A STUDY AND ANALYSIS ON ABSENTEEISM AMONG

APPRENTICE CATEGORY EMPLOYEES IN RANE (MADRAS)

LTD. THIRUBUVANAI, PUDUCHERRY

Project report submitted to

PRIST UNIVERSITY

In partial fulfillment of the requirements for the Award of the

degree of

MASTER OF BUSINESS ADMINISTRATION

Submitted by

Rakesh.R

(Reg.No:70111860008)

Under the guidance of

Mr.R.Suryanarayanan,M.Sc.,MBA,M.Phil,

Assistant Professor

PRIST SCHOOL OF BUSINESS

PRIST UNIVERSITY

THANJAVUR – 613403

APRIL 2013

DECLARATION

I Rakesh.R hereby declare that the dissertation entitled “A study

and analysis on absenteeism among apprentice category employees

in Rane (Madras) ltd. Thirubuvanai, Puducherry” submitted to the

PRIST University, Thanjavur for the award of the degree of Master of

Business Administration is my original work and has not formed the

basis for the award of any degree or diploma, fellowship,associate ship,

or any other similar title.

Place:

Date:

Signature of the candidate

Rakesh.R

PRIST SCHOOL OF BUSINESS

PRIST UNIVERSITYVALLAM, THANJAVUR – 613403

Date: ……………….

CERTI FI CATE

This is to certify that the project report entitled “A study and

analysis on absenteeism among apprentice category employees in

Rane (madras) ltd. Thirubuvanai, Puducherry,” is the bonafide record

of the work done by Rakesh.R (Reg.No.70111860008) a full time student of

PRIST SCHOOL OF BUSINESS, in partial fulfillment of requirements for the

award of the degree of Master of Business Administration. This project to the

best of my knowledge has not formed the basis for the award of any degree or

any other similar title and that it represents entirely an independent work on

the part of the candidate under my overall supervision.

Signature of the Guide Signature of the Director

Signature of the External Examiner

ACKNOWLEDGEMENTS

I express my gratitude to the Almighty for His blessings showered

upon me, which has helped me to complete this project work successfully.

I owe my sincere thanks to our honorable CHANCELLOR, PRIST

UNIVERSITY for providing an excellent environment and infrastructure for

successfully completing my MBA project work.

I express my deep sense of gratitude to our VICE CHANCELLOR,

PRIST UNIVERSITY for his motivation and successful completion of the

project work.

I express my sincere thanks to our REGISTRAR, PRIST

UNIVERSITY for his motivation and successful completion of the project

work.

With a deep sense of gratitude, I express my sincere thanks to the

DEAN, DIRECTOR, PRIST SCHOOL OF BUSINESS and

Dr. Kailasam Koumaravelou, DIRECTOR, PRIST UNIVERSITY,

PUDUCHERRY CAMPUS for all the encouragement and whole hearted co-

operation extended in completing the project work successfully.

I express my deep sense of gratitude and indebtedness to

Mr. R. Suryanarayanan, M.Sc., MBA, M.Phil, HOD (i/c), PRIST

SCHOOL OF BUSINESS for his kind, invaluable guidance and whole

hearted advice, support and encouragement for the completion of this project

work in time and in a successful manner.

It is my pleasure to record my deep sense of thankfulness to

Mr. N. Selvakumar, HR Head, Rane (Madras) Ltd., who helped me in all

my efforts throughout the journey of my project.

I’m thankful to the respondents who have answered the questions in

spite of their busy schedule. I would like to acknowledge the whole hearted

support of my parents, faculty members and friends who helped me at various

stages in completing this project work successfully.

Rakesh.R

CONTENTS

CHAPTER PARTICULARS PAGE NO.

I Introduction

1.1 Introduction to the study

1.2 Objective of the study

1.3 Need of the study

1.4 Period of the study

1

1

2

2

2

2

II Company Profile 4

III Review of Literature 11

IV Research Methodology 32

V Data Analysis and Interpretation 38

VI Findings, Suggestions and Conclusion 95

Bibliography 98

Annexure 99

LIST OF TABLES

TableNo

TitlePageNo

5.1 Respondents gender classification 385.2 Respondents age classification 405.3 Respondents education details 425.4 Respondents residence and work spot distance 445.5 Respondents transportation mode 465.6 Number of leaves taken in a month by respondents 485.7 Respondents opinion on their work timings 505.8 Respondents taking more leave at shift 525.9 Respondents knowledge on leave procedure 54

5.10 Respondents way of carrying out leave procedure 565.11 Respondents taking leave with prior permission 585.12 Respondents satisfaction on leave allowed by company 605.13 Respondents opinion on their leaves approved if reasons valid 625.14 Respondents relationship with their co-workers 645.15 Respondents relationship with their supervisors 665.16 Respondents opinion on the motivation from their supervisors 685.17 Respondents opinion on their supervisor’s leadership 705.18 Respondents opinion on their workload 725.19 Respondents opinion on their working environment 745.20 Respondents opinion their work stress 765.21 Respondents opinion on grievance redressed by the management 785.22 Respondents satisfaction on their salary 805.23 Respondents having other income sources 825.24 Respondents suggestion to reduce absenteeism 845.25 Respondents rating major reasons for taking leave

Using weighted average method86

5.26 Analysis on certain factors of the organizationUsing mean and standard deviation

88

5.27 Analysis on interrelationship factor among the respondentsUsing Correlation method

91

5.28 Analysis on respondent salary and other income sourcesUsing Chi-Square test

93

LIST OF CHARTS

ChartNo

TitlePageNo

5.1 Respondents gender classification 395.2 Respondents age classification 415.3 Respondents education details 435.4 Respondents residence and work spot distance 455.5 Respondents transportation mode 475.6 Number of leaves taken in a month by respondents 495.7 Respondents opinion on their work timings 515.8 Respondents taking more leave at shift 535.9 Respondents knowledge on leave procedure 55

5.10 Respondents way of carrying out leave procedure 575.11 Respondents taking leave with prior permission 595.12 Respondents satisfaction on leave allowed by company 615.13 Respondents opinion on their leaves approved if reasons valid 635.14 Respondents relationship with their co-workers 655.15 Respondents relationship with their supervisors 675.16 Respondents opinion on the motivation from their supervisors 695.17 Respondents opinion on their supervisor’s leadership 715.18 Respondents opinion on their workload 735.19 Respondents opinion on their working environment 755.20 Respondents opinion their work stress 775.21 Respondents opinion on grievance redressed by the management 795.22 Respondents satisfaction on their salary 815.23 Respondents having other income sources 835.24 Respondents suggestion to reduce absenteeism 85

CHAPTERISATION

Chapter I Deals with the introduction, objective, scope,

period and limitations of the study

Chapter II Consists the company profile

Chapter III Contains the review of literature and other

theoretical descriptions about the study

Chapter IV Shows the research methodology applied in this

study with the sampling techniques used

Chapter V Contains the complete analysis and interpretation

done in the study

Chapter VI Presents the findings of the study , suggestions

and conclusion

CHAPTER I

INTRODUCTION

1.1 INTRODUCTION TO THE STUDY

The present industrial environment has been found fond with lots of

human resource problems that cause greatest of delays in the day to day

progress of an organization. This study is carried out in order to find the

reasons behind the major issue that prevails more among the Indian workers,

absenteeism a huge constraint being noted by the department of human

resources.

Absenteeism on a whole could be noted as a small problem due to the

attitude of the employees or the problem arose due to the negligence of the

employer. But it is highly required for an organization and its human resources

department to have clear and complete knowledge on how and where the

problem arises and what are the ways of finding a solution for those.

Absenteeism occurring at various levels of employment has its own

impact on both the production and the growth point of view for both the

employer and the employee. An in-depth analysis on the reasons or causes of

absenteeism is needed to be taken here at this stage to get a structured plan to

resolve it.

This study is carried out in such a way to find the causes of

absenteeism that has been found majority at apprentice category employees of

Rane (Madras) Ltd., Thirubuvanai, Puducherry, where the recent reports on

the attendance indicated increased level of absenteeism among them.

The department of Human resources is finding ways to study the

causes of absenteeism among those of particularly apprentice category who

are found to the needed source and majority at the production department.

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The study is done with the motto of screening the reasons for

absenteeism among the employees belonging to apprentice category and also

being carried out as a tool to find the job satisfaction among the same.

1.2 OBJECTIVE OF THE STUDY

To study the level of absenteeism in the company

1.2.1 PRIMARY OBJECTIVE

i. To analyse the absenteeism of apprentices at Rane (Madras) Ltd.

1.2.2SECONDARY OBJECTIVE

i. To analyse various factors that causes absenteeism for company review

point

ii. To identify the interrelationship factors among the employees

iii. To study the impact of social factors on absenteeism

iv. To identify measures to control absenteeism

v. To understand the satisfaction level of the employees on the facilities

provided

1.3 NEED FOR THE STUDY

i. This study is needed for the HR department of the company to review

into the absenteeism issue.

ii. This study is needed to read the minds of the apprentice employees and

helps the organization to know the view point about their employers

iii. This study is needed for the employers to understand the causes of

absenteeism and to plan accordingly to eradicate those

1.4 PERIOD OF THE STUDY

2 months

15 February 2013 to 15 April 2013

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1.5 LIMITATIONS OF THE STUDY

i. This study is carried out with only convenient samples as the company

policy doesn’t allow accessing all the employees

ii. This study is carried out only for a short period of 2 months.

