DEPARTMENT OF SOCIAL WORK
INSTITUTE OF SOCIAL SCIENCES
DR. B.R. AMBEDKAR UNIVERSITY, AGRA 282003 (U.P)
BLOCK PLACEMENTS/ SUMMER TRAINING REPORT FILE
SUBMITTED TO:
SUBMITTED BY:
Dr. RANVIR SINGH
VAISHALI JINDAL
HEAD
ROLL NO: 40
Department of social work
MSW 4thsemester
CONTENT
1. CERTIFICATE
2. ACKNOWLEDGEMENT
3. COMPANY PROFILE
4. COMPANY POLICY
5. HUMAN RESOURCE MANAGEMENT (HRM)
6. RECRUITMENT AND SELECTION
7. TRINING AND DEVELOPMENT
8. PERFORMANCE MANAGEMENT SYSTEM (PMS)
9. KEY RESULT AREA (KRA)
10. KEY PERFORMANCE INDICATORS (KPI)
11. EMPLOYEE ENGAGEMENT
12. LABOUR LAWS
 FACTORIES ACT, 1948
 PAYMENT OF GRATUITY ACT, 1972
 ESI ACT, 1948
 TRADE UNION, 1948
 THE PAYMENT OF BONUS ACT, 1965
TALBROS AUTOMOTIVE COMPONENTS LIMITED
DRIVING FUTURE LEADERSHIP
ACKNOWLEDGEMENT
I would like to express my sincere gratitude towards “Mr. ANSHU
MEHRA” for giving me the opportunity to work under him and explaining
me the actual need of industry and making this period an interface between
theoretical knowledge of the curriculum and practical knowledge of the
Industry. I would also like to thank “Miss RASHI SHUKLA” & other
members of HR Department for their support and co-ordination extended to
me during my training period.
MISS.RASHI SHUKLA
CO-ORDINATOR
Mr. ANSHU MEHR
HEAD (HR)
TALBROS AUTOMOTIVE COMPONENTES LTD.
ABOUT TALBROS
Talbros Automotive Components Ltd., the flagship manufacturing company of the
Group was established in the year 1956 to manufacture Automotive & Industrial
Gaskets in collaboration with Coopers Payne of UK.
Today, after 58 successful years, Talbros stands proud and tall as a mother brand of
Gaskets & Heat Shields, Forgings, Suspension Systems & Modules, Anti Vibration
components and Hoses.
Talbros Group has strong partnerships formed with global giants. Notable among the
joint venture partners are Nippon Leak less Corporation- Japan, Magnetic MarelliItaly, Marugo Rubber- Japan and technology partners are Sanwa Packaging – Japan
and Interface Solutions – USA.
While our symbiotic relationship with our Global partners have kept us abreast with
innovations within the field, our long and fruitful association with them bears witness
to the trust and solidarity that Talbros name is synonymous with. Our Research &
Development Centers showcase our design capabilities including endurance, static and
simulated environment testing. Today, our manufacturing prowess spans over 5
business and 8 facilities.
The largest OEMs like Ashok Leyland, Bajaj Auto, Cummins Group, Eicher India,
Escorts Group, Force Motors, General Motors, Hero Honda, Honda, Hyundai, John
Deere, Mahindra & Mahindra, Maruti Suzuki, Suzuki, TAFE, Tata Motors, Tata
Cummins, Simpsons and international corporates like Carraro, DANA, KMP Brand,
Maxi Force, GKN Driveline are our proud customers.
The Group companies are TS 16949, ISO 14001 and OHSAS 18001 certified. Our
team takes the quest for quality very seriously. For every piece that is manufactured,
quality standards are strictly adhered to and industry benchmarks often set. Our
unrelenting quest for perfection extends to the supply chain and to every person
responsible for extending quality service to the customer.
Talbros is where it is today due to the excellence of its product offerings, its
