A STUDY ON ABSENTEEISM, ITS

EFFECTS & WAYS TO REDUCE IT

(NTPC LIMITED)

Sikkim Manipal University

(MASTER OF BUSINESS ADMINSTRATION)

Submitted To:

Submitted By:

Prakash Yadav

Sunil Dubey

R.No. 1408011801

ACKNOWLEDGEMENT
Talent & capabilities are of course necessary but opportunities and
good guidance are two very important things without which no persons
can climb those infant ladders towards progress.
First of all I am very much indebted and thankful to my parents and
God for giving me strength for completion of my Internship.

. I express my sincere thanks to my project guide Mr. Prakash Yadav for

providing me her valuable time and fruitful guidance. Lastly but not
least , I thank my friends , relatives and near and dear ones for their
wholehearted support in this efforts of mine.

SUNIL DUBEY

PREFACE
There is a famous saying The theory without practical is lame and practical
without theory is blind.
Absenteeism is a serious workplace problem and an expensive occurrence for
both employers and employees seemingly unpredictable in nature.
Human resource is an important part of any business and managing them is an
important task.
Research Project training is an integral part of the student of Management have
to undergo training session in a business organization for 6 weeks to gain some
practical knowledge in their specialization and to gain some working experience.
Our institution has come forward with the opportunity to bridge the gap by
imparting modern scientific management principle underlying the concept of the
future prospective managers.
To the emphasis on practical aspect of management education the faculty of
Academy of Management Studies, baddi has with a modern system of practical
training of repute and following management technique to the student as integral
part of MBA. In accordance with the above obligation under going project in
NTPC, Auraiya. The title of my project is A STUDY ON ABSENTEEISM, ITS
EFFECTS & WAYS TO REDUCE IT
Certainly this analysis explores my abilities and strength to its fullest extent for
the achievement of organization as well as my personal goal.

CONTENTS
1

Profile of National Thermal Power Corporation Ltd., Auraiya

1.1 Mission & Vision

01-01

1.2 History

02-02

1.3 Philosophy

03-03

1.4 Portfolio

04-05

1.5 Holdings

06-07

1.6 Market

08-08

1.7 Achievements

09-10

Absenteeism : An Introduction
2.1 Concept of Absenteeism.

12-12

2.2 Types of Absenteeism

13-13

2.3 Calculation of absenteeism

14-15

2.4 Causes of absenteeism

14-15

2.5 Categories of absenteeism

16-16

2.6 Measure to minimize absenteeism

17-17

3 Review of literature

18-19

4 Research Methodology
4.1 Statement of problem

20-20

4.2 Objective of the study

20-20

4.3 Scope of study

20-20

4.4 Methodology Used: Questionnaire

21-22

4.5 Sampling unit and sampling size

21-22

3.6 Method of Data Collection

21-22

Data Analysis: Inference

23-46

Findings and Suggestions

47-51

Limitation of study

51-51

Conclusion

52-52

Bibliography
Annexure

PART-I
Company Profile

11

Absenteeism
An Introduction

National Thermal Power Corporation

1.0 Introduction

National Thermal Power Corporation (NTPC), India's power giant, was established in
November 1975 to play a major role in the Indian power sector. Today, an installed
capacity of 19,435 MW, the corporation is looking ahead with an ambitious corporate
plan to achieve a capacity of 30,000 MW by the year 2007 and 40,000 MW by 2012.
Operating 13 coal based and 7 gas based stations, NTPC with its share of about 19% of
India's total installed capacity, generated 26% of the contry's power. A consistent high
level performer in operation, NTPC provides the benchmark for the Indian power sector.

While more than quadrupling the turnover in the past seven years to Rs.20,344 cores in
2000-2001. The profit has now reached Rs.3733.80 crores. NTPC improved its ranking
on sales to 295 in 2000 from 299 in 1999 (as per Asia Week's survey off top 1000
companies of Asia pacific region including Japan). Also NTPC has been ranked as 31 st
largest on net profit in 1999 against 40th rank in 1998. In the Indian corporate sector,
NTPC ranked first in terms of profit and 7 th in terms of sales volume as per survey of
'Asia week'. In a study conducted by DATA MONITOR, UK, NTPC has been ranked
as the SIXTH (6TH) LARGEST thermal power utility in terms of generation of electricity
and the SECOND MOST EFFICIENT in capacity utilization among the thermal utilities
of the world during the year 1998.

As part of the corporate growth strategy, NTPC is diversifying into hydel and nonconventional energy development. A joint venture company has been formed with ABBALSTOM to undertake Renovation and Modernisation of aging power plants both in
India and abroad. NTPC is presently in the process of tying up LNG supplies for the
expansion of its gas-based stations.

NTPC has been a socially committed organization since inception. NTPC's mission
statement includes "To be a responsible corporate citizen with thrust on environment
protection, rehabilitation and ash utilisation."

In pursuance of the vision and mission, NTPC had a specific corporate objective towards
sustainable power development as follows:-

 To contribute to sustainable power development by functioning as a responsible

corporate citizen and discharge social responsibilities in the areas of environment
protection and rehabilitation.

The corporation will strive to utilize the ash produced at its stations to the maximum
extent possible.

For achieving its mission and objective, NTPC formulated specific policies, as delineated
in subsequent paras of this note. The policies were formulated to address the issue of
corporate social responsibility in a comprehensive and systematic manner.

2.0 Nine Principles of Global Compact and their Status in NTPC

NTPC has formally expressed it's support for the Global Compact and committed to take
action in this regard. In fact, NTPC has always been committed to the nine principles of
the Global Compact, which are as below:

Human Rights

2.1

To support and respect International Human Rights with the company's sphere of
influence.

2.2

To make sure that their own corporations are not complicit with Human rights
violation.

NTPC has been maintaining transparency and sharing the information concerning
different stakeholders through various consultative and participatory forums.

Labour

2.3 To end discrimination in the workplace

2.4 Abolition of child labor

2.5 The right to collective bargaining and recognition of freedom of association
2.6 To eliminate the use of forced and compulsory labor

NTPC has formulated specific policies and created consultative and participatory forums
to address these principles.

Environment

2.7 To support a precautionary approach to environmental challenges.

2.8 To undertake initiatives to promote greater environmental responsibility.
2.9 To encourage the diffusion of environmentally friendly technology.

NTPC has been conducting an Environmental Impact Assessment study before taking up
any project and incorporates the required mitigatory measures in the design specifications
to ensure protection and development of the environment. Regular monitoring of various
environmental parameters is carried out and suitable measures are taken to ensure
compliance with regulatory standards. NTPC has taken the position of a leader in the
power sector through continuous adoption of state-of-the-art technologies, formulating
specific environmental policies and establishing sound institutional mechanisms.

3.0

Policies in NTPC on Social Responsibilities

NTPC adopted a visionary approach to address the issue of corporate social responsibility
since inception. NTPC management takes every care to promote and fulfil the
recreational and health requirements of the youth; and the innate urges of different social
groups to meaningfully project their cultural traditions and social values. A sense of
pride and respect for the cultural ethos and social moorings of the employees is
developed by the management as a conscious effort towards National Integration.
Besides, the management views the indulgence of its employees in the sports and cultural
activities as a source of satisfying the latent needs of the employees for creativity,
accomplishment, development and recognition. Therefore, the management has
endeavored to provide facilities in all its projects/stations for the welfare of employees
and for the pursuit and practice of various games and sports, and fine arts namely, dance,
drama, music, painting, sculpture etc.
The Corporate Human Resources Department
also formulated the policies on "Facilities to be given to land oustees" whose land is

expropriated for setting up the power project; policy on educational facilities for the
children of employees as early as 1980. Further, institutional mechanism like
participative forums for employees and environment group were established as early as
1980 itself. Specific guidelines were formulated on Engagement of Contractors workers
and staff. The brief of the policies formulated is given below.

3.1 Human Resource (HR)

3.1.1

Recruitment

The recruitment policy had provisions to give preference to marginalised classes of

society like the scheduled castes/tribes, economically backward classes, Ex-servicemen,
persons uprooted from the project areas, physically handicapped and dependents of
regular employees who die in harness. Specific provisions are made for reservation and
concessions to SC/ST and physically handicapped persons.

3.1.2

Recognition to employees

3.1.2.1 NTPC Awards

NTPC has introduced a combined team Award Scheme to bring in an inter-unit

competitiveness in various areas of activity, leading to excellence and perfection. With
this in mind NTPC is introducing inter-project competitions in Productivity, Safety,
House Keeping, Industrial Relations, Rajbhasha and Improvement & Protection in the
Environment. The awards are being announced every year by 15 th August. The winner
projects get a Rolling Trophy and Replica with certificate of Merit and Runners up
projects gets certificate of merit.

The objective of the Award Scheme is to induce a Team Spirit amongst all employees of
Projects/Stations, to bring in a sense of competitiveness amongst all employees and the
teams and to reward the best performing project/station.