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CHAPTER II

COMPANY PROFILE

2.1 Rane (Madras) Ltd. - COMPANY PROFILE

Rane (Madras) Limited, Puducherry is one of the Rane Group of

companies, RML, Puducherry was started in 1996 in technical collaboration

with M/s TRW, UK. The factory has a total land area of 73008 Sq. meters and

builds up area of 4025 Sq. meters. The plant started with supply manual Rack

& Pinion to Maruti Suzuki small 10% share of business. Since then it has then

grown significantly. The plant currently manufactures manual Rack & Pinion

Steering gear, steering suspension and linkage products for passenger car

application.

Major Customers include Maruti Suzuki, Tata Motors, Fiat and

Ford, Ashok Leyland, Eicher, Hero Honda, Renault, Toyota, Mahindra,

Yamaha, Swaraj Mazda, Hyundai, Fiat, and Honda. The major overseas

customers are CNH UK, DEUTZ Germany, Electro motive USA, HATZ

Germany, YAMAHA Asia, and TRW Europe & USA.

Major Suppliers are Hi Tech Engineering Puducherry, STM

Engineering Puducherry, LG forging Chennai, Electroplate Chennai. The plant

also supplies Inner Ball joints and Outer Ball joints for Power Rack& Pinion

application to Rane TRW Steering Systems. Rane enjoys 100% share of this

business in Ford, GM, TATA Motors and 40% share of Hyundai.

The plant enter into exports in 2003 by supplying steering gear for M/s SAIPA

– a joint venture between Kia Motors, Korea and the Iranian Government . the

Exports Destination are USA, Mexico, Germany, UK, Italy, Bulgaria, Jordon,

Kenya, Taiwan, Iran, Bangladesh, Srilanka, Singapore, Indonesia, Australia,

Japan. In 2005, the plant started supplying to M/s John Deere US, for their

farm utility vehicle.

The company had been facing space constraints in view of its growing

as exports. The company decided to set up a new Rs. 24- crore facility to

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manufacture an additional 5.65- million pieces, with adequate room for further

expansion up to 10 million pieces annually. The company plan to increase the

export contribution from the present 18 percent to 25 percent. It will also

expand its product range by including hydrostatic steering gear for farm

tractors rack & pinion steering gear for electro power steering. Some more

Rane group Units are expanding their operation.

Rane NSK Steering System limited, which manufactures energy absorbing

steering columns, is setting up a production facility at Uttaranchal. Similarly

Rane Brake Linings Limited and Rane Engine Values Limited are also

contemplating building a new plant in Chennai.

2.2 MISSION & VALUES

Provide superior products and services to our customers and maintain

market leadership.

Evolve as an institution that serves the best interests of all stakeholders

Pursue excellence through total quality management

Ensure the highest standards of ethics and integrity in all our actions

2.3 VISION

To position RML as a global ball joint supplier through customer focus

To retain leadership in a domestic steering gear market and penetrate

closed export market

2.4 RECENT INNOVATION IN RML

Anticipating way ahead, the inevitable market force, Rane took

initiatives to make investment in a full-fledged integrated power Steering

facility in collaboration with TRW Inc. USA the leader in the field. This

strategic vision is evidenced by strong market presence today with OEMs.

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2.5 RANE COMPANY AND PRODUCT RANGE

Rane group comprises of a holding company & 7 manufacturing

companies serving different segments.

Rane Holdings Limited

(Holding Company).

Rane (Madras) Limited

(Manual Steering & Suspension Systems).

Rane Engine Valves Limited

(Engine Valves, Valve Guides, Tappets).

Rane Brake Linings Limited

(Brake Linings, Disc Pads, Clutch Facings and Composite Brake Blocks).

Rane TRW Steering Systems Limited

(Power Steering Systems, Seat Belt Systems).

Rane NSK Steering Systems Limited

(Energy Absorbing Steering Columns).

Kar Mobiles Limited

(Large Engine Valves for Automotive & Defense

Applications).

Rane Die cast Limited

(High Pressure Die Casting Products)

2.6 TECHNOLOGY

Rane group brings to its clientele, the best of technology & Expertise

through strategic technical partnership with leaders from around the world

World Class Technology

i. TRW Automotive US LLC,

Power steering system, Ball Joint

Seat belt system, engine values.

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ii. NSK Japan,

Energy absorbing steering columns and

Manual RCB SG.

2.7 FACILITIES

Rane group partners with a wide spectrum of auto majors to provide

concept to product solution is made possible by manufacturing and testing

facilities at each group of companies.

1. MODERN MANUFACTURING FACILITIES

Facilities consistently upgraded to meet technological advancements

Integrated production lines for all group companies on par with world

standards.

Ball joint line, Engine value line

2. PRODUCT DEVELOPMENT FACILITIES

Significant portion of the group’s turnover invested in Research and

Product development.

Simulation techniques and exhaustive testing mechanisms

implemented regarded as the industry standards.. .

CAD CAM SOFTWARE – CATIA, IDEAS, ADAMS.

2.8 QUALITY

All divisions of the group are in tune with international quality

assurance norms. The Quality Management Systems are further endorsed by

the conferment of the Deming prize to three of the group companies.

2.9 ACHIEVEMENTS

Deming prize

TQM is the foundation. Conferment of Deming prize for three companies is an

important milestone. At Rane group pursuing excellence is a continuous

journey.

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Customer Recognitions

Some recognition from customers

R a n e E n g i n e V a l v e s L t d

(Deutz, Germany - Supplier Award - 2003).

Rane Engine Valves Ltd

(Maruti Udyog Outstanding Overall Excellence 2003-04).

Rane TRW Steering Systems Ltd (Steering Gear Division)

( Hyundai Motor India for Best Co- operation 2004) .

Rane NSK Steering Systems Ltd

(Toyota Kirloskar Motor Award for Best Improved Supplier 2005).

Rane Engine Valves Ltd

( Tata Cummins Limited, Best Supplier Award for 2005-06).

2.10 HR VISION & INITIATIVES

2.10.1 HRD Vision

“To stimulate and nurture the intrinsic desire in people to learn, grow

and enhance performance to achieve business success and growth”.

2.10.2 HRD Goals

Recruit and retain high caliber employees.

Encourage and recognize outstanding merit and contribution.

Create opportunities for professional growth and satisfaction.

Develop leadership capabilities at all levels.

Foster employee involvement and develop a work ethos that builds

dignity and pride.

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2.11 HRD Organization

HRD at Rane operates at two levels:

At Group Level - Formulates policies, and designs major people

development initiatives to enhance professional capability of

employees at group level.

At Business Unit Level - Companies implement group policies and

develop Unit specific interventions

.

2.12 Strategies and Initiatives at the Group level:

Specific strategies and initiatives are designed to enable actualization of HRD

Goals.

Recruitment and Retention

High caliber employees are recruited through well-structured process

including campus recruitments of Diploma and Graduate Engineers and

lateral recruitment of experienced employees..

Recognition and Reward

Outstanding performance is recognized and rewarded through

comprehensive performance assessment development systems aligned to

TQM principles and practices.

Opportunities for Professional Growth

a. Internal candidates first considered for job vacancies, thereby,

providing employees opportunity for lateral & upward growth.

b. Professional Knowledge and skills enhanced through

continuous education at Rane Institute for Employee

Development (RIED) and other reputed academic institutions

Specific strategies and initiatives are developed and implemented in each

business unit so as to achieve HRD goals.

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2.13 CONCLUSION

To develop a work ethos that will build dignity and pride in our

people and enable them experience a sense of belonging to the organization.

2.14 SOCIAL RESPONSIBILITIES

Active environment concern

a. Thirteen plants accredited to ISO 14001 certification.

b. The plant set standards higher than mandated by law to

continuously reduce industrial waste and pollutants.

Corporate Social Responsibility

a. Rane Group contributes to societal causes through a trust.

b. All plants involved in development activities in their

neighborhood, mainly in the areas of education and health.

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CHAPTER III REVIEW OF

LITERATURE

3.1 ABSENTEEISM – DEFINITION

Absenteeism has been variously defined by different authorities.

According to Webster’s dictionary, “Absenteeism is a practice or habit of being

an absentee and an absentee is one who habitually stays away”. Absenteeism is a

habitual pattern of absence from a duty or obligation.

According to Labour Bureau, Simla, “Absenteeism is the total man shifts

lost because of absences as a percentage of the total number of man shifts

scheduled to work”.

Absenteeism is the term generally used to refer to unscheduled employee

absences from the workplace. Many causes of absenteeism are legitimate—

personal illness or family issues, for example—but absenteeism also can often be

traced to other factors such as a poor work environment or workers who are not

committed to their jobs. If such absences become excessive, they can have a

seriously adverse impact on a business's operations and, ultimately, its

profitability.

3.2 ABSENTEEISM AND ITS TYPES

High absenteeism in the workplace may be indicative of poor morale, but

absences can also be caused by workplace hazards or sick building syndrome.

Many employers use statistics such as the Bradford factor that do not distinguish

between genuine illness and absence for inappropriate reasons.

