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CHAPTERISATION

Chapter-1 Page number


Introduction 2-- -- -- 5
Introduction to study
Need for the study
Objective of the study
Scope of the study
Chapter-2
Company Profile 6-- -- -- 12
The background
Vision,Mission,Objective and Goal
About the company
Chapter -3
Research Methodology 13 -- -- -- 17
Definition
Sampling method
Data collection method
Chapter-4
Literature Review 18 -- -- -- 61
Employee welfare
Types of welfare
Employee welfare in NALCO
Chapter-5
Data Analysis 62-- -- -- 81
Questionnaire,Graphical representation,Analysis
Findings
Chapter-6
Conclusion 83

Suggestion 84

Limitation 85

Bibliography 86

Questionnaire 87 -- -- -- 88

Chapter-1

1
Introduction
Introduction to study

Need for the study

Objective of the study

Scope of the study

Introduction to study

Every individual has certain needs and motives which he/she wants to fulfil.
Any job which fulfils their needs and motives give him satisfaction. There are some
situational factors responsible for job satisfaction .The important causes of job satisfaction
are wage incentive systems, the work environment, length of working hours, behaviour of the
supervisor, security, scope for promotion and recognition of merit. Besides proper evaluation
of work, impartial behaviour and social relationship with co-workers etc. are also
contributory factors.

2
The term welfare proposes many ideas, meanings and connotations, such as the state of well-
being, health, happiness, prosperity and the development of human resources. As a total
concept of welfare, it is a desirable state of existence involving physical, mental, moral and
emotional well-being.

The social concept of welfare implies the welfare of man, his family, and his community.
Welfare is called a relative concept, for it is related to time and space. Changes in it have an
impact on the system of welfare as well. Welfare is also a positive concept. In order to
establish a minimum level of welfare, it demands certain minimum acceptable conditions of
existence, biologically and socially.

Employee welfare is an area of social welfare conceptually and operationally. It covers a


broad field and connotes a state of well being, happiness, satisfaction, conservation and
development of human resources and also helps to motivation of employee. The basic
propose of employee welfare is to enrich the life of employees and to keep them happy and
conducted. Welfare measures may be both statutory and non statutory laws require the
employer to extend certain benefits to employees in addition to wages or salaries.
Organizations provide welfare facilities to their employees to keep their motivation levels
high. The employee welfare schemes can be classified into two categories viz. statutory and
non-statutory welfare schemes. The statutory schemes are those schemes that are compulsory
to provide by an organization as compliance to the laws governing employee health and
safety, these include: canteen facilities, drinking water, proper and sufficient lighting ,
facilities for sitting , changing rooms , first aid appliances, latrines and urinals , washing
places, spittoons, rest rooms. Non statutory welfare schemes may include: personal health
care, flexi-time, employee assistance programs, harassment policy, employee referral scheme,
medi-claim insurance scheme. The non statutory schemes differ from organization to
organization and from industry to industry.

Health, safety and welfare are the measures of promoting the efficiency of employee. The
various welfare measures provided by the employer will have immediate impact on the
health, physical and mental efficiency alertness, morale and overall efficiency of the worker
and thereby contributing to the higher productivity. Some of the facilities and services which
fall within the preview of employee welfare include adequate canteen facilities,
accommodation arrangements, and recreational facilities, medical facilities transportation
facilities for travelling from & to the place of work. Employee welfare covers an ample field
and connotes a state of wellbeing, happiness, satisfaction, protection and enlargement of
human resources and also helps to motivation of worker. The fundamental propose of
employees welfare is to enrich the life of employees and to remain them joyful and conducted
that helps to development of organization.

Every organization should provide statutory and non statutory welfare measures but some
organization provides some more welfare facilities to the employees and their quality of work
life. The prime aim of our nation is to achieve maximum possible economic development so
as to achieve higher standard of living for workers in the country. In spite of all the modern
technology and all the systems of controls coming into wide spread use, man still remains the
most important factor in production process. If people do not want to work, it is impossible
for every organization to attain its goals. So, in this connection welfare measures is one of the
aspect of national program towards improving the production of the industry condition of the

3
worker and income of the society. The welfare measures are more important for every
employee, without welfare measure employee can not work effectively in the organization.

 Employee welfare is an area of social welfare conceptually and operationally. It


covers a broad field and connotes a state of well being, happiness, satisfaction,
conservation and development of human resources and also helps to motivation of
employee. The basic propose of employee welfare is to enrich the life of employees
and to keep them happy and conducted. Welfare measures may be both Statutory and
Non statutory laws require the employer to extend certain benefits to employees in
addition to wages or salaries.

Need for the study

Welfare benefits are a necessity in every organization today.Employees have to be kept


motivated at all times through various measure and activities. This strengthens their sense of
belongingness and responsibility towards the company. In this background study is selected
to know the welfare benefit.

Objectives of the Study:


i. To find out various Welfare Facilities provided at the Company.
ii.To understand the various employee welfare measures adopted at NALCO.
iii. To find out the levels of satisfaction among employees at NALCO with respective to
various welfare measures.
iv.To understand the extent of awareness among employees with various statutory and non
statutory welfare measure.
v.To suggest remedial measures if any, to improve the employee welfare at NALCO.

Scope of the study:

The present study is restricted to NALCO, Bhubaneswar.and data is analyzed based on the
information provided by employees of the NALCO ,Bhubaneswar.

Chapter-2
Company Profile
4
The background of NALCO
Vision
Mission
Objective and Goal
About the Company
The management

Human resource of NALCO

COMPANY PROFILE

The Background

5
National Aluminium Company Limited(NALCO) is considered To be a turning point in the
history of Indian Aluminium Industry.In a major leap forward, NALCO has nnot only
address need for self-sufficiency in aluminium but also given the country a technological
edge in producing this strategic metal as per world standards.

Incorporated in 1981 as a public sector enterprise, NALCO was set up to utilize a part of the
large bauxite deposit discovered in the East coast, in technological collaboration with
Aluminium Pechiney of France (now Rio Tinto-Alcan).

With consistent track record in capacity utilisation, technology absorption, quality assurance,
export performance and profitability, NALCO is a bright example of India’s industrial
capability. Today NALCO uses the latest in technology and is among the most advance
manufacturing units in the world. With low cost operations and integrational customer base,
NALCO has emerged as the largest integrated bauxite-alumina-aluminium complex in Asia.

Further, with ISO 9001, ISO14001, OHSAS 18001 and SA 8000 certification and products
registered at London Metal Exchange, NALCO enjoys the status of Premier Trading House
and is recognised as a ‘Navratna Company under the Ministry of Mines, Government of
India.

NALCO serves the national interest and enjoys trust and confidence of the market and of the
general public on account of its product excellence, productivity, profitability and good
industrial relations. The inherent trust on customer service is another hallmark of the
Company. Right from the design stage, the Company has adopted anti-pollution and energy
efficient technologies. There is constant monitoring to ensure that there is no pollution of
water and air and that there is no disturbance to environment or ecological balance.

VISION
To be reputed global company in the metal and energy sectors.

Mission
 To achieve Sustainable growth in business through diversification, Innovation and
global competitive edge.
 To continuously develop human resources, creates safe working conditions, improve
productivity and quality, and reduce cost and waste.
 To satisfy the customers and share holders, employees, and all other stakeholder.
 To be a good corporate citizen, protecting and enhancing the
Environment as well as discharging social responsibility in order to ensure sustainable
growth.
 To intensify R & D for technology development.

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Objective & Goals
 To achieve annual turnover of over Rs 25,000 crores by 2020
 To achieve annual production of 1.7 million ton Aluminium and 4 million ton
Alumina by 2020.
 Transform being only an ‘aluminium producer’ to become a metal producer and
energy provider.
 To venture into new fields of activity beyond Aluminium by setting up at least 2 nos.
diversified projects by 2016.
 To target at least one 1000 mw ipp by 2016.
 To maximize value and long term return to share holder.
 To develop long-term relation with domestic and foreign clients and joint venture
partners.
 To develop powerful scientific and technical base.
 To adopt main stragic priorities aimed at end user orientation.

ABOUT THE COMPANY

7
National Aluminium Company Limited (NALCO) is a Navratna CPSE under Ministry of
Mines, Govt. of India. It was established on 7th January, 1981, with its registered office at
Bhubaneswar. The Company is a group ‘A’ CPSE having integrated and diversified
operations in mining, metal and power with sales turnover of Rs 7024 crore in financial year
2013-14. Presently, Government of India holds 80.93% equity of NALCO.

The company has a 68.25 lakh TPA Bauxite Mine & 22.75 lakh TPA Alumina Refinery
located at Damanjodi in Koraput dist. of Odisha, and 4.60 lakh TPA Aluminium Smelter &
1200 MW Captive Power Plant located at Angul, Odisha. As per diversification plan,
NALCO has ventured into renewable energy sectors. The Company has successfully
commissioned two wind power plants. A 50.4 MW wind power plant at Gandikota, Andhra
Pradesh and another of 47.6 MW wind power plant at Jaisalmer, Rajasthan are operational
since December, 2012 and January, 2014 respectively. 260 KWp Rooftop Solar Power
System has been made operational at Office and Township, Bhubaneswar during FY 2014-
15.

NALCO has bulk shipment facilities at Vizag port for export of Alumina/Aluminium and
import of caustic soda and also utilises facilities of Kolkata and Paradeep ports. The company
has its regional marketing offices in Delhi, Kolkata, Mumbai & Chennai its branch offices at
Bangalore, Paradeep, Ahmedabad and its 11 stockyards at various locations in the Country.

NALCO is the first Company in Aluminium sector in the Country to venture into
International market in a big way with London Metal Exchange (LME) registration since
May, 1989. The Company is listed at Bombay Stock Exchange (BSE) since 1992. All the
manufacturing units and the port facility of the Company are certified to ISO 9001, ISO
14001, and OHSAS 18001 Management Systems and Integrated Management System
operates at these units. The energy intensive manufacturing units i.e. Smelter, CPP &
Alumina Refinery are also certified to ISO 50001 Standard for energy management system.
SA 8000 certification is also obtained for all the manufacturing units and corporate office.

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In its efforts for capacity addition and expansion, NALCO has extensive plans for brown
field and green field expansion projects, which include 1 MTPA Alumina Refinery in Gujarat
in JV with Gujarat Mineral Development Corporation (GMDC) (Greenfield), 5th Stream of 1
MTPA capacity in existing Alumina Refinery at Damanjodi (Brownfield), 0.5 MTPA
Aluminium Smelter and 1050 MW Power Complex in Odisha (Greenfield), 0.5 MTPA
Aluminium Smelter abroad and development of bauxite mines at Gudem and KR Konda in
Andhra Pradesh and Pottangi in Odisha etc.

The Company has plans to set up a 2 lakh TPA caustic soda plant in JV with Gujarat Alkalies
& Chemicals Limited (GACL) and 55,000 TPA Aluminium Conductor plant in JV with
Power Grid Corporation of India Limited (PGCIL). The Company has plans to set up a
14MW wind power plant at mined out area of Damanjodi and another 100MW wind power
plant at any suitable location in the Country.

The company has formed a JV Company with Nuclear Power Corporation of India Limited
(NPCIL) for establishing 2X700 MW Nuclear Power Plants at an estimated investment of Rs.
11,459 crore at Kakrapara in Gujarat. For development of downstream ancillary industries, a
JV Company has been formed with IDCO, Odisha for Angul Aluminium Park.

The company is involved in playing a significant role in the socio-economic development of


the areas where it operates. Rehabilitation of displaced families, employment, income
generation & health care for local people, development of infrastructure, care for
environment and various humanitarian goodwill missions have earned NALCO a place of
pride in the corporate world. With the setting up of NALCO Foundation and doubling of CSR
budget to 2% of the net profit, the company is well-poised to augment its activities on social
responsibilities significantly.

In order to promote education amongst tribal children, NALCO has sponsored more than 655
students in reputed educational institutes in Odisha by way of bearing all their expenses on
studies including lodging and boarding etc.

The Management

9
NALCO is government of India Enterprise under the Administrative control of the Ministry of Mines. The
company is managed by Board of Directors appointed by President of India. The Board consist of 16
Directors including the Chairmen-cum-Managing Director of the company. Apart from CMD, there are 5
functional or full time Directors heading Project and Technical Human Resource, Commercial, Finance and
Production disciplines. There are 2 senior Govt. officials nominated to the Board as Directors by the
Government of India. Besides, there are 8 Independent Directors in the Board.

Thus the board of he Company is a pool of highly experienced and outstanding professionals drawn from
various fields of specialization. The Board enjoys maximum possible operational outonomy, consistent with
overall corporate objectives , basic policies and programmes with a view to achieving optimum utilization of
its resources. Subject to the provision of the Indian Company Act, the Memorandum and Article of
Association , Memorandum of Understanding signed with the Govt. and also time to time, the Chairmen-
cum-Managing Director has full power to sanction expenditure or to deal with other matter for effective
functioning of the company.

The management’s control system is based on delegation of outhority and individual accountability for results,
The responsibility and auothority to take decisions on various matters are delegated by the Chairmen-cum-
Managing Director to different levels in the management hierarchy. For Personal matters such as
appointments, confirmations, promotions, disciplins, transfer, grant of various benefits, leave etc. powers have
been delegates to different levels of executives, in conformity with the principles and policies of the
management. The schedule of delegation of power is a published document available for refence, which is
subject to review from time to time, to incorporate necessary changes.

HUMAN RESOURCES

10
Managing the Company, there are 7447 persons possessing a variety of skills, qualifications and competence.
The Company is truly youthful with the average age of the employees being below 50 years. Starting with a
core group of 262 employees in 1982, the progressive growth in manpower has taken place in a planned
maner, matching the Needs of the different stages of the project. Present strength of 7447 as on October, 2013
is close to optimum requirement against existing capacity.

Composition of Manpower

(As on 31, 10, 2013)

852

915
3915 Supervisor

1765 Unskilled and


semiskilled

Executive

Skilled personnel

The Philosophy of the company in the field of human resources

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 To attract competent personnel with growth potential and develop their skills and
capabilities in a congenial work and social environment through opportunities for training,
recognition, career advancement and other incentives.