3.1.2.2 Viswakarama Rashtriya Puraskar

The Ministry of Labour, Government of India have been operating the Viswakarma
Rashtriya Puraskar since 1965. It covers the workers in factories, mines, plantations and
docks. The scheme is open to only such undertakings where suggestion schemes are in
operation. Suggestions accepted by the management and adopted during the previous
calendar year in respect of any of the following qualify for the grant of Rashtriya
Puraskar.

3.1.3

Raising productivity

Increasing the efficiency of the organisation and management

Inventions and improvements that bring about saving in materials including

fuel, power and explosives, reduction in production time and improvement in
the utilisation of plant and equipment.

Improvement in quality of products or their designs.

Lightening physical efforts in certain operations and thereby leading to

increased productivity.

Better utilisation of waste or scrap material.

Improving ways and means for using indigenous articles in place of imported
ones.

Improvement of working conditions including safety, health and welfare and

in the case of mines improvement of strata control support of mine workings,
safety standards, safety devices and environmental conditions and
improvement in methods for prevention for industrial diseases.

Make working and general environment safe.

Gender equality

The HR policies and the practices ensure gender equality. NTPC is one of the few
organizations to have a policy for grant of paternity leave. Adequate mechanism has been
provided in the form of a committee for investigating complaints relating to sexual
harassment of working women. NTPC also taps rich resources available in families of
employees. Ladies' clubs/Mahila Mandals at each of the projects utilises this potential
for educational, health and other community development projects in and around the
project areas.

3.1.4

SC/ST

NTPC has endeavored that it takes responsibility for adequate representation of SC/ST
and OBC categories in employment. Towards this effort, there have been exclusive
advertisements/notifications for employment of SC/ST category candidates. These
vacancies are circulated to all accredited SC/ST associations as prescribed under Govt.
guidelines.

3.1.5

Special Efforts for Physically Challenged People

NTPC has a deep-rooted commitment to reach out and light up lives of physically
challenged people. Apart from the medical camps as described above, equal employment
opportunities are offered to this special category of individuals as defined under Persons
with Disabilities (Equal Opportunities, Protection of Rights and Full participation) Act
1995. With 125 such persons already provided regular employment, 200 odd are more
likely to be recruited at various projects in the near future. Such a massive effort of this
magnitude has never been undertaken by any organisation in the past. This has been
done because NTPC has committed itself to provide enhanced employment opportunities
to disabled persons.

3.2

Education

NTPC has been providing quality primary and secondary schooling facilities to the
children of its staff and that of neighbouring community in its township located all over
India. For this purpose, NTPC provides funds to schools for equipments, etc. and to also
meet their recurring expenditure deficits on need basis.

In all NTPC opened 45 schools in its township located all over India in which
approximately 43405 students are studying. The schools are categorized in the following
manner:

State schools run on state syllabus and as per State Government norms.
Central Schools, which run as per Kendriya Vidyalaya Sangathan (KVS) norms; and
Private schools run by various management such as Delhi Public School, DAV society,
Chinmaya Mission etc.

3.2.1

Workers Education Scheme

The scheme, operated in collaboration with the Central Board of Workers' Education
(CBWE), covers all employees in the workman category irrespective of their educational

qualification. The policy provides for books and stationery free of cost, daily time off for
attending classes, award of certificates on successful completion of the course and cash
awards to outstanding participants.

3.2.2

Adult Education Scheme

The scheme is introduced with a view to meet NTPC's social obligations towards
propagation of adult education consistent with the aims and objects of National Adult
Education Program. The Scheme aims at providing functional adult literacy with a view
to endow the illiterate with skills for self directed learning to reliance and active
involvement in their environment. Specifically it aims to impart functional literacy
supportive of self development program - to improve the level of awareness and
communication skills including literacy and functional upgradation.

The Scheme is meant for the civilians at large living in and around NTPC's project areas
and is specifically directed towards the adult workers in the employment of NTPC
(including their spouses) and its contractor/sub-contractors. The preferred age group of
the persons is 15-35 years.

The honorarium of Rs.800/teachers/instructors.

3.2.3

and Rs.400/-

being

paid

to

adult

education

Children's Education Scheme

The company reimburses the expenditure incurred by the regular employees towards
tuition fees and / or hostel charges for their children. NTPC also has a policy of
scholarship for the children of the regular employees who join professional courses.

3.2.4

Neighboring Communities

For the benefits of the land oustees and the villagers of the neighboring affected villages,
NTPC under the policy on R&R establishes / augments the infrastructure facilities for
education like the primary school, furniture and equipment in the school.

The children of land oustees are also provided with free books and stationery as per the
need. The land oustees are also sponsored for professional courses for enhancing their
employability.

NTPC also has a policy of scholarship for the scheduled Caste / Scheduled Tribe
children, who join professional courses. The scholarship is provided for 3 years during
the course of study.

3.3

Health

The organization provides comprehensive medical care to employees and their families
inclusive of promotive, curative and preventive healthcare. It also provides adequate
health care to the community around the project sites.

With 17 well-equipped project hospitals at its project sites with 700 hospital beds and 58
empanelled hospitals located centrally and at regions, it achieves the above objectives. A
fully dedicated team of 250 Doctors and around 1000 para medical staff, NTPC takes
scarce quality medical care to the doorsteps of employees in the project in locations
where even Govt. Primary Health Care is sadly inadequate. While 7 of the 17 hospitals,
provide primary and emergency health care, the other 10 major hospitals also provide
secondary health care. The empanelled hospitals provide the tertiary health care services.
With the above efforts the mean employee age has increased.

3.3.1

Regular Employees

All regular employees, trainees and apprentices and their family members are fully
covered under the medical policy of NTPC. Full-fledged company hospitals have been
established in the projects township. In addition to provision of allopathic system, NTPC
promotes the alternative systems like homeopathic and ayurvedic system of medicine.

NTPC also has a policy of annual comprehensive health check-up for the employees
above the age of 45 years, and health check up once in two years for the employees in the
age groups of 40-45. The employees working in hazardous areas in the project undergo
regular comprehensive health check-up.

3.3.2

Social security for Retired employees

NTPC has a contributory scheme for provision of medical facilities on superannuation

for the employees and their spouses.

3.3.3

Land Oustees

NTPC has a specific scheme for medical facilities to the land oustees and their families
wherein 80% rebate is given for the consultation charges and for indoor treatment in
NTPC hospitals. NTPC also facilitates health insurance scheme for land oustees through
the insurance companies and contributes partly to annual insurance premium to be paid
by the land oustees.

3.3.4

Community Development

NTPC provides basic infrastructure for the primary health center/dispensaries in the
affected villages. In addition, NTPC has been extending medical facilities in its project
hospitals to the needy and poor people free of cost. Regular health check ups of the
students are organized in the neighbouring villages.

Spreading the social concern to the surrounding areas, the National Program enforced by
the Family Planning camps, Blood donation camps, immunisation schedules, Eye camps,
Heart disease prevention camps, cancer detection camps, school medical checkups etc.
are organised for non-entitled people at the project hospitals at places where the Govt.
Primary Health Care is sadly inadequate.

3.3.5

Physically challenged people

NTPC has been organising free medical camps periodically in many of its projects for the
benefit of disabled persons. Special equipment for the aid of disabled persons have also
been distributed at out projects. Accommodation is provided by our projects to any
agency/voluntary organisation for the aid of disabled persons, besides providing any
other assistance.

3.3.6

Rural Sports

NTPC also lays stress on rural sports and projects conduct rural meets on annual basis. It
also encourages the local schools in the vicinity to conduct games/tournaments and
provides them facilities in terms of sports equipments, grounds etc. Inter School Sports
Meet within the projects are also held on a regular basis to identify young talent among
the children of our employees as well as neighbourhood.

3.3.7

National Calamities

NTPC from time to time has donated towards the various Relief Funds at the time of
natural calamities to the Prime Minister's National Relief Fund, Prime Minister's National
Defence Fund, Chief Ministers Relief Fund of Maharashtra, Gujarat, Rajasthan, Orissa,
Madhya Pradesh, West Bengal. In addition to this, NTPC has sent a teams of Doctors,
Engineers to the affected areas for restoration works.

NTPC undertook a massive relief and restoration work for the benefit of persons affected
by the earthquake that occurred in Bhuj in Gujarat on 26.02.01. NTPC undertook to run
community kitchens in the affected areas besides providing relief material to the affected
persons. Doctors from NTPC worked day and night to provide medical assistance.
Engineers undertook to carry out massive repair jobs necessary for restoring electrical
distribution systems.

3.4

Social Security for Old age/retirement

NTPC provides the following benefits: Employees provident fund

Gratuity
Employees voluntary benevolent fund
Self contributory superannuation benefit (Pension Scheme)

3.5 Safety

3.5.1
Safety policy has been drawn up and communicated to all the employees at
Projects/Stations.

3.5.2 Guidelines have been formulated for constituting committees to conduct inquiries
in cases of various types of accidents and dangerous occurrences, to prevent their
recurrence in future.