commitment to quality, attention to detail and, primarily, due to its incredible
workforce. Our people-friendly and professional approach towards human resource
development is responsible for our remarkably low attrition rate. Constant upgradation
of skills at training programmes in India and abroad and an exemplary work culture
has made every member of our team geared for new challenges. Both employee and
customer
satisfaction
are
of
extreme
importance
to
us.
Talbros Group portfolio also includes Mercedes Benz dealership for passenger
cars.Talbros, where it is today is due to the excellence garanti e vadeli hesap of its
product offerings, commitment to quality, attention to detail and professional
approach.
We, today can design, develop and manufacture products as per customer requirements
competitively.
Gaskets and Heat Shields With more than 58 years of hands-on manufacturing
experience, our state-of-the-art facilities deliver more than 8000 products for complete
sealing, Heat Shield and NVH Solutions (Noise, Vibration, and Harshness) to a wide
range of customers. With customer satisfaction as our ultimate goal, we design,
develop and customize products to suit specific requirements. The fact that we are
India’s largest Gasket.
Forgings
Talbros Forging Division established in 2006 and having annual installed capacity of
8500 tons with hot forging press lines ranging from 750 ton to 1600 ton. We are
equipped with heat treatment facilities Including normalizing, ISO-annealing,
hardening & tempering: induction hardening and in-house machining facilities with
CNCs & VMCs to ensure benchmark standards.
Suspension Systems
Magneti Marelli Talbros Chassis Systems Pvt. Ltd. (JV of TACL) Can design, develop
and manufactures Chassis components including Control Arm, Steering Knuckle,
Front Cross Member, Rear Twist Beam Axle, Wheel Group and Semi Corner Module
Assemblies for automotive application. The well-equipped facility with manufacturing
practices compiled with APQP, FMEA, PFMEA, Poka-Yoke, PPAP and TPM
activities
Anti Vibration Product and Hoses
Talbros Maurgo Rubber Pvt Ltd (JV of TACL) can design, develop and manufacture
products such as Suspension Bushes, Strut Mounts, and Engine Mounts & Hoses. The
plant is equipped with the latest technology having injection moulding, vacuum
transfer injection moulding and compression moulding, kneaders, sandblasting,
phosphating adhesive spray line integrated to give world class
POLICY OF TALBROS AUTOMOTIVE COMPONENTS LTD
OUR VISION- Talbors groups endeavor is to be a significant global player in the
auto industry by being a brand of choice for all our customers and continuously
enhancing employee satisfaction and stakeholder value.
OUR MISSION – To be committed to foster and uphold our leadership in providing
comprehensive sealing solutions at economical price to our customers across all
manufacturing sectors, while sustaining a rewarding work environment for our
supreme assets ,our employees, nurtured by storing brand image & pioneering
narrations.
OUR VALUES - People serving customers through manufacturing excellence.
 We are a team first.
 We respect, trust & help each other.
 We act with integrity.
 We are driven towards excellence in all we do