 To develop and nurture favourable attitudes among the employees and do obtain their best
contribution to the organization by providing stable employment, safe working conditions,
job satisfaction, quick redressal of grievances and through good pay and welfare amenities
commensurate with the company’s capacity to spend the government guidelines.

 To foster fellowship and sense of belongingness among all section of employees through
closer association of employees with the management and encouraging healthy trade union
practice

Chapter -3
12
Research Methodology
Definition of Research
Research design
Sample design
Probability sampling
Non probability sampling
Sampling method
Systematic sampling
Sample size
Data collection method
Data collection process
Questionnaires

RESEARCH METHODOLOGY
Definition of Research
“The manipulation of things, concepts or symbols for the purpose of generalizing to extend,
correct or verity knowledge, whether that knowledge aids in construction of theory or in the
practice of an art.

The study is conducted empirically using both primary and secondary data.
Primary data was collected with the help of well structured questionnaire. Around 50
potential employees were surveyed to understand the welfare facility provided by NALCO.
All the persons interviewed were in the age group starting from 20 years to 60 years.

13
The secondary data is collected from NALCO website and by going through their corporate
records, brochures and annual reports of the company along with their newsletters were used
to substantiate the information.

PRIMARY DATA

Primary data has been collected through questionnaire. The questionnaire was mostly related
to the welfare provided by NALCO.

SECONDARY DATA

Secondary data has been taken from bellow sources;


 Reports
 Pamphlets
 Advertisement
 Newspapers
 Internet

RESEARCH DESIGN:

A research design is the arrangement of conditions for collection and analysis of data in
manner that aims to combine relevance to the research purpose with economy in procedure.
Regarding this project, descriptive research design concern with describing the perception
of each individuals or narrating facts on welfare measures and diagnostic design helps in
determine the frequency with which something occurs or its associated with something else.
These two research design help in understand the characteristic in a given situation. Think
systematically about aspects in given situation, offers idea for probe and research help to
make certain simple decision.

SAMPLE DESIGN:

A sample design is a definite plan determined before any data are actually collected for
obtaining a sample from a given population. Sampling is used to collect data from limited
numbers whereas census is used for large numbers. For the research, sampling method was
used.
There are different types of sample design based on two factor namely there
presentation basis and the element selection technique .There are two main categories under
which various sampling method can be put. There are

1. Probability sampling
2. Non probability sampling

In this particular research the A study is on probability sampling. And in the simple random
sample is used.

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PROBABILITY SAMPLING:

Probability sampling is based on the concept of random selection; the sample may be either
unrestricted or restricted. When each sample elements is drawn individually from
the population at large, then the sample so drawn is known as µunrestricted sample, Where as
all other forms of sampling are covered under the term µrestricted sample. The most
frequently used probability samples are:

Simple random sample


Systematic sample
Stratified sample (proportionate & disproportionate)
Cluster sample

NON- PROBABILITY SAMPLING:

Non-probability sampling is that sampling procedure which does not afford any basis
for estimating the probability that each item in the population has of being included in the
sample.

1. Judgment sampling
2. Convenient sampling

3. Quota sampling.

4. Snowball sampling

SAMPLING METHOD

In this research systematic sampling method is used to collect the primary data by using
questionnaire.

SYSTEMATIC SAMPLING

A Systematic sample is selected at random sampling. When a complete list of the population
is available, this method is used. If a sample of 10 students is to be selected from 100
students, under this method “k th” item is picked up from the sample frame and “k” is the
sample interval.

SAMPLE SIZE:

The total sample size of 50 has been taken for this study. Both male and female employees
have been interviewed.

DATA COLLECTION METHOD

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Primary Source of Data
Primary data is known as the data collected for the first time through field survey. Such data
are collected with specific set of objectives to assess the current status of any variable
studied.

RESEARCH INSTRUMENT:

In this project, the data were collected through structured questionnaire.

DATA COLLECTION PROCESS


Based on need and objectives, types of data required for study and other sources of data are
identified.

OBSERVATION
PRIMARY
DATA
QUESIONNAIRE

DATA
INSIDE THE NEWS, LETTER
ORGANISATION DOCUMENTS
SECONDARY
DATA
OUTSIDE THE LIBRARIES,
ORGANISATION MAGAZINES

QUESTIONNAIRE

A questionnaire is a schedule consisting of a number of coherent and formulated series of


question related to the various aspects of the study. In this method a pre designed printed list
of questions arranged in sequence is used to get response from the respondents.

Types of questions
The following are the types of questions, which are used in research. They are

a)Open ended question b) Close ended question

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a) Open ended questionnaire: An open-ended question gives the respondents complete
freedom to decide the form length and detail of the form. b) Close ended
questionnaire: The close-ended question is of two types they are as follows
b) :i) Dichotomous question:This type has only two answers in the form of ³YES´
or ³NO´, ³TRUE´ or ³FALSE´ etc«ii)

Multiple ± choice questions. In this case the respondents are offered two or more choices and
the respondent have to indicate which is applicable in the following cases.

Chapter-4
Literature Review
What is employee welfare?

17
Why employee welfare?
Importance
Features
Who provide the welfare?
Where welfare is given?
When welfare is given?
How the welfare is given?
Types of welfare
Statutory provision
Employee welfare provided by NALCO

LITERATURE REVIEW:
WHAT IS EMPLOYEE WELFARE / MEANING OF EMPLOYEE
WELFARE :
Employee welfare is a term including various services, benefits and facilities offered to
employees by the employers. The welfare measures need not be monetary but in any
kind/forms. This includes items such as allowances, housing, transportation, medical
insurance and food. Employee welfare also includes monitoring of working conditions,
creation of industrial harmony through infrastructure for health, industrial relations and
insurance against disease, accident and unemployment for the workers and their families.
Employee welfare include anything that is done for the comfort and improvement of
employees and is provided over and above the wage. Through such generous benefits the
employer makes life worth living for employees.

MEANING OF WELFARE:
“Welfare is comfortable living and working conditions”. People are the most important asset
of an organization, and the accounting profession has to asses and record the value and cost
of people of an organization .Once this accepted, the need for measuring the value for
recording it in the books of accounts arises. The value of human asset can be increase

18
substantially by making investment in their training the same way as the value repairs
overhauling etc.

Why Employee welfare:


Employee welfare is done because it helps in keeping the morale and motivation of the
employees high so as to retain the employees for longer duration.
The very logic behind providing welfare schemes is to create efficient, healthy, loyal and
satisfied labor force for the organization.
The purpose of providing such facilities is to make their work life better also to raise their
standard of living.

Employee welfare is provided for the followings reasons;

 To win over employee’s loyality and increase their morale.


 To build up stable labour force,to reduce labourturnover and absenteeism.
 To develop efficiency and productivity among workers
 To earn goodwill and enhance public image.

The important benefits of welfare measures can be summarized as follows:

 They provide better physical and mental health to workers and thus promote a healthy
work environment
 Facilities like housing schemes, medical benefits, and education and recreation
facilities for workers’ families help in raising their standards of living. This makes
workers to pay more attention towards work and thus increases their productivity.
 Employers get stable labor force by providing welfare facilities. Workers take active
interest in their jobs and work with a feeling of involvement and participation.
 Employee welfare measures increase the productivity of organization and promote
healthy industrial relations thereby maintaining industrial peace.
 The social evils prevalent among the labors such as substance abuse, etc are reduced
to a greater extent by the welfare policies.

Importance of Employee Welfare


As a business, you have to provide various benefits to ensure your employees' welfare. While
this may increase your business expense and negatively affect your bottom line, looking after
your employees will benefit you in other ways.

Compliance:
As an owner, you are required by law to provide certain benefits for the welfare of your
employees. You may have to match the Social Security taxes your employees pay and obtain
a worker's compensation insurance policy. If you terminate an employee, you may have to
funds to extend his health insurance.

Hiring and Retention:

19
The benefits an employee receives from his employer for his welfare are often a significant
reason why he decides to accept a job offer. As such, providing employee benefits allow you
to compete with other businesses to recruit and retain qualify employees. If other employers
offer better benefits, good employees may choose to go there.

Employees Motivation:
By providing a plan that's good for employees' welfare, you show them that you value them.
This can help make them feel welcome and happy in your company, motivating them to work
harder. If your health plan has wellness coverage and preventative care, employees are more
likely to stay healthy, cutting down on absenteeism and sick days.

Employees' Well-Being:
For companies that have a large base of employees working under stressful conditions or
living away from family, it is important to look at fostering personal happiness and
professional growth. Investing in employees pays dividends in terms of higher productivity
and greater loyalty

Company Image:
Providing a good employee welfare plan reflects well on your business, building a good
company image. It may even earn you some press coverage, giving you free publicity to
improve awareness among potential customers. This may boost your sales and increase your
profits.

Features of Employee Welfare

 Employee welfare is a comprehensive term including various services, facilities and


amenities provided to employees for their betterment.
 Welfare measures are in addition to regular wages and other economic benefits available
to employees under legal provisions and collective bargaining.
 The basic purpose of employee welfare is to improve the lot of the working class and
thereby make a worker a good employee and a happy citizen.
 Employee welfare is an essential part of social welfare. It involves adjustment of an
employee's work life and family life to the community or social life.
 Welfare measures may be both voluntary and statutory.

WHO PROVIDE THE WELFARE ?


Its depend upon the level of employees. Top level employee may not get all the facility.
Welfare is provided by the organization.

Where the welfare is given ?

Welfare is given in the Organisation. It is also given in the field and manufacturing
industries.

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When it is provided ?

Welfare is given when it is required. As per the statutory obligation company is bound to give
the welfare because it is as per the low.

How the welfare is given ?


Welfare is given in two ways:

1) Direct or Indirect component.


2) Financial component or non financial component.

Employee Welfare - Types of Welfare Facilities

Welfare facilities can be largely categorized into two types:

 Intramural facilities: These are provided within the establishment such as rest centers
canteen, uniforms.
 Extramural facilities: These are activities which are undertaken outside the
establishment such as child welfare, transport facility etc.

Examples of Welfare Facilities


Intramural Facilities Extramural Facilities

 Drinking water  Housing


 Toilets  Education facilities
 Creches  Maternity benefits
 Washing & bathing facilities  Transportation
 Rest shelters  Sports facilities
 Uniforms  Leave travel
 Protective clothing  Vocational training
 Recreating facilities  Holiday homes
 Canteens  Cooperative stores
 Subsidized food  Fair price shops
 Medical aid  Social insurance

STATUOTORY PROVISIONS:
Employees are required to offer welfare facilities to workers under different labour laws
.These are discussed as follows.

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THE FACTORIES ACT, 1948:
 The act provides the following services to workers :
 Washing facilities to male and female workers separately.
 Facilities for storing and drying clothes.
 Facilities for occasional rest for workers who work in a standing position for long
hours.
 First-aid box or cupboard-1 for every 150 workers and the ambulance facility if there
are more the 500 workers.
 Canteen where there are more 250 workers.
 Shelter rest room and lunch rooms where over 150 workers are employed.
 Creches, if 30 or more workers are employed.
 Welfare officers ,if 500 or more women workers are employed.

WELFARE
Following provisions under Chapter (v) of the Act, relate to the measures to be taken for the
welfare of workers.

(i) Washing facilities


Section 42 provides that every factory should provide and maintain adequate and suitable
washing facilities for its workers. For the use of male and female, such facilities should be
separate and adequately screened. Such facilities should be conveniently accessible for all
workers and be kept in a state of cleanliness. The State Government is empowered to make
rules prescribing standards of adequate and suitable washing facilities.

(ii) Facilities for storing and drying clothing

Section 43 empowers the State Government in respect of any factory or class or description
of factories to make rules requiring the provision, therein of (i) suitable places for keeping
clothing not worn during working hours,and (ii) for drying of wet clothing.

(iii) Facilities for sitting

There are certain operations which can be performed by the workers only in a standing
position. This not only affects the health of a worker but his efficiency also.
According to Section 44(1), every factory shall provide and maintain suitable facilities for
sitting, for those who work in standing position so that they may make use of them as an
when any opportunity comes in the course of their work. If, in the opinion of the Chief
Inspector, any work can be efficiently performed in a sitting position, he may direct, in
writing, the occupier of the factory, to provide before a specified date such seating
arrangements as may be practicable, for all workers so engaged. The State Government, may
by a notification in the Official Gazette, declare that above provisions shall not apply to any
specified factory or any manufacturing process.

(iv) First aid appliances

As per Section 45, the following arrangements should be made in every factory in respect of
first-aid facilities.

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(1) Provision of at least one first-aid box or cup-board, subject to following conditions, for
every 150 workers ordinarily employed at any one time in the factory.
(2) It should be equipped with prescribed contents and nothing else should be stored in it.
(3) It should be properly maintained and readily accessible during all working hours.
(4) A responsible person who holds a certificate in first-aid treatment, recognised by the State
Government should be made the in-charge of such first-aid box or cup-board. Such a person
should be readily available during working hours of the factory. Where there are different
shifts in the factory, a separate person may be appointed for each shifts provided he is a
responsible person and trained in first-aid treatment.
(5) Where more than 500 workers are ordinarily employed in a factory, an ambulance room
should be provided and maintained by every such factory. Such room should be of prescribed
size containing prescribed equipments and is in charge of such medical and nursing staff as
may be prescribed.

Lesson 1 Factories Act, 1948 27

(v) Canteens

(1) The State Government may make rules requiring that in any specified factory wherein
more than 250
workers are ordinarily employed, a canteen shall be provided and maintained by the occupier
for the use of workers.
(2) Such rules may relate to any of the following matter:
(i) the date by which canteen shall be provided;
(ii) the standards in respect of construction, accommodation, furniture and other equipment of
the canteen;
(iii) the foodstuffs to be served and the prices to be charged;
(iv) the items of expenditure in the running of the canteen which are not to be taken into
account in fixing the cost of foodstuffs and which shall be borne by the employer;
(v) the constitution of a Managing Committee for the canteen and the representation of the
workers in the management of the canteen; and
(vi) the delegation, to the chief inspector, subject to such conditions as may be prescribed, of
the power
to make rules under clause (iii). (Section 46)

Employees working in canteens in industrial establishments run by Managing


Committee are not employees of the Managing Committee, but are employees of
occupier (Kanpur Suraksha Karmachari Union v. Union of India, AIR 1988 SC).

