Grievance Handling

A
PROJECT REPORT
ON

GRIEVANCE HANDLING
AT

“ULTRATECH CEMENT LTD”

TADIPATRI, ANANTHAPUR DIST.

Submitted in partial fulfillment of the Requirement for the Award of

Master’s Degree In Business Administration.

By
VENKAT RAO
ROLL.NO: 098-06-139

ST. PAUL’S P.G COLLEGE

(Affiliated to Osmania University)

Thurkyamjal (V),Hayathnagar(M),
R.R. District.
2006 – 2008

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Grievance Handling

DECLARATION

I hereby declare that this Project Report titled GRIEVANCE

HANDLING submitted by me to the Department of Business

Management, O.U., Hyderabad, is a bonfied work undertaken by me and

it is not submitted to any other University or Institution for the award of

any degree diploma / certificate or published any time before.

Name and Address of the Student Signature of the Student

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Grievance Handling

ACKNOWLEDGEMENT

Firstly, I would like to express my sincere my gratitude to Mr. P.Vasantha Rao, General Manager

(P&A) and Mr. C.Punniah of personnel and Administration Department. (Ultra Tech Cements

Ltd), Tadpatri, for giving us an opportunity to carry out the project work.

It’s our primary duty to express my humble thanks and deep gratitude to the staff and our

project guide Mr. Sreenivas of P&A, for his valuable guidance and co-operation in the completion

of my work.

In getting my professional career, I never forget the help and scholarly values, which I

received from the faculty of my department. I am extremely grateful to them for their valuable

suggestions and giving advice, co-operation and support in the completion of project work

successfully.

I am thankful to my parents, family members and friends for their encouragement and

support in the completion of project work successfully.

P.VENKAT RAO

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CONTENTS

Chapter No Chapter Name pageno

I Introduction 1-5

 Objectives of the Study

 About the topic

 Need for the Study

 Scope of the Study

 Conceptual Frame Work

 Methodology

 Limitations

II INDUSTRY PROFILE. 6-13

III COMPANY PROFILE 14-25

IV PRESENTATION OF DATA 26-39

V ANALYSIS & INTERPRETATION 40-51

VI CONCLUSIONS 52

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VII SUGGESTIONS 54

VIII FINDINGS 56

IX QUESTIONNAIRE 59

X BIBILIOGRAPHY 63

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CHAPTER 1

INTRODUCTION

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Grievance Handling

INTRODUCTION

In the present day social context, especially in democratic systems, it is accepted that

employees should be able to express their dissatisfaction, whether it be a minor irritation, a serious

problem, or a difference of opinion with the superior over terms and conditions of employment.

In their working lives, employees occasionally have a cause to be uncomfortable,

disappointed or aggrieved either about certain managerial decisions, practices or service

conditions. It the dissatisfaction of the employees goes unattended or the conditions causing it are

not corrected, the irritation is likely to increase and lead to unfavorable attitudes towards the

management and unhealthy relations in the organization. The question ten is whether this

particular symptom or feeling is given any attention or its ignored altogether.

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Grievance Handling

Putting forward grievances and discussing, even if they are not ultimately settled in the

employees favor, gives a worker the satisfaction of having communicated with, and been heard by

the management. The grievance procedure is one of the more important means available or the

employees to express their dissatisfaction. It is also a means available to management to keep a

check on relevant diagnostic data on the state of the organization’s health.

It is therefore essential for the management to allow individual employees to empress

dissatisfaction concerning their jobs or working conditions to an immediate superior. Is each

grievance seen as battle to be won, or is a problem-solving atmosphere cultivated. Only when an

atmosphere of give and take prevails-making possible a compromise solution-will the grievance

machinery be of value.

This project study, grievance handling at Ultra Tech Cement Co. Ltd, Tadpatri has evolved

to asses about the present way of handling the grievance and find whether there is need for a

grievance handling forum. The questionnaire has been designed in such a way kept in view, the

top management policies and various areas pertaining to HRD.

As such the study is neither highly derivative nor holding innovative in its nature and

scope. It also throws light on various light on various comments by the respondents and

suggestions recommendations made by me on the data collected. It is hoped that its limitations

will munificently appreciated.

The present study is divided into seven chapters.

The first chapter deals with introduction to Grievance handling at Ultra Tech Cement Co. Ltd,

Tadipatri.

The second chapter deals with contextual framework, which includes the need for the study,

objectives, and scope, theoretical framework, methodology, and limitations of the study.

The third chapter deals with the profile of the company.

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Grievance Handling

The fourth chapter deals with the presentation of data, which includes my inferences and fining in

the unit along with data interpretation.

The sixth chapter deals with the necessary suggestions, conclusion drawn based on the data

collected on Grievance handling.

While the seventh chapter deals with the Appendix, which carry Questionnaire and Bibliography.

Thus, the present project work is an earnest attempt made to study the Grievance handling at Ultra

Tech Cement Co. Ltd, Tadipatri, I believe that this study, in its humble way, would certainly make

a mark of its own in the existing literature in the areas of management studies of its kind.

ABOUT THE TOPIC

The given topic for the study is ‘Grievance handling’ at Andhra Pradesh Cement Works,

Tadipatri. The study has been conducted with an intention to assess the grievance handling

procedure in the organization.

NEED FOR THE STUDY

In the present corporate world the most important resources are human resource. There is

hardly a company where the employees do not have grievances of one kind or the other. These

grievances seriously disturb the employees. This may affect their morale. Productivity and their

willingness to co-operate with the organization. Ultimately, it affects employee’s concentration,

efficiency and productivity. A large number of work stoppages, shop floor incidents and strikes

could be attributed to the faulty handling or grievances.

The cost of a Grievance can be high in terms of time lost, poor work, damages to costly

machines by neglect, employee rese3ntment, poor customer service resistance to change, union

management conflict and so on. The organizations that do not provide such compliant processing

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Grievance Handling

mechanisms for their employees may suffer from consequences, which could enfeeble the

organization process.

