UGC NET/JRF EXAM, June-2020 Labour and Social Welfare

Off-the-Job Methods: Under this method of training, the trainee is separated from the job situation and his attention is focused upon learning the material related to his future job performance. Since the trainee is not distracted by job requirements, he can focus his entire concentration on learning the job rather than spending his time in performing it. There is an opportunity for freedom of expression for the trainees. Off-the-job training methods are as follows:

1. Vestibule training: In this method, actual work conditions are simulated in a class room. Material, files and equipment-those that are used in actual job perfornance are also used in the training. This type of training is commonly used for training personnel for clerical and semi-skilled jobs. The duration of this training ranges from a few days to a few weeks. Theory can be related to practice in this method.

2. Role playing: It is defined as a method of human interaction that involves realistic behaviour in imaginary situations. This method of training involves action, doing and practice. The participants play the role of certain characters, such as the production manager, mechanical engineer, superinten-dents, maintenance engineers, quality control inspectors, foreman, workers and the like. This method is mostly used for developing interpersonal interactions and relations.

3. Lecture Method: The lecture is a traditional and direct method of instruction. The instructor organises the material and gives it to a group of trainees in the form of a talk. To be effective, the lecture must motivate and create interest among the trainees. An advantage of lecture method is that it is direct and can be used for a large group of trainees. Thus, costs and time involved are reduced. The major limitation of the lecture method is that it does not provide for transfer of training effectively.

4. Conference/discussion approach: In this method, the trainer delivers a lecture and involves the trainee in a discussion so that his doubts about the job get clarified. When big organisations use this method, the trainer uses audio-visual aids such as blackboards, mock-ups and slides; in some cases the lectures are videotaped or audio taped. Even the trainee's presentation can be taped for self-confrontation and self-assessment.

The conference is, thus, a group-centred approach where there is a clarification of ideas, communication of procedures and standards to the trainees. Those individuals who bave a general educational background and whatever specific skills are required such as typing, shorthand, office equipment operation, filing, indexing, recording, etc.-may be provided with specific instructions to handle their respective jobs.

5. Programmed instruction: This method has become popular in recent years. The subject-matter to be learned is presented in a series of carefully planned sequential units. These units are arranged from simple to more complex levels of instruction. The trainee goes through these units by answering questions or filling the blanks. This method is, thus, expensive and timeconsuming.

6. Virtual Organisations and E-Learning: The virtual organisation is a temporary network of companies that come together quickly to exploit fast changing opportunities. Partners in a virtual organisation generally share costs, skills and access to international markets.

Each partner contributes to the virtual organisation what it is best at-its core capabilities. In many high tech industries, virtual organisations rely heavily on internal computer networks or even the Internet to provide instantaneous communications and access to people who may be in many different locations, perhaps even around the world.

Other E-learning methods include training delivered by CD-ROM, intranet or internet, satellite broadcasts and digital collaboration between partners willing to learn from each other. E-learning allows trainees to improve their skills and knowledge at their own comfortable pace.

The trainee participates actively and is able to upgrade skills in a time-bound manner. Of course, e-training requires top management support, uninterrupted internet access, investments in establishing learning portals and is not suitable for imparting behavioural skills to trainees.

Technology barriers like bandwidth will restrict and hamper the effectiveness of e-learning. Learning effectiveness might never match the level of classroom for a long time.

7. Behaviourally Experienced Training: Some training programmes focus on emotional and behavioural learning. Here employees can learn about behaviour by role playing in which the role players attempt to act their part in respect of a case, as they would behave in a real-life situation.

Business games, cases, incidents, group discussions and short assignments are also used in behaviourally-experienced learning methods. Sensitivity training or laboratory training is an example of a method used for emotional learning.

The focus of experiential methods is on achieving, through group processes, a better understanding of oneself and others. These are discussed elaborately in the section covering Executive Development Programmes.