3.5.3 A detailed procedure for reporting of accidents and dangerous occurrences has
been prepared. Detailed Safety Rules for construction and erection, electrical and
mechanical have been prepared to ensure the safety of the employees working in
Construction, Operation and Maintenance Plants.

3.5.4
All NTPC projects/stations are having Disaster management Plans to ensure the
safety of people and protection of the environment in case of any disaster. Regular mock
drills are organized at regular intervals to educate the people and keep the system in
readiness.

3.5.5 Personal protective equipment is provided to all the employees at projects, who
are working in hazardous areas. Fire Detection and Protection System have been
provided at all vulnerable areas. Effective functioning of the system is ensured through
periodical inspection and monitoring.

3.5.6 Comprehensive Safety Clauses have been incorporated in the General Conditions
of the Contract for Construction & Erection and Operation & Maintenance Works to
ensure the safety of the contractors' employees.

3.5.7 NTPC organizes Safety Audit of all its Projects/Stations every year by the Safety
officers of the other projects. The Safety Audit is done by external professional agencies
like National Safety Council, Loss Prevention Association of India, Tata Risk
Management Services of India etc. to identify the hazardous conditions and take
appropriate corrective action.

3.5.8 NTPC Projects/Stations has received many National/International Safety Awards.

During the year 2000, eleven NTPC projects/stations received Safety Awards from
British Safety Council.
In May 2000, NCPP-Dadri station has also received
SHRESHTHA SURAKASHA PURASKAR AWARD from National Safety Council of
India for outstanding achievement in Safety performance and Management.

3.6 Resettlement & Rehabilitation (R&R)

During the execution of the first generation projects, though there had been no specific
guidelines either from the State or Center on rehabilitation and resettlement, NTPC on its

own had implemented limited measures. Progressively, efforts are being made to
improve upon the programme implemented earlier.

The following facilities were being considered for the land oustees or nominees of land
oustees under the basic guidelines followed by NTPC since 1980:

i)

Employment (subject to vacancies and suitability of land outsees)

ii)

Shop allotment

iii)

Petty contract works

A comprehensive R&R policy was formulated in 1991 and subsequently revised in May,
1993 for implementation at the existing and upcoming projects. R&R is treated as a
responsibility and commitment and not as a charity or welfare measure.

The policy has been framed with a clear objective that NTPC will take measures so that
PAPs are enumerated on the basis of loss of livelihood and not loss of land alone and on
individual basis instead of family basis.
The policy, therefore, is applicable to
agricultural laborers, tribals, landless laborers cultivating Government Land, tenant tillers
etc. as well. There are total twelve categories of PAPs. Depending on the category of
PAPs, the rehabilitation options includes:
Land for land
Self-employment such as dairy, poultry, handicraft etc.
Shops
Award of petty contracts
Jobs

The resettlement includes:

Developed alternate free house plot in resettlement colony with necessary

infrastructure facilities.

Transport arrangement for belongings and reusable material

For establishing the base line data for each PAP and to enable the preparation of suitable
Rehabilitation Action Plan (RAP), a detailed socio-economic survey (SES) is conducted
through reputed institutions. For old projects, a retrofit socio-economic study (RSES) is
carried out through reputed institutions and a Remedial Action Plan (ReAP) is prepared.
In addition the infrastructure facilities are created/augmented based on the finding of
survey. The RAP/ReAP is finalized in a consultative manner with PAPs. The RAP/ReAP
includes plan for resettling PAPs in resettlement colonies, providing them infrastructure
facilities and also ways and means of rehabilitation to be provided to these PAPs as per
NTPC R&R policy.

3.7 Community Development

NTPC has been providing basic infrastructure facilities and amenities in the resettlement
colonies and the affected villages to provide reasonable standard of community life.
These include village roads, drainage, drinking water facilities, community halls,
augmentation of primary health centers, primary schools, streetlights etc.

3.8 Environment
NTPC, while spearheading the process of accelerated development of the power sector in
the country, is equally conscious of the environmental degradation and continues to take
various pro-active measures for protection of the environment and ecology around its
projects. Environmental Auditing and extensive Pollution Monitoring is carried out at all
stations and has led to better compliance of the environmental norms and helped in timely
renewal of the Air and Water Consents of stations.

NTPC was the first among the power utilities in India to start Environment Impact
Assessment (EIA) studies to identify and evolve suitable mitigatory measures at the
project appraisal stage itself. These measures are in-built in the designs during project
engineering stage and are incorporated in the construction stage. Once the plants come
into operation, regular monitoring of various environmental parameters and periodic
Environmental Audits and Reviews are conducted and suitable remedial actions are taken
to ensure compliance with statutory requirements. Close interaction is maintained with
various regulatory bodies and financial institutions in order to keep abreast with the latest
developments in the field of environment. Efficient operation, maintenance and sound
environment management features in all its operating stations.

3.8.1

Environment Policy and Management System

NTPC is the first public utility in the country to bring out a comprehensive document in
November 1995 entitled "NTPC Environment Policy and Environment Management
System". The Environment Policy envisages the following principles:

a) To adopt pro-active approach in Environmental Protection.

b) To operate and maintain the various pollution control devices and equipments at
optimum efficiency.

c) To adopt latest technologies, as far as feasible and to achieve continual

environmental improvement through retrofit, recirculation/reuse, integrated
treatment schemes etc.

d) To conserve resources by efficient utilisation and to minimise waste to the extent

feasible.

e) To devise environmentally sound policies for maximizing ash utilisation.

f) To inculcate the culture of environmental care among all employees and further
enhance the "green Image' of NTPC.

3.8.2

Accreditation of ISO-14001 Certification

As a Corporate Policy, NTPC has taken various pro-active measures for strengthening its
environmental management functions and for protection of the environment. Fifteen of
its power stations have been accredited with ISO-14001 certification. Actions also have
been initiated for achieving ISO-14001 for other stations.

3.8.3

Rewards for Environmental Performance

In recognition to the initiation and implementation of various environmental measures,

the NTPC had received several awards such as:

NTPC-Kahalgaon has received award on "Excellence in Environment Management

1999", Talcher-Kaniha has received 'Pollution Control Excellence Award 1999' and
Excellent Pollution Control Award for Kayamkulam from respective State Pollution
Control Boards.
In addition Talcher-Kaniha and Ramagundam have received
"Environment Performance Awards" and Feroze Gandhi Unchahar and Dadri thermal
power stations have received awards on 'Ash utilisation and its Safe Disposal" from
council of Power Utilities and Central Board of Irrigation & Power. NTPC also received
"Jawahar Lal Nehru Memorial Award, 1999 for Best Environment and Ecological
Implementation" from International Greenland Society, Indo-German Green Tech
Environment Excellence Award 1999-2000 for Corporate Centre, Dadri and Kawas
Station and the Golden Peacock Environment Management Award -2001 from the World
Environment Foundation, Excellent Environmental & Ecological Implementation Award
2000-2001 from International Greenland Society, Hyderabad. NTPC Kahalgaon received
Industrial Pollution Control Award, 2000-2001 from Bihar State Pollution Control Board,
Patna.

3.9 Afforestation
Green belts and massive plantations continues to be done at its projects and till date
around 14.9 million trees have been planted at its different projects. Further, in
accordance with the decision taken by Ministry of Power, Government of India,
necessary action is under way for creation of Special Purpose Vehicle (SPV) for
Afforestation.

Afforestation is yet another area which needs careful consideration.

Massive
afforestation is required in and around power plants to act as a sink to the pollutants.
Coal burnt in a 1000 MW power plant is around 4 million tonnes per annum resulting in
around 5 million tonnes of carbon dioxide emissions annually. In order to sequester this
carbon dioxide, around 400 sq. km of forests having plants with 8-10 years of age would
be required. In addition, serious attempts may have to be made to reclaim the abandoned
ash ponds. Scientific research has shown that waste land can be successfully converted
into green forests, if proper care is taken to select the species of plants. Thus abandoned
ash ponds can be successfully reclaimed as already done at Ramagundam.

In NTPC, in view of the above, around 14.9 million trees have already been planted in
and around its power stations. Further, a concept of "Special Purpose Vehicle (SPV) for
afforestation has been thought of recently with the objective of creating forest bank to act
as sink for Green House Gas emissions, increase the national forest cover, as also, for
speedy forest clearance for power projects. Power plants acquire sizable chunk of land for
setting up power plants and extending transmission lines. In most of the power plants,
acquisition of forest land is also involved which needs forest clearance from State
Authorities and MoEF. The existing system of Compensatory Afforestation, is a long
drawn process and delays the implementation of power projects resulting in cost and time
over run of the project. The role of Special Purpose Vehicle (SPV) is envisaged to

identify suitable land for afforestation through MoEF and State Forest Department and
maintain a buffer of such forest cover. This forest bank is to be treated as 'Compensatory
Afforestation" and to be scored off against diversion of forest land for setting up of power
plants. This arrangement, if implemented, is expected to increase the national forest
cover, convert degraded and denuded forest land into rich forests and also speed up
clearance of forest land for Power Plants from Central and State Authorities.