 Effective grievance administration helps the management to shift from purely

preventive and maintenance needs to the developmental needs of employees such as

improving communication, job re-designing. Integration which corporate goals, etc.

Grievances must be settled as near as possible to the point of origin. Hasty actions, without

properly ascertaining facts, only help to aggravate the situation. Hence, it is better to have a

systematic grievance redressed procedure for redressal of day-to-day grievances is an essential pre-

requisite.

Objective of the Study:

 To know how the present grievances are handled by the organization.

 To know w4hether the employees are satisfied with the present method of handling

grievances.

 To know whether there is a need for a grievance procedure in the organization.

Scope of the study:

 The scope of the study has been confined to the APCW, Tadpatri. A sample of 95

employees is studied.

 The study was conducted for a period of 1 month during 1 jan to 31 jan 2007.

 The study was made to know how the grievances are handled in the organization and

whether there is a need for a grievance procedure in the organization.

Limitations of the Study:

 More employees could not be covered through personal interviews because they were

very busy with their work.

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Grievance Handling

 Some employees hesitated to give response to some questions, which are mentioned in

the questionnaire.

 The study was confined to a restricted sample of employees. Hence, this analysis will

not reflect the entire of APCW.

 The primary data inference through personal interaction with the employees may have

an element bias form the point of view of individual employees perspective.

CHAPTER 2

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Grievance Handling

INDUSTRIAL PROFILE

Cement Industry has been decontrolled from price and distribution on 1 st March 1989 and

de – licensed on 25th July 1991. However, the performance of the industry and prices of cement

are monitored regularly. Being a key infrastructure industry, the constraints faced by the industry

are reviewed in the Infrastructure Coordination Committee meetings held in the Cabinet

Secretariat under the Chairmanship of Secretary (Coordination). The Committee on Infrastructure

also reviews its performance. The industry is subject to quality control order issued on 17.2.2003

to ensure quality standards.

Capacity, Production and Exports:s

India today boasts 129 large plants and over 300 mini cement plants with a capacity of 165

million tones and production of 134 million tones (2004-05).

It ranks second in the world among cement producing countries, with per capita

consumption at 118Kg compared to the world avg. Of around 317. Per capita consumption is 366

Kg in Thailand, 626 Kg in China, 606 Kg in Malaysia and 1216 Kg in South Korea. This indicates

a huge potential for increase in consumption.

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Grievance Handling

The Cement Corporation of India, which is a central public sector undertaking, has 10

units. Besides, there are 10 large cement plants owned by various state Governments. Keeping in

view the past trends, a production target of 133 million tons has been set for the year 2006 – 07.

During the Tenth Plan, the Industry is expected to grow at the rate of 10% per annum and is

expected to add capacity of 40 – 52 million tons, mainly through expansion of existing plants and

use of more fly ash in the production of cement. A part from meeting the domestic demand, the

cement Industry also contributes towards exports. The export of cement and clinker during the last

three years is as under:-

Export of Cement

(In million tons)

Year Cement Clinker Total

2003 – 04 3.38 1.76 5.14
2004 – 05 3.47 3.45 6.92
2005 – 06 3.36 5.64 9.00
2006 – 07
3.31 4.82 8.13
(Apr – Jan)

Overview of the performance of the Cement Sector:

The Indian Cement Industry not only ranks second in the production of cement in the world

but also produces quality cement, which meets global standards. However, the Industry faces a

number of constraints in terms of high cost of power, high railway tariff; high incidence of state

and central levies and duties; lack of private and public investment in infrastructure projects; poor

quality coal and inadequate growth of related infrastructure like sea and rail transport, ports and

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Grievance Handling

bulk terminals. In order to utilize excess capacity available with the cement Industry, the

Government has identified the following thrust areas for increasing demand for cement:

(i) Housing development programs;

(ii) Promotion of concrete highways and roads;

(iii) Use of ready – mix concrete in large infrastructure projects; and

(iv) Construction of concrete roads in rural areas under Prime Ministers

Gram Sadak Yolanda.

Technological advancements:

Indian cement industry is modern and uses latest technology. Only a small segment

of industry is using old technology based on wet and semi-dry process. Efforts are being made to

recover waste heat and success in this area has been significant.

India is also producing different varieties of cement like Ordinary Portland

Portland_Cement (OPC), Portland Pozzolana Cement (PPC), Portland Blast Furnace Slag Cement

(PBFS), Oil Well Cement, Rapid Hardening Portland Cement, Sulphate Resisting Portland

Cement, White Cement, etc. Production of these varieties of cement conforms to the BIS

Specifications. It is worth mentioning that some cement plants have set up dedicated jetties for

promoting bulk transportation and export.

Infrastructure – driven demand push:

The bulk of cement demand is from housing and commercial

development of which metros account for a significant amount. It is estimated

that Mumbai, which consumes almost six million tones, along with Pune,

accounts for 45 percent of Maharastra’s cement consumption, Bangalore

consumes four million tones and Chennai around 3 million tones, “these are

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Grievance Handling

really the growth clusters. Today bulk of the demand is driven by housing and

commercial construction and as infrastructure picks up, for example,

Bangalore International Airport, Hyderabad Airport and modernization of

Mumbai and Delhi Airports.

Another large consumer has been the roads sector. The off take was

good when the NHDP program was launched but there was a lull last year.

“Once again new orders have been placed and in 2008, the industry will pick

up. The estimate is that from roads, demand is not more than 4-5 million tones

but it makes a difference in the growth numbers”.

Narrowing demand-supply gap:

The industry has a capacity of 165 million tons and in Jan 2008,

dispatches were at almost 100%. On an overall basis, the industry does not do

more than 90-92% because of constraints such as transport and raw material.

The industry has been adding capacity of 6-7 million per annum by

Brownfield expansion and de-bottlenecking which is expected to partly cater

to the requirement because it is growing by around 20 million tons per annum.