Basic Wages means all emoluments which are earned by an employee while on duty or on leave or on holidays with wages in either case in accordance with the terms of the contract of employment and which are paid or payable in cash to him, but does not include:
(i) the cash value of any food concessions;
(ii) any dearness allowance (that is to say all cash payments, by whatever name called, paid to an employee on account of rise in the cost of living),
(iii) house rent allowance,
(iv) overtime allowance,
(v) bonus, commission or pay and other similar allowance payable to the employee in respect of his employment or of work done in such employment; and
(vi) any presents made by the employer.

Incentives are monetary benefits paid to workmen in lieu of their outstanding performance. Incentives vary from individual to individual and from period to period for the same individual. They are universal and are paid in every sector.

Incentives work as motivational force to give a better performance as incentive depend on the performance and achievement of targets. Incentives when added to salary increase the earning thus increase the standard of living.

The advantage of incentive payment are reduced supervision, better utilisation of equipment, reduced scrap, reduced lost time, reduced absenteeism and turnover & increased output.

Kinds of Incentive Plans

Individual Incentive Scheme (Time Based): Reward systems tied to the performance of individual employees are known as individual incentive plans. These plans depend on category of workers for which they are designed. Under this plan mostly a certain pay rate is guaranteed and the rewards represent additional compensation.

(a) Halsey's Premium Plan: This plan is a combination of the time and the piece wage in a modified form. Under this plan, a guaranteed wage based on past experience is determined. If a worker saves time, he gets 50% of wages for time saved (called premium) in addition to normal wages.

It is optional for the worker to work on the premium or not. Thus, this plan also provides incentive to efficient workers. Thus, Total Wages under this plan are calculated as: Time Taken x Wage Rate + 50% of [(Standard Time - Time Taken) x Wage Rate]

Rowan Premium Plan: This plan, to a large extent is similar to that of Halsey Premium Plan. The only difference is in regard to the determination of the premium. Unlike a fixed percentage in case of Halsey plan, it considers premium on the basis of the proportion which the time saved bears to the standard time. The total Wages Under this plan are calculated as:

(c) Emerson's Efficiency Plan: Under this scheme, both standard work and day wage are fixed. Bonus is paid on the basis of worker's efficiency. A worker becomes entitled to get bonus only when his/her efficiency reaches to 67%. The rate of bonus goes on increasing till he achieves 100% efficiency.

Above 100% efficiency, bonus will be 20% of the basic rate plus 1% for each 1% increase in efficiency. In this way, at 120% efficiency, a worker receives a bonus of 40% and at 140% efficiency worker gets 60% of the day wage as bonus.

(d) Bedeaux's Point Premium Plan: Under Bedeaux point premium plan, every operation or job is expressed in terms of so many standard minutes, which are called "Bedeaux Points" or "B's"; each B representing one minute through time and motion study. Upto 100% performance i.e., upto standard B's, a worker is paid time wages without any premium for efficiency. If the actual performance exceeds the standard performance in terms of B's, then 75% of the wages of the time saved is paid to the worker as bonus and 25% is earned by the foreman.

Individual Incentive Scheme (Production Based)

(a) Taylor's Differential Piece Rate Plan: Under this plan, Taylor prescribed two piece work rates. One, a higher wage rate for those who reach the standard work. Second, a lower wage rate whose performance is below the standard. The standard work is determined on the basis of time and motion studies.

This wage plan encourages and rewards the employees who are efficient by giving them wages at a higher rate. At the same time, the plan penalizes those who are slow performers by paying them at a low wage rate.

(b) Gantt's Task and Bonus Plan: Under it, standard time for every task is fixed through time and motion study. Minimum time wage is guaranteed to all workers. A worker who fails to complete the task within the standard time receives wages for actual time spent at the specified rate.

Workers who achieve or exceed the standard get extra bonus varying between 20% to 50% of the hourly rate for the time allowed for the task. Suppose, the standard time fixed for the job 8 hours and the time rate is10 per hour and the rate of bonus is 25 per cent.