4.0

Institutional Setup

4.1 For HR functions

Employees' Participation in Management (EPM) has been one of the strong pillars
holding up NTPC since its inception. The company has witnessed high performance and
tremendous growth in a short period of 25 years and this can largely be attributed to the
deep-rooted involvement of its employees in the process of management.

NTPC has 22 projects (including Tanda Thermal Power Station, taken over from the
erstwhile UPSEB) in its fold today and the participation of over 24,000 employees in the
management process takes place, at mainly, three levels, viz. Project/Station level,
Regional level, and Corporate level.

4.1.1

Project/Station Level

Each projects has an apex-level Plant Level Council and a number of (usually 4-5)
Shop/Department Level Councils. Besides PLC/SLCs various joint committees are
formed to deal with aspects such as safety, township, sports, recreation etc.

i)

Apex Level Plant Level Council (PLC)

Constituted to discuss plant level issues - information sharing on generation & production
targets, productivity, elimination of wasteful practices, inventory reduction, general
health, welfare & safety, and any issue referred by ship councils. The members include Head of Project as the Chairman, 3 members representing the management and 3
members representing employees.

ii) Shop Level Council (SLC)

Constituted to discuss department level issues - Improvement of production, productivity

& efficiency, elimination of wastage, improvement in working conditions, safety etc. The
members include - Head of Department as the Chairman, 8-12 members equally
representing the management and employees.

iii) Other Bipartite Fora at Project Level

Various joint committees, represented equally by management and employees, are

constituted at the project level to take care of issues related to employees' welfare. The
important joint committees are:

4.1.2

a)

Canteen Management Committee

b)

House Allotment Committee

c)

Township Advisory Committee

d)

Plant Safety Committee

e)

Sports Council

Regional Level

Meetings are held every quarter with unions and associations of employees of a particular
region to discuss and deal with various issues concerning that particular region.

4.1.3

Corporate Level

At Corporate level there are separate participative forum for workmen, Supervisors and
Executives.

a) NBC - National Bipartite Committee

The apex negotiating forum composed of management representatives and workmen
representatives drawn from coal-based thermal power stations which have a workmen
strength of over 500 and have at least one unit commissioned. Besides workmen
representatives from project unions, Central Leaders (one each) from four national trade
unions - INTUC, BMS, ATTUC & CITU - are part of the committee. The forum meets at

least 2-3 times a year or even more frequently, if required. Issues discussed are related to
wages and employee welfare.

b) SEJC - Supervisory Employee's Joint Committee

The apex joint forum composed of management representatives and representatives of
supervisors drawn from coal-based thermal projects, which have at least one unit,
commissioned. This is not a forum for negotiation but a consultative forum where
information, ideas and concerns are shared. The forum meets at least twice a year. Issues
discussed are related to the welfare of the supervisor's community.

c) NEFI - NTPC Executives' Federation of India

This is not a joint committee but a federation of all the Executive Associations from
various projects of NTPC, with which the management interacts to share information,
ideas and concerns of the executive community. The forum meets at least twice a year.
Issues discussed are related to the welfare of the executives' community.

d) Apex Level Bipartite for a Related to Productivity

The three apex fora mentioned above basically deal with issues related to employee
wages and welfare, while the following three fora, which meet twice a year, deal with
matters relating to productivity, cost-reduction, improvements in working conditions,
safety etc.

4.1.4

NJPC - NTPC Joint Performance Committee - composed of NBC members

SEJC on Productivity

NEFI on Productivity

Professional Circles

We have started Professional Circles in each department wherein employees of the

department concerned would meet periodically to share the learning in the chosen
profession.

4.1.5

Quality Circles

In order to tap the latent talent among workmen to achieve Total Quality Management in
the running of plants, initiatives were taken to set up Quality Circles. As of now, over
250 Quality Circles are in operation in various units/offices of NTPC.

4.1.6

Safety

Safety Departments have been set up at all the projects/stations and at Corporate Center
and qualified Safety officers have been posted to assist the management in fulfillment of
its statutory obligations, prevention of personal injuries and maintaining safe working
environment.

Safety Training is provided to all executives, supervisors and workmen at the induction
stage itself. Need based training programs on safety are being organized by projects/
stations and corporate center at regular intervals for NTPC and contractor's employees.
Fire fighting and first-aid training is providing to all the employees.

Employees' participation in Safety Management is encouraged through various schemes

like Safety Committees, Safety Stewards and Safety Circle Schemes.

4.2 R&R functions:

4.2.1 Establishment of Dedicated R&R Cell

NTPC addresses the R&R issues by establishing independent dedicated R&R Cell at each
project for coordinating and implementing the R&R plans and activities. The Corporate
R&R Cell ensures that policies are applied consistently, monitors the progress of the
implementation of R&R plans and activities and facilitate the projects in planning,
scheduling and budgeting as also providing assistance and support for taking up of
Income Generating Schemes, Shops, petty contracts etc. Instances have been common
where PAPs have chosen schemes/options themselves as per their requirement & NTPC
has arranged assistance for the same. Also, many measures/facilities etc, have been
provided to PAPs as per needs of PAPs and local conditions, even though not envisaged
in the RAPs, NTPC strongly feels that such activities go a long way in building a
relationship of trust with PAPs.

4.2.2 Deployment of Consultants/Advisors

The need of deploying the experienced experts has been felt to supplement the efforts of
NTPC in addressing various R&R issues and in implementation of income generation
schemes at Projects.

4.2.3 Deployment of social scientists

R&R Cell require complex mix of skills to address the need of understanding social,
cultural and traditional aspects of the people affected due to our project and establish vital
communication links between PAPs, NGOs and NTPC. To fulfil these objective, social
scientists with requisite qualification and field experience have been deployed at projects.

4.2.4 Participation of Stakeholders

The consultation with the PAPs and NGOs are vital for assessing their requirement of
rehabilitation and resettlement. This is done in NTPC in a participative manner for which
various systems have been institutionalized. The R&R schemes and plans are regularly
discussed with PAPs and their representatives through Public Information Center (PIC)
and Village Development Advisory Committee (VDAC). Their suggestions are studied
and the schemes and plans are modified, whenever felt necessary.

4.2.5

Public Information Center (PIC)

To maintain transparency and keep the PAPs informed, NTPC has established PICs at
Corporate Center and at Projects where all documents such as socio-economic survey
reports, RAPs / ReAPs, land records, policy and other relevant documents are kept for
public view. The PAPs are encouraged to refer to any document and can register their
queries / grievances in a register kept at the PIC. At sites, social scientists are available at
PIC for interacting with PAPs & listening to their grievances and explaining them the
documents.

4.2.6

Village Development Advisory Committee (VDAC)

For institutionalizing the public consultation and preparation of rehabilitation schemes in

a participative manner, NTPC has established VDACs at various projects. The
representatives of PAPs, Gram Pradhan, Panchayat representative, Block Development
Officer, other representatives of State Govt. and NGOs are the members of VDAC.
Regular meetings are held where their suggestions are invited and the schemes and plans
are modified, whenever felt necessary. The records of meetings are kept in the PIC for
the information of public. The socio-economic survey report and RAP/ReAP are also
discussed in the VDAC.

4.2.7 Grievance Redressal Mechanism

For redressing the grievances of PAPs, NTPC has established Grievance Redressal
Mechanism at each project. The PAPs can give their grievances in the PIC which are
suitably taken care of by the management.

4.2.8 Involvement of NGOs

The NGOs are identified as important stakeholders and are actively involved in the R&R
activities. They are involved in the consultation process and are taken as member of
VDAC. They are also involved in implementation of various income generating
schemes.

4.3 Environment functions

NTPC has constituted different Environment Groups for carrying out specific
environment related functions.

4.3.1

Environment Engineering Group (EEG)

The Environment Engineering Group (EEG) at the Corporate Center was created as early
as 1980, even before the formulation of the relevant environmental acts. It has the
responsibility for selecting the environmentally compatible sites for the new green-field
projects, conducting the Environmental Impact Assessment (EIA) studies for new project
sites and obtaining Environmental Clearances, finalization the specifications of pollution
monitoring equipment for new projects and works related to pre-operational stages of the
projects.

4.3.2

Environment Management Groups (EMGs)

The Environment Management Groups (EMGs) were constituted in 1991-92 at all

stations of NTPC, Regional Headquarters and at the Corporate Center. It has the
responsibility of providing thrust to the environment functions of the operational stage of
the plants, formulating the environmental policy of the organization, complying with the
statutory norms and initiating suitable mitigatory measures to minimize pollution.

4.3.3

Ash Utilization Division (AUD)

In order to impart thrust for utilization of ash in all NTPC Stations, a separate Ash
Utilization Division was created in 1991. This division formulates the policy, plans and
programs for ash utilization. Each station has a dedicated Ash Utilization Coordinator.
The AUD controls and monitors the progress of ash utilization at each station.