We celebrate our success.
Employee welfare policies
 Loyalty Award Policy- Talbros cares for its employee and appreciates their
work and dedication towards the organization. Thus we have the policy to
reward all those employees who have contributed in organization’s growth for a
continue period of time. They shall be honored with long services\loyalty award.
Sr. No
1
2
3
4
5
6
Years of service
10 years
15 years
20 years
25 years
30 years
35 years
Budget of award
1750/2500/5000/7500/10000/12500/-
These Canteen award will be distributed each year at the time of annual day
celebration.
Canteen Policy-We provide subsidized canteen facility for all our employees and
committed to provide lunch/dinner, tea and snacks prepared in hygienic conditions.
Under this policy lunch/dinner shall be a payable by the employee at a very minimal
price. For tea there will be no deduction however for snacks there will be a monthly
charge.
Employee Engagement Activities- At Talbros we celebrate Birthday of our
Employee to make them feel special. We put all possible efforts to make their day
enjoying and good along with being a part of their happiness on the occasion and give
them a special treatment which ultimately results in increased morale of the employee.
There is also an Employee Engagement Committee which continually organizes
different activities and creates Fun& work environment employees can voluntarily
participate in organizing & participating these activities.
Mediclaim & Personal Accidental Policy-Medical & personal Accident policy
is introduced with the objective to facilitate the employee with assurance of
reimbursement of expenditure / case less treatment facility up to the specified limit,
incurred on diseases, injury and hospitalization of an employee or his or her family
members.
Benefits & Limitations for Mediclaim-Hospitalization of the insured person
should be in a nursing home/hospital having capacity of 10~15 beds in a city area and
the consulting doctors must be a MBBS doctor.
ADMINISTRATIVE POLICIES
Administrative policies are set forth to governing Talbros’s conduct. The purpose is to
establish a uniform system for developing, maintaining and communicating specific
policies and procedures that are unique and essential to the operational effectiveness
and efficiency of Talbros- Gasket Division.
1. ATTENDENCE POLICY
General Rules for Attendance
 Adherence to the Attendance system is must across the organization.
All employees leaving the workplace before the scheduled closing hours for
official work will submit a written approval (official gate pass) from HOD. This has to
be submitted to the HR department on the same day before leaving office.
 In case of OD (ON DUTY) employee must inform HR of their concerned
unit/division preferably on the same day.
 In case in it not possible immediately, he/she shall inform about their OD’s
within 3 working days or before payroll processing date, whichever is earlier.
In case of no information, HR has the right to mark him/her as absent (LWP)
LEAVE WITHOUT PAY for that particular date.
 Any Employee going out during the working hours for whatever purpose is
required to submit Gate pass at security.
 The gate pass shall be signed by the immediate supervisor/second line of
HOD.
 It is the sole responsibility of the employee to check on his daily attendance
/late coming/approvals etc. In the absence of the written approval , the HR
Department will treat the employees as “Absent ” and effect necessary
deductions.
 MISS PUNCH- Miss punch will only be regularizing with concerned HOD’s
consideration/approval in written only.

