380 Term paper.doc

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TERM PAPER ON

Employee employer relationship in a labor

based organization in Bangladesh.

Course ID# HRM-380 (Section: 02).

Submitted ToMr.Monzoor MorshedLecturer (School of Business)

Submitted ByShahjalal Rashid Chowdhury ID: 0930081

Sajjad Hossain ID: 0720371

Md.ashaduzzaman ID: 0810039

K.m. shamir azam saikat. ID: 0920634

Roksana mahbub ID: 0920700

Date of Submission: November28, 2011.


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28th November, 2011.

Mr. Monzoor Morshed

Lecturer

School of Business

Independent University, Bangladesh (IUB)

Subject: Submission of Term paper.

Dear Sir,

We the group members have the pleasure to submit our Term Paper titled Employee

employer relationship in a labor based organization in Bangladesh. in partial fulfillment of

the whole course.

Our background consist how every labor based organization maintain relationship between

Employee and Employer to perform its activities. The purpose of our Term Paper was to get

information about an organizations Employee Employer relationship. The term paper will

help us to learn more practical about the topic and it will also help the other students.

We have taken an interview on a questionnaire and also took information from Square

Textiles Ltds website.

From our report we found the Employee Employer relationship used in Square Textiles Ltd.

We once again thank you for your kind assistance.

Sincerely Yours,

Shahjalal Rashid Chowdhury ID: 0930081 _____________

Sajjad Hossain ID: 0720371 _____________

Md.ashaduzzaman ID: 0810039 _____________

K.m. shamir azam saikat. ID: 0920634 _____________

Roksana mahbub ID: 0920700 _____________


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AcknowledgementAcknowledgement

It was an enormous pleasure to prepare our Term Paper titled Employee employer

relationship in a labor based organization in Bangladesh. as an integral part of Labor

law and industrial relations course.

We would like to thank to our honorable Faculty member Mr.Monzoor Morshed, Lecturer of

School of Business for letting us to prepare this report. We would also like to express our

sincere appreciation to him for his enthusiastic support and guidance. It would be impossible

to prepare this Term Paper without his help.

We are more than ever grateful to some employees of Square TextilesLtd for their help by

giving the important information about our topics. We are also grateful to them because they

expended lots of their precious time beside their office hour to give us the information about

our topics.

Our special thanks to each of our group members who made our report more informative.

We owed to each person who we bothered to collect our information.


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Table of Content:

Executive summery ----------------------------------------------------------------------4

Part 1: Introduction

1.1 Origin of the Term Paper---------------------------------------------------6

1.2 Objective of the study ------------------------------------------------------6

1.3 Scope--------------------------------------------------------------------------6

1.4 Limitation---------------------------------------------------------------------6

Part 2: Company Profile

2.1 Historical Background----------------------------------------------------------7

2.2 Mission, Vision, Corporate Philosophy--------------------------------------8,9

2.3 Strategic policy, Summary of financial performance------------------------9,10,11

Part 3: Methodology

3.1 Primary Source----------------------------------------------------------------------11

3.2 Secondary Source-------------------------------------------------------------------12

Part 4: Compensation management of Prime Bank limited

4.1 Compensation strategy---------------------------------------------------------12-15

4.2 The reward system-----------------------------------------------------------15-18

4.3 Organizational Structure-----------------------------------------------------19-22

4.4 Motivational activity----------------------------------------------------------23-24

4.5 Job evaluation ------------------------------------------------- ---------------25-26

4.6 Performance Appraisal-------------------------------------------------------26-284.7 Short term incentives---------------------------------------------------------28-30

4.8 Executives benefits-----------------------------------------------------------30-31

4.9 Benefits & Service------------------------------------------------------------31-33

4.10 Pay delivery administration--------------------------------------------------33-35

Part 4: Ending

5.1 Summary ------------------------------------------------------------------------36

5.2 Conclusion-----------------------------------------------------------------------36

5.3 Recommendation---------------------------------------------------------------37

5.4 Bibliography --------------------------------------------------------------------38

Executive Summary


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Square Textile Ltd. started its operation in 1997. It was enlisted in Dhaka Stock Exchange &

Chittagong Stock Exchange in 2002. The business lines of Square Textile Ltd. are

manufacturing and marketing of yarn. Its factory is located in Gazipur, Dhaka.