Challenges before the industry:

Energy costs account for half of the cost of production of cement. Last

year saw a 15-16% increase in coal prices and then diesel prices went up

pushing up transportation costs.

Freight problems:

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Grievance Handling

The importance of freight for the cement industry cannot be emphasized

enough. While in the last few months’ railways have been steadily losing

freight to road sector they have been confined cement to market-is around

Rs.350-400 a ton or Rs.20 and bag that could go as high a Rs.800 for long

leads. This would only easy the first level of sale and additional costs are

involved to take it further.

Another issue, which will hit the industry hard, is that of logistics and a

Supreme Court judgment on carrying capacity for trucks. Accordingly, a state

govt. has been directed to enforce the discipline that trucks only carry a

specified load. “Many states and already implementing this and there is

already an increase in freight rates and in some cases, it has gone up by 50%.

Also, the requirement for trucks to carry the same freight has nearly doubled

and in many places the industry is being forced to move to railways.”

High taxes :

While the railways have had capacity to meet the requirement, it is expected that in March

the commencement of peak season for the procurement of food grains, the railways would be

constrained to provide adequate number of wagons. “So fright rates are up, railways cannot

provide wagons and tucks are unlikely to be viable so there could be a serious dislocation of

supplies going forward.

According to the cement manufactures association total taxes and duties on cement come to

around Rs.900 a ton or Rs.45 a bag. “So at a price of Rs.150 a bag in the market, taxes and duties

16
Grievance Handling

account for one third: which is high for such a basic product? This includes excise duty, sales tax

and royalty on limestone.

The importance of limestone can only be underscored as for every ton of cement produced.

1.5tons of limestone is required. “For limestone, royalty is on a per ton basis at Rs. 40 whereas for

most minerals it is a percentage of the pithead cost. Effectively we are paying Rs.70 a ton for

limestone as royalty. VAT is at 12.5% without any justification and it should be in 4% category,

excise is at Rs.408 per ton when it should be around Rs.200.

Export Advantages:

From a modest beginning if 1.6 lakh tons in 1989-90, Indian exports of cement/clinker

have grown rapidly at about 30-40% and this year exports will cross 10 million tons.

Major cement producers – market shares

 Acc -12.8%

 Abuja -10.7%

 Grasim-10.4%

 Ultra tech-9.5%

 India cement-6.0%

 Jaypee-4.1%

 Lafarge-3.2%

 Madras-3.2%

Overall, the industry is in a better state today than 2 years ago. “Cement prices even today are way

below global levels. So setting up Greenfield capacities is not attractive, as prices will not give

attractive returns on investment. That is a minor reason why there is no Greenfield capacity

coming up. It has to be born in mind that one third of the prices is accounted for by taxes and

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Grievance Handling

duties and nearly 20-25% by the freight component. So what produces earn at the factory gate is

among the lowest in the world.”

This year 2008 has commenced on a good note and in fact, December was a very good

month wit dispatches at 12.5 million tons and January dispatches were in excess of 13 million tons.

“This means capacity utilization is in the nineties which is healthy and will actually lead to firming

up of prices. It looks like sales could be 137 million a ton for 2007-08(125 million tons in 2005-

06) and so far growth has been 10%. There are enough reasons to believe it will sustain.”

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CHAPTER 3

COMPANY PROFILE

Company Profile

UltraTech Cement Limited was formed effective July 2004, with the demerger of Cement

Division from Larsen & Toubro Limited, and was taken over by the Aditya Birla Group and got

merged into A.V.Birla Group of Industries.

UltraTech Cement Limited:

UltraTech Cement Limited is a technology driven company with leading edge capabilities

in fields related to infrastructure and basic industries. In terms of main stream criteria viz., sales,

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Grievance Handling

profit, assets and market capitalization, UltraTech Cement Limited ranks among top ten in India's

private sector. The company is also ranked high by less tangible yardsticks such as intellectual

capital and brand-worth.

UltraTech Cement Limited & its subsidiaries, has manufacturing facilities at 10 locations in

India and 3 Terminals including one at Srilanka. Almost all the factories have secured ISO-9001,

14001, 18001 (OHSAS) and other certificates of the highest order. UltraTech Cement Limited's

distribution and services out-reach underlines its strong customer orientation. The network

extends to virtually every district in the country. A concern for the environment is an integral part

of the company's vision. UltraTech Cement Limited is committed to growth in consonance with

the ecology and the needs of the communities it serves.

UltraTech Cement Limited is India's largest cement producer, with a manufacturing capacity of

over 16 million tones per year. UltraTech Cement Limited manufactures and markets

 Ordinary Portland Cement – 43 grade / 53 grade

 Portland Blast Furnace Slag Cement

 Portland Pozzolana Cement

 Rapid hardening Portland cement

 Sulfate resistant cement

UltraTech Cement plants are located at:

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Grievance Handling

1. Awarpur cement works. Awarpur, Maharashtra

2. Hirmi cement works. Hirmi , Madhya Pradesh

3. Gujarat cement works. Kovaya, Gujarat

4. Andhra Pradesh cement works. Tadpatri, Andhra Pradesh

UltraTech Cement grinding units are located at:

1. Jarsuguda Orissa

2. Arakkonam Tamilnadu

3. Durgapur West Bengal

UltraTech Cement Limited Subsidiaries:

Cement Plants:

1. Narmada Cement Company Limited Gujarat

Grinding Units:

1. Magdalla Gujarat

2. Ratnagiri Maharashtra

UltraTech Cement Terminals are located at:

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1. Navi Mumbai Mumbai

2. Mangalore Terminal Karnataka

3. UltraTech-Ceylinco Srilanka

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Andhra Pradesh Cement works

The UltraTech Cement Limited, Andhra Pradesh Cement Works is located at 360 kms. South of

Hyderabad in the state of Andhra Pradesh in South India. Along with the grinding unit at

Arakkonam it has a capacity of 3.6 million tones of cement per annum. The plant is ideally suited

to cater to the markets in Andhra Pradesh, Karnataka, Tamilnadu and Kerala.