Where the statute casts an obligation to own a canteen in the factory, and the establishment
runs a canteen through a contractor who brings the workers for the canteen would be part and
parcel of the establishment and the canteen workers would be deemed to be regular
employees of the establishment entitled to arrears of salary and other monetary benefits
(Tamil Manila Thozilalar Sangam v. Chairman TNEB, 1994 CLA 34
Mad. 63.)

(vi) Shelters, rest rooms and lunch rooms

23
The provision of some sort of shelter is a must, where the workers can take their meals
brought by them during rest interval. The following provisions under Section 47 of the Act
have been made in this respect:

(1) In every factory where more than 150 workers are ordinarily employed, the occupier
should make adequate and suitable arrangements for shelters or rest rooms and lunch-room
with provision of drinking water where the workers can take rest of or eat meals brought by
them. However any canteen which is maintained in accordance with provisions of Section 45
shall be regarded as part of the requirements of this sub-section. Where a lunch room exists
no worker shall eat any food in the workroom.

(2) Such places should be equipped with the facility of drinking water.
(3) Such places should be sufficiently lighted, ventilated and kept in cool and clean
conditions.
(4) The construction and accommodation, furniture and equipment of such place should
conform to the standards, if any, laid down by the State Government.
By a notification in the Official Gazette, the State Government may exempt any factory from
the compliance of these provisions. Further, where any canteen is maintained under Section
45, then provision of such shelter room, etc., is not necessary. 28 EP-IL&GL

(vii) Creches

Following provisions have been made in respect of creches in the factories:


(1) In every factory wherein more than 30 women workers are ordinarily employed, the
facility of suitable
room or rooms should be provided and maintained for the use of children under the age of six
years of such women.
(2) There should be adequate accommodation in such rooms.
(3) These places should be sufficiently lighted and ventilated and kept in clean and sanitary
conditions.
(4) Women trained in the case of children and infants should be made incharge of such
rooms.
The State Government is empowered to make rules in respect of following matters:
(1) Location and standards in respect of construction, accommodation, furniture and other
equipment of such places.
(2) Provisions of facilities for washing and changing clothing of children or any other
additional facility for their care.
(3) Provisions of free-milk or refreshment or both for children.
(4) Facilities for the mothers of such children to feed them at suitable intervals in the factory.
(Section 48)
Test your knowledge
(viii) Welfare officers

According to Section 49(1), in every factory wherein 500 or more workers are ordinarily
employed, the occupier should employ such number of welfare officers as may be prescribed.
The State Government is empowered to prescribe the duties, qualifications and conditions of
service of such welfare officers. The provisions of Section 49 also apply to seasonal factories
like sugar factories etc.
The State Government is empowered to lay down rules as to the conditions of service of
welfare officers. The conditions of service may include matters in respect of pay grades,

24
period of probation and confirmation, dismissal or termination or retirement etc. In the case
of Associated Cement Cos. Ltd. v. Sharma, A.I.R. 1965 S.C. 1595,
the Supreme Court held that Rule 6 of Punjab Welfare Officers Recruitment and Conditions
of Service Rules, 1952, requiring the concurrence of the Labour Commissioner before the
management can dismiss or terminate the services of Welfare Officer is not ultra vires.

The Plantation labour act, 1951:


The Act provides for the following :-

 A canteen if 150 or more workers are employed.


 Creches if 50 or more workers are employed.
 Recreational facilities for workers and heir children.
 Educational arrangements in the estate if there are 25 or more children of workers,
between the age of 6&12.
 Housing facilities for every workers and his family residing in the estate.
 Medical aid to workers and their families; sickness and maternity allowance.
 Providing umbrellas, blankets ,raincoats to workers as a protection against rain or
cold –as prescribed by the state Government.
 Welfare officer , if 300 or more workers are employed.

The motor Mines Transport Workers Act,1961:

The act contains the following provisions:

 First aid equipment in each transport vehicle.


 Medical facilities at the operating and halting centers.
 Canteen if employing 100 or more workers.
 Comfortable, rain coats to conductors, drivers, and line checking stuff for protection
against cold and grain.
 Prescribe amount of washing allowance to the above stuff members.

The Contract labour (Regulation and Abolition) Act,1970:


The act requires the contractor to extend the following benefits to workers :-

 Canteens,if employing 100 or more workers.


 Rest rooms or other suitable alternative accommodation where a contract labour
is required to halt at night in connection with the work of an establishment.
 Washing facilities.
 First aid boxes equipped with prescribed contents.

25
WELFARE FACILITIES PROVIDED BY NALCO
NALCO MEDICAL EXAMINATION RULES 2006.
Ref.No.8.1(a) Date 22.01.2007

Title NALCO MEDICAL EXAMINATION RULES’


2006
th
Approved By Board of Directors 212 Meeting held on 22.01.2007

Effective Date 22.01.2007

Replaces/Modification Clarification

1. SHORT TITLE AND COMMENCEMENT:

These Rules may be called NALCO Medical Examination Rules 2006 and shall come into
force with immediate effect.

2. OBJECTIVE:

The objective of NALCO Medical Examination Rules is to prescribe nature, contents, norms
and procedures of Medical Examination for determining the medical fitness of a candidate for
appointment in the Company.

3. DEFINATION:

(i) “Company” means National Aluminium Company Limited


(ii) “Authorised Medical Officer” means the Medical Officer of the Company nominated by
the Chief Medical Officer / Head of the Hospital of the Company specifically for the purpose
of conducting medical examination and certifying a candidate as medically fit or unfit or
temporarily unfit.
(iii) “Competent Medical Authority” means the Chief Medical Officer / Head of the
hospital of the Company.

4. SCOPE AND COVERAGE:

(i) The NALCO Medical Examination Standards, norms & procedures laid down there under
will be applicable for appointment to all categories of posts in the Company including that of
Mines & Trainees inducted against regular vacancies.
(ii) All the newly selected candidates in order to be eligible for appointment in the service of
the Company, shall be required to undergo Medical Examination under these Rules and

26
produce a medical fitness certificate as may be prescribed under these rules from time to
time.
(iii) To be considered fit for employment, the candidate must be in good mental and physical
health and free from any physical defect likely to interfere with the efficient performance of
the duties.
(iv) Employees of the Central/State Govt./Public Sector Undertaking joining the service of
the company on deputation will not be covered under these rules.

5. CLASSIFICATION:

For the purpose of medical examination and issue of fitness certificate the jobs have been
classified in to the following categories.
(i) Category-A - Technical / Engineering services, Mining,

Telecommunication, Fire services and such other operation and maintenance jobs
(Persons engaged in Engineering and Maintenance services, Mines employees, all types of
vehicle drivers, Operators, Skilled Workers inside plant / Mines and township, Chargeman,
Foreman, Laboratory Assistant, Technicians, Chemist, Safety personnel, all unskilled
employees engaged in Operation and Maintenance jobs inside the plant/Mines, Construction
Workers inside the plant, Doctors /Para-medical staffs, System personnel etc.)

(ii) Category- B - Non-Technical Services

(Finance & Accounts, Materials, Marketing, HRD Administration, unskilled workers


employed in township, Canteen, Horticulture, Ministerial staff etc.)

NOTE:- Indicated service functions under categories ‘A’ & ‘B’ above are illustrative only
and not exhaustive.

6. NORMS AND STANDARDS:

Medical fitness of the candidates will be determined on the basis of Medical Examination to
be conducted with reference to the manner and medical standards and norms as laid down in
Schedule –‘A’

7. PROCEDURES FOR MEDICAL EXAMINATION:

(i) Medical Examination as prescribed in these rules will be conducted by the Authorized
Medical Officer of the Company nominated specifically for the purpose by the Chief Medical
Officer/Head of Medical Department, of the concerned Unit, who will be the only authority
competent to certify a candidate as medically fit in respect of all appointments made in the
unit or establishment concerned.

(ii) Medical fitness of the candidates by a Doctor/ Medical Practitioner other than the
Authorised Medical Officer of the Company will not be permitted. For this purpose the

27
Company’s Medical Officer’s report shall be considered as final. In exceptional cases,
however, where the Unit Head i.e. Executive Director/Head of the Complex is satisfied that
there might have been an error of judgment in the decision of the Authorised Medical Officer
as Countersigned by the Competent Medical Authority, he may, at his discretion refer the
case for re-examination to the Medical Board.

(iii) In Units/Offices where no facilities exist for conducting some or any of the medical tests
the candidates may be referred to the Company’s empanelled hospitals/ diagnostic Centres
for the same. On receipt of the medical report the Authorised Medical Officer will declare the
candidate fit or unfit or temporarily unfit on the basis of medical standards laid down under
these Rules.

(iv) The Authorised Medical Officer may at his / her discretion obtain the opinion of a
Specialist of the Company as and when required. If necessity arises, the specialist may seek
the advice/ opinion of Super Specialist of Govt. / Recognized Hospitals.

(v) The Authorised Medical Officer will submit the medical examination report and the
medical certificate of fitness in the prescribed proforma to the Competent Medical Authority,
declaring the candidate either ‘ fit’ or ‘unfit’ or ‘temporarily unfit’. On satisfying himself that
the medical reports are correct and complete in all respects, the competent Medical Authority
will countersign the documents and retain the medical report for the hospital records and
forward the medical certificate of fitness to the HRD Department. However, in respect of the
candidates to be employed in the Mines, the medical examination report will be as per FORM
– ‘O’ of Mines Act. 1952 and the rules made there under.In order to facilitate transfers
between Mines and other Units, the standards of medical fitness is so chosen as to include the
minimum standards specified under Mines Rules-29(F).

(vi) Where a candidate has been declared ‘temporarily unfit’ by reasons of short term
sickness, which is curable within a period of six months, the candidate will be informed by
the HRD Dept. of the disease or defect in the prescribed form along with the intimation that
he will be required to undergo a re-examination maximum within six months from the date of
his being declared ‘temporarily unfit’. At the time of re-examination he will be required to
produce proof of treatment and a certificate of cure from the Doctor who treated him for the
disease for which he was declared ‘temporarily unfit’. On satisfying himself that the short
term sickness is cured the Authorized Medical Officer in consultation with the concerned
Specialist of the Company will certify that the candidate is medically fit, which will be
counter signed by the Competent Medical Authority.

(vii) Where a candidate is declared ‘Unfit’, the result of the medical examination together
with the reasons, as recorded in the certificate of the Competent Medical Authority, will be
communicated to him by the HRD Department.

(viii) To determine the medical fitness or otherwise of a person for appointment in the service
of the Company is the sole and exclusive discretion of the management. However, in
exceptional cases, where on an appeal and on the basis of evidence produced before him the
Unit Head /Unit In-Charge is satisfied that there might have been an error of judgement in the
decision of the Authorized Medical Officer as countersigned by the Competent Medical
Authority, he may, at his discretion, refer the case for re-examination within four weeks from
the date of the medical examination by a Medical Board. The Medical Board will be
constituted comprising of Chief Medical Officer / Head of the Hospital of the Unit and two

28
other Company Doctors. The Board may seek opinion of the Super Specialist of NALCO
empanelled hospitals, if necessity arises. The Medical Board will give its report within one
month from the medical examination of the candidate.

(ix) In case of a female candidate, a lady Medical Officer/ Staff Nurse duly authorized by the
chief Medical Officer will be present at the time of Medical Examination.

8. RELAXATION FOR PHYSICALLY HANDICAPPED PERSONS:

(i) Apart from due compliance with the directives of the Government in this regard, NALCO,
as a Central Public Sector Enterprise accepts it as an important social obligation to make
every endeavour to provide employment to the handicapped persons in selected areas where
such persons can perform their specified duties with reasonable efficiency and without undue
physical strain or hazard. The specific jobs in which the handicapped may be gainfully
employed and the nature and extent of relaxation of medical standards and norms with
reference to each job will be notified by the Company from time to time.

(ii) Where a handicapped person is selected through an open competition he may be declared
‘handicapped but fit’ if:

(a) Except for the handicap he otherwise satisfies all other physical standards as prescribed in
these rules; and
(b) Considering the nature of duties and responsibilities of the job, location, hazard, strain
and other factors, the handicap is not likely to interfere with the performance of duties of the
post with reasonable efficiency and without possible deterioration of his physical and mental
health.

9. MEDICAL EXAMINATION FOR SERVING EMPLOYEES:

(i) All the employees working in the hazardous areas as defined in the statute should be
examined once in a year and others once in two years.

(ii) Where the Competent Authority has reasons to believe that a serving employee is
suffering from a contagious disease or a physical or mental disabilities, which in his opinion
is likely to interfere with the efficient discharge of his duties he may direct the employee to
undergo a fresh Medical Examination by a duly constituted Medical Board.

(iii) The employees who are considered unsuitable to perform their jobs may be rehabilitated
in an alternative job wherever possible. However, name of the employees who are not found
fit to perform any kind of job will be communicated to the Management for further necessary
action.

10. RELAXATIONS:

Relaxation of any of the medical standard as laid down herein will require the specific
approval of the Chairman-Cum-Managing Director.

11. INTERPRETATIONS:

29
In case of doubts or disputes regarding the interpretation of any of the provisions of these
rules and the schedule, such doubts or disputes will be referred to the Chairman-Cum-
Managing Director, whose decision in the matter shall be final.

12. AMENDMENT:

These Rules may be amended or modified at any time by the Chairman-Cum-Managing


Director.

NALCO MEDICAL ATTENDANCE RULES:


Ref. No 8.1 Dated

Title Nalco Medical Attendance Rules.

Approved By Board of Directors

Effective Date 29-05-91

Replaces/Modification Clarification

8.1.1.0 :Title and Extent of Application:


8.1.1.1 -These rules shall be called the “NALCO MEDICAL ATTENDANCE RULES”.

8.1.1.2-These rules shall apply to all the employees of the Company other than `Casual
Employees’ and those governed by E.S.I scheme.

8.1.1.3-In regard to employees of the Company who are on deputation from Central/State
Governments or other Undertakings and their families, these rules would normally apply
unless under the terms and conditions of deputation they are to be governed by any other
rules.