The manufactures 100% Cotton Ring Span Yarn or Hosiery, 100% Cotton OE Rotor For

Hosiery and Knit Fabrics for 100% export oriented readymade Garments Industry.

The strategic Goals and Objectives of the Company are to strive hard to optimize profit

though conduction and transparent business operations and to create more competitive in the

internal and external market.

In home, customer of Square Textile Limited is export oriented readymade Garments

Industry. The Company also exports its products to the market of Europe & USA.

Square is one of the biggest employees in Bangladesh. It has a personnel and administrative

department. The total numbers of employees are 1223. For the employees there is systematic

in house training in home and abroad.

The Company is going through continuous growth in production. The total production

increased year on year basis at the rates of 0.43% and 1.467% during 2002 and 2003

respectively. The Companys operations are out on a aggregate basis and are managed as a

single opportunity segment. The Company uses Computer Aided Design (CAD), Computer

Aides Spreading (CAS) and Computer Aided Manufacturing (CAM) in its plant to increase

the overall efficiency and productivity.

Part 1: Introduction


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1.1: Origin of the Term Paper

As students of the School of Business, we are required to do a Term Paper in this Labor lawand industrial relations (HRM-380) course & this Term Paper is authorized by our honorable

instructor Mr.Monzoor Morshed. This report is assigned from very first of the semester and

the submission date is 28th November, 2011. As were required to do our term paper on the

Employee employer relationship in a labor based organization in Bangladesh we

preferred Square Textile Limited and present their relationship on our Term Paper.

1.2 Objective of the Study

The main purpose of this Term Paper is to present Employee Employer relationship of Square

Textile Limited

1.3 Scope

In this Employee Employer relationship report we are going to cover following areas of

Square Textile Limited.

Company Profile

Relationship Strategy

1.5 Limitations:

We went to Square Textile Limited, but the problem was the officers were very busy withtheir work and did not able to give us enough time. As the Company policy, Code of

Conduct, Wage structure, relationship dynamics detail information is secrete for the

organization Square Textile Limited do not provide us detail information about it. They just

give us some information about our topic. And the web page of Square Textile Limited is not

professional. There is lack of information and it is not well organized.

Part 2: Organizational overview


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2.1 Historical Background:

Square Textiles Ltd. started its journey by establishing the first unit in 1997. One year later

the second unit was established. Square Textile is a subsidiary company of Square Group

.The Company was incorporated as a public limited company in the year of 1994. The

operation was started in 1997.It was enlisted in Dhaka Stock Exchange & Chittagong Stock

Exchange in 2002. Within a very short time of span the company achieved some significance

success. Square Textile receives Oeko-Tex standard 100 and ISO-9002 certificates in the year

2000. Authorized capital of the company is tk. 1000 million. Its paid- up capital is tk. 251.90

million. 1,223 employees are working in this organization. The business lines of Square

Textiles Limited are manufacturing and marketing of yarn. The factory is located in

Saradaganj, Kashimpur, Gazipur, Bangladesh. Its office is located at Uttara in Dhaka. The

organization follow line authority.

STRATEGIC GOALS & OBJECTIVES:


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The company sets the following objectives for it to achieve:

To strive hard to optimize profit through conduction of transparent business operations

within the legal and social framework with malice to none and justice for all

To create more jobs with minimum investments

To be competitive in the internal as well as external markets

To maximize export earning with minimum imported in-puts

To reduce the income gap between top and bottom categories of employees.