4.3.4

Center for Power Efficiency and Environment Protection (CENPEEP)

The Center for Power Efficiency and Environment Protection (CENPEEP) has been
established in NTPC with the assistance of United States Agency for International
Development (USAID) to focus on improvement of availability of resources for power
generation for sustained operation, attainment of optimum efficiency and protection of
environment. The center acts as a resource for assimilating, disseminating and
demonstrating technical know-how to other utilities to bring about improvement in the
Indian Power Sector. The Corporation has been identified as Implementing agency for
"Green House Gas Emission Prevention Project'' by the USDOE and USAID.

4.4

Afforestation

Professionally qualified horticulturists are deployed at each project.

5.0

Budget

NTPC has fully internalised the provisions of budgets for operationalisation of it's social
responsibility both during the formulation and during operation of its projects. For
new/expansion projects, the environmental safeguards are built into design specifications
of the project and cost of such safeguards becomes integral part of the project cost. The
cost of rehabilitation, resettlement and community development plan also forms the
integral part of the project cost. For operating stations, specific budgets are provided for
operationalisation of all social welfare policies under the O&M budget.

6.0

Conclusion

Release of pollutants into the environment is unavoidable in the process of generation of

electricity form fossil-fuelled power plants. With the massive expansion of power
generation, there is also growing awareness among all concerned to keep the pollution
under control and preserve the health and quality of the natural environment in the
vicinity of the power station. All-out efforts are being made by NTPC in the above
direction. Necessary provisions have been incorporated at the planning, design and
operating stages of the projects to check the pollution within the norms. These include
provision of tall chimneys and highly efficient ESPs, treatment of effluents, disposal of
ash an above all massive afforestation programmes carried - out in the vicinity of the
power stations. As a result of various mitigatory measures continuously undertaken in

NTPC plants have shown appreciable reduction in particulate emission in a number of

stations.

NTPC is committed to provide affordable and sustainable power in increasingly larger

quantities. It is conscious of its role in the national endeavour of mitigating energy,
poverty, heralding economic prosperity and thereby contributing towards India's
emergence as a major global economy.

The policies and the practices of NTPC assure the organization's commitment towards
social responsibility.

ContactK.K. Sinha, Director(Human Resources), National Thermal Power

Corporation Ltd., New Delhi
Email: kksinha@ntpc.co.in
_____

2.1 INTRODUCTION
Some Definitions of Absenteeism:
Absenteeism is a practice or a habit of being an absence and an absentee is
one who habitually stays away
- WEBSTERS DICTIONARY
- Absenteeism is the failure of a worker to report for work when he is
scheduled to work.
- LABOUR BUREAU SIMLA
Meaning:

Employees presence at the work place during the schedule time is highly essential for the
smooth running of the production process in particular and the organization in general.
Despite the significance of presence, employees sometime fail to report to the work place
during the scheduled time, which is known as Absenteeism.
According to PICOARS AND MAYERS: Unexpected absence disturbs the efficiency of
the group as the jobs are inter connected, if one single man remains absent without prior
notice the whole operation process is distributed. This Absenteeism results in production
losses because, due to Absenteeism, workers cost increases and thus efficiency of
operations is affected.
2.2 Features of Absenteeism:
Research Studies undertaken by different authors reveal the following features of
Absenteeism
The rate of Absenteeism is the lowest on pay day; it increases considerably on the
days following the payment of wages and bonus
Absenteeism is generally high among the workers below 25 years of age and
those above 40 years of age.
The rate of Absenteeism varies from department to department within an
organization.
Absenteeism in traditional industries is seasonal in character

12

2.3 Types of Absenteeism

Absenteeism is of four types viz.
1.

Authorized Absenteeism.

2.

Unauthorized Absenteeism.

3.

Willful Absenteeism.

4.

Absenteeism caused by circumstances beyond ones control.

1) Authorized Absenteeism
If an employee absents himself from work by taking permission from superior
and applying for leave, such Absenteeism is called authorized Absenteeism.

2) Unauthorized Absenteeism
If any employee absents himself from work without informing or taking
permission and without applying for leave, such absenteeism is called
Unauthorized Absenteeism.
3) Willful Absenteeism
If any employee absents himself from duty willfully, such Absenteeism is called
Willful Absenteeism
4) Absenteeism caused by circumstances beyond ones control
If any employee absent himself from duty owing to the circumstances beyond
his control like involvement in accidents (or) sudden sickness, such absenteeism
is called Absenteeism caused by circumstances beyond ones control.
2.5 Calculations of Absenteeism rate:
Absenteeism can be calculated with the help of the following formula.
Absenteeism rate = ( No of Mondays lost / No of Mondays scheduled to work)*100
Absenteeism rate can be calculated for different employees and for different time periods
like month & year.

13

Frequency rate
The frequency rate reflects the incidence of absence and is usually expressed as the no of
separate absence in a given period, irrespective of absence. The frequency rate represents
the average no of absence per worker in a given period.
Frequency rate = (The no of times in which the leave was availed/ Total no of Mondays
schedules to work)*100
Severity rate:
Severity rate is the average length of time lost per absence and is calculated by using the
following.
Severity rate = (Total no of days absent during a period/ Total no of times absent during
that period)*100

A high severity rate indicates that the employee is absent for longer duration each time.
High frequency and severity rates indicates that the employee is absent more frequently
and for longer durations each time resulting in high Absenteeism even in absolute terms.
2.6 Causes of Absenteeism
The following are the general causes of the Absenteeism
1.

Maladjustment with the working conditions:

If the working conditions of the company are poor, the workers cannot adjust
themselves with the companys working conditions. Then they prefer to stay away
from the company.

2.

Social and religious ceremonies:

Social & religious functions divert the workers attention from the work.

3.

Unsatisfactory housing
Conditions at the working place

4.

Industrial housing
The industrial fugue compels workers to remain outside the work place.

5.

Unhealthy working conditions

The poor and intolerable working conditions in the factories irritate the working
excess heat, noise, either too much or too low lighting, poor ventilation, dust, smoke
cause poor health of the workers. This factory causes the workers to be absent.
6.

Poor welfare facilities

Though a no of legislation concerning welfare facilities are enacted, many organizations

fail to provide welfare facilities. This is either due to the poor financial position of the
companies (or) due to the exploitative attitude of the employs. The welfare facilities
includes poor sanitation, washing, bathing first aid appliances, ambulance, restrooms
drinking water, canteen, shelter, crches etc.. The dissatisfied worker with these facilities
prefers to be away from the workplace.
7.

Alcoholism

Workers mostly prefer to spend money on the consumption of liquor and

enjoyment
after getting the wages. Therefore, the rate of absenteeism is more during the first week
every month
8.

Indebtness

The low level wages and unplanned expenditure of the workers force then to borrow
heavily. The research studies indicate that workers borrow more than 10 times of their
net pay. Consequently workers fail to repay the money. Then they try to escape the place
in order to avoid the money lenders. This leads to absenteeism.
9.

Maladjustment with job demands

The fast enhancing technology demand higher level skills from the workers fail to meet
these demands due to their lower level education and/or absenteeism of training.
10.

Unsound personnel policies

The improper and unrealistic personnel policies result in employee dissatisfaction. The
dissatisfied employee in tune prefers to be away from the work
11.

Inadequate leave facilities

The inadequate leave facilities provided by the employer forces him to depend on ESI
leave which allows the workers to be away from the work for 56 days in a year on half
pay.
12.

Low level of wages

Wages in some organizations are very poor and they are quite inadequate to meet the
basic needs of the employees. Therefore, employers go for other employment during
their busy seasons and earn more money. Further, some employees take up part time
jobs. Thus the employees resort to moonlighting and absent themselves from the work.

15

Categories of Absenteeism
K.N.VAID classified chronic absenteeism to fine categories viz.
1) Entrepreneurs
2) Status seekers
3) Epicureans
4) Family-oriented and
5) The sick and the old.
1) Entrepreneurs

These classes of absenteeism consider that their jobs are very small for their total interest
and personal goals. They engage themselves in other social and economic activities to
fulfill their goals.
2) The status seekers
This type pf Absentees enjoy or perceive a higher ascribed social status and are keen on
maintaining it.
3) The epicureans
The classes of absentees do not like to take up the jobs which demand initiative
responsibilities, discipline and discomfort they wish to have money, power, and status but
are unwilling to work for their achievement.
4) Family-oriented
These types of absentees are often identified with the family activities.
5)

The sick and old

These categories of absentees are mostly unhealthy, with a weak constitution or old
people.

16

Measures to minimize Absenteeism

Absenteeism affects the organization from multiple angles. It severely affects the
production process and the business process. The effect of unauthorized absenteeism is
more compared other types of absenteeism. However, it would be difficult to completely
avoid absenteeism. The management can minimize absenteeism. The following
measures are useful in controlling or minimizing absenteeism.
1) Selecting the employees by testing them thoroughly regarding their aspirations value
systems, responsibility and sensitiveness.
2) Adopting a humanistic approach in dealing with the personal problems of employees.
3) Following or proactive approach in identifying and redressing employee grievances.
4) Providing hygienic working conditions.