WORK DAYS- our normal workweek is from Monday to Sunday i.e. 6 days
a week. Sunday shall be the normal weekly off day.

WORKING HOURS- Normal working hours will be 8.5 hours which Is
further divided in 4 shifts. The shift timings may vary from unit to unit,
depending upon the local requirement and understanding with the employees of
the unit.

BREAKS – Each shift, accept “C” shift, will have a lunch break of 30 Minutes
and 2 Tea breaks of 10 minutes each.
3. POLICY OF HUMAN TRAFFICING
1. Statement of policy
Talbros is committed to a work environment that is free from human trafficking,
forced labor, and unlawful child labor and has adopted a Zero tolerance policy
regarding trafficking in persons. We strongly leave that we are responsible for
promoting ethical and lawful employment practices. These practices are also required
to be followed by our suppliers, subcontractors, and business partners.
Our company, our employees, and the employees of subcontractors performing work
for Talbros:
A. Will not use forced labor, compulsory labor, or unlawful child labor.
B. Will not destroy, conceal, confiscate or otherwise deny access to employee
identity or immigration documents.
C. Will ensure that the overall terms of employment are voluntary.
D. Will comply with the minimum age requirements prescribed by applicable laws
unless a specific contract contains stricter age requirements.
E. Will compensate its workers with wages and benefits that meet or exceed the
legally required minimum and will comply with overtime pay requirements.
F. Will abide by applicable law concerning the maximum hours of daily labour.
G. Will provide accurate information to all contract employees in writing regarding
the assignment they are being offered in a language the employee understands.
2. CONSEQUENCES OF VIOLATING POLICY
Violations of this policy will be immediately remediated in such a way as to correct the
violation and ensure preventative measures are in place to prevent the violation from
occurring again. Failure to comply with the requirements will be considered grounds
for termination.
Talbros will protect and interview all employees suspected of being victims or
witnesses to prohibited activities. In the event of any suspected trafficking related
activity, Talbros will notify, as necessary, the inspector General, and, if necessary, law
enforcement.
3. DEFINITIONS
A. HUMAN TRAFFICKING:
The recruitment, transportation, transfer,
harboring or receipt of persons, by means of the threat or use of force or others forms
of coercion, of abduction, of fraud, of deception, of the abuse of power or of a position
of vulnerability or of the giving or receiving of payments or benefits to achieve the
consent of a person having control over another person for the purpose of exploitation.
B.
FORCED LABOR- all work or service, not voluntarily performed, that is
obtained from an individual under the threat of force or penalty.
C. HARMFUL CHILD LABOUR- Consists of the employment of children that is
economically exploitative, or is likely to, or interferes with, the child’s education, or to
be harmfully.
HUMAN RESOURCE MANAGEMENT
HR VISION – we aspire to build partnership with management at all levels of the
organization to construct a culture that inspires all employees to attain their full
potential and the organization advances with their contribution and discoveries.
HR MISSION- The department of human resources fosters a work environment that
attracts and promotes excellence in people by delivering innovative HR programs and
strategies to support the organization. The HR department is committed to work
strategically with the organization in identifying and responding to its changing needs.
Definition of HRM
According to “Edwin B. Flippo” - Human Resource Management as “planning,
organizing, directing, controlling of procurement, development, compensation,
integration , maintenance and separation of human resources to the end that individual,
organizational and social objectives are achieved.”
Are 6 aims