Thus the company focuses to pole-star its mission that fulfill the objective with emphasis on

the quality of the product , process and services blended with good governance that helpbuild the image of the most enable corporate citizenship at home and abroad . The company

wants to produce such society friendly goods and services that go to satisfy the wants of all

the relevant party without disturbing or damaging the socio- economic and ecological,

balance of the mother earth and the process of human civilization leading to peaceful co-

existence of all the leaving beings. The company always strives for top quality products at the

least cost reaching the lowest rungs of the economic class of people in the country. The

company values its obligation to the greater society as well as it strives to protect the interests

of its shareholders and to ensure highest return and growth of their assets.

MISSION STATEMENT:

The mission statement of Square Textiles Limited is Our mission is realization of vision

through maximum production of goods and services strictly on ethical and moral standards at

minimum costs to the society ensuring optimum benefits to the shareholders and other

stakeholders. This mission is envisioned by the concept of business which ensures well

being of the investors, stakeholders, employees and members of the society which will create

new wealth in the form of goods and services.


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Product Line

1. They manufacture 100% Cotton Ring Span Yarn or Hosiery.

2. 100% Cotton OE Rotor for Hosiery.

3. Knit Fabrics for 100% export oriented readymade Garments Industry.

Part 3: Methodology

3.1 Primary Sources:

The primary source of our term paper is face to face conversation and telephone conversation

with executives of SquareTextile Limited . We visited the SquareTextile Limited. We mainly

talked with Mr. Aftab & Mr. Salman Rahman. They informed us detail about the company

policy, strategies, benefits, Employee Employer relationship, etc. Mr. Aftab is the chief of

Remuneration Committee and Mr. Salman Rahman is the chief of Performance Evaluation

Audit Committee. We asked them related with the topic to our term paper & we are grateful

for their contribution in our term paper.

We conducted a survey on our topic to five employees of Square Textiles Ltd. We asked ten

questions to those employees. These surveys are attached at the end of our term paper.

3.2 Secondary Sources:

i. The website of SquareTextile Limited

ii. Annual report of SquareTextile Limited

iii. Monthly bulletin of SquareTextile Limited

iv. Performance appraisal document of SquareTextile Limited.


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Part 4: Employee Employer

relationship.

4.1 Organizational Structure.

Management:

The entire management process comprises the following units:

Exe cu t i v e

C omm i t t e e

To p

M an a g emen t

Comm i t t e e

S t a nd i ng

Comm i t t e e

A ud i tc omm i t t e e

Em p l o ym e

n tRe l a t i ons

C omm i t t e e

Man a g emen tComm i t t e e


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Executive Management:

The Managing Director, the CEO is the head of the Executive Management team which

comprises senior members of the Management Apparatus. Within the limits of delegated

authority and responsibility by the Board of Directors, Executive Management operates

through further delegation of authority at every echelon of the line management. The

executive management operates within the framework of Policy & Planning strategies set by

the top management with periodic performance reporting for guidance. The executive

management is responsible for preparation of segment plans / sub segment plans forevery profit centers with budgetary targets for every items of goods & services and are held

accountable for deficiencies, with appreciation for outstanding and exceptional performances.

These operations are continuously carried out by the executive management through series of

Committees, sub Committees, Committees & standing Committees assisting the line

management.

Top Management Committee: Comprising top executives, deal with entire organizational

matters.

Standing Committee: Standing Committee comprises the following committee.

Audit Committee:

Internal Audit Committee

ISO Audit Committee

Social / Environment Committee

Performance Evaluation Audit Committee

Employment Relations Committee:

Remuneration Committee

Work Environment Committee



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Management Committee:

Product Planning & Development Committee

Quality Control & Research Committee

Production & Inventory Management Committee

Export Promotion Committee

Working System:

As the companys size is big so its employee number is also quit big one. People of it work in

teams. They do not go for individual work system. Each team is dependent on another teams

work.

Human resource planning:

Square has a personal and administrative Department. Square is one of the biggest employers

in Bangladesh. The total number of employees is 1,223. For the employees there are

systematic in house training in home and abroad. To motivate the employees, along with

salary and benefits the company provides various facilities like free meals , free

transportation , 24 hour medical center , on site sports . Production and accommodation

facilities include full time supply of safe drinking water, adequate lighting and ventilation

facilities from sheet.