As a result, many employees feel obliged to come to work while ill, and

transmit communicable diseases to their co-workers. This leads to even greater

11

absenteeism and reduced productivity among other workers who try to work

while ill. Work forces often excuse absenteeism caused by medical reasons if the

worker supplies a doctor's note or other form of documentation. Sometimes,

people choose not to show up for work and do not call in advance, which

businesses may find to be unprofessional and inconsiderate. This is called a "no

call, no show". According to Nelson & Quick (2008) people who are dissatisfied

with their jobs are absent more frequently. They went on to say that the type of

dissatisfaction that most often leads employees to miss work is dissatisfaction

with the work itself.

The psychological model that discusses this is the "withdrawal model",

which assumes that absenteeism represents individual withdrawal from

dissatisfying working conditions. This finds empirical support in a negative

association between absence and job satisfaction, especially satisfaction with the

work itself

Medical-based understanding of absenteeism find support in research that

links absenteeism with smoking, problem drinking, low back pain, and migraines.

Absence ascribed to medical causes is often still, at least in part, voluntary.

Research shows that over one trillion dollars is lost annually due to productivity

shortages as a result of medical-related absenteeism, and that increased focus on

preventative wellness could reduce these costs. The line between psychological

and medical causation is blurry, given that there are positive links between both

work stress and depression and absenteeism. Depressive tendencies may lie

behind some of the absence ascribed to poor physical health, as with adoption of a

"culturally approved sick role". This places the adjective "sickness" before the

word "absence", and carries a burden of more proof than is usually offered.

Evidence indicates that absence is generally viewed as "mildly deviant

workplace behavior". For example, people tend to hold negative stereotypes of

absentees, under report their own absenteeism, and believe their own attendance

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record is better than that of their peers. Negative attributions about absence then

bring about three outcomes: the behavior is open to social control, sensitive to

social context, and is a potential source of workplace conflict.

These are further grouped into two types of absenteeism, each of which

requires a different type of approach.

Innocent Absenteeism

Innocent absenteeism refers to employees who are absent for

reasons beyond their control; like sickness and injury. Innocent absenteeism is not

culpable which means that it is blameless. In a labour relations context this means

that it cannot be remedied or treated by disciplinary measures.

Culpable Absenteeism

Culpable absenteeism refers to employees who are absent without

authorization for reasons which are within their control. For instance, an

employee who is on sick leave even though he/she is not sick, and it can be

proven that the employee was not sick, is guilty of culpable absenteeism. To be

culpable is to be blameworthy. In a labour relations context this means that

progressive discipline can be applied.

For the large majority of employees, absenteeism is legitimate,

innocent absenteeism which occurs infrequently. Procedures for disciplinary

action apply only to culpable absenteeism. Many organizations take the view that

through the process of individual absentee counseling and treatment, the majority

of employees will overcome their problems and return to an acceptable level of

regular attendance.

3.3 COSTS OF ABSENTEEISM

Indeed, absenteeism can take a financial toll on a small business (or a

multinational company, for that matter) in several different respects. The most

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obvious cost is in the area of sick leave benefits—provided that the business

offers such benefits—but there are significant hidden costs as well.

The SOHO Guidebook cites the following as notable hidden cost factors

associated with absenteeism:

Lost productivity of the absent employee

Overtime for other employees to fill in

Decreased overall productivity of those employees

Any temporary help costs incurred

Possible loss of business or dissatisfied customers

Problems with employee morale

Indeed, excessive absenteeism, if left unchecked, can wear on a company

in numerous ways. "[Absenteeism] forces managers to deal with problems of

morale, discipline, job dissatisfaction, job stress, team spirit, productivity,

turnover, production quality, additional administration, and overhead.

3.4 FEATURES OF ABSENTEEISM

The rate of Absenteeism is the lowest on the paydays; it increases

considerably on the days following the payment of wages and bonus.

Absenteeism is generally high among workers below 15 years of age and

those above 40.

The rate of absenteeism varies from department to department within a

unit.

The percentage of absenteeism is generally higher in the night shifts than

in day shifts.

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The percentage of absenteeism is much higher in coal and mica mining

industries than in organized industries.

3.5 REASONS FOR ABSENTEEISM

According to one line of thought, Absenteeism is due to a lack of

“commitment” on the part of work force. Clark Kerr and associates are of the

opinion that since “degree of commitment varies with the degree of countries

industrial growth, Absenteeism is inversely related to industrial development”.

Absenteeism is related to new values and norms that are developing

among the work force as the result of technological developments. The attitude

and the practice of the management also contribute to Absenteeism.

The general causes of Absenteeism are

Maladjustments with factory condition

Social and religious ceremonies

Unsatisfactory housing condition

Industrial fatigue

Unhealthy working condition

Absence of adequate welfare facilities

Alcoholism

Inadequate leave facilities.

3.6 IDENTIFYING EXCESSIVE ABSENTEEISM

Attendance records should be reviewed regularly to be sure that an

employee's sick-leave days are excessive compared to other employees. If a

supervisor suspects that an employee is excessively absent, this can be confirmed

through reviewing the attendance records.

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If all indications show that an employee is excessively absent, the next

step is to gather as much information as possible in order to get a clearer picture

of the situation. The employees' files should be reviewed and the employee’s

immediate supervisor should document all available information on the particular

employee's history.

3.7 MEASURES TO REDUCE ABSENTEEISM

Individual communication

After all available information has been gathered, the administrator or

supervisor should individually meet with each employee whom has been

identified as having higher than average or questionable (or pattern) absences.

This first meeting should be used to bring concerns regarding attendance to the

employee's attention. It is also an opportunity to discuss with the employee, in

some depth, the causes of his or her attendance problem and possible steps he or

she can take to remedy or control the absences. Listen carefully to the employee's

responses.

Proof of illness

Sometimes it is helpful in counseling employees with excessive innocent

or culpable absenteeism to inquire or verify the nature and reasons of their

absence.

The extent to which an employer may inquire into the nature of and reasons for an

employee's absence from the workplace is a delicate issue. The concepts of an

employee's privacy and an employer's need for information affecting the

workplace often come into conflict. Seldom is the conflict more difficult to

resolve than where personal medical information is involved.

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Unions will often strongly object to any efforts by management to inquire more

deeply into the nature of an employee's illness. You will need to consider the

restraints of any language in collective agreements in relation to this issue.

3.7.1 Counseling innocent absenteeism

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

1. Initial counseling(s)

2. Written counseling(s)

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

4. Discharge

Initial Counseling:

If the absences are intermittent, meet with the employee each time he/she

returns to work. If absence is prolonged, keep in touch with the employee

regularly and stay updated on the status of his/her condition. (Indicate your

willingness to assist.)

You may require the employee to provide you with regular medical

assessments. This will enable you to judge whether or not there is any likelihood

of the employee providing regular attendance in future. Regular medical

assessments will also give you an idea of what steps the employee is taking to

seek medical or other assistance. Formal meetings in which verbal warnings are

given should be given as appropriate and documented. If no improvement occurs

written warning may be necessary.

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Written Counseling

If the absences persist, you should meet with the employee formally and

provide him/her with a letter of concern. If the absenteeism still continues to

persist then the employee should be given a second letter of concern during

another formal meeting. This letter would be stronger worded in that it would

warn the employee that unless attendance improves, termination may be

necessary.

Reduction(s) of hours and or job reclassification

In between the first and second letters the employee may be given the

option to reduce his/her hours to better fit his/her personal circumstances. This

option must be voluntarily accepted by the employee and cannot be offered as an

ultimatum, as a reduction in hours is a reduction in pay and therefore can be

looked upon as discipline.

Discharge

Only when all the previously noted needs and conditions have been met and

everything has been done to accommodate the employee can termination be

considered. An Arbitrator would consider the following in ruling on an innocent

absenteeism dismissal case.

1. Has the employee done everything possible to regain their health and

return to work?

2. Has the employer provided every assistance possible? (i.e. counselling,

support, time off.)

3. Has the employer informed the employee of the unworkable situation

resulting from their sickness?

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4. Has the employer attempted to accommodate the employee by offering a

more suitable position (if available) or a reduction of hours?

5. Has enough time elapsed to allow for every possible chance of recovery?

Corrective Action for Culpable Absenteeism

As already indicated, culpable absenteeism consists of absences where it

can be demonstrated that the employee is not actually ill and is able to improve

his/her attendance.

Presuming you have communicated attendance expectations generally,

have identified the employee as a problem, have met with him/her as part of your

attendance program, made your concerns on his specific absenteeism known and

have offered counselling as appropriate, with no improvement despite your

positive efforts, disciplinary procedures may be appropriate.

The procedures for corrective/progressive discipline for culpable absenteeism

are generally the same as for other progressive discipline problems. The discipline

should not be prejudicial in any way.

The general procedure is as follows: [Utilizing counseling memorandum]

1. Initial Warning(s)

2. Written Warning(s)

3. Suspension(s)

4. Dismissal

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Verbal Warning

Formally meet with the employee and explain that income protection is to be

used only when an employee is legitimately ill. Advise the employee that his/her

attendance record must improve and be maintained at an improved level or further

disciplinary action will result. Offer any counseling or guidance as is appropriate.

Give further verbal warnings as required. Review the employee's income

protection records at regular intervals. Where a marked improvement has been

shown, commend the employee. Where there is no improvement a written

warning should be issued.