Men and women

Materials

Machines

Methods

Money

Market
FUNCTIONS OF HRM
1. Domain/specific function
Planning: It is a pre-determined course of action. Planning is the determination of
the plans, strategies, programmers, policies and procedures to accomplish the desired
organizational objectives. For HRM, planning involves estimation of human resource
requirements, recruitment, selection, training etc. It also involves formulation of
personnel policies and programmers, forecasting personnel needs, and preparing the
human resource budget etc.
Organizing: After plans have been developed, the HRM must establish an
organization to carry them out. This function involves grouping of personnel activities,
assignment of tasks to different individuals and teams, delegation of authority and
establishment of authority–responsibility relationship and integrating their activities
towards the organizational objectives.
Directing: This function involves motivating, guiding, leading and activating the
personnel.
It
involves
checking,
measuring,
verifying,
correcting
and
assuring
the
accomplishment of plans. Auditing training programmers, analyzing labor turnover
records, directing morale surveys are some of the means to assure the human resource
management that the activities are being carried out in accordance with the plans.
2. Operative function
Procurement: It is the first operative function of human resource management.
Procurement is concerned with securing and employing the right kind of people in the
right number on a right job at a right time to achieve the organizational objectives. It
consists of the functions such as job analysis, human resource planning, recruitment,
selection, placement, induction and internal mobility.
Development: It is concerned with the personnel development of employees by
improving the knowledge, skills, aptitudes, attitudes and values of employees to make
them more competent and effective on their present and future jobs. This function
includes.
Compensation: It is the process of providing equitable and fair remuneration to the
employees. This function includes: Job evaluation, Wage and Salary administration,
Incentives, Bones. Etc.
Integration: It is concerned with the attempt to bring about a reasonable
reconciliation of individual and organizational interests. It involves: Negotiations with
labour unions, handling employees’ grievances, developing sound human relations,
establishing good relations with government agencies and educational institutions,
workers’ participation in management, employees’ discipline etc.
Maintenance: It includes several types of benefits such as housing, medical
services, educational facilities, social security measures like provident fund, pension,
gratuity, maternity benefits, health and safety measures, group insurance etc.
Separation: Ensure the release of retirement benefit.
Requirements of the employee.
RECRUITMENT AND SLECTION
RECRUITMENT- Recruitment is a positive process of searching for prospective
employees and stimulating them to apply for the jobs in the organization. When more
persons apply for jobs then there will be a scope for recruiting better persons.
SELECTION- Selection is a process of choosing the right candidate from a pool of
applicants. This process is established to achieve a good match between the job
requirements and the candidates' skills and motives. A good match results in increased
productivity and quality performance.
DIFFFERENCE BETWEEN RECRUITMNT AND SELECTION
RECRUITMENT
SELECTION
1. In recruitment the purpose is to locate
1. In selection, the purpose is to select
or find out probable candidates.
candidates finally for appointment to
various jobs in the organization.
2. Recruitment is the process of searching 2. Selection involves the series of steps by
the candidates for employment and
which the candidates are screened for
stimulating them to apply for jobs in the
choosing the most suitable persons for
organization.
vacant posts.
3. The basic purpose of recruitments is to
3. The basic purpose of selection process
create a talent pool of candidates to enable is to choose the right candidate to fill the
the selection of best candidates for the
organization, by attracting more and more
employees to apply in the organization.
various positions in the organization.
BASIS FOR
COMPARISON
RECRUITMENT
SELECTION
Meaning
Recruitment is an activity of
searching candidates and
encouraging them apply for
it.
Selection refers to the
process of selecting the
best candidates and
offering them job.
Approach
Positive
Negative
Objective
Inviting more and more
candidates to apply for the
vacant post.
Picking up the most
suitable candidate and
rejecting the rest.
Key Factor
Advertising the job
Appointment of the
candidate
Sequence
First
Second
Process
Vacancies are notified by the
firm through various sources
and application form is made
available to the candidate.
The firm makes applicant
pass through various
levels like submitting
form, written test,
interview, medical test
and so on.
Contractual
Relation
As recruitment only implies
the communication of
vacancies, no contractual
relation is established.
Selection involves the
creation of contractual
relation between the
employer and employee.
Method
Economical
Expensive
RECRUITMENT PROCESS
Definition: The Recruitment is the process of analyzing the job requirements and
then finding the prospective candidates who are then encouraged and stimulated to
apply for the job in the organization.
The Recruitment programme is designed to attract more and more applicants such that
the pool of candidates applies for the job, and the organization has more options to
select the best out of them. The recruitment process consists of five interrelated stages
which are as follows:
TRAINING AND DEVLOPMENT
Definition- “Training’’ is the act of increasing the knowledge and skill of an
employee for doing a particular job.
“Development’’ is a systematic and continues process of learning and growth by which
managers develop their conceptual and analytical abilities to manage.
DIFFERENCE BETWEEN TRAINING AND DEVELOPMENT
S.NO
TRAINING
DEVELOPMENT
1
Training is short term process.
Development is a long- term activity.
2.
Training focuses on the role.
Development focuses on the person.
3.
Training is a immediate or the present Development activates are futuristic.
need.
4.
Training means learning new things Development means implementing
and refreshing old ones.
the learned session and finding new
ones.
5.
It is a time bound.
It is a continuous process.
6.
Training is a systemic change.
Development is a personal change.
7.
It is possible only a groups.
It is essentially individual.
Goals of Training & Development