UltraTech Cement Limited selected TADIPATRI for setting up its Andhra Pradesh Cement Works

(APCW) because there is a huge limestone deposit and the quality of limestone is considered to be

extremely good. Also, other corrective/additive materials such as iron ore, latrite and gypsum

required in cement production are available nearby. In addition, Tadpatri is well connected by

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Grievance Handling

railway line and roads. The Chennai-Mumbai railway lines run close to UltraTech Cement

Limited's plant.

A peculiarity of UltraTech Cement Limited's APCW is that its mines fall in Kurnool district while

the plant is in Anantapur District.

The cement plant's installed capacity is 2 million tones per annum (Mtpa). APCW project started

with a prospecting license in March 1992 followed by a mining lease in June 1993. When various

formalities were completed, action shifted from the drawing board to the project site with the first

association commencing in November, 1995.Due to excellent co-operation from the Government

of AP. APCW did not face much problems while setting up the plant.

This Plant has been set up with the coordinated efforts of all its business groups, which

minimized the problems during the execution stage.

Even the acute shortage of power in the state did not hamper the construction activities. The

construction was completed totally with the help of diesel generating sets. In view of the expected

power shortage, APCW is provided with two diesel generator sets of 24.6 MW (i.e., 2x12.3 MW)

which is around 60% of total power requirement of the plant.

Plant Capacity:

Even though the plant has started with an installed capacity of 6,000 TPD, later on the capacity has

been enhanced to 8000 TPD

APCW caters to the cement users in the southern part of India. It is ideally located as far as the

market is concerned.

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Grievance Handling

Unique features of APCW:

1. Only cement plant in UltraTech Cement Limited, with a split location of entire main plant on top

of a hillock and the packing plant down the hill.

2. One of the plants using minimum energy for cement manufacturing.

3. Only plant where the entire cement-loading rake of 40 wagons can be placed

on one stretch constructed on engine on load concept.

3. The RCC chimney at the plant is the tallest in the Indian cement Industry.

4. It has two vertical raw mills (Atox 50) having a roller diameter of 5 M - these are the

biggest mills in the country.

1. First unit to implement computerized billing for cement loading.

Cement Machinery:

 Complete range – from crushing to packing plants are supplied by Larsen & Toubro’s

Machinery Division, in Collaboration with F.L.Smitdth & co., Denmark.

 Presently the largest capacity of 8000 TPD in a single line production in India.

 Vertical roller mills for raw materials and cement grinding

 Fuel-efficient pyro-processing systems

 High pressure roller presses for cement mill for cement grinding

 Modern Duoflex burner for efficient flame control.

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Grievance Handling

 Hydraulic drive coolax cooler with new generation CIS cooler inlet.

 Efficient Pollution control equipments like ESPs, Bag Houses and Reverse air Bag house at

appropriate locations

 CEM scanner for kiln refractory management

 QCX for meal blending and quality control

 Fuzzy logic system for plant optimization

 Cool scanner for monitoring coolax cooler

The plant is certified by DNV of Netherlands as an ISO 9001, ISO 14001 and OHSAS 18001

company. APCW manufactures Ordinary Portland Cement,

Portland Pozzolana Cement and Portland Blast Furnace Slag Cement, which is distributed through

a wide network of Authorized Stockists.

Man power

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Grievance Handling

Based on requirement of individual departments, Head of that department is asked to give

information to man power planning department regarding the number of persons required. The

departmental heads assess their requirements based on the available departmental job description

to ensure role clarity and to avoid role ambiguity. The Central Personnel Dept. carries out the

recruitment process.

The total employees in APCW are 370 covering all departments. There are nearly 500 contract

labour working every day on casual basis.

Grades of Employees

Employees Grades
Wage Board Employees
 Monthly Rated I to VII
Daily Rated E to A
Supervisory (S) S1 to M1
Officers M2 to M4
Deputy Manager, Senior Managers M5 to M7
AGM-Sr.DGM M8 to M10
JGM,GM,VP M11 to M13

Details of Manpower Department- wise (updated upto 01.12.2007)

Sl.No. Department Total

1 Vice President's office 04
2 Personnel & Administration 29
3 Accounts & EDP 25

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4 Mechanical 64
5 E&I 53
6 Captive Power Plant 18
7 Packing & Dispatch 19
8 Infrastructure 05
9 Mines 84
10 Materials 19
11 Production Analysis & Process Control 47
Total 367

Human Resources (HR)

UltraTech Cement Limited probably is the first organisation in India to introduce an integrated

HRD system in the year 1975 with the introduction of "Performance Appraisal Feedback &

Counseling System".

PA includes sub-systems like:

‫ ٭‬Potential appraisal

‫ ٭‬Training &Development

‫ ٭‬Employee counseling and

‫ ٭‬Career Planning and Development.

People Management at UltraTech Cement Limited

"Employee Delight is the key to Customer Delight" is the conviction of UltraTech Cement

Limited.

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UltraTech Cement Limited's residential management development center offers employees the

opportunities for Knowledge enhancement and learning through self-study and introspection. The

faculty is drawn from India's premier management institutes. UltraTech Cement Limited has also

found a place for itself as the only "Asian member of benchmarking forum for American Society

for Training & Development (ASTD). Self-learning facility comprising of programs on CD-ROMS

enables employees to work at their own place.

Recruitment & Selection

Recruitment sources include, advertisements given in newspapers and data banks, depending upon

the manpower requirements as stated by departmental heads, depending upon the number of

applications received, the qualification may be generalized (in case of very few applications).

Then, the persons with required qualification are interviewed. The interviewing panel comprises of

personnel officials in the department. If the applications are in large number they will be short-

listed according to the norms of the organisation.

The wage board employees are assessed on factors like:

 Technical Aptitude

 English and

 Critical Reasoning

All employees are kept under probation for a period of 6 months after joining and before their

services are confirmed on rolls.