8.1.1.4- These rules do not apply to those who will be eligible for the concession envisaged
under E.S.I scheme. However, pending introduction of the E.S.I scheme those employees
who are likely to be governed by the scheme may be provided with the facilities rules with
the clear understanding that the concessions enjoyed during this interim period, under these
rules, will not prejudice in any way the obligations imposed by the E.S.I Act and the rules
made there under.

8.1.1.5- The Company may extend the provisions of these rules to such employees posted at
other places, within India, as may be decided by the Company from time to time.

8.1.2.0 -Date of Coming into Effect:

30
These rules shall come into effect immediately and shall supersede all rules and adhoc
orders in existence governing the medical attendance and treatment of the employees
of the Company.

8.1.3.0 -Definition: In these rules unless there is anything repugnant in the subject
or context8.1.3.1 “Authorised Medical Attendant” for any category of employees
means a medical attendant of the Company/Government, Railway, Public Sector
Undertaking or local authority, hospital who is a qualified medical graduate or
Licentiate in allopathic treatment

Note: For employees posted at Bhubaneswar/Mumbai/New Delhi/Kolkata/ Chennai


/Bangalore/Vizag, a registered Medical graduate or Licentiate in allopathic treatment
practicing privately will also be considered as ‘Authorised Medical Attendant’, if so
nominated

8.1.3.2 Competent Authority means the Chaiman-cum Managing Director of the


Company.

8.1.3.3 Controlling Medical Officer’ means the Chief Medical Officer of the Company
Projects or any other medical officer or consultant nominated by the Director (P & A) of the
Company for a particular locality or localities where the Company’s staff is employed and no
Company Hospital exists. Where Company Hospital exists “Controlling Medical Officer”
will mean the Chief Medical Officer at the Company Hospital.

8.1.3.4 `Employee’ means an employee of the Company for the time being, other than casual
labour and includes, trainees, apprentices and Government/Public Servants on deputation
with the Company.

8.1.3.5 ‘Family’ in addition to the employee and employee’s spouse includes parents,
unmarried sisters, widowed sisters, minor brothers and legitimate children provided they are
wholly dependent upon and residing with the employee. A widow woman employee recruited
on compassionate ground will have choice to declare either her parents or parents-in-law as
her family members provided their wholly dependent upon and residing with her. The choice
once exercised shall be final. In case of her remarriage to an employee of the Company,
Public Sector Undertakings or Govt. the option will become void.

Where son-in-law/daughter-in-law has been employed in the company as the land


oustee’s nominee, in such cases, in addition to the employee, his/her spouse and
children, the original land oustee (on whose nomination employment has been
provided) and his/her spouse, minor sons and unmarried/widowed daughters will be
eligible to be declared as dependant for the purpose of medical benefits instead of
his/her own parents, unmarried/widowed sisters & minor brothers, subject to fulfilling
other conditions of dependence.
Note:
1. A member of the family shall be deemed to be dependent upon the employee, if
dependent’s income from all sources taken together does not exceed Rs.3000/- per month.
Pension will be taken into account for computation of income in respect of a dependent
family member but Dearness Relief/TI on Pension will not be treated as income. However,
pension will not be taken into account for computation of income in case of dependent
parents.

31
2. A member of the family below 18 year age should be consider as minor for this purpose.
3. In case of trainees and apprentices the treatment is limited to self only.

8.1.3.6 ‘Hospital’ means hospital dispensary, maternity and child welfare centres clinics.

8.1.3.7 Medical Attendance’ means attendance by the authorised medical attendant treatment
and such consultation with the specialist as the authorised medical attendant considers
necessary

8.1.3.8 `Pay’ means the basic pay plus D.A and includes officiating pay, personal pay, special
pay and any other emoluments which may be specifically classified as pay

8.1.3.9 Registered Medical Practitioner shall include private practitioner who shall be a
registered medical graduate or licentiate in allopathic treatment and qualified
in western system of medicine, the term does not include the practitioner of the Ayurvedic,
Unani and homeopathic system of medicine.

8.1.3.10 Treatment means the employment of medical and surgical facilities as are
considered necessary by the medical attendant and includes:-

8.1.3.10.1 The employment of pathological, bacteriological, radiological and other


methods

8.1.3.10.2 The supply of medicines, vaccines, sera or other therapeutic substances;

8.1.3.10.3 Ordinary dental treatment except supply of dentures, crown work, bridge work,
orthodontic work and other specialised dental work;

8.1.3.10.4 Testing of eye-sight of employee once in three years. or of tender if facilities are
available in the Company hospital, except supply of glasses for defective eye sight.

8.1.3.10.5 Prenatal confinement and post natal treatment in the case of female patients;

8.1.3.10.6 Antirabic treatment;

8.1.3.10.7 Ordinary nursing and hospital accommodation

MEDICAL ATTENDANCE & TREATMENT IN LOCALITIES

8.1.4.0 An employee and the members of his/her family shall ordinarily be entitled to free
medical attendance and treatment as is available in the Company hospital at the place where
the patient falls ill, on production of an identity card. Where the nature of the illness and the
condition of the patient warrants, the authorised Medical Attendant/Controlling Medical
Officer may, in his discretion, authorized additional medical facilities in the manner and on
the conditions set out in Rule 8.1.5.0 to 8.1.5.11 below. 8.1.5.0 Consultation with a Medical
Attendant of Higher Status of Specialists The authorised medical attendant can, in his
discretion consult or refer a case to medical attendant of higher status available at the
hospital. He may also, with the prior approval of the controlling Medical Officer, consult a

32
specialist in the particular disease who may be available on the staff of the nearest
Government Hospital/public sector Hospital run by the local authorities/Railway
hospital/Medical college, within India or failing that a private specialist at his hospital or
clinic. Any charge for such consultation, as also for any necessary treatment that may be
prescribed by the specialist, shall be paid or reimbursed by the company as per the prescribed
rates.

8.1.6.0 Procurement of Medicines etc. from outside source: The use of items which are not
medicines but are primarily foods, tonics, toilet preparations or disinfectants is not
admissible. The use of expensive drugs, tonic, laxatives and other elegant and preparatory
preparations is to be avoided when drugs if equal therapeutic value are available in the
company Hospital. Subject to this, where any special medicines, or other methods of
diagnosis and treatment, covered by Rule 8.1.3.1.0 are not available in the hospital, the
Controlling Medical officer, may arrange to obtain from outside sources or issue a purchase
slip with due certification of non-availability of the item over the slip for purchase of such
items from outside sources and authorised reimbursement of the costs by the company.

8.1.7.0 Special Nursing:- Where special nursing is not available in the company hospital
becomes necessary for recovery/prevention of serious deterioration in the condition of the
patient, the authorised medical attendant with the recommendation of the Controlling Medical
Officer and approval of the competent Authority may arrange for such nursing. The cost of
such nursing shall borne by the company subject to the rates prevailing in AIIMS, New
Delhi.

8.1.8.0 Treatment Of Infectious Disease:


Where the Government, Railway, Public Sector Undertaking/Local authorities have not made
immunising or prophylactic arrangements in respect of infectious or communicable diseases
or epidemics e.g. Plague, Cholera, Typhoid, group of fever (T.B.) Diptheria, Whooping
Cough, etc. the controlling Medical Officer may, in his discretion, arrange such treatment of
the staff and their family members generally or for an individual patient from Company
hospital resources or from outside. In the latter case, the Controlling Medical Officer would
authorise payment or reimbursement by the Company. This facility would equally extend to
cases of international level undertaken on duty by Company employees, where such
treatment is required by the international travel regulations.

REIMBURSEMENT OF EDUCATIONAL EXPENSES


Ref. No. 8.2 Date 22-12-1984

Title Reimbursement of Educational Expenses for Non-


Executive Employees
Approved By Board of Directors

Effective Date 01-09-87

Replaces/Modification

33
8.2.1.0 REIMBURSEMENT OF EDUCATIONAL EXPENSES, TUITION
FEES AND TRANSPORT SUBSIDY FOR SCHOOL GOING
CHILDREN.

8.2.1.1 The educational expenses incurred by the employees in respect of their own
dependent children will be reimbursed @Rs.25/- per month per child up to two children
reading in Company aided schools or where reimbursement of tuition fees as per para- 8.2.1.2
if not claimed.

8.2.1.2 For the employees not availing the educational facilities for their children in Company
aided schools will be entitled for reimbursement of tuition fees up to two children pursuing
regular studies up to and including Graduation level subject to a maximum of Rs.165/- per
month per child of the employees working at Angul and Damanjodi and Rs.330/- per month
per child at other locations/offices of the Company w.e.f. 05.09.2001 in case of Non-
executives & 22.10.2001 in case of Executives. It is clarified that the word ‘Tuition Fees’
would include all the fees charged by the school on monthly basis except school bus fees.
The tuition fees may be reimbursed on production of documentary evidence as per existing
practice.

Subsequently, it has been decided that the ceiling for reimbursement of tuition fees will be
Rs.330/-per month per child for Graduation level studies irrespective of Place of posting
from the academic year 2003-2004. However, the reimbursement limit of tuition fees up to
+2 level studies will be continued to be based on place of posting of the concerned employee.
8.2.1.3 Reimbursement of Educational Expenses/Tuition Fees will also be admissible in case
of children who are in receipt of Nehru Memorial Scholarship. This will be effective from the
academic year 2002-2003.

8.2.1.4 Employees not availing Company bus facility or where the Company has not provided
bus facility for movement of their children will be entitled for reimbursement of Transport
Subsidy @Rs.67/- per month per child at Angul & Damanjodi and @Rs.90/- per month per
child at other locations/ offices of the Company w.e.f. 05.09.2001 in case of Non-executives
th
& 22.10.2001 in case of Executives for attending the schools up to 10 Standard subject to a
maximum of two school going children.

8.2.1.5 Reimbursement of Educational Expenses, Tuition fee and Transport Subsidy will be
made on month to month basis along with monthly salary on the basis of the annual claim of
the employee at beginning of an academic year. Immediately after start of the academic
session, the employee concerned may apply for reimbursement in duplicate to the HRD
st
Department as per Annexed Form duly supported by the 1 month’s Tuition Fee receipt
st
issued by the School. The 1 copy of the claim (together with enclosures) will be forward by
nd
the HRD/ Administration Department to Finance Department after due verification. The 2
copy will retained in HRD Department for record/reference. On basis of this
declaration/claim reimbursement for a particular class will be made on month to month along
with the salary till end of academic session. If for any reason the study is discontinued by the

34
child during an academic session, the employee shall immediately intimate the same in
writing to the HRD & Finance Department for stoppage of reimbursement.
(Authority – Circular No:CHRD/RR/0012.5(B)/442/98, dated: 02.02.1998.

GRANT OF NEHRU MEMORIAL SCHOLARSHIP TO


CHILDREN OF THE EMPLOYEES

Ref. No. 8.3 Date 12-11-1984

Title Grant of Nehru Memorial Scholarship To


Children of the Employees
Approved By Board of Directors on 11-09-84.
Effective date Academic Year 1984-85
Replaces/Modification/ M-1-17-01-90
Clarification

8.3.1.0 Objectives:

The scheme is intended to encourage and facilitate higher education of meritorious children
of the permanent employees on merit basis.

8.3.2.0 Scope:

8.3.2.1 The scheme covers the legitimate children/step children of the permanent / Regular
employees who are dependent on such employees.
8.3.2.2 The scholarship will be awarded to the students who join regular recognized
degree/diploma or equivalent courses in Engineering, Architecture, Medical including
Dentistry, Agricultural and Veterinary Sciences, Pure Science, Social Science, Commerce,
th
Business/Personnel Management and Humanities, Pre-University, Intermediate and 11 or
th
12 class under the two plus three years system. Students who are prosecuting
higher/professional study in the above courses in any recognized College/University/
Technical Institutes, Higher Secondary School are eligible for the award of the scholarship.
8.3.3.0 Number and amount of scholarship:
8.3.3.1 The number and amount of scholarship are as under:

Sl. No. Course No. of Amount of


scholarships Scholarships
per month

35
(a) (i) Degree or equivalent course in Engg., 65 Rs.1000
Architecture, Medical Science including
Dentistry, Agriculture,Vetenary Sciences,
B.Pharma of 04 years duration and other
4 years Degree or equivalent course after
passing +2 examination.
(ii) Post Graduate Degree/Diploma courses
of two years duration in any of the above 10 Rs.1000
discipline as well as for prosecuting
higher studies in Institutes like IIMS,
XLRI, XIM.
(b) (i) Post Graduate Degree/Diploma in Arts, 20 Rs.650
Science, Commerce, Law, Management,
Public Relations, Journalism, Industrial
Relations etc.
(Students admitted to the above courses
after passing Graduation
(ii)
Degree course in pure Science,
Commerce, Humanities, Law. 25 Rs.600

(c) (i) Pre-University, Intermediate or 50 Rs.350


equivalent and 11th class under 2+3 years
system.

(ii) Vocational Study only. 20 Rs.350

Diploma in Engineering/Hotel
(iii) Management Catering/ Other 15 Rs.350
professional Diploma course after school
final.

TOTAL 205

8.3.3.2 The unutilized quota against one type of scholarship can be utilized for the other type.

8.3.3.3 A maximum number of 205 scholarships will be sanctioned in an academic session


(July to June) on merit basis only.

8.3.3.4 Twenty percent of scholarships will be reserved for SC/ST students. However, where
adequate number of SC/ST students is not available, the unutilized quota may be used for
other students.

8.3.4.0 Eligibility Condition:

8.3.4.1 The scholarship will be granted only to those students who start a specific

36
course and not to those who apply for it after having already entered into the course.

8.3.4.2 The employees who join afresh whose children have already entered a specific course
will also be eligible for scholarship. However, the scholarship in such case will be restricted
from the specific academic year in which the employee has joined the Company till the
period of the study. The amount of the scholarship would be paid from the month of joining
of the employee.

8.3.4.3 The employee who join the Company on transfer/deputation will be eligible for the
scholarship provided such a scheme exists in their parent organisation and their wards were in
receipt of such scholarships.

8.3.4.4 Merit Scholarships are open to all permanent/ regular employees.

8.3.4.5 In order to be eligible for the Scholarship, the student should have secured at least the
required marks in the qualifying examinations for pursuing different type of course.

