that they have a return to work interview.

5) Bradford factor can also be used to identify and cure excessive absenteeism.

In the end to conclude this report I would like to specify that the project allotted to

me on ABSENTEEISM was of immense help to me in understanding the working

environment of an organization, thereby providing a firsthand practical experience.

In this project while identifying the reasons of absenteeism of the workers of

AGRON REMEDIES Pvt. Ltd., Kashipur (Moradabad) I got an opportunity to

interact with workers to observe their behaviour and attitude.

In the end I would once again like to thank the people of AGRON REMEDIES Pvt.

Ltd. who helped me in accomplishing this project and boosting my morale by

appreciating and recognizing my efforts.

LIMITATION OF THE STUDY

There are some limitations for research which are as follows:-

a) As it was not possible to visit each department the true picture of working

condition could not be judged.

b) The workers were busy with their work therefore they could not give enough

time for the interview.

c) The personal biases of the respondents might have entered into their response.

d) Some of the respondents give no answer to the questions which may affect the

analysis.

e) Respondents were reluctant to disclose complete and correct information

Because of a small period of time only small sample had to be considered which

doesnt actually reflect and accurate and intact picture.

BIBLIOGRAPHY

a. Industrial Relation-2007, Arun Monappa.

b. Industrial Relation, Trade Union and Labour Legislation-2009, P.R.N Sinha.

c. Industrial Relation and Labour Laws-2009, S.C Srivastava.

d. Dynamics of Industrial Relation-2008, C.B Mamoria.

e. Industrial Relation-2006, C.S VenkataRaman.

2. Research Papers

a. Ernest B. Akyeampong, Trends and seasonality in Absenteeism.

b. Mariajos Romero and Young-Sun Lee, A National Portrait of Chronic

Absenteeism in the Early Grades.

c. Morten Nordberg and Knut Red, Absenteeism, Health Insurance, and

Business Cycles.

3. Web Sites

a. www.agronremedies.com

b. www.hrglossories.com

c. www.hr-guide.com

ANNEXURE

QUESTIONNAIRE

Personal Information

Name (Optional) .....................................................................

Age............................... Sex...................................

1) For how many years you are working with AGRON REMEDIES Pvt. Ltd.?

(a) 0-1 yr (b) 1-2 yr

(c) 2-5 yr (d) < 5 yr

2) How often you remain absent in a month?

(a) Nil (b) Once

(c)Twice (d) < Twice

3) According to you what is the main reason for employees absent ?

(a) Health problem / domestic reasons (b) Stress

(c)Work dissatisfaction (d) Working environment

(e) Others (Please Specify).....................................................

4) Your views regarding the present Absenteeism Policy of AGRON REMEDIES

Pvt. Ltd.?

(a) Excellent (b) Good

(c) Fair (d) Dont know

5) Are you clear about your work / job responsibilities?

(a) Well clear (b) Good

(c) Fairly clear (d) Dont know

6) Are you satisfied with your work?

(a) Well satisfied (b) Good

(c) Fair (d) Not satisfied

7) Your views regarding the working environment of AGRON REMEDIES Pvt.

Ltd. & work place?

(a) Excellent (b) Good

(c) Fair (d) Poor

8) How are your relations with your superiors / co-workers?

(a) Excellent (b) Good

(c) Fair (d) Poor

9) Your superiors behaviour towards your problems?

(a) Excellent (b) Good

(c) Fair (d) Poor

10) Your views regarding the facilities provided to you by AGRON REMEDIES

Pvt. Ltd.?

(a) Excellent (b) Good

(c) Fair (d) Poor