The O&S cadre employees will be assessed on factors like:

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Grievance Handling

 Management Aptitude

 Leadership Behavior

The recruitment of Diploma Engineering Trainees (DET) and Graduate Engineering Trainees

(GET) are done at Central Personnel Department once in a year through Campus Selections /

advertisements in famous newspapers. The recruited candidates are kept under probation for a

period of 2 years and then are absorbed to suitable cadre in the organisation. During the probation

period the absorbed candidates are sent to each department to get acquainted with the departmental

activities and then they are sent to the other units of UltraTech Cement Limited for proper

orientation in the respective fields.

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Process flow

RM Additives
Bag
house
CF Silo Coal Mill
Stacker
Crusher

Raw Mill

Clinker
Cement
Cement Storage
Silo
Mill
Cooler
Kiln

6-Stage
Preheater

Truck Loading

Packer

Coal
Wagon Loading Wagon Stacker
Tippler Reclaimer

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Grievance Handling

CHAPTER 4

PRESENTATION OF DATA

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Grievance Handling

Grievance handling through different committees at Ultra Tech Cement Co. Ltd, Tadpatri.

In their working lives, employees occasionally have cause to be uncomfortable,

disappointed or aggrieved about certain managerial decisions, either practices or service

conditions, the question then is where this particular symptom or feeling is given attention or is

ignored altogether.

An organization is like a family with strong bonds of giving. In addition, sharing. At Ultra

Tech, they are conscious of the fact that the employees who are dedicated lot contribute more to

organization success. In return, they feel that they must recognize and redress their grievances.

Therefore, they have a responsibility towards their employees and it was seen that grievances are

settled. Workers rights particularly with regard to grievance are protected through intervention of

different committees not only facilitate the employee involvement but also to solve the grievances.

Grievances are solved through three different committees.

 Seva Committee

 Safety Committee

 Canteen Committee

Seva Committee: The objective of Seva Committee is two fold:

 Speedy redressel of grievance complaints pertaining to employee welfare.

 To create simple but authoritative routes for disposing o employee complaints i.e.

redress in the shortest possible time.

The functioning of the Committee will be on the following lines:

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Grievance Handling

 The committee shall meet at regular intervals and shall take necessary steps for

satisfactory redressal grievance.

 Members cutting across hierarchical boundaries function within the scope, freely

airing their views in an atmosphere of harmony.

Canteen Committee: Canteen Committee is constituted as part of various participatory foray, that

exist in the organizanation. This committee has a statutory obligation under Factories Act. The

committee again consists of members representing all the hierarchical levels. The committee

meets at regular intervals to discuss inter-alia.

 The quality of the tea and snacks served in the canteen.

 Timings of supply of tea and snacks

 Hygiene aspect in the canteen

 Considering any dissatisfaction of the employees regarding canteen.

Some of the major initiatives taken by the canteen Committee are:

 Introduction of new items as menu

 Rotation of Menu

 Providing Aprons, Sheaf Caps etc

 5S implementation.

Safety Committee: Safety Committee is constituted to provide any safety steps at the working

environment. Safety committee will be continuously providing safety measures and training the

employees regarding safety. The grievances regarding any safety problem can be addressed

through safety committee.

The committee again consists of members representing all the hierarchical levels. The

committee meets at regular intervals to discuss about safety steps and the problems regarding

safety.

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Grievance Handling

GRIEVANCE HANDLING

INTRODUCTION

When the employee’s expectations in the organization are not fulfilled, he would have a

grouse against employer, which is called grievance. A grievance can be defined as any discontent

or dissatisfaction with any aspect of the organization. It may be real or imaginary, legitimate or

not, said or unsaid, written or oral. However, it must find expression in some foreign or the other.

When a compliant, because of dissatisfaction remains unattended and the employee

concerned feels a sense of lack of justice and fair play, the dissatisfaction grows and assumes the

statues of grievance.

The International Labour Organization (ILO) defines a grievance as a complaint of one of

more workers with respect to wages and allowance, conditions of work and interpretation of

service conditions covering such areas as overtime, leave, transfer, promotion, seniority, job

assignment and termination of service. Grievance can be individual group grievances. If the issue

involved relate of one or a few individual employees it needs to be handled as grievance

procedure, on the other hand it general issued with policy implications and wider interests are

involved, they become subject matter fore collective bargaining.

CAUSES FOR GRIEVANCES:

Economic:

Wage fixation, wage computation, overtime, bonus, etc. Employees feel they are feelings

less that what they ought to get.

Work Environment:

Poor working conditions, defective equipment and machinery, tools, materials, etc.

Supervision.

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Grievance Handling

Disposition of the boss towards the employees, perceived notions of favoritism, nepotism,

bias, etc.

Work Group:

Strained relations or incompatibly with peers, feeling of neglect, ostrcisation and

victimization.

Work Organization:

Rigid and unfair rules: too much or too less work responsibility; lack of recognition, etc.

The following are some of the main causes for employee grievances.

1. Amenities

2. Compensation

3. Conditions of Work

4. Continuity of Service

5. Disciplinary action

6. Leave

7. Fines

8. Medical benefits

9. Nature of job

10. Payments

11. Promotions

12. Safety environment.

13. Superannuation.

14. Super session

15. Transfers

16. Victimization.

The above list is indicative and not comprehensive.

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The apparent cause, sources, or grievances may not always be the real ones.

EFFECTS OF GRIEVANCES:

Grievance can have several effects, which are essentially adverse and counterproductive to

organizational purposes. The adverse effects include.

 Loss of interest in work and consequent lack of male an commitment

 Poor quality of production

 Low productivity

 Increase wastage and costs

 Increase in absenteeism

 Indiscipline

 Unrest, etc.

AWARNESS OF GRIEVANCES:

A good management redresses grievances as they rise, excellent management anticipates

them and prevents them form arising. A manager can know about the simmering even before they

turn into actual grievances through several means. Knowing about the levels of grievances is very

important to handle such grievance. Some of the important ways of discovering grievances are

discussed as hereunder.