8.3.4.6 Inability of the employee to continue in employment in the Company on account of


death, or disability caused by accident and superannuation/ voluntary retirement will not
disqualify his child from continuing to receive the scholarship subject to other conditions of
eligibility. In such case a scholarship will continue to be given till the end of the course.

8.3.4.7 Where the service of an employee come to an end on account of resignation, dismissal
or termination for reasons other than those stated in the preceding paragraph, the scholarship
shall be discontinued forthwith.

8.3.4.8 The scholarship shall be discontinued in case of discontinuance of studies, non-


appearance at the examination otherwise than medical ground supported by certificate by
registered medical practitioner and unsatisfactory report from the head of the institution.

8.3.4.9 The award of scholarship will be limited to two children of an employee at a given
point of time. No scholarship will be granted mid-way through a particular course.

8.3.4.10 Change of course is allowed in case the ward changes the course in the first year
itself and the fact that he has applied for more than one course, which has also been
mentioned by the employee in the application form while applying for scholarship.

8.3.5.0 Procedure:

8.3.5.1 Application for grant of scholarship will be invited by the Corporate HRD
Department in July every year. The application will be placed before a selection committee
appointed by the Chairman-cum-Managing Director.
8.3.5.2 Selection for award of scholarships will be made by the Chairman-cum- Managing
Director on the basis of the recommendation of Selection Committee. In addition to other
factors the Selection Committee will take into consideration the number of applications
received in each group i.e. CBSE, ICSE and State Board and recommend for award of

37
scholarship on pro-rata basis with minimum one scholarship for each group/discipline.
Similar procedure may be followed in case of other groups.

8.3.5.3 Head of the institution will be requested to send to the Company a six-monthly report
on performance and conduct of the student. The concerned employee, shall also furnish the
results of the annual examination to Corporate HRD Deptt. for verification.
st
8.3.5.4 On selection for award of scholarships the disbursement of scholarship for the 1 time
will be made to the students by way of cheque drawn in favour of them in presence of their
th
parents every year in the function held on the NALCO Foundation Day on 7 January or
st
Utkal Divas on 1 April. However, for the subsequent years, the scholarship will be given to
the students in the form of cheque through their parents as and when the application for
renewal of scholarship is received.
8.3.6.0 Effective Date:

8.3.6.1 This scheme will be effective from the academic year 1994-95.
8.3.7.0 Interpretation, Amendment And Variation:
8.3.7.1 The Chairman-cum-Managing Director is competent to make such amendments,
modification, alterations and variations as he deems fit.

8.3.7.2 The scheme may be cancelled/withdrawn at the discretion of the Chairman-cum-


Managing Director at any time without notice/assigning any reason.

8.3.7.3 In case of doubt, the matter will be referred to Chairman-cum-Managing Director for
interpretation, whose decision shall be final

NALCO SCHOLARSHIP SCHEME FOR STUDENTS


PURSUING ENGINEERING DEGREE COURSE

Ref. No. 8.4 Date 29-5-1991

Title NALCO Scholarship Scheme for students


pursuing Engineering degree Course
Approved By Board of Directors Mtg. 29-5-91

Effective Date 1991-92 Academic year

Replaces/Modification Clarification

8.4.1.0 Preamble:

38
In order to encourage and facilitate the outstanding students in pursuing studies leading to
Degree in Metallurgy and Degree in Chemical Engineering, 2 Scholarships one each in
Metallurgical Engineering and Chemical Engineering are instituted.

8.4.2.0 Scope

8.4.2.1 The scholarships under the scheme will be available to the Indian Nationals.

8.4.2.2 The scholarship shall be named as Nalco Foundation Day scholarship.

8.4.2.3 The first scholarship shall be granted to a student who pursues study leading to
Degree in Metallurgy and the second scholarship to the student who pursues studies leading
to Degree in Chemical Engineering.

8.4.3.0 Eligibility:

8.4.3.1 A student who secures the top rank (among opting for metallurgy discipline) in the
joint entrance examination conducted by the Indian Institute of Technology for admission to
the Engineering courses covered there under will be eligible for the first scholarship.

8.4.3.2 A student who secures the top rank (among those opting for chemical engineering
discipline) in the examination conducted under the appropriate authority of Government of
Orissa for admission to the Engineering courses covered there under will be eligible for the
second scholarship.

8.4.4.0 Amount of Scholarship

Each scholarship will be of value of Rs.500/- per month. In addition, each student will be
entitled to receive one grant of Rs.1000/- at the beginning for purchase of books.

8.4.5.0 General Terms:

8.4.5.1 The scholarship shall be valid for the duration of the course from the date of
admission.
8.4.5.2 The amount of this scholarship will be remitted on annual basis to the Head of the
Institution where the student pursues the study. The disbursement may be made by the Head
of the Institution one month to month basis. The annual grant for books will be disbursed at
the beginning of the academic session. This scholarship, however, will not be paid to a
student who is in receipt of any other scholarship for this period of study.

8.4.5.3 The year to year continuance of the scholarship will depend upon the conduct and
performance record of the students and will be subject to the condition that the student
pursues study in the designated branch of the Engineering. The decision of the Head of the
Institution on the conduct and performance of the student shall be final.

8.4.5.4 The vacation projects and the industry related assignments will be carried out by the
students in the units of the Company.

39
8.4.6.0 Saving:
In all matters pertaining to this scheme, the decision of the Chairman-cum-Managing
Director will be final and no appeal shall lie against his decisions.

8.4.6.1 Chairman-cum-Managing Director may alter, vary, amend or discontinue the scheme
at his discretion.

8.4.7.0 Effective Date:

8.4.7.1 The Scholarships will be granted for the courses beginning from the academic year
1991-92.

GROUOP INSURANCE SCHEME

Ref. No. 8.5 Date 15-09-1990

Title Group insurance Scheme For Employees of NALCO

Approved By Board of Directors

Effective Date 01-11-81

Replaces/Modification 28.09.2007

8.5.1.0 Introduction :
8.5.1.1 The scheme known as NALCO Employees Group Insurance Scheme, is arranged to
provide life assurance benefits to the employees of the Company.

8.5.2.0 Definition
8.5.2.1 In these rules, where the context so admits, the masculine shall include the feminine,
the singular shall include the plural and the following word and expressions shall, unless
repugnant to the context have the following meanings:

8.5.2.1.1 “The Company” shall mean National Aluminium Company Limited.

40
8.5.2.1.2 “The Employer” shall mean the company and any other Company or firm may in
future be managed or controlled by or become associated with the Company and which may
agree to become bound by these Rules.

8.5.2.1.3 “The Corporation” shall mean an IRDA accredited Insurer.

8.5.2.1.4 “The Scheme” shall mean National Aluminium Company Limited Employees’
Group Insurance Scheme.

8.5.2.1.5 “The Rules” shall mean the Rules of the Scheme as set out below and as amended
from time to time.

8.5.2.1.6 “The Member” shall mean an employee of the Company who has been admitted to
the membership of the Scheme and on whose life an Assurance has been effected in
accordance with the Rules.

8.5.2.1.7 “Effective Date” shall mean 01-05-1981, the date as from which the Scheme
commences.

8.5.2.1.8 “Entry Date” shall mean (a) in relation to a member admitted to the Scheme on the
Effective date, the Effective date and (b) in relation to a new member to be admitted to the
Scheme after the Effective Date, the1st day of the month which is coincident with or which
next follows the date on which he becomes eligible.
8.5.2.1.9 “Annual Renewal Date” shall mean, in relation to the Scheme, the 01-05-
1982 and the 1st May in each subsequent year.

8.5.2.1.10 “The Assurance” shall mean the assurance effected on the life of the Member.

8.5.2.1.11 “The Beneficiary” shall mean the person or persons who has/have been nominated
by the Member as beneficiary or beneficiaries and whose name or names has/have been
entered in the register of member maintained by the employer for the purpose.

8.5.2.1.12 “Normal Retirement Date” shall mean in relation to the member the date on which
he completes the age of 60 years.

8.5.2.1.13 “Service” shall mean the period of continuous service rendered by the member as
an employee of the employer.

8.5.2.1.14 “Accounting Date” shall mean, in relation to the Scheme, 1st May in each year.

8.5.2.1.15 “Terminal Date” shall mean in respect of each member the annual renewal date
which is coincident with or next following the date on which the member completes the age
of 60 years or on cessation of service whichever is earlier.

8.5.3.0 The Company will act for and on behalf of the members in all matters relating to the
Scheme and every act done by agreement made with and notice given to the Insurer by the
Company shall be binding on the Members.

8.5.4.0 Eligibility:

41
8.5.4.1 The employees who on the effective date are within the following category shall
be eligible to become Members and be entitled to the benefits under the Policy as from the
Effective date:
“Employees who, on the entry date, are aged not less than 18 years and not more that 60
years.”

8.5.4.2 Present employees who on the effective date are within the above category shall
join the Scheme as from that Date. Present employees who are not within the above category
on the Effective Date and the employees appointed by the Employer after the Effective Date
shall join the Scheme on the Entry date which is coincident with or which next follows the
date on which they satisfy the said condition.

8.5.4.3 It will be a condition of service for future employees that they shall become
members of the Scheme on the relevant Entry Date.

8.5.4.4. No member shall withdraw from the Scheme so long as he satisfies the condition
of eligibility described above.

8.5.5.0 Evidence Of age:


8.5.5.1 The Company shall arrange to submit to the Insurer evidence of age in
respect of each member at the time of entry into the Scheme.

8.5.6.0 Premiums:

8.5.6.1. The Company shall pay to the Insurer in respect of each Member on the Entry Date
and the relevant annual Renewal Dates/Accounting Dates such premiums as are required to
secure the benefits under the Assurance effected on his life in accordance with the Rules.

8.5.7.0 Assurances

8.5.7.1 The assurance in respect of the Members shall commence from the Entry Date
and shall be renewable yearly on the subsequent Renewal Date.

8.5.7.3 The Master Policy incorporating the Assurances shall be held by the Company
Upon Trust for the benefit of the persons entitled in accordance with these Rules.

8.5.8.0 Renewal Of Assurances:

8.5.8.1 The Assurances shall be renewed automatically for the sum assured as stated
above on each Annual Renewal Date by Payment of Premium for members who
continue to be in the service of the Employer.

8.5.9.0 Benefits in Death While in Service:

8.5.9.1 Upon the death of a Member whilst in service prior to Normal Retirement Date,
the sum assured shall become payable to the Nominee(s) of the Member.

42
8.5.10.0 Termination Of Assurance:

8.5.10.1 The Assurance on the life of a Member shall immediately terminate upon the
happening of any of the following events:

8.5.10.1.1 discontinuance of payment of premium, or

8.5.10.1.2 the Member retiring on the Normal Retirement Date or

8.5.10.1.3 the Member ceasing to be in the Service of the Company or

8.5.10.1.4 the Member attaining the age of 60 years or

8.5.10.1.5 the Member reaching the Terminal Date or

8.5.10.1.6 the Member joining service in the Armed Forces.

8.5.11.0 Restraint On Anticipation/Or Encumbrance:

8.5.11.1 The benefits assured hereunder in respect of the Member are strictly personal and
can not be assigned, charged or alienated in any way.

8.5.12.0 Discontinuance Or Amendment Of The Scheme:

8.5.12.1 The Company reserves the right to discontinue the Scheme or to amend the
Rules thereof on any Annual Renewal Date, subject to 3 month’s notice being given to the
Insurer.

8.5.13.0 Jurisdiction:

8.5.13.1 All assurances issued under the Scheme shall be subject to the provisions of the
Indian Assurance Act, 1938, as amended, the Estate Duty Act, 1953, as amended, the Income
Tax Act, 1961 and to any legislation subsequently introduced. All benefits under the scheme
arising on the death of any Member shall be payable in Indian Rupees.
8.5.14.0 Master Policy:

8.5.14.1 The Insurer will issue to the Company a single master Policy incorporating all the
Assurances effected under the Scheme.

8.5.15.0 Estate Duty:

8.5.15.1 Where any liability to Estate Duty arises in respect of any benefits, the Company
may apply the benefit or part of it in payment of such duty (including any interest thereon)
and deduct the amount so paid from the benefits or may postpone the payment of the benefits
until the liability has been provided for to their satisfaction. Provided that where the nominee
of a deceased member claiming the benefits hereunder satisfies the Company that duty has
been paid or shall be paid or that no duty is due, the Company shall have the discretion to pay

43
the benefits subject to the Nominee furnishing indemnity or indemnities in the form and
manner specified by them.

8.5.16.0 Nomination:

8.5.16.1 In the event of death of the Member whilst in service, the sum assured under the
Assurance on his life shall become payable to the Nominee(s) of the Member. The sum
assured in respect of the deceased member shall be paid in one lump-sum.

8.5.17.0 Rate Of Premium And Conditions Of Assurance:

8.5.17.1 The rates of premium and conditions of Assurance under which the Insurer is
prepared to arrange the Scheme shall be subject to an agreement between the Company and
the Insurer. The conditions of Assurance and rates of premium may be modified by the on
any Annual Renewal Date, Subject to 3 months’ notice being to the Company.

NALCO BENEVOLENT FUND SCHEME

Ref. No. 8.6 Date 11-12-1987

Title NALCO Benevolent Fund Scheme.

Approved By Board of Directors Meeting held on 20-11-87

Effective Date 20/11/1987

Replaces/Modification/ M1-13.11.2001/ M2-11.11.2011


Clarification

8.6.1.0 Objectives:
8.6.1.1 To provide financial assistance to families of the members of the scheme who die
while in employment in the Company.

8.6.1.2 To provide any other benefit as may be included in the scheme from time to time for
the benefit of the member.

8.6.2.0 Scope:

8.6.2.1 The NALCO Benevolent Scheme hereafter called “the Scheme” covers all

44
employees on permanent employment of the Company (other than causal or daily rated,
temporary, contractual and deputationist employees) who enroll as members of the scheme.

8.6.2.2 The Trainees inducted against the regular stipendary training scheme for
employment in the regular establishment of the Company, are deemed to be employees for
the purpose of the Scheme.