Improve team morale, confidence and hone the skills.

Improve human relations.

Improve organization efficiency.

Reduce monitoring needs.

Improves the organizational viability, scalability, and flexibility.
PERFORMANCE MANAGEMENT SYSTEM
PMS- “PERFORMANCE MANAGEMENT SYSTEM” is the systematic approach to
measure the performance of employees. It is a process through which the organization
aligns their mission goals and objective with available resources, manpower, material
systems and set the priorities.
A Performance management process sets the platform for rewarding excellence by
aligning individual employee accomplishments with the organization’s mission and
objectives and making the employee and the organization understand the importance of
a specific job in realizing outcomes. By establishing clear performance expectations
which includes results, actions and behaviors, it helps the employees in understanding
what exactly is expected out of their jobs and setting of standards help in eliminating
those jobs which are of no use any longer. Through regular feedback and coaching, it
provides an advantage of diagnosing the problems at an early stage and taking
corrective actions.
KEY RESULT AREA
The key result areas or KRAs is a concept on which the individual performance is
measured and these are the activities which have an impact on the bottom line of the
business. In general it is very difficult to measure.
 Key = crucial/ main
 Result = outcome/end/ consequence
 Area= space/range
KEY PERFORMANCE INDICATORS
Key performance indicators (KPI) are a set of quantifiable measures that a company
uses to gauge its performance over time. These metrics are used to determine a
company's progress in achieving its strategic and operational goals, and also to
compare a company's finances and performance against other businesses within its
industry.
 Performance effectiveness
 The effects of a change can be monitored reliably repeatedly and
accurately by KPI.
PERFORMANCE APPRAISAL
Performance Appraisal is the systematic evaluation of the performance of employees
and to understand the abilities of a person for further growth and development.
Performance appraisal is generally done in systematic ways which are as follows:
1. The supervisors measure the pay of employees and compare it with targets and
plans.
2. The supervisor analyses the factors behind work performances of employees.
3. The employers are in position to guide the employees for a better performance.
Objectives of Performance Appraisal
1. To maintain records in order to determine compensation packages, wage
structure, salaries raises, etc.
2. To identify the strengths and weaknesses of employees to place right men on
right job.
3. To maintain and assess the potential present in a person for further growth and
development.
4. To provide a feedback to employees regarding their performance and related
status.
5. To provide a feedback to employees regarding their performance and related
status.
6. It serves as a basis for influencing working habits of the employees.
7.
To review and retain the promotional and other training programmes .
Advantages of Performance Appraisal
1. Promotion: Performance Appraisal helps the supervisors to chalk out the
promotion programmes for efficient employees. In this regards, inefficient
workers can be dismissed or demoted in case.
2. Compensation: A Compensation package which includes bonus, high salary
rates, extra benefits, allowances and pre-requisites are dependent on
performance appraisal. The criteria should be merit rather than seniority.
3. Employees Development: It helps to analyze strengths and weaknesses of
employees so that new jobs can be designed for efficient employees. It also
helps in framing future development programmes.
4. Selection Validation: Performance Appraisal helps the supervisors to
understand the validity and importance of the selection procedure. The
supervisors come to know the validity and thereby the strengths and weaknesses
of selection procedure. Future changes in selection methods can be made in this
regard.
5. Communication: For an organization, effective communication between
employees and employers is very important. Through performance appraisal,
communication can be sought for in the following ways:
a. Through performance appraisal, the employers can understand and accept
skills of subordinates.
b. The subordinates can also understand and create a trust and confidence in
superiors.
c. It also helps in maintaining cordial and congenial labour management
relationship.
d. It develops the spirit of work and boosts the morale of employees.
All the above factors ensure effective communication.
6. Motivation: Performance appraisal serves as a motivation tool. Through