DIRECT OBSERVATION:

A good manager must know how his subordinates behave in ordinary circumstances when

significant changes in the behavior occur, it is sure to affect performance. Absenteeism, lateness,

indifference, etc., are some of the forms in which discontent and dissatisfaction find expression. A

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careful analysis of grievance rates, accident rates, requests for transfer indiscipline, etc. may reveal

general patterns there are not easily discernible in the first instance.

GIRPE BOXES:

The gripe box is facility to file anonymous complaints about the various causes of

discontent and dissatisfaction in the organization. It is different from the suggestion seheme that

may be in vogue in a company. In this case, anonymity is assured and there is no reward of

punishment. The limited purpose is to let the management know what the employees feel without

fear of victimization.

OPEN DOOR POLICY:

Most organization preach open-door policy, but do not practice it. The policy is good and

democratic, but usually ineffective and at times counter-productive. Organizations would do well

to have a grievance procudere. If a grievance producer exists, open-door policy becomes

redundant.

EXIT INTERVIEW:

Employees usually quit organizations due to dissatisfaction or better prospects elsewhere.

It requires certain skill to know the real reasons for leaving the job. Exit interviews, if conducted

effectively, can provide vital information. Some organizations mail an exit questionnaire three

months after an employee leaves so that he need not fear about a poor reference and give the truth

without fear or favor.

OTHER CHANNELS:

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Group meetings, periodical interviews with employees, collective bargaining sessions are

some of the other channel through which one can have information about employee discontent and

dissatisfaction before they become grievance or disputes.

A grievances procedure can be voluntarily established by the management or installed

because of a collective agreement to that effect. Whether unionized or not, organization should not

wait for unions to raise their voice and use the strength in establishing a grievance procedure.

The purpose of grievance procedure is to let aggrieved employees know what to do if they

have a grievance and where to look for or appeal to check on arbitrary management decision by

providing for appeals in at least three levels above the level at which such grievances occurs.

However, the less frequently the high levels are used, the more effective they become promoter fair

and equitable treatment and personnel practices having regard to the rights of the employee. The

superiors will be more careful in their arbitrary use of our and authority assist in minimizing

discontent and dissatisfaction that they have adverse effects upon cooperation and productivity.

The details of a grievance procedure machinery may vary form organization to

organization, here; a four-stage model is suggested. The first and the last stages have universal

relevance, irrespective of the differences in the procedure at the intermediate stages. The four

stages of the machinery are briefly discussed here.

The level oat which grievance occurs; the best opportunity to redress a grievance is to

resolve it at the level at which it occurs. His immediate boss, the first-line supervisor, should

resolve a worker’s grievance. The higher the discontent rises through the hierarchy, the more

difficulty it is to resolve. By passing the supervisor would erode his authority. When the process

moves to a higher stage, the aggrieved employee and the supervisor concerned may shift their

focus to save face by proving the other wrong. The substantive aspect of any of the grievances

may this be relegated and dysfunctional aspects come to the fore thus making it more difficult to

settle the issue.

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In a unionized concern, the first stage of the procedure usually involves three people the

aggrieved employee, his immediate boss and the union representative in the shop department.

Supervisory role needs to be strengthened, with appropriate training in problem solving

sills grievance handling and counseling so that he can do mush in reducing the number of

grievance that are passed to higher stages in the machinery.

GRIEVANCE PROCEDURE;

The most important channel through which discontent and dissatisfaction can be

communicated is through grievance procedure. A grievance procedure provides an avenue and an

opportunity to give vent to his grievenees. The dilemma most managers face is whether and how

far they should encourage or discourage grievances. If management does not induce employees to

express their grievance, inions will dos so. Discouraging employees from expressing grievances,

inions will dos so. Discouraging employees from expressing grievances means ignoring

grievances. When they simmer and burst, management’s find it beyond their capacity to deal with

them adequately. Thus, it is important to have a grievance procedure to process grievance.

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A Model Grievance Procedure Suggested By National Commission on Labour

Voluntary VI Stage within 7 days

Arbitration

Committee of Union and V Stage Appeal to

Management Management for revision
Representatives

IV Stage communicates the

Manager decision within 7 days

Grievance Committee

II stage decision within 3 days

Departmental Head of the
Representatives Department

I stage answer to be given with

Departmental Supervisor in 48 hours
Representatives

Foremen

Grievance Employee

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STEPS IN GRIEVANCE HANDLING:

At may stage of the grievance machinery, some members of the management must handle

the dispute. In grievance redressal, responsibility lies largely with the management. In addition,

as already discussed, grievances should be settled promptly at the first stage itself. The following

steps will provide a measure of guidance to the manager dealing with grievance.

Acknowledge Dissatisfaction: Managerial Supervisory attitude to grievances is important. They

should focus attention on grievances, not turn away from them, Ignorance is not bliss; It is the

bane of industrial conflict. Condescending attitude on the part of supervisors and managers would

aggravate the problem.

Define the problem: Instead of trying to deal with a vague felling of discontent, the problem

should be defined properly. Sometime the wrong complaint is given. By effective listening, one

can make sure that a true complaint is voices. Get the facts. Facts should be separated from

fiction. Though grievances result in hurt feelings, the effort should be go get the facts behind the

feelings. There is need for a proper record of each grievance.

Analyze and Decide: Decisions on each of the grievances will have a precedent effect. While no

time should be lost in dealing with them, it is no excuse to be slipshod about it. Grievance

settlements provide opportunities for management have to correct themselves, and thereby come

closer to the employees. Horse-trading in grievance redressal due to union pressures may

temporarily bring union leadership closer to the management, but it will surely alienate the

workforce away form the management.

Follow up: Decisions taken must be followed up earnestly. They should be promptly

communicated to the employee concerned. If a decision is favorable to the employee, his

immediate boss should have the privilege of communicating the same.