Written Warning

Interview the employee again. Show him/her the statistics and point out that

there has been no noticeable (or sufficient) improvement. Listen to the employee

to see if there is a valid reason and offer any assistance you can. If no satisfactory

explanation is given, advise the employee that he/she will be given a written

warning. Be specific in your discussion with him/her and in the counseling

memorandum as to the type of action to be taken and when it will be taken if the

record does not improve. As soon as possible after this meeting provide the

employee personally with the written warning and place a copy of his/her file.

The written warning should identify any noticeable pattern

Suspension (only after consultation with the appropriate superiors) If the problem

of culpable absenteeism persists, following the next interview period and

immediately following an absence, the employee should be interviewed and

advised that he/she is to be suspended.

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The length of the suspension will depend again on the severity of the

problem, the credibility of the employee's explanation, the employee's general

work performance and length of service. Subsequent suspensions are optional

depending on the above condition.

Dismissal (only after consultation with the appropriate superiors)

Dismissals should only be considered when all of the above conditions

and procedures have been met. The employee, upon displaying no satisfactory

improvement, would be dismissed on the grounds of his/her unwillingness to

correct his/her absence

3.8 OTHER MEASURES FOR CONTROLLING ABSENTEEISM

The general measures to reduce the rate of Absenteeism are

Adoption of a well-defined recruitment procedure

Provision of healthful and hygienic working condition

Provision of reasonable wages and allowances and job security for

workers

Motivation of workers: Welfare and Social measures

Improved communication and prompt redressal of grievances

Liberal grant or leave

Safety and accident prevention

Cordial relations between supervisors and workers

Development of workers education

21

3.9 EFFECTS OF ABSENTEEISM ON INDUSTRY

Absenteeism

↓

Affects production targets

↓

Increases the work load of inexperienced & less experienced

↓

Leads to rejection of finished products

↓

Increases the cost of production

↓

Lowers the Profit margin

↓

Affects Industrial growth

22

3.10 EFFECTS OF ABSENTEEISM ON WORKERS

Absenteeism

↓

Reduces his earnings

↓

Adds his indebtedness

↓

Decreases the Purchasing power

↓

Leads to family problems

↓

Increases mental stress

↓

Leads to inefficiency in his job

↓

Loss of employment

23

3.11 REVIEW SOURCED FROM OTHER JOURNALS AND PAPERS

How to Deal with Employee Absenteeism

By Gary Vikesland, MA LP CEAP

Supervisors/Managers:

Recently, I was asked by a manager how he should deal with the fact that on

any given day 10% of his employees are absent from work. I informed the

manager that the problem of employee absenteeism is a problem best resolved by

taking the following four positive interventions versus taking a negative or

punitive approach.

Change Management Style:

We are all aware of the fact that when employees call in ill, it does not mean

they are truly too physically ill to work. One reason, outside of illness, that

employees are absent is stress, and the number one reason employees are stressed

has to do with their relationship with their manager/supervisor.

Management styles that are too authoritarian tend to promote high levels of

absenteeism among employees. Authoritarian managers are managers who have

poor listening skills, set unreachable goals, have poor communication skills, and

are inflexible. In other words, they yell too much, blame others for problems, and

make others feel that it must be their way or the "highway." Authoritarian

managers tend to produce high absenteeism rates. By identifying managers who

use an authoritarian style, and providing them with management training, you will

be taking a positive step not only toward reducing absenteeism, but also reducing

turnover, job as backaches and headaches.

24

Change Working Conditions:

The employees in your company probably work in a well-lighted climate

controlled building. The working conditions I am referring to relate to coworker

relationships. Not only does relationship stress occur between the employee and

manager, but it also exists between employees. Frequently I hear employees say

they did not go to work because they are fearful of or angry with another

employee. These employees usually report they just could not deal with "so and

so" today, so they called in ill. Those companies that adopted policies and values

promoting employee respect and professionalism, and promote an internal conflict

resolution procedure, are companies that reduce employee stress. A reduction in

employee stress reduces employee absenteeism.

Provide Incentives:

Giving employees incentives for reduced absenteeism is not the same as

rewarding or giving employees bonuses for reduced absenteeism. An incentive

provides an employee with a boost to their motivation to avoid unnecessary

absenteeism. It simply helps the employee decide to go to work versus staying

home and watching Jerry Springer.

The types of incentive programs used by companies are numerous. Some

companies allow employees to cash-in unused sick days at the end of every

quarter, others give an employee two hours of bonus pay for every month of

perfect attendance; and still others provide employees with a buffet lunch, a

certificate of achievement, or even a scratch-off card concealing prizes. The type

of incentive program that your company uses should be one created especially for

your company. You can create an incentive program tailored to your unique

company by allowing employees to help you develop the incentive program. For

example, your employees may not care about receiving a $25.00 U.S. saving bond

25

for perfect attendance, but they might respond on Friday if they have perfect

attendance all week.

The duration of the incentive program is also very important. Once again

allow your employees to help guide you to determine the length of time between

incentives. Some companies find that they can simply reward employees with

perfect attendance once a year, while others decide once a month is best, and still

others decide once a week works best. The general rule of thumb is to reward

workers more frequently the younger they are and the more difficult the work is to

perform. Also, it is best to start with small incentives and work up to larger ones if

necessary.

Develop an Attendance Policy:

Every company should have an attendance policy. An attendance policy

allows a manager to intervene with an employee who is frequently absent.

Besides stress as a primary reason for employee absenteeism, other causes relate

to alcoholism, domestic violence, and family problems. If you confront an

employee about his or her frequent absenteeism, and they inform you it is due to

personal problems, consider referring the employee to an Employee Assistance

Program.

If the employee's absenteeism relates to a medical problem or a family

member with a medical problem, you may have to consider allowing the

employee to use the benefits allowed to them under the American's with

Disability Act (ADA) or the Family and Medical Leave Act (FMLA). Early

identification of these employees will get them back to work as fast as possible.

Lastly, make sure that you have an attorney review your attendance policy to

make sure it does not violate any State or Federal labor laws. By taking these four

strategies your company can reduce absenteeism also employee burnout, turnover.

26

Effect of absenteeism of an absenteeism feedback intervention on employee

absence behavior.

By Alice P Gaudine, Alan M. Saks

School of Nursing Memorial University of Newfoundland, Canada

Abstract

The purpose of this study was to test the effects of an Absenteeism Feedback

Intervention (AFI) on employee absenteeism. Three hundred and seventy-one

employees working in 14 experimental and 13 control groups in a medium sized

hospital participated in the study. Employees working in the experimental groups

received absenteeism feedback at three time periods that provided them with

information about their own number of absent days and episodes (sequential days

counted as a single absence episode) as well as the average of their work and

occupational group. Comparisons of absent days and episodes between the AFI

and control groups indicate some support for the effectiveness of the intervention.

In particular, there was a reduction in absent days and episodes for employees

with higher than average absenteeism during the previous year but who were not

extreme offenders. The research and practical implications of the AFI for

reducing employee absenteeism are discussed.

Employee absenteeism as an affective event

Joseph J Martocchio and Diana I Jimeno

Institute of labor and industrial relations, University of Illinois at Urbana

Champaign, Champaign, USA

27

Abstract

We consider theoretical and empirical developments in personality, affect,

and absenteeism research. Specifically, we investigate the relationship between

these three constructs and propose a theoretical perspective about the importance

of affect in mediating the effect that personality has on absenteeism. One of our

main goals is to look at both positive and negative consequences of absenteeism.

We propose a model of the personality types that have a higher likelihood of

using absenteeism to their benefit (i.e., to “recharge” and change negative affect)

and therefore have the absence be functional (i.e., positive affect and higher

productivity upon returning to the job) rather than dysfunctional (i.e., negative

affect and person is still unproductive or has less productivity than before the

absence event). We conclude by emphasizing the theoretical contributions that

this model makes and by suggesting ways in which the model could be tested.

Family responsibilities and absenteeism: employees caring for parents versus

employees caring for children.

by Linda Boise , Margaret B. Neal

Over the past decade, there has been increasing interest in the impact of

employees' family responsibilities on absenteeism. Having children has been

found in a long tradition of research to increase employee absenteeism (e.g.,

Allen, 1980; Emlen and Koren, 1984; Klein, 1986). More recently, attention has

been focused on the impact of elder or adult care responsibilities on absenteeism.

Employees with these types of informal caregiving duties have also been found to

have greater absenteeism than employees without such responsibilities (see, for

example, reviews by Barr et al. (1992), Neal et al. (1993), and Wagner et al.

28

(1989)). Whether caregiving for elders has a greater or lesser impact on employee

absenteeism than caring for children is an important human resource management

issue for the coming decade as an increasing proportion of employees move into

middle age, the prime parent caregiving years.

In this article, we compare the absenteeism rates and characteristics of employees

caring for parents and those caring for young or disabled children and investigate

the factors associated with absenteeism for the two caregiver groups. While there

are other forms of caregiving which affect employees (e.g., for disabled younger

adults or for nonparent elders), in this article we focus on the two most prevalent

forms of familial caregiving, as these affect the greatest number of employees,

and they represent two fundamental intergenerational relationships for which

society ascribes an obligation to provide care in times of need.

The next section overviews prior research in this area, including our conceptual

framework. We then describe our research questions and hypotheses,

methodology, and results. Finally, we present our conclusions and their

managerial implications.