A worker who completes the task in 10 hours he will be paid 80 (8 * 10) only. On the other hand, the worker who completes the task in 6 hours will receive 100 (80 + 25% of 80).

(c) Merrick's Plan: It is a modification of the Taylor's scheme. While Taylor prescribes two-rates-one, for the slow and the inefficient workers and the second, for the efficient ones-, this plan lays down three rates: one for the beginners, the second for the developing workers and the third for the highly skilled and efficient workers.

Thus:

• Workers producing less than 83% of the standard ouput are paid at basic rate.
• Workers producing between 83% and 100% of standard output will be paid 110% of basic piece rate.
• Those producing more than 100% of the standard output will be paid 120% of basic piece rate.

In June 1977, the Government of India set up a high-powered Expert Committee on Companies and MRTP Acts under the Chairmanship of Rajinder Sachar with terms of reference to:

(i) Consider the provisions of the Companies Act and MRTP Act and
(ii) To suggest measures participation in management and share capital of companies can be brought about. The Sachar Committee submitted its report in August 1978.

Meanwhile, the Janata Government also set up a "Committee Workers Participation Management and Equity" in September 1977 under the Chairmanship of Ravindra Varma the then Union Minister of Labour The Committee consisted of 18 members representing Central Organisations of trade unions and employers and some of the States and professional institutions of management.

The strength of Committee increased to 21 by nominating three additional members in January 1978. The terms of reference of the Committee were to consider, among other things, the need for a statutory scheme for workers' participation in management.

The Committee was also to study and recommend an outline of a comprehensive scheme of workers participation at different levels of management in industrial establishments and undertakings. The Committee submitted its report to the Government in March 1979.

The report showed that the majority of the members favoured adoption of a three-tier system of participation, viz., at the shop, plant and corporate or board levels. However, the employer of private sector did not favour board or corporate level participation in management.

It also recommended to enact legislation on workers participation in management covering all undertakings, be public or private, employing 500 or more workers. The Government accepted the recommendations made by the 21-Member Committee on Workers' Participation in Management and Equity.

Based on a review of the working of the various schemes of workers' participation in management and experiences so gamed the Government formulated and notified a new comprehensive scheme on a voluntary basis for 'Workers' Participation in Management on 30th December, 1983. The salient features of the scheme were:

1. The scheme will be non-legislative.
2. It will apply to all central public sector enterprises, expect those specifically exempted.
3. It envisaged constitution of bipartite forums at shop and plant levels.
4. The mode of representation of workers representatives was to be determined by consultation with the concerned unions.
5. A wide range of work related issues were brought within the ambit of the councils.

However, a host of constraints such as multiplicity of unions, inter-union rivalry, lack of proper knowledge on the part of workers about the scheme, etc., served as stumbling blocks in the successful working of the scheme.

The job analysis process involves a number of steps, which are outlined in Fig. As it appears in the exhibit, the process assumes that the job analysis is being conducted in an ongoing organization, in other words, an organization that is already in operation as opposed to a new venture.

Exhibit: Steps in the Job Analysis Process (1-6) and Its Relationship to HRM and Job Design

Step 1 provides a broad view of how each job fits into the total fabric of the organization. Organization charts and process charts (discussed later) are used to complete
Step 1. Step 2 encourages those involved to determine how the job analysis and job design information will be used. This step is further explained in the next section. Since it is usually too costly and time-consuming to analyze every job, a representative sample of jobs needs to be selected. In step 3, jobs that are to be analyzed are selected.
Step 4 involves the use of acceptable job analysis techniques. The techniques are used to collect data on the characteristics of the job, the required behaviours, and the characteristics an employee needs to perform the job. The information collected in step 4 is then used in step 5 to develop a job description. Next, in step 6, a job specification is prepared.

The knowledge and data collected in steps 1 through 6 are used as the foundation for virtually every other HRM activity. As shown in Fig., these include activities such as recruitment, selection, training, performance evaluation, and compensation. The information gathered during job analysis is essential to each of these.