HR Practices of SQUARE textile

Recruitment

Training

Performance Management

Employee relation

Job analysis

Job design

Selection

Development

Incentives

Benefits


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BRIEF DISCUSSION ON EMPLOYEE-EMPLOYER RELATIONSHIP

For any economy to make rapid progress and any particular labor intensive industry which

has an immense contribution to a countrys GDP growth for example the RMG and textile

sector in the case of Bangladesh, Employee-Employer relationship in a labor in a labor based

organization is of extreme importance. If this relationship starts to face problems from within

the organizations and from the outside leading to serious disputes between the employers and

employees, the entire industry is bound to collapse only in a matter of time. To avert such

disasters the Operations and Human Resources Management teams of the respective

companies doing business in that particular industry has to be extra careful and take into

consideration some of the sensible and rational demands of the labors working in that

industry. A number of management styles and management strategies are available to the

management teams to choose from to avoid such chaos and confusion between the employees

and employers in intensive labor based organizations.

Like many other RMG and Textiles companies of Bangladesh, the Square Textiles which is a

subsidiary of the nationally renowned Square Group, follows an industrial relations

perspective which is known as the Unitarist perspective. The Unitarist perspective emphasis

on the organization as a coherent team united by a common purpose. In terms of this

approach the organization is seen as a single entity, with a single authority and a loyalty

structure. The organization has a common set of values, interests, and objectives shared by all

members of the organization. Managements right to manage is seen as legitimate and

rational. Any opposition to managements to manage is seen as irrational. This view sees no

conflict between employees and employers since both are partners to the common aim of

production and profit. All employees strive for greater productivity in order that all can share

the rewards. This means that each worker does his or her best, accepts their place in the

hierarchy, and follows the appointed leader. Conflict is seen as irrational and antisocial. It is

seen to be caused by agitators. If it exists it is the fault of the employees and not the

employers and the management. Trade unions are intrusions from outside competing with the

management for the loyalty of the workers. It has a negative effect on the prerogatives of

management. It redirects the loyalty of employees away from management. Many businesses

promote Unitarism because it legitimizes managements authority and emphasizes


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managements right to rule. In Unitarism, the employees promote the interests of the

management. Thus any challenge to management is misguided and subversive.

The management team of Square Textiles also follows a management strategy known as

Sophisticated Human Relations Style to avoid labor conflicts and disruptions in their

operations. In this style of management strategy unions are actively avoided but there is

promotion and development of the individual through sophisticated HRM such as higher

wages, training and development and good communication. The management strategy also

has procedures to neutralize all sorts of complains, dissatisfactions and grievances if

prevailing among the employees of the organization.

Industrial relations are the relationships between employees and employers within the

organizational settings. The field of industrial relations looks at the relationship between

management and workers, particularly groups of workers represented by a union. Industrial

relations are basically the interactions between employers, employees and the government,

and the institutions and associations through which such interactions are mediated. The

relationships which arise at and out of the workplace generally include the relationships

between individual workers, the relationships between workers and their employer, the

relationships between employers, the relationships employers and workers have with the

organizations formed to promote their respective interests, and the relations between those

organizations, at all levels. Industrial relations also includes the processes through which

these relationships are expressed (such as, collective bargaining, workers participation in

decision-making, and grievance and dispute settlement), and the management of conflict

between employers, workers and trade unions, when it arises.

RELATIONSHIP DYNAMICS

Relationship dynamics talks about the trustworthiness between the

employer and employee. It indicates how much open minded they are to

each other. From the context of Bangladesh, in an organization employers

are considered enemy to the employees. Employees always think

employers always remain busy only for their own benefit. We often see so

many strikes, and hooliganisms take place in the RMG areas most often.
http://industrialrelations.naukrihub.com/http://industrialrelations.naukrihub.com/


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However, HR is maintaining an effective way to deal with labor in Square

and there has been no unrest recorded as dispute. Personnel working here

are taking care of SQUARE as if it is their own family. Employee-employer

relation is cordial and supporting always.