Absenteeism and voluntary turnover in Central Florida hotels: a pilot study

AbrahamPizam, and Steven W. Thornburg

Department of Hospitality Management, University of Central Florida,

USA

Abstract

A pilot study conducted among 62 hotel human resources managers (HRM)

in Central Florida was undertaken for the purpose of investigating the magnitude

and underlying causes of absenteeism and voluntary turnover. The results

indicated that a large proportion of the HRMs would not, or could not compute

the magnitude of their absenteeism and voluntary turnover rates in their

29

properties. In the opinions of these HRMs, the factors that affect employee

absenteeism were mostly work-related rather than demographic. On the other

hand the factors that affect employee voluntary turnover according to the survey's

respondents were a combination of work-related and personal characteristics.

Handling Employee Absenteeism

How should I handle an employee who abuses sick time and spends excessive

time away from the office? This is a new nonexempt employee who has used

all her paid time off.

Counsel this person immediately regarding the excessive use of sick time,

and remind her that she was hired to perform a full-time job that requires regular

attendance.

At the first sign of an attendance

problem, you should explain how absenteeism can have a negative impact on the

quality of the employee's work, the morale of coworkers, and the economic

success and continued life of your company. If absenteeism continues, document

in a warning letter the dates and times of the absences and the dates you've

previously counseled this person. Inform the employee that continued abuse

might lead to further disciplinary action, up to and including termination. Set

specific consequences for future violations.

You need to let the employee know in advance when they've utilized all paid

sick time to date, and that they'll be docked for any sick time taken in the future.

If the employee has any paid vacation time left, it's permissible to use that for

medical appointments scheduled in advance.

30

Be aware when you sit down to counsel this troublesome employee that you

might learn they have a disability protecting them under the Americans with

Disabilities Act (ADA). If your company employs 15 or more people and your

employee is protected under the ADA, you might need to explore reasonable

accommodations. Refer to the ADA guidelines on the D e p a rtme n t of L a b or W e b

si t e to learn what questions you may ask, and how to go about discussing

reasonable accommodations.

31

CHAPTER – IV RESEARCH

METHODOLOGY

4.1 RESEARCH DESIGN

“A research design is the arrangement of conditions for collection and

analysis data in a manner that aims to combine relevance to the researcher

purpose with economy in procedure”.

It constitutes the blueprint for the collection, measurement and analysis

of data. As such the design includes an outline of what the researcher will do

form writing the hypothesis and its operational implication to the final analysis

of data.

More explicitly, the design decisions happen to be in respect of;

What is the study about?

Why is the study being made?

Where will the study be carried out?

What type of data is required?

Where can the data are found?

What periods of time will the study include?

What will be the sample design?

How will the data be analyzed?

In what style will the report be prepared?

What techniques of data collection will be used?

The Research Design undertaken for the study is Descriptive one.

A study, which wants to portray the characteristics of a group or individuals or

situation, is known as Descriptive study. It is mostly qualitative in nature.

32

4.2 TYPES OF DATA COLLECTED

4.2.1 Primary Data

Questionnaires are prepared and personal interview was conducted.

Most of the questions are consist of multiple choices. The structured interview

method was undertaken. The interview was conducted in English as well as in

Tamil. Proper care was taken to frame the interview schedule in such a manner

it should be easily understood in view of educational level of the employees.

Generally 25 questions are prepared and asked to the employees of the Rane

(Madras) Ltd. Thirubuvanai, Puducherry.

4.2.2 Secondary Data

Secondary data was collected from Internets, various books,

Journals, and Company Records.

4.3 QUESTIONNAIRE CONSTRUCTION

Questionnaires were constructed based on the following types

Open ended questions

Close ended questions

Multiple choice questions

4.4 DEFINING THE POPULATIONS

The Population or Universe can be Finite or infinite. The population is

said to be finite if it consist of a fixed number of elements so that it is possible

to enumerate it in its totality. So this project consist of finite population.

Nearly 630 workers are working in this facility.

33

4.5 SAMPLING PLAN

A sampling plan is a definite design for obtaining a sample from the

sampling frame. It refers to the technique or the procedure the researcher

would adopt in selecting some sampling units from which inferences about the

population is drawn. Sampling design is determined before any data are

collected.

Convenient Sampling technique was adopted. In this method the

researcher select those units of the population in the sample, which appear

convenient to him or the management of the organization where he is

conducting research.

4.6 SAMPLE SIZE

Nearly 50 samples are taken in Rane (Madras) Ltd. Thirubuvanai, Puducherry.

4.7 FIELD WORK

The field work is done at Rane (Madras) Ltd. Thirubuvanai,

Puducherry.

4.8 PERIOD OF SURVEY

The period is from February 2013 to April 2013.

4.9 DESCRIPTION OF STATISTICAL TOOLS USED

Percentage method

Chi-square test

Correlation

Weighted average method

Mean and standard deviation

34

4.10 PERCENTAGE METHOD

In this project Percentage method test was used. The percentage

method is used to know the accurate percentages of the data we took, it is easy

to graph out through the percentages. The following are the formula

No of RespondentPercentage of Respondent = x 100

Total no. of Respondents

From the above formula, we can get percentages of the data given by the

respondents.

4.11CHI-SQUARE ANALYSIS

In this project chi-square test was used. This is an analysis of technique

which analyzed the stated data in the project. It analysis the assumed data and

calculated in the study. The Chi-square test is an important test amongst the

several tests of significant developed by statistical. Chi-square, symbolically

written as x2 (Pronounce as Ki-Spare), is a statistical measure used in the

context of sampling analysis for comparing a variance to a theoretical

variance.

Formula

2 =(O-E) 2

E

O = Observed frequency

E = Expected frequency

35

4.12 CORRELATION

Correlation analysis deals with the association between two or

more variables. It does not tell anything about cause and effect

relationship. Correlation is classified in two types as

Positive and

Negative correlation.

It is defined by the symbol „r‟

FORMULA r = = 1/N Σ XY- X` Y`/ SD X *SD Y

Correlation value shall always lie between +1 and-1. When r =1, it

shows there is perfect positive correlation between variables. When r = 0,

There is no correlation.

4.13 WEIGHTED AVERAGE METHOD

Weighted average can be defined as an average whose component

items are multiplied by certain values (weights) and the aggregate of

the products are divided by the total of weights.

One of the limitations of simple arithmetic mean is that it gives equal

importance to all the items of the distribution.

Certain cases relative importance of all the items in the distribution is

not the same. Where the importance of the items varies.

It is essential to allocate weight applied but may vary in different cases. Thus

weightage is a number standing for the relative importance of the items.

36

4.14 MEAN & STANDARD DEVIATION

Mean

Mean is the most common type and widely used measure of central

tendency. Mean of a series is the figure obtained by dividing the total value of

the various items by their number.

Sum of all the entries

Mean µ =

Total no. of entries

= ΣXi / N

Standard deviation

It is the most important measure of dispersion and is widely used in

many statistical formulae. Standard deviation is also called root-mean square

deviation. The reason is that it is the square –root of the means of the squared

deviation from the arithmetic mean

Mean of the squared differences

Standard deviation S =

N

FORMULA

Σ(Xi- µ)2/N

S =

N

Co-efficient of variance ,Cv = Standard deviation / Mean

37

CHAPTER V

DATA ANALYSIS AND INTERPRETATION

ANALYSIS USING PERCENTAGE METHOD

5.1 Respondents gender classification

Gender No. of respondents Percentage

Male 32 64 %

Female 18 36 %

TOTAL 50 100 %

Source: Primary data

Table 5.1

Respondents gender classification

INTERPRETATION

From the table shown its found that a majority of 64% of the

employees are male and only 32% are female among apprentices.

38

Per

cen

tage 70 %

60 %

50 %

40 %

30 %

20 %

10 %

0 %

Respondents gender classification

64 %

36 %

Male Female

Gender

Chart 5.1

Respondents gender classification

39

5.2 Respondents age classification

Age No. of respondents Percentage

18-20 35 70 %

21-23 15 30 %

24-26 0 0 %

27 & above 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.2

Respondents age classification

INTERPRETATION

From the above table it’s found that a majority of employees fall under

the age section 18-20 years with 70% and 30% are found under section 21-23

years.

40

Per

cen

tage 80 %

70 %60 %50 %40 %30 %20 %10 %

0 %

Respondents age classification

70 %

30 %

0 % 0 %

18-20 21-23 24-26 27 & above

Age

Chart 5.2

Respondents age classification

41

5.3 Respondents education details

Education No. of respondents Percentage

SSLC 19 38 %

HSC 2 4 %

ITI 16 32 %

Diploma 12 24 %

Others 1 2 %

TOTAL 50 100 %

Source: Primary data

Table 5.3

Respondents education details

INTERPRETATION

From the data shown it’s found that the majority of the employees are

from SSLC, ITI and Diploma background with a combined 94%.

42

Per

cen

tage

40 %35 %30 %25 %20 %15 %10 %

5 %0 %

Respondents education details38 %

32 %

24 %

4 % 2 %

SSLC HSC ITI Diploma Others

Education

Chart 5.3

Respondents education details

43

5.4 Respondents residence and work spot distance

Distance No. of respondents Percentage

0-5 kms 4 8 %

6-10 kms 6 12 %

10-15 kms 32 64 %

16 & above 8 16 %

TOTAL 50 100 %

Source: Primary data

Table 5.4

Respondents residence and work spot distance

INTERPRETATION

From the collected data its being found that majority of 80% the

employees are residing about 10-15 kms away from their work spot.