8.6.3.0 Membership:

8.6.3.1 The membership of the scheme is voluntary.

8.6.3.2 An employee may become member of the scheme by making an application in


the form at Annexure 8.6.1. The membership application shall authorise the Company to
recover contribution from the salary of the employee under the scheme.

8.6.3.3 Membership is irrevocable so long as the employee continues in the service of


the Company. (The company for the purpose of the scheme is National Aluminium
Company , Bhubaneswar, and all transactions for the purpose will be coordinated by a
responsible officer to be nominated by the Chairman-cum Managing Director of the
Company).

8.6.3.4 The membership will cease immediately on termination of the employment of


the member form the Company for any reason whatsoever. During the period of suspension
of a member, recovery will be suspended, his membership continuing with the scheme. The
employees on rolls of the Company who wish to be members shall apply within 90 days
from the date of the scheme comes into force, where a person joins the Company after the
Scheme comes into force, he shall have to apply for the membership immediately on joining
the Company along with joining time formalities.

8.6.4.0 Income of the Fund:

8.6.4.1 The source of income of the fund will be the contribution by members @ Rs.30/- per
member per death, in the event of death of a member while in the service of the company
and matching contribution by the Company i.e. the National Aluminium Company Limited
@ Rs.30/- per member per death as on the last date of the preceding month of death.
8.6.4.2. All payment due under the scheme shall be made by the Company.

8.6.5.0 Benefit:

8.6.5.1 In case of death of any member of the scheme, the fund will sanction a benevolent
grant to the nominee of the deceased member, calculated @ Rs.60/- per member of the
scheme as on the last date of the preceding month. The sum of Rs.60/- will include members
contribution of Rs.30/- per death and a matching contribution of the Company. Where there is
no surviving nominee or an employee has failed to nominate the beneficiary, the benevolent
grant will be disbursed to a family member in order of preference indicated below.
a) Spouse of deceased member; or
b) Dependent children of the deceased member in equal proportion; or
c) Parents of deceased member in equal share; or

45
d) Minor Brothers and Sisters of deceased member in equal share.
8.6.5.2 The Company shall disburse the benevolent grant to the nominee within a period of
90 days after death of a member.

8.6.6.0 Dissolution:

8.6.6.1 The Scheme can not be discontinued except with the prior sanction of the Chairman-
cum-Managing Director of the Company.

8.6.6.2 The scheme can be modified/amended with the approval of the Chairman-cum-
Managing Director of the Company. In the event of any doubt or dispute under the scheme,
the decision of the Chairman-cum-Managing Director of the Company shall be final and
binding.

ASSISTANCE TOWARDS FUNERAL EXPENSES FOR


EMPLOYEES IN CASE OF DEATH

Ref. No. 8.7 Date

Title Assistance towards funeral expenses for


employees in case of death
Approved By

Effective Date

Replaces/Modification/Classification CHRD/RR/003.17/4208/99,dtd: 07.08.1999

As a part of moral and social obligation, Company has been extending some assistance to the
bereaved family of the deceased employee. It has been now decided to adopt the following
guidelines for providing funeral assistance.

8.7.1.0 ASSISTANCE:

8.7.1.1 A sum of Rs.10,000/- shall be paid as an ex-gratia assistance towards funeral


expenses of employees, whether the death is caused by accident arising out of or in the course
of employment or due to natural causes.
The payment will be made to the nominee (next of kin of deceased employee). In case next of
kin is not available, payment may be made to friends or neighbours who are making
arrangements for the funeral.

46
8.7.1.2 Transport for the funeral, if requested by the next of the kin of the deceased employee
may be provided without any charge for a distance from the headquarter to hometown as
declared by the deceased at the time of initial appointment or latest hometown whichever is
less.

8.7.1.3 In case of death of an employee while on duty, a representative of the Chief


Executive/ Unit Head will accompany the dead body for the funeral and will place a wreath
of flowers on the body on behalf of the Company in honour of the services rendered to the
organisation. In such a case transport for the funeral will be provided on free of charges.

8.7.1.4 An additional sum up to Rs.20,000/- may be paid (on request by next of kin) as an
advance towards immediate family requirement to meet various social obligations, which
shall be recovered from the Benevolent Fund payable to the next of the kin.

8.7.1.5 A condolence meeting may be arranged preferably on the said day or if not possible
on the next day. The Unit Head shall be present in the condolence meeting. After the
condolence meeting, a condolence message be sent to the spouse or head of the deceased
family, by the Unit Head.

8.7.2.0 RESPONSIBILITY FOR PROVIDING ASSISTANCE

8.7.2.1 An Officer of the concerned department may be deputed to make arrangements


alongwith the Welfare Officer of the Unit, if required.

8.7.2.2 To ensure the payment of other dues to the widow or nominee of the deceased an
Officer of the HRD Department shall be nominated to make quick settlement of final dues
within a period of not exceeding one month.

8.7.3.0 GENERAL:

8.7.3.1 Head of Unit/Office will be the Competent Authority for sanction of ex-gratia/
advance.

8.7.3.2 The Guidelines may be modified/amended/discontinued/withdrawn with the approval


of the Chairman-cum-Managing Director.

8.7.3.3 In the event of any doubt or dispute, the decision of the Chairman-cum-Managing
Director shall be final and binding.

8.7.3.4 These guidelines shall come into force with effect from 01.07.1995 and shall
supersede earlier orders/instructions issued in this regard.

NALCO EMPLOYEES’ FAMILY FINANCIAL ASSISTANCE


REHABILITATION SCHEME

47
Ref. No. 8.08 Date

Title NALCO Employees’ Family Financial Assistance Rehabilitation


Scheme
rd
Approved By Board in its 183 Meeting

Effective Date 16.11.1995

Replaces/Modification/ CHRD/RR/004.18/3984/2007, dtd: 16.11.2007


Classification

1.0 OBJECTIVE:
To provide monetary benefit and support to an employee in case of his permanent total
disablement or to his family in case of his death, in either case, while in service.

2.0 SCOPE & COVERAGE:

The Scheme will cover all regular employees (both executives and non-executives excluding
trainees/apprentices). However, the Departmental candidates selected as Trainees under the
Company’s own training Schemes such as, GETs, MTs, SOTs, JOTs, and Trainee Assistants
etc. will be covered under this Scheme. The Scheme will also cover full time Functional
Directors of the Company in regular scale of pay.

3.0 DEFINITIONS:
i) “Scheme” means NALCO Employees Family Financial Assistance Rehabilitation
Scheme.

ii) “The Company” shall mean National Aluminium Company Limited.

iii) “Employee” shall mean an employee appointed in regular scale of pay in whole time
permanent employment (including probationer) and shall include a functional Director who is
a whole time bonafide employee of the Company.

iv) “Departmental Candidates” mean employees in service of the Company who are
selected as trainees for posts circulated/advertised by the Company.

v) “Superannuation” in relation to an employee, means the attainment by the employee of


the age of superannuation as per the applicable terms of employment.

vi) “Permanent Total Disablement” shall mean Permanent Total Disablement as defined
under the Workmen’s Compensation Act, 1923.

48
vii) “Notional PF” : It would consist of the PF amount standing in employee’s PF account +
the non-refundable loan drawn by the employee from own and Company’s contribution
(excluding drawal against voluntary contribution) and outstanding refundable loan along with
interest if any, at the time of death/ disablement, but will not include any voluntary
contributions made by the employee and the interest accrued thereon.

viii) “Gratuity” shall mean Gratuity payable under NALCO Employees Group Gratuity Life
Assurance Scheme.

ix) “Group Insurance Amount” shall mean amount payable under NALCO Employees
Group Insurance Scheme.

x) “Company’s matching Contribution” shall mean amount payable by the Company


under the NALCO Benevolent Fund Scheme.

xi) “Nominee” : The person whom the employee nominates to receive the benefit as
envisaged in the Scheme in the event of his/her death.

4.0 ELIGIBILITY:

4.1 The benefits under the Scheme will be admissible in cases of death/Permanent Total
Disablement, provided the employee has completed one year of service at the time of death/
Permanent Total Disablement.

4.2 The benefits may also be allowed in cases of death due to accident arising out of and in
the course of employment if dependants of the deceased employee do not opt for employment
in NALCO.

4.3 Applicability in Past Cases: The benefit will be admissible in past cases of death/
Permanent Total Disablement only if the same has taken place on or after 16.11.1995 and the
nominee(s) is willing to deposit the amount mentioned as at Para – 7.0 below.

5.0 EFFECTIVE DATE:

The Scheme will come into force with immediate effect and will cover and be applicable to
cases of death/ Permanent Total Disablement which have taken place on or after 16.11.1995.
However, the benefits under the Scheme shall accrue from the month following the month of
death/separation on account of permanent Total Disablement of an employee subject to
deposit of amounts as mentioned at Para-7.0 below.. In case of delay, the benefit shall accrue
from the month following the month in which full amount is deposited.

6.0 BENEFIT:

On separation of an employee from the service of the Company due to death/Permanent Total
Disablement, nominees/employee has to deposit with the Company an amount equivalent to

49
the entire amount of notional PF, Gratuity, Group Insurance and Company’s contribution
under Benevolent Fund Scheme. The employee/nominee will be entitled to monthly fixed
compensation worked out based on his Salary (Basic Pay + DA) last drawn and it shall
continue till the normal date on which the employee concerned would have attained the age
of superannuation, had he been in the services of the Company (Basic Pay will not include
Personal Pay, Special Pay,Special Personal Pay, Stagnation Increment, Non-Practising
1
Allowance etc., if any).

Further, on death/separation due to permanent total disablemet during the period when salary
revision is due then the fixed monthly compensation would be revised based on the revised pay
scales from the month following the month of deposit of requisite additional amount of
PF,Grauity,Group Insurance,Death Benevolent Fund, as the case may be In case of:
i) Employees who have effected temporary/permanent withdrawals from P.F.,

AND/ OR

ii) Who may like to retain part of such funds to meet their family commitments, the monthly
payment in the above cases will be reduced in the same proportion, which the shortfall in
contributions/deposit at the time of death of an employee bears to the total of Gratuity, Group
Insurance, Company’s contribution under Benevolent Fund Scheme and notional P.F. and in
case of permanent total disablement the monthly payment will be reduced in the same
proportion which the shortfall in contributions/deposit at the time of separation bears to the
total of gratuity and notional PF which would have accrued had the withdrawal not been
made.
6.1 The children of the deceased employee/ employee with Permanent Total Disablement
(PTD) will be allowed educational facilities in the Company assisted schools in Company’s
Townships at par with the children of the serving employees.
6.2 Loan may be granted out of the amount deposited by the beneficiary for the purpose of
higher education or marriage of his/her children or for the purpose of medical treatment of
the family members of the beneficiary, who were dependant upon the employee as on the
date of his/her death/Permanent Total Disablement. Interest on this loan will be charged at a
rate equal to SBI Prime Lending Rate. The extent of the loan will be such that the monthly
recovery instalment towards the loan principal and interest thereon does not exceed 50% of
the monthly benefit amount payable under the Scheme. The loan has to be repaid fully along
with interest within the benefit period.
6.3 The children of the deceased employee/employee with Permanent Total Disablement will
be treated at par with the children of the serving employees in case of selection for
Apprenticeship in Company’s Units.

7.0 DEPOSIT OF AMOUNT:

(Equivalent to PF, Gratuity, Group Insurance and Company’s contribution under Benevolent
Fund Scheme)

50
i) Cases of Death/ Permanent Total Disablement after the Scheme comes
into force:
In case of death, the beneficiary shall deposit an amount equivalent to the PF balance,
Gratuity, Group Insurance and Company’s contribution under Benevolent Fund Scheme and
in case of permanent total disablement the employee shall deposit an amount equivalent to
the PF balance and gratuity. The deposit shall be made with the Company within seven days
of settlement of the respective dues and all dues are to be deposited within a maximum period
of 90 days from the death or separation on permanent total disablement to derive the benefit
from the month following the date of death/separation due to Permanent Total Disablement.
ii) Past cases of death/ Permanent Total Disablement on or after
16.11.1995: For the cases of separation on or after 16.11.1995 till the date of notification of
the Scheme, the beneficiary would be allowed to deposit an amount equivalent to the PF
balance, Gratuity, Group Insurance and Company’s contribution under Benevolent Fund
Scheme within a maximum period of 6 months from the date of notification of the Scheme.
In case the beneficiary is not able to deposit back the above amounts in full, the payments
will be in proportion to the amount deposited.

8.0 PROVISION OF MAKING GOOD THE SHORTFALL RESULTING


FROM WITHDRAWALS:

Employee/nominee will have the option to make good the shortfall resulting from
withdrawals by depositing the difference to get full benefit under the Scheme. This option
will be available to him/her only at the initial stage at the time of volunteering for this
Scheme. Provided further, if the shortfall amount is deposited within one year time from the
date of death/separation on account of permanent total disablement, the revised benefit under
the Scheme will be allowed from the month following such deposit.

9.0 TERMINATION OF BENEFIT:

i) On the normal date of superannuation of the separated employee, the monthly payments
under this Scheme would cease and the amount deposited with the Company under this
Scheme would be refunded to the employees or his/her nominee, as the case may be. Under
the Scheme, no interest on the amount deposited will be admissible for the period of deposit.

ii) If the employee/nominee desires to permanently withdraw the P.F., Gratuity, Group
Insurance and Company’s contribution under Benevolent Fund Scheme deposited with the
Company under the Scheme at any point of time, he/she will be allowed to do so. In such
cases, the employee/nominee would cease to receive the benefit, from the date of such
withdrawal, under the Scheme. (Partial withdrawal of the P.F, Gratuity, Group Insurance and
Company’s contribution under Benevolent Fund Scheme deposited with the Company would
be allowed once and accordingly the monthly payment will be reduced proportionately).

iii) In the event of employment of spouse of the employee who dies or separates due to
permanent total disablement in NALCO, the benefit under the scheme would not accrue.

51
10.0 CONDITIONS:

10.1 The Scheme is voluntary.

10.2 The benefit would be admissible only in case no employment has been provided by the
Company to any of the dependants on compassionate grounds in NALCO.

10.3 The employee/nominee will be eligible to get the benefit under this Scheme only after
the loans/advances taken by the employee from the Company and other dues, if any, to the
Company, have been repaid by the employee/nominee in full.