BALANCE OF POWER

Employers and employees each have their own sets of needs and values,

and successful relationship between these two sides requires that some

sort of balance be struck. This balance often takes the form of a

psychological contract, an understood agreement between employer and

employees that defines the work relationship. This contract with orwithout support of a formal collective bargaining, agreement influence the

outcome achieve by each side.

The Bangladesh Garment Manufacturers and Exporters Association (In the prolonged

tripartite negotiations between workers' representatives, government and employers, the

BGMEA has consistently refused to budge on the wage demands, offering only minor

increases.) Eight and a half thousand workers struck to demonstrate for wage increases and

other benefits; RMG bosses responded by lockouts - closing the factories. Workers

barricaded main roads, fighting began when cops arrived, workers lobbing bricks at them;

workers then broke up into several groups and began attacking various factory buildings.

Other factories then began to shut in an effort to avoid further trouble - but their closure

brought more workers onto the streets. Police eventually cleared the area with teargas. Forty

people were injured, including ten cops.

These incidents are common in the industry, in the company we selected the employees havemore power as the owner depicted the situation workers. Although the company did not face

any troubles yet as it has a very co-operative and understands the need of the employees. The

employer has this perspective as workers have the capability to go on strike and stop

production.

However,SQUARE, with its progressive business outlook, believes and practices corporate

work culture with a classic blend of efficiency and equity. SQUARE believes in company

growth by increasing efficiency level of employees and for that offering excellent


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environment and support for skill and knowledge up gradation. SQUARE values productivity

as the spontaneous contribution of Human Resources. HR is maintaining an effective way to

deal with labor union and still no unrest has been recorded as dispute. Personnel working here

are taking care of SQUARE as if it is their own family. Employee-employer relation is

cordial and supporting always.

Although there is trade union involved but the employees have power of the masses that

they are so huge in number that they can affect their and other companies in the industry.

Employees can go on strike, it is a concerted and temporary suspension of functions designed

to exert pressure upon others that is the management.

ROLE OF POWER

Power is common in both parties that are employers and the employees. Employers have

lockouts, no work no pay policy whereas employees go on strike, or boycott the company.

All these tactics are harmful for the production process and improvement of the company as

well as for the two parties involved.

The factory owner uses lockout as a power tool if there is a bargaining situation. The factory

is closed temporarily, because its owner tries to gain a negotiating advantage over the

employees' union. A lockout is commonly used by a company's management if they suspect

the union is planning to strike. A lockout by management before the union strikes is much

like a pre-emptive military attack that tries to hit the enemy hard, fast, and first. Also, in case

a situation occurs where there is chance of destruction of properties of the company, the

company can use lock out as their option to protect the company. Then there is also no work

no pay policy that is if workers do not work they do not get paid so as most of the workers

are economically insolvent they get weak as they are forced to do their job for the money.

As factory owner has power to lockout, the employees can go on strike, it is temporary

action, but it is very effective. There are several reasons for the supremacy of strike as a

weapon. The strike directly suspends production; cuts out the creation of profit cuts off the

employer from his market; sources and materials may be lost and fixed charges such as

interest, taxes, and salaries for officials continue to incur during the strike period. Finally, the

very existence of the company may be threatened by prolonged strike.


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TRADE UNION & COLLECTIVE BARGAINING

The employer said in the interview they do not hire people involved with trade unions as

trade unions cause more problems by stirring up the employees and causing riots and strike.

Even though there is provision for trade union and law states that employers cannot

discriminate workers involved with trade union.

Although the company does not allow trade unions but they organize monthly group

meetings. These are group meetings where workers and employees sit together to solve their

issues and return back to a healthy working condition. The issues discussed are mainly wage

related and benefits that should be provided.

After interviewing some employees we found out about their view on trade union. The

workers fear to lose their job by joining trade unions as the producers dont prefer them to

join in unions. The producers think that many trade unions are politically oriented and they

use the workers for their own political benefit. But the workers perceive that producers dont

want them to join in traded unions because they (producer) dont want them (workers) to be

aware of their (workers) rights.