44

70 %60 %50 %40 %30 %20 %10 %

0 %

Per

cen

tage

Respondents residence and work spot distance

64 %

8 % 12 % 16 %

0-5 kms 6-10 kms 10-15 kms 16 & above

Distance

Chart 5.4

Respondents residence and work spot distance

45

5.5 Respondents transportation mode

Mode No. of respondents Percentage

By walk 10 20 %

By company bus 13 26 %

Cycle/motorcycle 27 54 %

TOTAL 50 100 %

Source: Primary data

Table 5.5

Respondents transportation mode

INTERPRETATION

It is found that about 54% of the employees are having their own

transportation (majority male) and 26% of the employees are using the

company provided transport (majority female).

46

Per

cen

tage

60 %

50 %

40 %

30 %

20 %

10 %

0 %

Respondents transportation mode

26 %20 %

54 %

By walk By company bus Cycle/motorcycle

Transportation mode

Chart 5.5

Respondents transportation mode

47

5.6 Number of leaves taken in a month by respondents

No. of days No. of respondents Percentage

1-5 days 35 70 %

6-10 days 14 28 %

11-15 days 1 2 %

15 + days 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.6

Number of leaves taken in a month by respondents

INTERPRETATION

From the data collected it is evident that the majority of the employees

around 70% take 1-5 days of leave in a month and 14% of the employees take

6-10days of leave (Majorly female)

48

d

Per

cen

tage

Number of leaves taken in a month by respondents

80 %70 %60 %50 %40 %30 %20 %10 %

0 %

70 %

28 %

2 % 0 %

1-5 ays 6-10 days 11-15 days 15 + days

No of leaves in a month

Chart 5.6

Number of leaves taken in a month by respondents

49

5.7 Respondents opinion on their work timings

Opinion No. of respondents Percentage

Excellent 0 0 %

Good 17 34 %

Normal 21 42 %

Not good 12 24 %

TOTAL 50 100 %

Source : Primary data

Table 5.7

Respondents opinion on their work timings

INTERPRETATION

From the table it’s evident that 76% of the employees feel good about

their work timings and it is to be noted that 24% of the remaining employees

feel their timings are not good.

50

n

Per

cen

tage

50 %

40 %

30 %

20 %

10 %

Respo

0

dents opinion on their work timings

42 %

34 %

%

24 %

Excellent Good Normal Not good

Opinion

Chart 5.7

Respondents opinion on their work timings

51

5.8 Respondents taking more leaves at shift

Shift No.of respondents Percentage

Morning 0 0 %

Afternoon 8 16 %

Night 42 84 %

General 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.8

Respondents taking more leaves at shift

INTERPRETATION

From the table it is clearly evident that majority of the employees about 84%

take more leave at night shifts and only 16% of the employees take leave in

afternoon shift.

52

oP

erce

nta

ge100 %

80 %

60 %

40 %

20 %

Resp

0

ndents taking more leaves at shift

84 %

16 %

% 0 %

Morning Afternoon Night General

Shift

Chart 5.8

Respondents taking more leaves at shift

53

5.9 Respondents knowledge on leave procedures

Knowledge No. of respondents Percentage

Yes 50 100 %

No 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.9

Respondents knowledge on leave procedures

INTERPRETATION

From the table it is very evident that complete 100% of the employees

are aware of the procedures to be followed for taking leave.

54

Per

cen

tage

Respondents knowledge on leave procedures

100 %

80 %

60 %

40 %

0 %

100 %

0 %

Yes No

Knowledge

Chart 5.9

Respondents knowledge on leave procedures

55

5.10 Respondents way of carrying out leave procedure

Procedure No. of respondents Percentage

Giving leave form before leave 13 26 %

Giving leave form after leave 31 62 %

Don’t care about procedures 6 12 %

Total 50 100 %

Source: Primary data

Table 5.10

Respondents way of carrying out leave procedure

INTERPRETATION

From the data above it is clearly showing that though the employees

are aware of leave procedures only 26% of them are giving leave form before

leave but 62% are providing leave form after taking leave and notably 12% are

not caring about procedures.

56

dP

erce

nta

ge Respon

80 %

60 %

ents way of carrying out leave procedure

62 %

40 %

20 %

0 %

26 %

Giving leave form Giving leave form

12 %

Don’t care aboutbefore leave after leave

Procedure carried

procedures

Chart 5.10

Respondents way of carrying out leave procedure

57

5.11 Respondents taking leave with prior permission

Response No. of respondents Percentage

Yes 13 26 %

Sometimes 24 48 %

Never 13 26 %

Total 50 100 %

Source: Primary data

Table 5.11

Respondents taking leave with permission

INTERPRETATION

From the obtained data here it is showing that majority 48% of the

employees say that they seek permission for leave some time and 26% say

never but only 26% employees take leave with permission.

58

nP

erce

nta

ge

60 %

Respo dents taking leave with prior permission

48 %

40 %

20 %

26 % 26 %

0 %

Yes Sometimes Never

Response

Chart 5.11

Respondents taking leave with permission

59

5.12 Respondents satisfaction on leave allowed by company

Satisfaction No of respondents Percentage

Yes 6 12 %

No 44 88 %

TOTAL 50 100 %

Source: Primary data

Table 5.12

Respondents satisfaction on leave allowed by company

INTERPRETATION

From the table it is shown that a greater amount of employee 88% feels

unsatisfied with the leave allowed by the company and only 12% of them feel

satisfied with the leave allowed.

60

Per

cen

tage

Respondents satisfaction on leave allowed by company

100 %

80 %

60 %

40 %

20 %

0 %

12 %

88 %

Yes No

Satisfaction

Chart 5.12

Respondents satisfaction on leave allowed by company

61

5.13 Respondents opinion on their leaves approved if reasons valid

Approval No. of respondents Percentage

Always 9 18 %

Sometimes 33 66 %

Rarely 7 14 %

Never 1 2 %

TOTAL 50 100 %

Source: Primary data

Table 5.13

Respondents opinion on their leaves approved if reasons valid

INTERPRETATION

From the above data it is found that majority of 80% employee feel

their leaves are not always but rarely approved even if valid reason shown and

only 18% employee feel their leaves are always approved.

62

Per

cen

tage

Respondents opinion on their leaves approved if reasons valid

80 %

60 %

40 %

0 %

18 %

66 %

14 %2 %

Always Sometimes Rarely Never

Opinion on leave approval

Chart 5.13

Respondents opinion on their leaves approved if reasons valid

63

5.14 Respondents relationship with their co-workers

Relationship No. of respondents Percentage

Excellent 22 44 %

Good 23 46 %

Normal 4 8 %

Not good 1 2 %

TOTAL 50 100 %

Source: Primary data

Table 5.14

Respondents relationship with their co-workers

INTERPRETATION

From the table above it is showing that around 90% of employees are

having good relationship with their co-workers only 10% of them are not

having good relationship.

64

Per

cen

tage

Respondents relationship with their co-workers

50 %

40 %

30 %

10 %

0 %

44 % 46 %

8 %2 %

Excellent Good Normal Not good

Relationship

Chart 5.14

Respondents relationship with co-workers

65

5.15 Respondents relationship with their supervisors

Relationship No. of respondents Percentage

Excellent 19 38 %

Good 29 58 %

Normal 1 2 %

Not good 1 2 %

TOTAL 50 100 %

Source: Primary data

Table 5.15

Respondents relationship with their supervisors

INTERPRETATION

Form the data shown it is evident that the majority of 96% employees

enjoy good relationship with their supervisors and only 4% of employees feel

normal or not good relationships.

66

Per

cen

tage

80 %

Respondents relationship with their supervisors

58 %

20 %

0 %

38 %

2 % 2 %

Excellent Good Normal Not good

Relationship

Chart 5.15

Respondents relationship with their supervisors

67

5.16 Respondents opinion on the motivation from their supervisors

Opinion No. of respondents Percentage

Always 5 10 %

Sometimes 18 36 %

Rarely 25 50 %

Never 2 4 %

TOTAL 50 100 %

Source: Primary data

Table 5.16

Respondents opinion on the motivation from their supervisors

INTERPRETATION

From the data shown above it is found that about 86% employees feel

their supervisors are not motivating them regularly ,10% feel they are always

motivated and a mere 4% feel they are never motivated.

68

60 %50 %40 %30 %20 %10 %

0 %

Per

cen

tage

Respondents opinion on the motivation from supervisors

36 %

50 %

10 %4 %

Always Sometimes Rarely Never

Opinion on motivation

Chart 5.16

Respondents opinion on the motivation from their supervisors

69

5.17 Respondents opinion on their supervisor’s leadership

Acceptance level No. of respondents Percentage

Highly acceptable 4 8 %

Acceptable 29 58 %

Neutral 16 32 %

Not acceptable 1 2 %

Highly not acceptable 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.17

Respondents opinion on their supervisor’s leadership

INTERPRETATION

From the table it could be said that 90% of the employees feel the

leadership style of their supervisors is acceptable and 8% said the leadership

style is highly acceptable.