5) Providing welfare measures and fringe benefits, balancing the need for the employee
and the ability of the organization.
6) Providing high wages and allowances based on the organizational financial positions.
7) Impressing the communication network particularly the upward communication.
8) Providing leave facility based on the needs of the employees and organizational
requirement.
9) Providing safety & health measures.
10) Providing cordial human relations & Industrial relations.
11) Educating the workers.
12) Counseling the workers about their carrier, income & expenditure habits & culture.
13) Free flow of information, exchanging of ideas problems etc between subordinate &
superior.
14) Granting leave and financial assistance liberally in case of sickness of employee &
his family members.
15) Offering attendance bonus & inducements.
16) Providing extensive training, encouragement, special allowance in cash for
technological advancements.

17

PART- III

REVIEW OF
LITERATURE

Brian S. Klaas/26 September 2002/http://www.science direct.com

This study examined the merits of one perspective on the relationship between
absenteeism and grievance activity by studying whether that relationship varied across
six types of grievance activity. The transfer function between each type of grievance
activity and absenteeism was estimated with time series techniques. Data were collected
on the monthly level of absenteeism and grievance activity over an 8-year period from a
unionized organization. The results suggest that the direction of the relationship varies
substantially in association with the nature of the grievance. Although statistically
significant increases in absenteeism occurred in association with policy grievances,
statistically significant decreases in absenteeism occurred in the month following
disciplinary grievances and negative outcomes from disciplinary grievances

Craig A. Olson/1999-02-01/ http://www.ingentaconnect.com

The aim of this paper is to bring the temporal nature of absence decisions into the
forefront of the analysis of employee absenteeism. The theoretical contribution of the
paper draws on the conventional labor supply model of absence behavior and extends the
analysis in order to place absenteeism in the context of multi period analysis. In addition,
the implications of a specific absence penalty system are analyzed which essentially
makes the availability of overtime working conditional on an employee's absence history.
The empirical analysis explores a daily panel of absence histories gathered by the firm
which operates this particular penalty system. The analysis of such panel data, therefore,
incorporates the temporal aspect to the absence decision-making process. The findings
suggest that the absence penalty system is effective and, furthermore, the results indicate
ways in which the effectiveness of the system could be enhanced. In general, the results
confirm the findings of other researchers, which suggest that characteristics of the
employment contract such as wages are important determinants of observed absence
behavior

Tove H. Hammera/ October 1981/ http://www.science direct.com

Used R. M. Steers and S. R. Rhodes's model as a framework for examining patterns of
absenteeism and their predictors among 112 workers (mean age 44 yrs) in an employeeowned organization. The focus of the study was the effect of job satisfaction on voluntary
absenteeism, which is traditionally thought to be either negative or canceled out by
pressures to attend work. An alternative hypothesis is offered by A. O. Hirschman's
(1970) exit, voice, and loyalty (EVL) model, which suggests that workers who are loyal
to their employer and believe that they can improve undesirable conditions will come to
work when they are dissatisfied because they can voice their complaints instead of
withdrawing silently. Results show that absenteeism was affected primarily by
organizational and financial commitment but that job satisfaction was not a predictor.
Voluntary absenteeism declined after transfer to employee ownership but was offset by an
increase in involuntary withdrawal as employees began publicly to legitimize their
18

absenteeism. Results suggest that a better understanding of the psychological processes

leading to temporary withdrawal could come from an examination of the costs to the
worker of being present, in addition to the traditional focus on the rewards of working.

Joseph J. Martocchio/3 October 2002/ http://www.science direct.com

Meta-analyses were performed on 34 samples that included correlations of the age and
employee absenteeism relationship. Samples were categorized into 2 groups for voluntary
absenteeism and involuntary absenteeism based on the frequency index and the time-lost

index, respectively. Results indicated that both voluntary and involuntary absence are
inversely related to age. Unexplained variance remained for each of the absence measures
after variance due to sampling error and measurement unreliability was statistically
estimated. Work demand was negatively associated with age, but not in the expected
direction. Work demand did not moderate the age-absence relationship for either
voluntary or involuntary absence. Sex moderated the relationship between age and
voluntary absenteeism only. For men, the relationships were negative; for women, they
did not differ significantly from 0. Implications for research and human resource
management practices regarding aging and absenteeism are discussed.

James A. Breaugh/9 May 2007/ http://www.ingentaconnect.com

Recent reviews of the absenteeism literature indicate that absenteeism as a phenomenon
is still neither well understood nor accurately predicted. The present study incorporated
many of the suggestions for improving absenteeism research that were made in the
reviews. More specifically, a longitudinal design was used to assess the accuracy with
which the 1977 absenteeism (i.e., total days absent, absence frequency, and supervisory
absenteeism rating) of 112 research scientists could be predicted from their previous
absenteeism (1974-1976). In addition, the relationships between 1977 absenteeism and 3
work attitudes (job satisfaction, job involvement, and supervisory satisfaction) were
assessed. Findings show that past absenteeism was a better predictor of 1977 absenteeism
than were the 3 work attitudes. Data relevant to the psychometric equivalence and
stability of the absenteeism measures are also reported

19

PART- IV
RESEARCH
METHODOLOGY

RESEARCH METHODOLOGY:
Theoretical background of the Topic:
Absenteeism has been variously defined by the Authorities from time to time.
Thus the term Absenteeism refers to the workers absence from his regular task, when he
is scheduled to work. Any employees stay away from work if he has taken leave to which

he is entitled or on the grounds of sickness or some accident without any previous

sanction of leave.
Nevertheless usually, involuntary lay off, lack of work, authorized leave or vacation
period of work stoppage are not counted as absence. Strikes, lock outs and late attendance
are treated as absence.

STATEMENT OF PROBLEM
Study of Absenteeism among Industrial Worker is not only from view point of but it is
important from the view point of moral of employees. Even though the effect of the good
morale of employees, may not be calculated in terms of costs, but it should be said that, it
is important than cost.There is a clear relationship between high absenteeism and
employees moral, because it can easily traced that these department having high rate of
absenteeism have low moral.
There is a clear relationship between employees attitude & absenteeism. They are related
to each other. So employees attitude & morale are the important factors. Labors is
Human Factor, therefore consideration shall also be taken into account in the discussion
of problem connected in the absenteeism has been continuous to be one of the major
labors problem in Indian Industries.
As No work No pay is usually the general rule, the loss to workers absenteeism
is quite obvious when the workers fail to attend to the regular work, there income is
reduced and the workers become still poorer. Hence, Health and efficiency of the worker
is affected by the irregularity of the workers attendance.
The loss of employees and industry is due to absenteeism is still greater and both
efficiency and discipline suffer the maintenance of additional workers leads to serious
implications.
Thus the above discussions show how the problem of absenteeism is very
important to the organization. So, I have selected this problem of study.
20

OBJECTIVES OF THE STUDY

The Study aims at assessing the absenteeism in workers.

To find out causes of Absenteeism & suggest remedies to reduce it.

 To find out the rate of Absenteeism in National Thermal Power Corporation Ltd.,
Auraiya yarns thread
To know the corrective measures taken by the co. to reduces the rate of
Absenteeism

SCOPE OF THE STUDY

The present study Workers Absenteeism Covered only at National Thermal Power
Corporation Ltd., Auraiya yarn and thread unit, could be of great use for the organization
concerned in the following area:
. The study attempts to analyze the effectiveness and employees individual
opinion
about reason for the absenteeism.
. The study emphasizes to reveal the reasons behind the absenteeism in National
Thermal Power Corporation Ltd., Auraiya unit.
. The study aims to work on the feedback given by the employees and come up
with valuable suggestions for the improvement of the Absenteeism.
This is the technique followed in social research on any subject.
The research has selected the subject: A Study of Absenteeism of workers in National
Thermal Power Corporation Ltd., Auraiya yarns and threads ltd Baddi unit
RESEARCH DESIGN:
The process starts after selection of the topic Research Design denotes the planning of the
research study by which the researcher followed the below mentioned methods and
techniques
DATA COLLECTION:
Data Collected from primary and secondary data/sources.
Primary Data: Asking questions with employees and workers personally.
Secondary Data: Collecting the data from reference books and past records.
21

SAMPLING METHODS:
Convenience Sampling.
Sampling Units: 40

Methods of Data Collection:

Primary Data:
Interview Method
Questionnaire

Secondary Data:
Company Records

Processing And Analysis Of Data.

After the data have been collected it has be analyzed. The data obtained from the
questionnaire is arranged in a serial order their master copy with tabulation method is
being prepared.
Tabulation is part of the technical procedure where in the essential data is put in
the form table.

22

3.1 DATA ANALYSIS AND INTERPRETATION

Table 1
Age of the Respondents

Employee age in years

Respondents

Percentage

Below 20

10

25

20-25

10

25

25-35

10

25

Above 35

10

25

Total

40

100

Inference:
The above table explains that from the total respondents 25% of respondents are
below age groups of 20 years. 25% of respondents are of groups of 20- 25 years, 25-35
years age of groups is 25% and above 35 years are 25% of respondents. None of the
respondents are below further it clears that majority of total respondents are from all
age of groups.