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PRINCIPLES GRIEVANCE HEANDLING: The fundamental principle of grievance handling

found in UTS policies and procedures reflect best practice in grievance handling. These principles

are:

 Procedural and substantive fairness (rules of natural justice)

 Confidentiality

 Timeliness

 Record-keeping

 Transparency

1. Principles of Procedural Fairness Include:

 A fair and impartial process.

 The grievant should be informed of the process and the implications of making a formal

written complaint before proceeding.

 The person against whom a complaint is made (the respondent) has the right to know

details of the complaint against them.

 The respondent has the right to put their side.

 Before they respond, the respondent has a right to know the implications for them in terms

of disciplinary action if the complaint is proven.

 The grievance handler should be fair, impartial and unbiased in their investigation. If there

is a conflict of interest, the matter should be refereed to another grievance handler or

internal unit.

Principle of substantive fairness include:

 The grievance handler should not assume guilt. They should determined that the complaint

is substantiated only after hearing form both all sides, checking other relevant evidence,

and taking into account any mitigating circumstances.

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2. Principles of confidentiality include:

 Grievance should be able to raise a complaint and get advice in confidence.

 A complaint should not be referred elsewhere, formally investigated or discussed with

others without the grievance consent.

 You cannot act on an anonymous grievance (expect in relation to anegations of child abuse

or corruption)

 Generally, procedural fairness requires that the respondent knows who was lodged the

grievance.

 You must ensure confidentiality or records.

3. Principles of timeliness include:

 Delays at any stage of the grievance procedure and result in a denial of procedural fairness.

 Delays determined in the grievance can be critical in any appeal.

 Delay in addressing issuers in a compliant can lead to the exacerbation of the situation a

continuation of the problem, a worsening of the relationship between the parties involved,

an increased distress for all parties.

 Delays can also result in more time being expended in dealing with a grievance once action

is taken because the situation has escalated.

4. Principles of record keeping include:

 You must keep records to avoid relaying on your memory about details of allegations,

responses and actions.

 Records can be used for statistical purposes to identify systemic problems.

 Records can substantiate procedural fairness in the event of an appeal against process or

outcome of grievance investigation.

 If the allegations are complex or serious, record the complaint, the response, and the

evidence of witnesses and ask the parties to sign.

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5. Principles of transparency are related to procedural fairness, and include:

 Effective implementation of UTS policies and procedures.

 Effective communication to all parties about relevant polices and procedures.

 Effective communication to all arties of the outcome, of reasons for the outcome and,

where appropriate, the evidence which was relied upon.

 Principle of openness, honestly and fair dealing.

 Fair and accurate reporting if the case is referred to internal units or mangers that are more

senior.

 Fair and accurate reporting particularly where disciplinary action is likely to result.

Role of Personnel Department:

Grievance handling is not a monopoly of a specialist or of a functional department. The

role of personnel department in this regard should be:

 To devise a sound grievance procedure which can serve as an effective upward

communication in the organization.

 To advice the line people about the importance of a sound grievance handling system and

its implementation.

 To train the staff peoples especially the front line superiors, in effective grievance handling

and consoling skills.

 To maintain records to the activities of the grievance committee such as meetings held,

actions taken and implemented.

 To take necessary follow up action, review the procedure, and it necessa4y, modify the

existing procedure to suit the changing circumstances; and

 To follow up individual cases of grievance settled and identify its effect on the concerned

individual worker and its impact on other employees of the organization.

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CHAPTER 5

ANALYSIS & INTERPRETATION

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T. 1. Since how many years you are working in this company.

Years 0-3 4-6 6-9 10 and above

Respondent 10 15 20 5

Percentage 20 30 40 10

Interpretation:

The above diagram reveals that 20% of the employees are working from last 0-3 years and

30% of the employees are working last 4-6 years 40% of employees are working from 6-9 year

and 10% of the employees are working above 10 years

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This shows that the highest employees working 4-6 years

T.2. Weather any time –frame is set for the resolution of grievance handled to .

Response
Yes No

Respondents
50 0

Percentage
100 0

Interpretation:

The employees are told that ,there are specific time-frame for the resolution of grievance

handling .100% of employees are told that the specific time for grievance handling

This is shows that the most of the employees of organization follow by the time frame

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T.3.Together your superiors are aware of different grievance.

Response Yes No

Respondents 30 20

Percentage 60 40

Interpretation:

The above diagram shows that there 60% of employees are told that, superiors are aware to us when

arise of different grievance. Handling and 40% of the employees are told that superiors are do not aware

when the different grievance are arise

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T.4.Does all the committees in your organization participate in grievance procedure activity.

Response
Yes No

Respondents
35 15

30
Percentage 70

Interpretation:

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The above graph shows that shows that there are 70% of the respondents told that, different

comities of organization participate in grievance handling procedure activity. And 40 of responds

told that different committee of organization do not participate in grievance handling procedure.

This is shows that most of the employees participate activity.

T.5 Tick the area in which grievance are effectively handled in your organization.

Work
Reponses Economic Supervision Work Group
Environment
Respondents 10 17 13 10
Percentage 20 34 26 20

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Grievance Handling

Interpretation :

The above chart reveals that there are 20% of the employees agreed that the economic process is

effectively work in handling a grievance and 34% of the respondents are agreed that , work

environment place a crucial rule in handling a grievance and 26% of the respondents are told that

the good supervisions also place are major role in effective grievance handling process and 20% of

the respondents are agree that in handling grievance effectively, the work also play’s a major role.

This is shows that main point of grievance handling are effectively work environment in

the organization.

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T.6 What proceger follow by the organization for famishment.

Response Issuing Notice of Finding and If any other

Charge sheet enquiry disiplnaryauthority

Respondents 13 15 12 9

Percentage 26 30 24 18

Interpretation :

The above information reveals that 26% of the employees are agreed that the organization

follow a process for punishment of employees by issuing of charge sheet and 30% of employees

told that the organization follow a process for punishment by notice of enquiry. 24% of employees

reveals that the organization follow a process for punishment by findings & disciplinary authority

and 18% of the employees agree that the organization follow a process for punishment by any

other ways.