10.4 The beneficiary will be considered for allotment of one ‘A’ Type house (in respect of
non-executive) and ‘B’ Type house (in respect of executive) in the Company’s township for
continuation & completion of 12th standard education of the dependant children of the
deceased employee or, if no education is involved, for a maximum period of three years from
date of death of the employee. The ‘B’ Type quarters will only be allotted out of the %age
fixed for the executives with the approval of respective EDs. In case of non-availability of the
entitled type of quarters, the beneficiary may be allowed to stay in the originally allotted
quarters for one year only. Thereafter, the beneficiary may be given the option for availing
‘A’ Type quarter if a ‘B” type quarter is not available or to vacate the originally allotted
higher type of quarter. The rent for this purpose will be the standard rent plus electricity and
water charges, as applicable to the type quarters allotted/occupied in the Company’s township
from time to time. The beneficiary will vacate the existing accommodation in Company’s
premises within fifteen days of handing over of possession of the newly allotted quarters to
her/ him in order to get the benefit under NEFFARS.
In case the allotted higher type of quarters is not vacated by the beneficiary after completion
of the above stipulated period, the monthly payment under the Scheme will cease until the
house is vacated. Further, no arrears for the default period will be considered even after
vacation of the house.

10.5 The spouse/ nominee under NEFFARS, dependent parents, unmarried daughters and
dependant sons below the age of 21 years and those who were dependent on the deceased
employee/employee with permanent total disablement at the time of his/her separation from
the company , will be entitled to medical benefits as defined hereunder, subject to the
following conditions :

1. Income from all sources of the dependant (other than spouse) should be within Rs.3000/-
per month. Income of the dependent parents of the deceased employee/ employee with
permanent total disablement for this purpose will exclude D.A./T.I. on pension, if any.
2. The said dependant must be residing with the beneficiary under NEFFARS.
3. The beneficiary will immediately intimate change in dependence status of any of the above
defined family members and also submit an annual declaration of dependence in the month of
April, every year. In case he/she fails to submit the annual declaration of dependence of
family members within the stipulated time, the medical benefits will cease to be extended.
4. In case it is established at any point of time that a fraudulent claim has been made for
availing benefits under the scheme, all benefits under NEFFARS will cease in addition to

52
recovery of any amount reimbursed/ spent by the company on such fraudulent claim from the
dues payable to the beneficiary and suitable legal action as may deem proper.
5. No Travelling expenses in any form on account of medical treatment will be reimbursed.

EXTENT OF MEDICAL BENEFITS

a. In case the spouse/beneficiary or employee (in case of PTD) settles at the place having
Company Hospital, both outdoor and indoor treatment to the spouse, dependant parents and
children of the employee, as the case may be, in the Company Hospital.

b. In case the spouse or the employee (in case of PTD) settles at the place where Company
does not have any Hospital, the benefits will be regulated as under :

i)Out-door Treatment

No. of years of service completed by the Annual ceiling of reimbursement as %age of


deceased employee/ employee with maximum stage of the scale of pay in
Permanent Total Disablement applicable grade of the deceased/PTD
employee on the date of death/ accident

10 years and more, upto 15 years 50%

15years and more, upto 20 years 75%

20 years and more 100%

ii) Indoor Treatment :

For indoor treatment, the defined dependant family members will be entitled for treatment in
Company Hospitals only. However, the spouse of the employee in case of deceased employee
/ self and spouse in case of employees with Permanent Total Disablement, will continue to
get the benefit as admissible in case of Post Retirement Medical benefit Scheme i.e. in any
empanelled Hospital/ Govt. Hospital.

11. NOMINATION:

i) Employees opting for the Scheme will be required to make nomination for receiving the
benefits under the Scheme in case of their death out of their family members (as defined in
EPF Rules) (Annexure-I&II).

ii) An employee separated on account of permanent total disablement and joining the
Scheme, shall himself draw the amount under the Scheme notwithstanding any nomination

53
made by him. In the event of his death prior to the normal date of superannuation, his/her
nominee shall receive the benefit under the Scheme.

iii) In the event of the nominee predeceasing the employee, the employee or his first nominee
will be required to make a fresh nomination among the legal heirs.
In case of non-existence of any nomination, nominee re-marriage or in case of dispute
involving the nominee and other dependants of the deceased employee, a Committee
consisting of the Head of the Complex, the HR head of the Complex and the Unit Head will
examine and decide the beneficiary under the Scheme.

12. MODALITIES:

i) Each Plant/Unit shall supervise administration and operation of this Scheme in so far as
this relates to their employees through a committee headed by Head of HRD of the Plant/Unit
with a representative each from Finance and O&M department to be nominated by the Unit/
Corporate Head. A periodic/annual statement of payments made in individual cases may be
submitted to Corporate HRD department with a copy to Corporate Finance.

ii) For the Corporate and other Regional & Branch Office, Head of Corporate HRD shall
supervise administration and operation of this Scheme in so far as this relates to their
employees through a committee with a representative from concerned Finance, HRD and
other department to be nominated by Corporate Head.

iii) The deposits under the Scheme shall be made by the employee/nominee, as the case may
be by an Account Payee Cheque/Bank Draft alongwith an application in the prescribed
format in Annexure-I&II. The gratuity, Group Insurance and Company’s contribution under
Benevolent Fund Scheme may be got transferred from Corporate Office for deposit under the
Scheme by a letter of authority by the concerned employee or nominee. Concerned Plant/Unit
will issue a receipt for the deposit made by the employee/nominee, as the case may be.

iv) The Committee of the concerned Plant/Unit/Office as mentioned at (i) & (ii) above will
examine the eligibility of the employee/nominee concerned and recommend to
Director(P&A) who will approve and notify the amount of monthly payment and the period
of payment under the Scheme on the basis of data/certificates given in the application after
due verification and such monthly disbursements shall be made by concerned Finance
Department through concerned HRD. Thereafter monthly payments shall be made by the
Finance Department of the Plant/Unit/Office concerned by Account Payee cheque or the
Finance Department shall credit the amount to the Savings Bank account of the beneficiary
where the Company have the transaction of salary account in respect of the employees, at the
option of the beneficiary after due deduction of tax at source, wherever applicable latest by
th
the 10 of the following month. Such payments shall be treated as rehabilitation
compensation and not as salary.

v) Refund of the deposits made under this Scheme will be made on or after the due date by
the concerned Plant/Unit/Office on surrender and full discharge of the receipt by the
concerned employee/nominee

54
vi) For annual verification of recipient of such benefit may be made by way of a certificate by
the concerned beneficiary of receipt of monthly disbursed amount within 60 days from the
date of closure of financial year to the concerned HRD of the Unit.

vii) The administration of the Scheme will be under the overall supervision of Corporate
HRD Department.

13. INTERPRETATION:

In case of any doubt as to the interpretation of these Rules, the decision of the Director
(Personnel & Admn.) shall be final and binding. The Chairman-cum-Managing Director is
the Competent Authority to add, delete, amend, and alter or even to discontinue the Scheme
without any notice.

SCHEME FOR FAREWELL TO RETIRING EMPLOYEES:

Ref. No. 8.13 Date 29-4-1993


Title Scheme for Farewell to Retiring Employees
Approved By Chairman-cum-Managing Director
Effective Date 21/04/1993
Replaces/Modification/
Clarification

8.9.1. Objective:

Employees’ superannuation or retiring on medical ground from the services of the Company,
shall be given a befitting farewell.

8.9.2. Coverage:

The Scheme shall cover all regular employees of the Company.

8.9.3. Farewell:

8.9.3.1 Employees superannuating or retiring on medical ground from the services of the
Company shall be properly recognized.

8.9.3.2 A function will be arranged by the Company to bid farewell to the employees who are
retiring from the services of the Company.

8.9.3.3 Such function will be arranged on the last working day of the employee at the
respective Units/Offices and will be attended by the concerned Heads of Departments and
Senior Offices including Chief of the Unit/Directors/CMD.

8.9.3.4 A well designed ‘Service Certificate’ mounted suitably, commemorating the service
of the employee to the Company will be presented on the occasion to the retiring employee.

55
8.9.3.5 There will be a group photograph of the retiring employees along with the Senior
Officers and Chief of the Units/Directors/CMD and a copy of the framed photograph will be
given to each of the retiring employees at Company’s cost.

8.9.3.6 Gift item embodied with NALCO monogram worth of Rs.25,000/- would be
presented.

8.9.3.7 Action for final settlement of the dues of retiring employees should be initiated at
least three months before the date of retirement and final payment is made and Cheque is
given to him in the function on the day of retirement if the employee does not have any
outstanding dues or Company’s quarter under his possession. However, if some employees
fail to vacate Company’s quarter,final payment may be kept pending to be released on
vacation of quarter and clearing of dues, if any.

8.9.3.8 The Scheme is liable to be cancelled/withdrawn/modified at the discretion of


the CMD without any notice and without assigning any reason therefore.

NALCO LONG SERVICE AWARD SCHEME :

1. OBJECTIVE:

Rewarding the employees suitably as token of appreciation of their long, continuous and
satisfactory service and to motivate them to strengthen their belongingness to the Company.
2. DEFINITION:

(i) “Company” means National Aluminium Company Limited


(ii) “Continuous Service” shall mean uninterrupted service put in by an employee in the
Company and shall include
(a) Service which is interrupted by authorized leave and cessation of work not due to the fault
of the employee:
(b) Period of deputation in case of employees deputed to other organizations:
(c) Period of deputation of deputationist who are absorbed in the services of the Company
without any break.
(d) The training period of Trainees recruited under the Company’s own Training Scheme:

3. ELIGIBILITY:

(i)An employee shall be eligible for grant of the award under the scheme on completion of 25
years of continuous service.

(ii)In case an employee superannuates/dies/separates from employment on account of


permanent total disablement after completing 24 years and six months but before completing
25 years, it will be construed as if he/she has completed 25 years of service and will be
eligible for the award on the date of separation.

56
Employees separating on account of VR or resignation aftercompletion of 25 years of service
in the company will be eligible for the award. The relaxation stipulated at Para-(ii) above
shall not be extended in such cases of separation.

(iii) An employee on whom major penalty has been imposed shall be debarredfrom the award
for a period of two years.

(iv) The award in respect of employees under suspension or against whom disciplinary
proceedings are pending, shall be examined separately on merits of each case.

(v) Employees will be considered for the award subject to the condition that the service
record is satisfactory to be so certified by the Head of the Deptt. concerned.

4. THE AWARD:

(i) The award shall be an amount equivalent to one month’s salary (Basic pay + D.A.
thereon) as on the date of completion of 25 years of service.
st
(ii) Continuous service for the purpose of the award shall be reckoned as on 31 December of
every calendar year.
(iii) The award will be given to the eligible employees during the Foundation day celebration
th
of the Company on 7 January every year by the respective Heads of Units/Offices.
(iv) It shall be the responsibility of the concerned HRD Deptt. to prepare the list of eligible
employees and coordinate various activities related to the award.

5. GENERAL:

Grant of the award under the Scheme is not a condition of service. The CMD
reserves the right to amend/modify/alter or withdraw the Scheme at his
discretion without any prior notice.

NALCO EXECUTIVE FAMILY WELFARE SCHEME


Ref. No. 8.11 Date 21-05-2007

Title NALCO Executive Family Welfare Scheme

Approved By Chairman-cum-Managing Director

Effective Date 21-05-2007

Replaces/Modification

8.11.1.0 OBJECTIVE:

57
To provide economic support to the dependants of deceased executive employees of the
Company.

8.11.2.0 SCOPE & COVERAGE

The Scheme will cover all regular employees in executive cadres. However, candidates
appointed as Graduate Engineer Trainees/ Management Trainees under Company’s Training
Scheme will be covered under the scheme on successful completion of training period. The
Scheme will also cover full time Functional Director of the Company in regular scale of pay.

8.11.3.0 DEFINITIONS

8.11.3.1 “Scheme” means NALCO Executive Family Welfare Scheme.

8.11.3.2 “The Company” shall mean National Aluminium Company Limited.

8.11.3.3 “Employee” shall mean an executive appointed in regular scale of pay in whole
time permanent employment (including probationers) and shall include Functional Director
who is a whole time bonafide employee of the Company.

8.11.3.4 “Nominee” the person whom the employee nominates to receive the benefits.

8.11.4.0 MEMBERSHIP :

8.11.4.1 The membership of the scheme is voluntary.

8.11.4.2 An employee may become member of the Scheme by making an application in the
form at Annexure-A. The membership application shall authorize the company to encash one
day HPL in the event of death of an employee.

8.11.4.3 Membership is irrevocable so long as the employee continues in the services of the
Company.

8.11.5.0 ELIGIBILITY

The benefit under the scheme will be admissible in case of death of any nature of the
employee while in service.

8.11.6.0 EFFECTIVE DATE :


The scheme will come into force with effect from 21.05.2007.

8.11.7.0 BENEFITS :
8.11.7.1 In the event of death of an employee one day HPL in respect of all the members
(except the deceased) will be encashed and credited to the account of the deceased within one
month of death of a member.

58
8.11.7.2 Employers’ contribution @12% on the leave encashment amount will be paid by the
Company towards PF contribution and employees’ contribution shall be equal to the
employers’ contribution.

8.11.7.3 The amount credited to the deceased employee shall be paid to the beneficiary
nominated by him within one month of credit. If no nomination is made, the amount will be
paid to the nominee nominated for Provident Fund.

8.11.8.0 DISSOLUTION

8.11.8.1 The scheme can be discontinued with the prior sanction of the Chairman-cum-
Managing Director of the Company.
8.11.8.2 The scheme can be modified/amended with the approval of the Chairman-cum-
Managing Director of the Company. In the event of any doubt or dispute under the scheme,
the decision of the Chairman-cum-Managing Director of the Company shall be final and
binding.

NALCO RETIREMENT WELFARE SCHEME :

Ref. No. 8.12

Title Nalco Retirement Welfare Scheme


th
Circular No. & Date CHRD/RR/0012.15/1382/2012, dtd: 30 April, 2012

Approved By Board of Directors in their Meetings held on 22.08.2011 and


06.02.2012

8.12.1.0 Objectives:
8.12.1.1 To provide financial assistance as a gesture of goodwill for post-retirement support
to employees retiring from the services of the Company.