70

Per

cen

tage

Respondents opinion on their supervisor's leadership

70 %60 %50 %40 %30 %20 % 8 %10 %

0 %

58 %

32 %

2 % 0 %

Highly Acceptable Neutral Not Highly notacceptable acceptable acceptable

Acceptance level

Chart 5.17

Respondents opinion on their supervisor’s leadership

71

5.18 Respondents opinion on their workload

Satisfaction level No. of respondents PercentageHighly satisfied 0 0 %

Satisfied 8 16 %

Neutral 19 38 %Dissatisfied 21 42 %

Highly dissatisfied 2 4 %TOTAL 50 100 %

Source: Primary data

Table 5.18

Respondents opinion on their workload

INTERPRETATION

From the data it is found that the 38% of employee feel neutral

satisfaction, a good amount of 42% employees feel dissatisfied and 4%

employees feel highly dissatisfiedabout their workload.

72

d

Per

cen

tage

45 %40 %35 %30 %

20 %15 %10 %

5 %0 %

Respondents opinion on their workload42 %

38 %

16 %

4 %0 %

Highly satisfie

Satisfied Neutral Dissatisfied Highly dissatisfied

Satisfaction level

Chart 5.18

Respondents opinion on their workload

73

5.19 Respondents opinion on their working environment

Opinion No. of respondents Percentage

Highly satisfied 13 26 %

Satisfied 30 60 %

Neutral 4 8 %

Dissatisfied 1 2 %

Highly dissatisfied 2 4 %

TOTAL 50 100 %

Source: Primary data

Table 5.19

Respondents opinion on their working environment

INTERPRETATION

From the above table it is evident that about 86% employee feel

satisfied about their working environment, additionally 8% also feel neutral

about it and only 6% expressed dissatisfaction.

74

70 %60 %50 %40 %30 %20 %10 %

0 %

Per

cen

tage

Respondents opinion on their working environment

60 %

26 %

8 % 2 % 4 %

Highly satisfied

Satisfied Neutral Dissatisfied Highly dissatisfied

Satisfaction level

Chart 5.19

Respondents opinion on their working environment

75

5.20 Respondents opinion on their work stress

Stress level No. of respondents Percentage

Highly stressful 27 54 %

Stressful 20 40 %

Manageable 3 6 %

No stress 0 0 %

TOTAL 50 100 %

Source: Primary data

Table 5.20

Respondents opinion on their work stress

INTERPRETATION

From the above given table it is found that majority of 54% say high

stressful ,another major 40% of the employees feel stress due to their work and

only 6% said stress is manageable.

76

Per

cen

tage Respondents opinion on their work stress

60 %50 %40 %30 %20 %10 %

0 %

54 %

40 %

6 %0 %

Highly stressful

Stressful Manageable No stress

Stress level

Chart 5.20

Respondents opinion on their work stress

77

5.21 Respondents opinion on grievance redressed by the management

Satisfaction level No. of respondents Percentage

Highly satisfied 1 2 %

Satisfied 3 6 %

Neutral 8 16 %

Dissatisfied 31 62 %

Highly dissatisfied 7 14 %

TOTAL 50 100 %

Source: Primary data

Table 5.21

Respondents opinion on grievance redressed by the management

INTERPRETATION

From the table it is found that 62% of employees feel dissatisfied and

14% are highly dissatisfied about the grievance redressed by the management

and about 24% are among satisfied and neutral opinion.

78

%

Per

cen

tage

Respondents opinion on grievance redressed by the management

70 %60 %50 %40 %30 %20 %10 % 2 %

0 %

16 %6 %

62 %

14

Highly satisfied

Satisfied Neutral Dissatisfied Highly dissatisfied

Satisfaction level

Chart 5.21

Respondents opinion on grievance redressed by the management

79

5.22 Respondents satisfaction on their salary

Satisfaction No. of respondents Percentage

Yes 5 10 %

No 45 90 %

TOTAL 50 100 %

Source: Primary data

Table 5.22

Respondents satisfaction on their salary

INTERPRETATION

From the data collected it is clearly evident that 90% of the employees

feel unsatisfied on their salary given by the company and only 10% are

satisfied with their salary.

80

Per

cen

tage Respondents satisfaction on their salary

100 %

80 %

60 %

40 %

20 %

0 %

10 %

90 %

Yes No

Satisfaction

Chart 5.22

Respondents satisfaction on their salary

81

5.23 Respondents having other income sources

Other income

sourcesNo. of respondents Percentage

Yes 20 40 %

No 30 60 %

TOTAL 50 100 %

Source: Primary data

Table 5.23

Respondents having other income sources

INTERPRETATION

From the table it is clear that 60% of employees are not having other

income sources but a good remaining 40% are having other income sources.

82

70 %

60 %

50 %

40 %

30 %

20 %

10 %

0 %

Per

cen

tage

Respondents having other income sources

60 %

40 %

Yes No

Other income sources

Chart 5.23

Respondents having other income sources

83

5.24 Respondents suggestion to reduce absenteeism

Suggestion No. of respondents Percentage

Better working condition 0 0 %

More leave facilities 9 18 %

Proper reason for leave to be approved 15 30 %

More rest pause during work 0 0 %

Improved relation with the supervisors 0 0 %

Medical facilities 0 0 %

Increased Transportation 10 20 %

Others 16 32 %

TOTAL 50 100 %

Source: Primary data

Table 5.24

Respondents suggestion to reduce absenteeism

INTERPRETATION

From the data 32% of employees suggested “others” mainly increasing

salary , 30% of employees suggested for approval of leave with proper reason,

20% of employees suggested to increased transportation and 18% suggested

for more leave facilities.

84

Su

gges

tion

s

Respondents suggestion to reduce absenteeism

Others 32 %

Increased Transportation

Medical facilities 0 %

Improved relation with the supervisors 0 %

More rest pause during work 0 %

Proper reason for leave to be approved

More leave facilities

Better working condition 0 %

20 %

18 %

30 %

0 % 10 % 20 % 30 % 40 %Percentage

Chart 5.24

Respondents suggestion to reduce absenteeism

85

ANALYSIS USING WEIGHTED AVERAGE METHOD

5.25 Respondents rating major reasons for taking leave

ReasonNo. of respondents

High Somewhat Maybe No

Health reason 4 32 8 6

Family problem/function 36 11 2 1

Poor relationship with superiors 1 0 0 49

Lack of motivation 10 35 4 1

Poor relationship with coworkers 0 0 6 44

Transportation problem 12 24 9 5

Heavy workload 20 29 1 0

Source: Primary data

Table 5.25

Respondents rating major reason for taking leave

86

Weighted average calculation

Weight point average 4 3 2 1

Reason High Somewhat Maybe No TOTAL Average Rank

Health reason 16 96 16 6 134 33.5 5

Family problem/function 144 33 4 1 182 45.5 1

Poor relationship with

superiors4 0 0 49 53 13.25

7

Lack of motivation 40 105 8 1 154 38.5 3

Poor relationship with

coworkers0 0 12 44 56 14

6

Transportation problem 48 72 18 5 143 35.75 4

Heavy workload 80 87 2 0 169 42.25 2

INTERPRETATION

From the above calculations it shows that the respondents rate family

problem/function as the main reason for taking leave, heavy workload is found

to be second major reason and lack of motivation is being said as the third

major reason for taking leave.

87

ANALYSIS USING MEAN AND STANDARD DEVIATION

5.26 Analysis on certain factors of the organization

FactorWork

load

Working

environment

Grievance

redressal

Highly satisfied 0 13 1

Satisfied 8 30 3

Neutral 19 4 8

Dissatisfied 21 1 31

Highly dissatisfied 2 2 7

Source: Primary data

Table 5.26

Analysis on certain factors of the organization

Calculation

HS S N D HD

0 8 19 21 2

13 30 4 1 2

1 3 8 31 7

Σ 14 41 31 53 11

N=3 Mean= Σx/N

Mean µ 1=14/3 = 4.67

88

Mean µ 2=41/3= 13.67

Mean µ 3=31/3= 10.33

Mean µ 4=53/3= 17.67

Mean µ 5=11/3= 3.67

Difference between given value and mean

HSi-µ 1 Si- µ 2 Ni-µ 3 Di-µ 4 HDi-µ 5

-4.67 -5.67 8.67 3.33 -1.67

8.33 16.33 -6.33 -16.67 -1.67

-3.67 -10.67 -2.33 13.33 3.33

Square and sum of squared values of the difference between given value

and mean

(HSi-µ 1)2 (Si- µ 2)2 (Ni-µ 3)2 (Di-µ 4)2 (HDi-µ 5)2

21.78 32.11 75.11 11.11 2.78

69.44 266.78 40.11 277.78 2.78

13.44 113.78 5.44 177.78 11.11

Σ 104.67 412.67 120.67 466.67 16.67

Variance calculation

Var = Σ (Xi- µ )2/N

Var = Σ (HSi- µ )2/3 = 104.67/3 = 34.89

Var = Σ (Si- µ )2/3 = 412.67/3 = 137.56

Var = Σ (Ni- µ )2/3 = 120.67/3 = 40.22

Var = Σ (Di- µ )2/3 = 466.67/3 = 155.56

89

Var = Σ (HDi- µ )2/3 = 16.67/3 = 5.56

Standard deviation

S = √ (1/N) * Σ (Xi- µ )2/N

(HSi-µ 1)2 (Si- µ 2)2 (Ni-µ 3)2 (Di-µ 4)2 (HDi-µ 5)2

Mean µ 4.67 13.67 10.33 17.67 3.67

Variance 34.89 137.56 40.22 155.26 5.56

Standard

deviationS 3.41 6.77 3.66 7.20 1.36

Coefficient of variance = Standard deviation/mean

Highly satisfied CV = 3.41/4.67 = 0.73

Satisfied CV = 6.77/13.67 = 0.50

Neutral CV = 3.66/10.33 = 0.35

Dissatisfied CV = 7.20/17.67 = 0.41

Highly dissatisfied CV = 1.36/3.67 = 0.37

INTERPRETATION

The employees are found with high satisfaction on working

environment and majority of them feel dissatisfied on the workload and

grievance redressal.