23

Table -2
Table showing in which department the respondents works.

Department

Respondents

Percentage

Make-up

16

40

Finishing

20

Dyeing

20

Twisting

20

total

40

100

Inference:
From the above table it indicates that of the total respondents, 40% of respondents are
working in make-up department. In finishig 20% of respondents, 20% of respondents are
working in dyeing ,and the rest 20% of respondents in twisting
Further it clears that no of respondents are working in make- up department

24

Table-3
Marital status of respondents

Marital status

respondents

Percentage

married

25

62.50

unmarried

15

37.50

Total

40

100

Inference:
According to the survey conducted 62.50% of respondents are got married and rest
of respondents is got married and rests of respondents i.e. 37.50 %of respondents are unmarried.
From the above table it is clear that the majority of respondents i.e. 62.50% of
respondents are married.

25

Table -4
The educational qualification of Respondents

Qualification

Respondents

Percentage

5th

8th

12

30

10th

18

45

12th

10

25

Total

40

100

Inference:
As shown in the table most of the respondents i.e.30 % of
respondents are 8 passede, 45% of respondents are 10th & 25% of respondents and 5th
passed are 0%.
th

26

Table-5
Years of experience of the respondents years of
s.no
experience

Response

<1

1 to2

2 to5

5to10

>10

total

40

Inference :
From the above table that is indicates that of the total respondents, 20% of respondents
are below 1 years of experience 20% of respondents are2 to 5 years of experience, 20%
of respondents and having5 to 10 years of experience & rest of respondents i.e. 20% of
respondents & having 10 and more years experience.

27

Table-6
How often worker remain absent in a month

Opinion

Respondents

Nil

12

Once

Twice

13

>two

Total

40

Inference:
As shown in above table out of 40 respondent 30% does
not remain absent in a month, 22% remain absent once in a month,33% absent for two
days in a month and remain 15% absent more than two days

28

Table-7
Responsibility of intimation to supervisor
S.No.

Option

Responses

Often

16

Sometimes

Rarely

10

Never

Total

40

Inference:
As per the table 17%of respondents feeling this responsibility rarely 14% feel it
sometimes where as 27% feel it as must and the other i.e. 42% feel it never.

29

Table-8
What is the main reason of employee absenteeism?

Sr.No.
1

Option

Responses

Health Problem

25

Stress

11

Work Dissatisfaction

Work Environment

Total

40

Inference:
Out of total 40 respondents, 62% of respondents are absent because of health
problem, and 28% of respondents absents because of stress ,5% of respondents will
absent because of work dissatisfaction ,and remain 5% because of work environment
From the above table it is clearly observed that the workers will absent to duty i.e.
62% are absent for health reason only

30

Table-9
Are you aware of your job responsibilities?

S.No.

Option

Responses

Well Clear

22

Clear

Fairly Clear

Don't Know

Total

40

Inference :
Out of 40 respondent 55% respondent are well clear about their job
responsibilities ,20%say clear ,12%say they are fairly clear and restof13%dont know
about their responsibilities

31

Table -10

Workers satisfaction regarding their job

S.No.

Option

Responses

Well Satisfied

17

Satisfied

13

Fair

Not Satisfied

Total

40

Inference:
According to the survey conducted 36.19% of respondents are well satisfied with
their job,33% respondents are satisfied with their job ,20%says it is fair, and the rest of
respondents i.e. 5% are not satisfied with their job
From the above table it clears that the majority of respondents are satisfied with their
job.

32

Table-11
Workers view regarding absent due to the working environment

S.No.

Option

Responses

strongly agree

Agree

Disagree

10

strongly disagree

21

Total

40

Inference: According to the survey conducted out of total 40 respondents 7% of

respondents are strongly agree and 15% of respondents are agree, 25% of respondents
and disagree and rest i.e. 53% of respondents are strongly disagree for it.
Further it clears that majority of total respondents i.e 40, 53% of respondents do not
agree for the given statement.

33

Table -12
Relation with superior and coworker
S.No.

Option

Responses

Very Good

25

Good

Fair

Poor

Total

Inference:

40

As per the table 62% of respondents have very good relationship with higher
authorities and coworker 15% have good relationship, 10% have fair and13%have not
any good relations

34

Table-13
Superior behavior towards worker problem
S.No.

Option

Responses

Very Good

21

Good

Fair

10

Poor

Total

40

Inference:
Out of 40 respondent 52%says superior behavior is very good,15%say good
,25%it is fair and remain8% poor behavior of superior

35

Table-14
Worker having received any appreciation at their workplace
S.No
.

Option

Responses

Often

Sometimes

Rarely

Never

17

Total

40

Inference:
According to survey conducted 22% of respondent are having creditors often,20%
respondent having sometime,15% having rarely and the rest of respondents i.e. 43% of
respondents are not having any creditors.
Further it is clear that majority of total respondents i.e. 43% of respondents are not
having creditors at their workplace.

36

Table-15
Feeling boredom with assigning duty

S.No.

Option

Responses

Often

Sometimes

Rarely

Never

25

Total

40

Inference:
The table shows that 10% of the respondents felt boredom at work rarely, 12% felt
sometimes, 15% felt always and 63% felt never, it seems that the majority employees are
interested in the work.

37

Table-16
Worker satisfaction regarding their wages
S.No.

Option

Responses

Well Satisfied

Satisfied

Fair

10

Not Satisfied

19

Total

40

Inference :
Out of 40 respondent 15% of respondent well satisfied with their wages,12%of
respondent are satisfied,25% say it is fair ,and48% of respondent are not satisfied with
their wagesin the company

39

Table-17
Welfare facilities in the company

S.No.

Option

Responses

Well Satisfied

22

Satisfied

Fair

Not Satisfied

Total

40

Inference:
The table shows that nearly 55% are well satisfied about welfare measures in the
factory 20% feel, they are satisfied,22%feel they are fare and 3%feel they are not
adequate

40

Table-18
Safety measure against accident in the company
S.No.

Option

Responses

Excellent

20

Good

Fair

Poor

Total

40

Inference:
The table shows that nearly 50% say excellent about safety measures in the factory
only 17% feel good,23% say that its fair, 10% say they are not adequate.

41

Table-19
Strict action against absenteeism
S.No.

Option

Responses

Often

Sometimes

Rarely

Never

17
40

Total

Inference :
From above table it seems that 22%worker says that there is always
strict against absenteeism.15%says sometime,20%says rarely and remain43%no action
against absenteeism

42

Table-20
Which shift worker find more difficult?
S.No.

Option

Responses

Morning

14

Evening

Night

10

None

16

Total

40

Inference:
As it can be clearly seen from the above table that from the total respondents i.e. 40,
35% of respondents are facing problems in morning shift 25% in night shif,0%in evening
shift and move and rest of respondents 40% are not facing problems in any shift.

Further it clears that majority of total respondents i.e. 40% are not facing problems in
any shifts.

43

Table-21
Absent due to reaching factory late
S.No.

Option

Responses

Rarely

10

Sometimes

Always

Never

22

Total

40

Inference:
As per the table due to reaching factory late 25% of respondents are rarely. 17% are
sometimes absent 3% are always absent and 55% are never absent only due to this reason.

44

Table-22
In which season worker are more absent
S.No.

Option

Responses

Diwali

16

Holi

Chhath pooja

other reason

12

Total

40

Inference :
From above table it seems that 40%worker remain more absent in the time
of diwali ,20% are more absent on the time of holi ,10%on chhath pooja and remain
30%foe other reason (marriage ,etc)

45

Table-23
Worker suggestion to minimize absenteeism in company
S.No.

Option

Responses

More Salary

10

More Leaves

12

Discipline

12

Work Cond.

Total

Inference :

40

Out of 40 respondent 25%respondent suggest more salary to minimize absenteeism ,30%

suggest more leave 30% suggest conduct discipline in the company ,15% of respondent
suggest to improve working condition in the company

46

The rate of Absenteeism of the present year.2011

Jan

4.45%

Feb

3.40%

March -

2.23%

April

2.59%

May

4.33%

%age of absenteeism-2011
5
4

4.45

4.3
3.4

2.23

2.59

%age

1
0
Jan

Feb

Mar

Apr

May

47

Summary of Findings
From the study it has found that there are many factors influencing the workers
absenteeism, some of them are as follows.
1. Absenteeism in shifts is mainly in morning shift i.e. (8:45 am to5:45 pm) that mean
it is high

in morning. This is because workers in the morning shift experience

greater discomfort during their course of work than they do during daytime.
..
2. Some of the workers absent because of ill health, family members health and
unexpected work etc.
3. Some of the workers strongly agree that they have cordial relationship with the
higher authorities. And they are very much satisfied with the safety measures
undertaken by the company.
4. Some of them absent because of Boredom in doing assigned job. .
5. The rate of absenteeism is nearly 5% in National Thermal Power Corporation Ltd.,
Auraiya yarns and thread ltd. The normal rate in Indian Industry varies from 7% to
30%. The abnormal level is 40% in other reason.
6. The rate of absenteeism is high in the age group below 25years worker

48

Some of the training programs are being conducted by the mgt of VYTL regularly in
order to improve the individuality of the workers and to bring up good result in
production. And to prevent absenteeism, such as;
PROGRAME ON HYGHENE FACTORS.
SAFETY AND SAFCTY MEASURES.
POSITIVE
WORK
PRODUCTIVITY.