evaluating performance of employees, a person’s efficiency can be determined if
the targets are achieved. This very well motivates a person for better job and
helps him to improve his performance in the future.
EMPLOYEE ENGAGEMENT
Employee engagement is a workplace approach designed to ensure that
employees are committed to their organization’s goals, objectives and values,
encouraged to contribute to organizational success, and are able at the same
time to enhance their own sense of well-being.
Definition of employee engagement, there are three things we know about it
 It is measurable.
 It can be correlated with performance.
 It varies from poor to great.
EMPLOYEE ENGAGEMENT POLICY
1. Employees start work engaged.
2. Low engagement scores.
3. Adrenaline shot (engagement programs introduced).
4. Engagement scores go up.
5. Adrenaline shot wears off.
INDUSTRIAL RELATIONSHIP
“Industrial relationship is about the relationship between an employee and
management.’’
The term ‘Industrial Relations’ comprises of two terms: ‘Industry’ and ‘Relations’.
“Industry” refers to “any productive activity in which an individual (or a group of
individuals) is (are) engaged”. By “relations” we mean “the relationships that exist
within the industry between the employer and his workmen.” The term industrial
relations explain the relationship between employees and management which stems
directly or indirectly from union-employer relationship.
THE FACTORY ACT 1948
OBJECTIVES- The main objectives of factories act 1948 is to cover all the aspects
relating to workers employed in factories.
Secures - Heath, safety measures and welfare of worker employed.
Regulates - working hours, working condition in factories.
Ensures – Annual leaves with wages, holidays, overtime.
Provides - Hazardous processes, additional protection to women workmen prohibition
of employment of children.
s. no
Clause/requirements
No. of workers
1.
2.
3.
4.
Adult
Adolescent
Child
Day
Completed his 18 yrs of age.
Completed his 15 yrs of age.
Not Completed his 15 yrs of age.
A period of 24 beginning at mid night.
5.
Week
A period of 7days beginning at mid night on
Saturday night
6
Drinking water
250 worker
7.
Latrines and urinals
8.
Safety officers
1000 workers
9.
First –aid boxes
150 worker
10.
11.
Canteen
Shelters, rest-room and
250 worker
250 workers
150 workers
lunch rooms
12.
Crashes
13.
Weekly hour
14.
Weekly holidays
15.
Daily hours
16.
Interval for rest
17.
Spread over
18.
Working hour for children
More than 30 (women worker)
48 hours
First day of the week.
9 hours in any day
Half an hour
More than 10 and ½ hrs in any days.
More than 4 and half hrs in any days.
19.
Annual leave with wages
240 days.
 Form no. 18 – fetal accident
 Form no. 11 – shift schedule
 Form no. 2 license for factories.
THE PAYMENT OF GRATUITY ACT, 1972
The payment of gratuity act was passed by Indian parliament in 21st August 1972.
Objective
“THE PAYMENT OF GRATUIY ACT, 1972’’
This Act is provide for a scheme for the payment of gratuity to employees engaged in-
1. FACTORIES
2. MINES
3. OILFIELDS
4. PLANTATIONS
5. PORTS
6. RAILWAYS COMPANIES
7. SHOPS
Meaning “Gratuity’’ is a monetary benefit given by the employer to his employee at
the time of retirement.
RULES OF GRATUITY
1. 5 years of continues service
2. Gratuity only after leaving job.
3. Death or disablement relaxation.
4. Gratuity is non-taxable.
5. Gratuity limit.
6. Gratuity rules applicable if employees are more than 10.
7. Protected against liabilities.
Maximum Limit of gratuity payable is 20Lakh.
FOR ex- if we doing work in any organization for 200days the no. of
days at least 75%.
SUPPOSE:- 200*3/4=150days.
It means he/she has to work for at least150 days
THE ESI ACT, 1948
OBJECTIVE
“EMPLOYEES STATE INSURANCE ACT,1948” The major objective of this act was
to provide certain benefits in case of1) SICKNESS
2) MATERNITY
3) INJURY(During EMPLOYMENT)
MEANING
The promulgation of Employees State Insurance Act,1948 envisaged an integrated
need based social insurance scheme that would protect the interest of worker in
contingencies such as Sickness, Maternity, Temporary or Permanent Physical
disablement, death due to employment injury resulting in loss of wages or earning…
ESI ELIGIBILITY
Employees whose monthly wages are Rs 21,000 or below are coverage under the ESI
act
ESI BEBEFITS
The EMPLOYEES STATE INSURANCE ACT,1948 is one of the most important laws
that provide social security. It contains six kinds of ESI benefits that injured employees
can avail. All of these benefits must arise in the course of employment in order to enable
workers to access them.
The following are some ESI benefits that employees can avail under the ESI Act
Medical benefit