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T.7 Tick the following ways of discovery of grievances .

Response Direct Open door gripebox Other Exit

observation polocy chanels interview

Respondents 16 9 11 7 8
Percentage 32 18 22 14 16

Interpretation :

The above information reveals 32% of employees agreed that the grievance is discovered

by direct observation and 18% of respondents agreed that the grievance is discovered by open door

policy. 22% of employees are reveals that the grievance is discovered by gripe box and 14% of

employees agreed that the grievance is discovered by using of exist interviews and 14% of

employees said that the grievance is discovered by using of various channels.

This is show that most of the discovery of grievance by the direct observation.

T.8 Are all the grievanceput in writting.

Response Yes No

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Respondents 20 30

Percentage 40 60

Interpretation :

From the above diagram, there are 40% of the employees are told that the grievance is put

in writing and 60% of the employees are told that the grievance is do not put in writing.

This is show that the most of employees not writing.

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9. Does the employers is given free time to pursue his grivence .

Response Yes No

Respondents 28 22

Percentage 56 44

Interpretation :

The employees are given their answer for the above question. There are 56% of the

employees are having a free time to pursue his grievance and 44% of the employees are does not

have a free time pursue his grievance.

This is show that the most of the employees taken free time.

T.10 Most of the grievance are solved by..

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Response Management Union Leaders Arbitrator Any other

Respondents 28 11 5 6
Percentage 56 22 10 12

Interpretation :

The above chart reveals that 56% of the employees agreed that the management play’s a

major role in handling a grievance and 22% of the employees are said that the union leaders also

play’s a major role in handling in grievance and 10% & 12% of the employees are agreed that

sequentially arbitrator & any other.

This is show that the most of the grievances solved by the management.

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CHAPTER 6

CONCLUSION

Conclusion:

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Overall the present way of “Grievance Handling” a Ultratech Cement Limited, A.P. Cement

Works, is satisfactory. However, there are certain grievances, which cannot be addressed through

the present procedure so a need for a grievance handling forum in the organization is required ,

88% of the employees agree the above statement and only 22% of the employees disagree to it, By

comparing these percentages, I can conclude that there is need for a grievance handling forum in

the organization.

Feedback on Project Work:

 During the project work I got a good response from all the employees of Ultratec

Cements Ltd.,

 Due to time constraint, some employee’s opinions in the mines are missed.

 I got good response form all the employees of packing and distribution section. I got

good industrial experience from this curriculum project work.

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CHAPTER 7

SUGGESTIONS

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SUGGESTIONS:

 Management should consider introduction of unit level grievance handling system.

 Superiors should be trained to handle the grievances effectively.

 There should be feed back system on grievance redressal.

 Seva Committees are considered to be the best grievance handling system in the

organization. More focus should be drawn to improve its efficiency and effectiveness.

 Grievances are to be solved whenever they are at the budding stage.

 Management should handle the grievances with out delay.

 The employees in the organization felt the need for a separate structured grievance

handling system.

 Grievance can amicably solved through mutual dialogue with the employees with an open

mind and transparent in dealing certain issues

 All segments of the employees should be equally represented to take part in the grievance

handling committee.

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CHAPTER VIII

FINDINGS

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FINDINGS;

 Most of the employees of the employees feel that there are grievance handling forum in

the organization, but at the same time half of the employees agree that there are no

suitable grievance handling forums in the organization.

 Employees feel that there are certain grievances, which cannot be addressed through the

existing committees.

 It should be seen that grievances are handled without making any delay as of the

employees feel that at present grievances are handled with delay.

 It should be seen that Grievances should be settled as near as possible to the point of

origin before they turn up into serious disputes.

 As the employees feel that grievances are being postponed on kept pending it should be

seen that it might not happen as this intern may turn up into another grievance.

 The employees feel that the present system of redressing grievance is simple but some

of the employees are feeling inconvenient with the present redressal procedure.

 Most of the employees are satisfied with the current frequency of redressal of

grievances.

 Only Max of the employee feel that the present redressal procedure to flexible in nature

and half of them are not satisfied.

 Care should be taken that grievances should be reduced at work place and welfare

activities at most of them agree that they arise from the above areas.

 It is observed that there does not exist any feed back on grievance redressal in the

organization. As half of the employees agrees.

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 Most of the employees agree that there are grievances regarding individual career

advancements.

 Most of the employees fee that there is a need for grievance redressal forum.

 Maximum number of the employees feel that supervisors are to be trained to handle the

grievance.

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QUESTIONNAIRE

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QUESTIONNAIRE

GRIEVANCE HANDLING

Name :

Department :

Date :

1. Since how many years you are working in this company

1. 0-3 years 2. 4-6 years 3. 6-9 years 4. 10 and above years

2. Whether any time –frame is set for the resolution of grievance handled to

Yes or No

3. Together your superiors are aware of different grievance

Yes or No

4. Does all the committees in your organization participate in grievance

procedure actively?

Yes or No

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5. Tick the area in which grievance are effectively handled in your organigation

1.Economic 2.Work environment 3.Supervision 4.Work group

6. What procedure follow by the organigation for punishment.

1.Issuing chargesheet 2. Notice of enquiry 3.Finding / disiplanary authority

4.If any other

7. Tick the following ways of discovery of grievances.

1.Direct observation 2. Open door policy 3. Gripe box 4.Exit interview

5. Other channels

8. Are all the grievance put in writing.

Yes / No

9. Does the employee is given free time to pursue his grievance .

Yes / No

10. Most of the grievances are solved by

1. Management 2. Union leaders 3. Arbitrator 4. Any other

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BIBLIOGRAPHY

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BIBLIOGRAPHY

 Personnel Management by Arun Monappa and Mirza S. Saiyadain

 Industrial relations – conceptual and legal frame work by A.M.Sarma

 Dynamics of Industrial Relations in India by C.B. Mamaoria and S. Mamoria

 Human resource development by P.C. Tripathi

 Management and Organization Behaviour by P. Subba Rao.

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