8.12.2.0 Scope:

59
8.12.2.1 The NALCO Retirement Welfare Scheme hereinafter called “the Scheme” covers all
regular employees in permanent employment of the Company.

8.12.3.0 Effective Date:

8.12.3.1 The scheme is effective from 05.09.2011 in respect of all non-executive employees.
In respect of executives, the same will be effective from 06.03.2012. In future, the executives
joining/regularized in regular scales of pay will be enrolled by the respective unit/office as
per enclosed format as a part of joining formalities.

8.12.4.0 Source of Fund for the Scheme :

8.12.4.1 The amount recovered from the salary of each continuing employee member along
with the matching contribution from the company will constitute the source of fund per
retiring employee.

8.12.4.2 The rate of recovery from each employee member would be Rs.10/- per retiring
member. The company would provide equivalent sum as matching contribution.

8.12.5.0 Modalities of Recovery and Disbursement :

8.12.5.1 At the beginning of the month, the Dealing Officer of HRD Department of the
concerned Units/Offices will send an intimation to the Finance Department of all the
Units/Offices to deduct from salary of members Rs.10/- per retired employee(s) with a copy
to respective HRD Department for necessary follow up. Finance Departments will ensure
deduction as per the scheme and book the same to the account of concerned Unit/Office. On
receipt of necessary intimation from all concerned duly reconciled with amount recovered
and reflected in the accounts, the matching contribution from the Company shall be
calculated and payment will be released to the retiring employees as a part of final settlement
after approval of Executive Director of the Complex and ED(H&A) in respect of Corporate
Office, Port Facility and Regional Offices.

8.12.6.0 Withholding of Payment :

8.12.6.1 In case any disciplinary/criminal proceeding is pending/contemplated against an


employee as on the date of his/her retirement, only employees’ contribution will be paid on
the date of superannuation and the Company’s contribution will be withheld. The withheld
amount will be considered for release only after the concerned employee is fully exonerated.

8.12.7.0 General:
8.12.7.1 The scheme can be modified/amended/repealed with the approval of the Chairman-
cum-Managing Director of the Company. In the event of any doubt or dispute under the
scheme, the decision of the Chairman-cum-Managing Director of the Company shall be final
and binding.

Some other welfare facilities provided by NALCO

60
 Park

 Community Centre

 Club

 Library and sports facility in club and community centre.

 Scope for different sports,cultural and religious activity.

 Canteen inside the office.

 NALCO Kalyan Mandap

Chapter-5

Data Analysis
Questionnaire

Graphical representation

61
Analysis of data

Findings

Data Analysis:

Sample size 50

The project undertaken to know the employee welfare of NALCO, which was conducted in
an around with the sample size of 50 through questionnaire.

1. Does NALCO provide welfare facility for its employees?

FREQUENCY PERCENTAGE
YES 50 100
NO 0 0

62
Yes
No

Analysis:

In NALCO Corporate office whether the question is asked about whether the employees
were aware about the welfare facility or not the response are as follows:

Out of the 50 employees all employees i.e. 100% said that they are aware about the
employee welfare facility provided by NALCO.

2. If yes then rate it.

FREQUENCY PERCENTAGE
POOR 0 0
AVERAGE 0 0
GOOD 20 40
VERY GOOD 30 60

63
Poor
Average
Good
Very good

Analysis:

When the employees were asked to rate the welfare facility it was found that nobody rate it as
poor and average,20 out of 50 i.e. 40% employees rate it good and 30 out of 50 i.e. 60%
employees rate it very good.

3. Is your company providing first aid facility?

FREQUENCY PERCENTAGE
YES 50 100
NO 0 0

64
100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%
Yes No

Analysis:

Since out of 50 sample all the employees i.e. 100% employees said that first aid facility is
provided to them.

4. If yes then how will you rate these facilities?

FREQUENCY PERCENTAGE

POOR 0 0

AVERAGE 5 10

65
GOOD 25 50

VERY GOOD 20 40

50

45

40

35

30

25

20

15

10

0
POOR AVERAGE GOOD VERY GOOD

Analysis:

When the employees rate the first aid facility out of 50 employees 20 employees i.e. 10% rate
the first aid facility as very good,25 employees i.e 50% rate it good ,5 employees i.e. 40%
rate it average and nobody rate it poor.

5. Does your company providing accommodation facility to you?

FREQUENCY PERCENTAGE

YES 50 100

66
NO 0 0

YES
NO

Analysis:

Since out of 50 sample 100% employees said NALCO is providing accommodation


facility to them.

6. If yes then rate it.

FREQUENCY PERCENTAGE

67
POOR 0 0

AVERAGE 5 10

GOOD 22 44

VERY GOOD 23 46

VERY GOOD

GOOD

AVERAGE

POOR

0 10 20 30 40 50

Analysis:

When the question is asked about the accommodation facility out of 50 sample 23
people i.e. 46% said it is very good,44% rate it as good,10% rate it average and nobody
rate it as poor.

7. Does your company providing park, community centre, and club for employees?

FREQUENCY PERCENTAGE

68
YES 50 100

NO 0 0

100
90
80
70
60
50
40
30
20
10
0
YES NO

Analysis :
Out of the 50 employees all employees i.e 100% said that NALCO is providing park,
community centre,club for them.

8. If yes,then how will you rate these facilities?

FREQUENCY PERCENTAGE

POOR 0 0

69
AVERAGE 3 6

GOOD 15 30

VERY GOOD 22 44

EXECELLENT 10 20

POOR

AVERAGE

GOOD

VERY GOOD

EXECELLENT

Analysis:
When the employes rate the park, community centre and club 22 of them i.e. 44% said it is
very good,21 of them i.e. 42% said it is good and no body rate it as poor or excellent

9.Does your company having library and sports facilities in the club and community
centre?

FREQUENCY PERCENTAGE

70
YES 50 100

NO 0 0

NO

YES

0 20 40 60 80 100

Analysis :
Since out of the 50 sample every one i.e 100% said that NALCO is providing library and
sports facilities in the club and community centre.

10. Does your company provide scope for different sports,cultural and religious
activities ?

FREQUENCY PERCENTAGE

71
YES 50 100

NO 0 0

YES NO

Analysis
50 employees i.e 100% said that NALCO provide scope for different sports, cultural and
religious activities.

11. If yes, then how will you rate it?

FREQUENCY PERCENTAGE

72
POOR 0 0

AVERAGE 7 14

GOOD 21 42

VERY GOOD 22 44

EXECELLENT 0 0

POOR
AVERAGE
GOOD
VERY GOOD
EXECELLENT

Analysis:

Out of 50 sample 7 people i.e. 14% said the scope provided by NALCO for different
activities are average,42% rate it as good,44% rate it as very good and nobody rate it as poor
or excellent.

12. Is your company providing medical facility?

73
FREQUENCY PERCENTAGE

YES 50 100

NO 0 0

NO

YES

0 20 40 60 80 100

Analysis:
When the question is asked about whether NALCO is providing medical facility or not here
all the employee i.e. 100%said NALCO is providing medical facility for them.

13. If yes then how is it?

74
FREQUENCY PERCENTAGE

POOR 0 0

AVERAGE 1 2

GOOD 10 20

VERY GOOD 39 78

VERY GOOD

GOOD

AVERAGE

POOR

0 10 20 30 40 50 60 70 80

Analysis:
When the employees rate the medical facility the results are as follows:

Out of the 50 sample no one rate the medical facility as poor,2% rate it average,20% rate it
good and 78% rate it as very good.

14. Is your company providing canteen facility?

75
FREQUENCY PERCENTAGE

YES 50 100

NO 0 0

YES
NO

Analysis:

100% employee said yes when the question was asked to them that is Nalco providing
canteen for its employees?

15. If yes,then how will you rate the canteen?

FREQUENCY PERCENTAGE

76
POOR 1 2

AVERAGE 7 14

GOOD 15 30

VERY GOOD 27 54

POOR

AVERAGE

GOOD

Analysis:

When the employees rate the canteen inside the office then the results comes as Out of 50
sample 2% rate the canteen facility as poor, 14 rate it as average,30% rate it as good and 54%
rate it as very good.

16. Is your company providing scholarship for your children?

77
FREQUENCY PERCENTAGE

YES 50 100

NO 0 0

100

90

80

70

60

50

40

30

20

10

0
YES NO

Analysis:
All the employees from the sample size agree with the statement that NALCO is providing
scholarship for their children.

17. Is your company having its own kalyan mandap?

78
FREQUENCY PERCENTAGE

YES 32 64

NO 18 36

YES
NO

Analysis:

When the question is asked about the kalyan mandap 64% said yes and 36% said that
NALCO is not providing kalyan mandap.

18. Do you want some improvement in the welfare facilities of your company?

79
FREQUENCY PERCENTAGE

YES 30 60

NO 20 40

NO

YES

0 10 20 30 40 50 60

Analysis
When the question is asked about the improvement of welfare facilities provided by NALCO
then out of 50 sample 32 employees i.e. 64% were interested in the improvement and 36%
were not interested in the improvement of welfare facilities.

FINDINGS

80
 All of the respondents are aware about the welfare facility provided by NALCO.

 Although the welfare facilities are really very good but it can be more effective by
adding some extra improvement.

 First aid facilities provided by the company are good but it can be improved.

 Accommodation facilities are good.

 There are some requirement mentioned by the respondent in club and community
centre except those requirements these facilities are good.

 In club and community centre Library facility can be added.

 All of the respondents feels that the scope provided by NALCO for different
sports,cultural and religious activities are very good.

 Medical facilities provided by the company are satisfactory.

 Canteen facilities are not up to the marks, using of plastic glass should be banned and
it should be maintained properly.Some respondent also feel canteen facilities are poor.

 Overall satisfaction level of respondents is good as NALCO is providing majority of


the welfare facilities to its employees.

 Ventilation, lighting,temperature,seating arrangement and cleanliness inside the


working area are good.

 There is provision of sufficient drinking water to the workers and the other facilities
are also good.

Chapter-6
81
Conclusion

Suggestion

Limitation

Bibliography

Questionnaire

CONCLUSION

82
I have done my summer internship project in NALCO, Bhubaneswar for one month and 10
days.The organization has provides better welfare measures for its employees because the
organization believes that the human resource is the very important part of an organization
and without them, the organization goal cannot be achieved, The employees should get all the
welfare facilities and proper training should be given for the betterment of the employees.

During my internship I found the followings things which are describe bellow:

Employees of NALCO were so punctual, everyday they used to comes at the right time to the
office.

Most employees are hardworking, responsible and they dedicated towards their works.

I realize that not only my external guide but also the other employees were so cooperative
towards me and they are very helpful.

When I distribute my questionnaires to the employees all employees were response in a


positive way and most of the employees fill it in the time duration given by me.

The office environment was so good and employees were so disciplined.

SUGGESTION

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From the study I found that the welfare facilities provided by NALCO are satisfied for the
employees but also some improvement are required like the canteen should be more clean.

The employees are also wants some improvement in the welfare facilities, here are some
suggestions which are given by the employees.

1. Employment facility for the children of the employees should be provided.

2. Library facility at club and community centre to be developed and extended for the
retired employees.

3. NALCO should provide kalyan mandap for marriage ceremony of doughter and
thread ceremony of son of the employees.

4. Company should constructs a indoor kalyan mandap .

5. Use of plastic glasses in the canteen should be stopped.

6. Recreation centre for old age people or old age parents should be provided as they are
not interested to stay in township.

7. Community bus from township at Angul and Damanjodi to Bhubaneswar should be


made available to the employees.

8. Proper management of existing welfare facilities.

LIMITATION

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The limitations are as follows.

 The time duration for the present study was limited as it was conducted for a short
time duration.

 There may be some improvement are required in the research work as it is done by a
inexperience researcher.

 The population size is large so it is not possible to take everyone’s consideration so


the research work is done with a limited sample size so the data may not be accurate
which are collected by the research.

 As there different people of different age group are working inside the organization so
suggestion may be vary from person to person.

BIBLIOGRAPHY
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Books:

1.Kothari C.R., Research Methodology,Himalaya Publication House


2.Sharma A.M., Industrial Jurispudence and Labour Legislation,6th
edition, Himalaya Publishing House,Mumbai.

Magazines:

Company journal

Websites:

http://www.jethr.com/magazine/human-resource-management/employee-
welfare-what-is-employee-welfare/article.html

http://smallbusiness.chron.com/importance-employee-welfare-12998.html

http://www.newagepublishers.com/samplechapter/000896.pdf

http://www.nalcoindia.com/Company-Profile.aspx

QUESTIONNAIRE ON EMPLOYEE WELFARE


(FOR SUMMER INTERNSHIP PROGRAM)

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1. Does NALCO provide welfare facility for its employees?

a) Yes b) No

2. If yes, then rate it.

a) Poor b) Average

c) Good d)Very good

3. Is your company providing first aid facility?

a) Yes b) No

4. If yes then how will you rate these facilities?

a) Poor b) Average

c) Good d)Very good

5. Does your company providing accommodation facility to you?

a) Yes b) No

6. If yes then rate it.

a) Poor b) Average

c) Good d)Very good

7. Does your company providing park, community centre, club for employees?

a) Yes b) No

8. If yes, then how will you rate there facilities?

a) Poor b) Average

c) Good d) Very good e) Excellent

9. Does your company having library and sports facilities in the club and community
centre?

a) Yes b) No

10. Does your company provide scope for different sports,cultural and religious activities ?

a) Yes b) No

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11. If yes, then how will you rate it?

a) Poor b) Average

c) Good d) Very good e) Excellent

12. Is your company providing medical facility?

a) Yes b) No

13. If yes then how is it?

a) Poor b) Average

c) Good d) Very good

14. Is your company providing canteen facility ?

a) Yes b) No

15. If yes, then how will you rate the canteen?

a) Poor b) Average

c) Good d) Very good

16. Is your company providing scholarship for your children?

a) Yes b) No

17. Is your company having its own kalyan mandap?

a) Yes b) No

18. Do you want some improvement in the welfare facilities of your company?

a) Yes b) No

19. If yes then suggest the measures or ways for improvement.

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