CULTURE

ANDIMPROVEMENT

OF

QUALITY OF LIFE-QUALITY OF WORK TIME MANAGEMENT.

Through these training programmes many worker have changed their life style and
improved their attendance.
According to the sample selected these are the findings
1.

20% of the respondents are under 20years and 20% are from 20 to 25
years and 20% are between 25 to 35 years and 20% are above 35years.

2.

40% of the respondents belongs to makeup department, 20% of the

respondents belonged to dying department, 20% of them to twisting
department, and 20% to finishing department

3.

62% of the respondents are married and 38% are unmarried.

4.

30% of the respondents are 8th passed, 45% are 10th standard and 25% are
12th slandered

5.

12% of respondents are below 1 years of experience, 20% are b/w 1to 2
years 20% are b/w 2 - 5 years and 20% are b/w 5-10 years,and28%are
more than 10

6.

15%respondent are absent more than two days in a month,22%once in a

month 33%once in a month and 30%never remain absent in a month

7.

17% of the respondents are rarely feel responsible, 14% feel some times
responsible27% are always feel responsible and 42% are never feel
responsible.

8.

62% of the respondents are absent because of the health problem 28% are
because of stress and5% are because of work dissatisfactionand5%due to
work environment

9.

55% of the respondents said that they are well clear about their job
responsibilities20%are clear ,12%are fairly clear and 13% say that tey are
not clear about their job

10.

Acc to52%majority of respondent the working environment in the

company is excellent,15%say it is good,25%say fair 8%working
environment is poor
49

11.

62%responded. says that their relation with superior and coworker is very
good15%good ,10%fair and13%poor

12.

42% of respondents said that they well satisfied with their work ,33% of
the respondents said that they are satisfied,25% said that it is fair 5% said
they are not satisfied

13.

52% of respondent said that superior behavior towards their problem is

very good ,15%their behavior is good,25%said it is fair,8%recomend poor
behavior

14.

22%respondent said that they received appreciation always ,20%

sometime,15%rarelyand 42% never received appreciation

15.

15%of respondent always feel boredom in their routine work,20%feel

sometime,10% feel rarely,63% never feel boredom in their routine work

16.

55%of respondent are well satisfied with well satisfied ,2o% of worker are
satisfied,22%aresaid to fair welfare facilities and 3% of respondent are not
satisfied

17.

According to 50% of respondent safety measure against accident is

excellent,17%respondent say it is good,23%said fair and 10%respond poor

18.

22%of respondent said that there is always strict action against

absenteeism,15%says it is sometime,20%said it is rarely happen ,43%of
respondent said there is no strict action against absenteeism

19.

35% of respondent find their job difficult in morning shift,25% find

difficult night shift,40%said they find no one shift difficult in their job

20.

3%respondent agree that they are always absent because reaching factory
late,25% said rarely absent due to this,15%they absent sometime due to
this and 55%said they are never absent due to reaching late

21.

30%
of
respondent
suggest
more
leave
to
minimize
absenteeism,30%suggest conduct discipline ,25% suggest more salary to
minimize the absenteeism in the company

22.

40% of respondent are absent during diwali,20% of respondent are absent

in the time of holi,10%during chhath pooja ,30% absent due to other
reason (e.g marriage etc)

23.

.15% of respondent are well satisfied with their wages ,12%of respondent
are satisfied,25% of said it is fair, and remain 48% respondent are not
satisfied with their wages

50

SUGGESTIONS/RECOMMENDATIONS/CONCLUSIONS
SUGGESTIONS

The following are some to the suggestions in order to minimize absenteeism in the
company.
1.

Many of the workers agree that they have good relationship with higher
authorities. Some may fear to talk with them, improving the communication
network, particularly the upward communication.

2.

Since the literacy rate very lower only few members are the 12th and,
maximum of them are less literates, so that by counseling the workers about
their career, income & expenditure, habit and culture. The company so what
can reduce the absenteeism rate.

3.

By providing high wages and allowance based on organizational financial

positions.

4.

Selecting the workers by testing them thoroughly regarding their aspirations,

value system, and sense of responsibility.

5.

The management should conduct regular seminars, groups discussions, social

gathering orientations programmers on the problems of absenteeism.

6.

The personnel department (HRD) of the factory must conduct the interviews
of the absenteeism cases and give proper counseling to the workers.

7.

The employees who are attending to 3rd shifts have to be provided more
benefits than the workers. In order to make them enthusiastic to attend the
workers.

Limitation of the study

The study was limited only to National Thermal Power Corporation Ltd., Auraiya
yarn and thread unit only.
As sampling is taken as an element of the study there might always be sampling
errors.
The sample under consideration may not reflect the whole population.
Survey and study has been carried out in a span of only 6 weeks due to time
constraint.

 Since absenteeism is a vast topic to be discussed, the study may not reflect each
and every aspect.

51

CONCLUSION
1. Majority of the employees are absenting due to ailment and health problems.
2. Majority of the employees has said they are paid worth of their work.
3. Majority of the employees has said that there is no strict action against
absenteeism.
4. Most of the workers does not intimate their senior regarding their leaves.
5. Though there are limitations the personal department is taking special care to
frame certain policies and procedures that would reduce absenteeism and increase
the labor turn over.
6. Majority of workers is facing problems in 1st shift the company had to take
necessary steps to reduce the problems.
7. Majority of workers never got appreciation for their punctuality in the
organization. So, The Management must think upon this aspect.

52

Bibliography
BOOKS:

HUMAN RESOURCE MANAGEMENT

By C.B. GUPTA
Published by SULTAN CHAND & SONS, New Delhi.

RESEARCH METHODOLOGY
By C.R. KOTHARI
Published by NEW AGE INTERNATIONAL PUBLICATION

PRESONNEL MANAGEMENT
By C.B. MAMORIA & GANKAR
Published by MALYA PUBLISHING HOUSE

WEBSITE

1. http://www.National
Thermal
Power
Auraiya.com/products_yarns_overview.asp

Corporation

Ltd.,

2. http://www.citehr.com/research.php?q=absentieesm&x=0&y=0

53

ANNEXURE

A STUDY ON WORKER ABSENTEEISM IN NATIONAL THERMAL POWER

CORPORATION LTD., AURAIYA YARNS&THREADS (UNIT 1V)
A UNIT OF NATIONAL THERMAL POWER CORPORATION LTD., AURAIYA
TEXTILE LTD

Personal Detail

(a) Name. . . . . . .

(b)

Age

<20
25-35

20-25
>35

(c) Sex
Male

Female

(d) Marital Status

Married

Unmarried

54

(e) No Of Year of Service

<1

1-2

2-5

>5

(f) Educational Qualification

5th
10th

8 th
12th

You are requested to select any one of the alternative which you feel correct in your
opinion against each statement:-

1) How often you remain absent in a month?

Nil

Once
Twice

>Twice

2) Do you inform you superior about your absence to the duty

Often

Sometimes

Rarely

Never

3) According to you what is the main reason of employees absenteeism?

Health Problems

Stress

Work Environment

Others

4) Which shift do you find more difficult?

Morning
Night

Evening
None

5) What is your opinion about wages related to your work?

Well Satisfied

Satisfied

Fair

Not Satisfied

6) Are you aware about job responsibilities?

Well Clear

Clear

Fairly Clear

Not Clear

7) Are you satisfied with your job?

Well Satisfied

Satisfied

Fair

Not Satisfied

8) Have you received appreciation for your work?

Often

Sometimes

Rarely

Never

9) Your views regarding the working environment of National Thermal Power

Corporation Ltd., Auraiya Yarns and Threads Ltd.?
Excellent
Fair

Good
Poor

10) Do You Feel Boredom in your routine work?

Often

Sometimes

Rarely

Never

56
11) How are your relations with superiors and co-workers?

Excellent

Good

Fair

Poor

12) Your Superior behavior towards your problems?

Excellent

Good

Fair

Poor

13) How are the welfare facilities in the company?

Excellent

Good

Fair

Poor

14) How do you think is the protection against accident in the company?
Excellent

Good

Fair

Poor

15) Is there any strict action against absenteeism?

Often

Sometimes

Rarely

Never

16) How often you remain absent because of reaching factory late?
Always

Rarely

Sometimes

Never

17) In Which time you are more absent?

Diwali

Holi

Chhath Puja

Others

18) Suggest your Suggestion to minimize absenteeism?

Thank you

More Salary

More Leaves

Discipline

Working Conditions