90

ANALYSIS USING CORRELATION METHOD

5.27 Analysis on interrelationship factor among the respondents

S.No X Y X2 Y2 XY

1 22 19 484 361 418

2 23 29 529 841 667

3 4 1 16 1 4

4 1 1 1 1 1

TOTAL 50 50 1030 1204 1090

Source: Primary data

Table 5.27

Analysis on interrelationship factor among respondents

X= Relationship with co-workers

Y= Relationship with supervisors

N= 4

X`= ΣX/N =50/4 = 12.5

Y`= ΣY/N =50/4 = 12.5

X`Y`= 12.5*12.5=156.25

Cov (XY) = 1/N * Σ (XY) -X`Y` = 1/4 * (1090) – 156.25

= 116.25

91

SD of X = √ 1/N ΣX2- X`

2= √ 1//4* 1030-(12.5)

2

= √ 257.5-156.25 = 10.06

SD of Y =√ 1/N ΣY2- Y`2

= √ 301 – 156.25

= √ 1/4 * 1204 – (12.5)2

= 12.03

Correlation coefficient, r = 1/N Σ XY-X`Y`/ SD X *SD Y

= 1/4 * 1090- 156.25 / 10.06*12.03

= 0.9605

INTERPRETATION

There exists positive correlation such that there is good relationship

with the employee and their coworkers and supervisors.

92

ANALYSIS USING CHI-SQUARE TEST

5.28 Analysis on respondent salary and other income sources

Salary

Other income sources

Yes No TOTAL

Yes 3 17 20

No 2 28 30

TOTAL 5 45 50

Source: Primary data

Table 5.28

Analysis on respondent salary and other income sources

Null hypothesis Ho

There is significance between employee salary and their other sources

of income.

Alternate hypothesis H1

There is no significance between employee salary and their other

sources of income.

93

Expected frequency

Salary

Other income sources

Yes No TOTAL

Yes 2 18 20

No 3 27 30

TOTAL 5 45 50

Chi-Square test

O E O-E (O-E)2

3 2 1 1

17 18 -1 1

2 3 -1 1

28 27 1 1

Calculated value= 4

Degree of freedom= (R-1)*(C-1)=(2-1)*(2-1)= 1

Tabled value of 1degree of freedom at 5% level of significance is 3.84

INTERPRETATION

Tabled value is less than the calculated value such that the null

hypothesis is rejected and thus there is no significance between employee

salary and other income sources.

94

CHAPTER VI

FINDINGS, SUGGESTIONS AND COLCUSION

6.1 FINDINGS OF THE STUDY

i. Majority of the employees at Rane (Madras) Ltd. are male and among

18-20 years age category with SSLC,ITI and diploma background

ii. Majority of the employees are residing 10-15 kms away from the

company and are using their own transportation

iii. A good amount of employee are feeling normal about their work

timings , but dissatisfied about their salary and motivation they get and

they feel exposed to work stress

iv. A great 84% of employees take leave during their night shifts

v. Almost all the employees are aware of the leave procedures but

majority of them are not following

vi. 80% of the employees are feeling their leave permission are not

approved always even if valid reason shown

vii. From the weighted average analysis carried it may be said that the

main causes for leave are their family problem/function and heavy

workload

viii. From the correlation analysis carried it is clearly evident that the

employees have good relationship with their co-workers and

supervisors

ix. From mean and standard deviation analysis it is found the employees

are satisfied with working environment but dissatisfied with work load

and grievance redressal

x. From chi square test there is no significance between satisfaction on

salary and other sources of income for the employees

95

6.2 SUGGESTIONS

i. The management should take stringent action against employees who

take leave without prior permission

ii. The management may take measures to approve leave if the employees

show valid reasons

iii. The management may organize counseling session for the employees

to get them out of their stress due to job

iv. The management may concentrate more on motivating the employees

through their supervisors

v. The management may consider organizing transportation for

employees who are residing 10-15 kms away from the company

vi. The management should organize programme to mend the attitude of

the employees

vii. The management may consider to revise the salary such that the

employees get good satisfaction

viii. The management may concentrate more on redressing the grievances

of the employees at right time.

96

6.3 CONCLUSION

This study depicts that the problem of absenteeism is an issue due to

the attitude of the employee towards taking leave and following procedures.

The key causes such as work stress, salary and motivation may be considered

by the management to reduce the absenteeism proceeding further at the same

rate. By doing this they can improve production and also will yield to the

organizations growth. There is good satisfaction found about the environment

provided by the management among employees. This study will be a useful

tool for the management in knowing the real causes of absenteeism and the

requirements to reduce it.

97

BIBILOGRAPHY

BOOKS REFERRED

Kothari, C.R., Research Methodology - Methods & Techniques, New

Age international (P) Ltd., Publishers, New Delhi ,Second Edition

,2004.

Gupta, S.P., Statistical Methods, Sultan Chand & Sons Publishers,

New Delhi, Thirty Fourth Editions, 2005.

Prasath L.M.,Human resources management , Sultan Chand & Sons

Publishers, , New Delhi, Thirty Fourth Editions, 2005.

Reddy& Rao –Absenteeism in India , Deep , publication , New Delhi

Aswathappa.k, Human Resource and Personnel Management, Tata Mc

Graw Hill, New Delhi, 1999.

WEBSITES SEARCHED

w w w . g o o g le. c om

w w w. c i t e h r . c om

w w w. w ik i p e dia. c om

w w w. a bsen t ee is m . c om

www.hr.com

98

1. Gender

a. Male

b. Female

ANNEXURE

QUESTIONNAIRE

2. Age of the respondents

a. 18-20

b. 21-23

c. 24-26

d. 27 & above

3. Education background of the respondents

a. SSLC

b. HSC

c. ITI

d. Diploma

e. Others

4. Distance between work spot and residence

a. 0-5 kms b.

6-10 kms c.

10-15 kms

d. 16 + above

5. How do reach the company

a. By-walk

b. By company bus

c. Cycle/Motor cycle

6. How many days of leave taken in a month

a. 1-5 days b.

6-10 days c.

11-15 days

d. 15 + days

99

7. How do you feel about your work timings?

a. Excellent

b. Good

c. Normal

d. Not good

8. Which shift do you take more leave?

a. Morning shift

b. Afternoon shift

c. Night shift

d. General shift

9. Do you know the procedure of taking leave?

a. Yes

b. No

10. If “YES” how do you carry out?

a. Giving leave form before taking leave

b. Giving leave form after taking leave

c. Don’t care about taking permission

11. Do you take leave with prior permission

a. Yes

b. Sometimes

c. Never

12. Are you satisfied with leave allowed as per the company policy?

a. Yes

b. No

13. Were your leave permissions being approved if valid reason shown

a. Always

b. Sometimes

c. Rarely

d. Never

14. How do you feel about your relation with your co workers

a. Excellent

b. Good

c. Normal

d. Not good

100

15. What about your relationship with your superiors

a. Excellent

b. Good

c. Normal

d. Not good

16. Do you get regular motivation from your superiors

a. Always

b. Sometimes

c. Rarely

d. Never

17. How do you feel about the leadership shown by your superiors

a. Highly acceptable

b. Acceptable

c. Neutral

d. Not acceptable

e. Highly not acceptable

18. How do you feel about the workload given to you

a. Highly satisfied

b. Satisfied

c. Neutral

d. Dissatisfied

e. Highly dissatisfied

19. Are you satisfied with the working environment

a. Highly satisfied

b. Satisfied

c. Neutral

d. Dissatisfied

e. Highly dissatisfied

20. How do you feel about the stress level at your work

a. Highly stressful

b. Somewhat stressful

c. Manageable

d. No stress

101

21. The way your grievances are addressed by your management

a. Highly Satisfied

b. Satisfied

c. Neutral

d. Not satisfied

e. Highly not satisfied

22. Are you satisfied with the salary provided by the company

a. Yes

b. No

23. Do you have any other source of income

a. Yes

b. No

24. Rate the following factors affecting the absenteeism

High Somewhat Maybe No

Health reason

Family problem

Poor relationship with superiors

Lack of motivation

Poor relationship with coworkers

Transportation problem

Heavy workload

25. Select your suggestion to reduce absenteeism

a. Better working condition

b. More leave facilities

c. Proper reason for leave to be approved

d. More rest pause during work

e. Improved relation with the supervisors

f. Medical facilities

g. Increased Transportation

h. Others_

102