Sickness benefit

Maternity benefit

Dependants benefits

Disablement benefits

Others benefits
1. Medical benefit
Every insurable employee under the Act gets medical benefits the day he becomes an
employee. This benefit extends to his family members as well. This medical benefit has
no ceiling in terms of expenditure on healthcare.
 Rate-full medical and treatment.
 Duration- 3 month
2. Sickness benefit
Insurable employees under the Act can draw some cash compensation in case they fall
sick. This compensation is generally 70% of their wages during the period of sickness for
a maximum of 91 days in a year.
In order to avail this sickness benefit, a worker must pay his contribution for 78 days out
of 6 months. Hence, he cannot seek this benefit if he contributes for less than 78 days.
3. Maternity benefit
All female insurable employees can avail maternity benefits under the Act in cases of
pregnancy or confinement.
 Rate-75%
 Duration-26 weeks
 Contributory-60%
4. Dependants benefits
ESI benefits extend not only to the employees but to their dependents as well in case of
the employee’s death. Such death, however, must occur in the course of an employment
injury or an occupational hazard.
 Rate-90%
 Duration-till life
5. Disablement benefits
In case an employee suffers some disablement due to an employment injury, he can seek
disablement benefits. Such disablement may be either temporary or permanent.
 Rate-90%
 Duration- until recover
6. Funeral expenses: The dependents of a deceased employee receive Rs.
10,000 to perform his last rites.
 15,000/ Duration- 3 month
RATE OF CONTRIBUTION OF THE WAGES
CONTRIBUTION PERIOD
 Every month of the date 15 to pay the contribution in ESI
THE TRADE UNION ACT, 1948
(1) To improve the economic lot of workers by securing them better wages.
(2) To secure for workers better working conditions.
(3) To secure bonus for the workers from the profits of the enterprise/organization.
(4) To ensure stable employment for workers and resist the schemes of management
which reduce employment opportunities.
(5) To provide legal assistance to workers in connection with disputes regarding work
and payment of wages.
MEANING
A trade union is an association of workers formed with the object of improving the
conditions of workers. It is formed for protecting the interests of workers. Workers
have little bargaining capacity when they are unorganized. In fact, trade union
movement began against the exploitation of workers by certain managements under the
capitalist system.
Indian Trade Union Act 1926:
“Any combination whether temporary or permanent formed primarily for
the purpose of regulating the relations between the workmen and
employers”.
Benefits of Trade Union:
Workers join trade union because of a number of reasons as given
below:
1. A worker feels very weak when he is alone. Union provides him an opportunity to
achieve his objectives with the support of his fellow colleagues.
2. Union protects the economic interest of the workers and ensures a reasonable wage
rates and wage plans for them.
3. Union helps the workers in getting certain amenities for them in addition to higher
wages.
4. Union also provides in certain cases cash assistance at the time of sickness or some
other emergencies.
5. Trade union imparts self-confidence to the workers and they feel that they are an
important part of the organization.
6. It provides for promotion and training and also helps the workers to go to higher
positions.
REGESTRATION OF TRADE UNION
Any 7 or more members of a trade union may, by subscribing their name of the rules
of the trade union and its compliance.
There should be at least 10%, or 100 of the work-men, whichever is less, engaged or
employed in the establishment or industry with which it is connected.
It has on the date of making applications not less than 7 persons as its members, who
are workmen engaged or employed in the establishment or industry with which it is
connected.
Prescribe the following details Names, Occupations and address of the members’ place of works.
 Address of its head office; and
 Names, Age, Address and occupation of its office barriers.
THE PAYMENT OF BONUS ACT, 1965
The payment of Bonus Act, 1965 aims to regulate the amount of bonus paid to the
persons employed in certain establishments based on their profits and productivity.
The act is applicable to the whole of India for all establishment containing twenty or
more persons employed on any day during the year.
Objective of the Act
The objective of the Bonus Act (Payment of bonus Act), are as follows:

To impose a legal responsibility upon an employer of every establishment
covered by the Act to pay the bonus to employees in an establishment.

To designate the minimum and maximum percentage of bonus.


To prescribe the formula for calculating bonus.
To provide redressed mechanism.
Eligibility for Bonus
The person is eligible for availing bonus under the following conditions is explained
below:
Any employee receiving salary or wages up to RS.21, 000 per month and engaged in
any work whether skilled, unskilled, managerial, supervisory etc. is entitled to the
bonus for every year if the employees have worked for not less than 30 working days
in the same year.
Payment of Minimum and Maximum Bonus
The minimum bonus will be provided 8.33 % of the salary during the year, or one
hundred rupees will be given in case of employees above 15 years and sixty rupees in
the case of employees below 15 years, whichever is higher. The maximum bonus is 20
% of the salary during the accounting year.
Timeline for Payment of Bonus
 The payment of bonus should be paid in cash within eight months from the end
of the accounting year or within a month from the date of enforcement of the
act.
 Offences and Penalties
 In case of violation of the provisions under the Act or rules then the penalty is
imprisonment for six months or may impose fine of Rs.1000 or with both.
 In case of failure to comply with the directions or requisitions made the penalty
is imprisonment for six months or may impose fine of Rs.1000 or with both.
 In case of offences by companies, firms, body corporate or association of
individuals, its director, partner or a principal or officer responsible for the
conduct of its business, should be deemed to be guilty of that offence, unless the
person concerned proves that the crime was committed out of his knowledge or
that he exercised all due diligence.
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