EXISTING LABOR LAW

The People's Republic of Bangladesh has manylaws governing the relationshipbetween

workers and employers, including the 1965 Employment of Labor Act and the 1969

Industrial Relations Ordinance. Specific laws practically apply to several industries, but

enforcement is lax or virtually nonexistent.

TERMINATION
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A permanent employee at a company must give his employer 14 days notice if he wishes to

quit or one month notice if the employee is paid on a monthly basis. Termination is

considered a "discharge" in the case that an employee is fired for reasons of mental or

physical incapacity, illness or other reasons not related to misconduct by the employee.

Conversely, a "dismissal" is defined as a termination that is in response to employee

misconduct, such as tardiness, corruption, dishonesty, theft, etc. The third category of

termination, "retrenchment," is performed in cases where the employment is redundant. An

employer must pay compensation when a termination is unrelated to discharge or dismissal,

and must give justification when they do terminate on grounds of discharge or dismissal.

REDRESS

In cases of discharge, dismissal, or retrenchment, an employee may file grievances in an

attempt to gain redress for the termination. This is begun by filing a grievance with an

employer within 15 days of the termination.

If the employer doesn't provide satisfactory redress, the fired employee can take the case to

the Labor Court within 30 days of the termination. The Labor Court may order the payment

of redress or even the reinstatement of the worker. An employee terminated on grounds not

specifically defined as discharge, dismissal or retrenchment generally can only file grievances

if his employer violated requisite notice period for termination or the termination was

committed on grounds of union activity.

CHILD LABOR

With millions of children employed in industries ranging from cigarette production to fish

processing, child labor is pervasive throughout all sectors of unskilled labor in Bangladesh.

The garment industry employs the most children. According to the U.S. Department of

Labor's Bureau of International Labor Affairs, thelaw on child labor is vague, with various

interpretations placing the minimum age of employment at 12 to 13.

FOLLOWING LABOR LAW

In practice, the laws are often not enforced and children as young as 8 have been reported

working in factories. But Square textile mill has been following the existing labor law as they

dont want to lose foreign investors.
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LEVEL OF JOB SATISFACTION

Employers and employees each have their own sets of needs and values, and successful

relationship between these two sides requires that some sort of balance be struck. This

balance often takes the form of a psychological contract, an understood agreement between

employer and employees that defines the work relationship. This contract with or without

support of a formal collective bargaining, agreement influence the outcome achieve by each

side.

SQUARE group the various into three channel categories those are:

1. Employee safety

2. Employee health

3. Employee working condition

EMPLOYEE SAFETY: SQUARE provides the employee safety .It ensure

the all kinds of job safety such as insurance of each employee not this itprovide insurance to the labor.

EMPLOYEE HEALTH: Free medical checkup, provide health care, and

also provide necessary medical facilities for each employee.

EMPLOYEE WORKING CONDITION: The working condition of employee

is very hygienic. SQUARE is ISO 9001-2000 Certified company.

LABOR RELATION ISSUES

Employment Relations Committee:

Remuneration Committee

Work Environment Committee



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SHORT TERM & LONG TERM INCENTIVES

INCENTIVES

Compensation fluctuates according to:

A pre-established formula

Individual or group goals because group goals are different from

individual goals

Company earnings

Incentive Pay Categories:

-Individual

-Group

-Company-wide

Individual incentive plans:

Quantity of work output (How many units produced)

Quality of work output (What was the quality of the product or servicebeing produced or served)

Monthly sales (How much sales was generated)

Work safety record (How many hazard or errors are being reduced.

Work attendance (If the absent is reduced or attendance is good)

GROUP INCETIVES

Performance Measures:

Group incentive plans

Customer satisfaction

Labor cost savings

Materials cost savings

Reduction in accidents Services cost savings


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COMPANY WIDE PERFORMANCE MEASURES

Company-wide incentive plans:

Company profits

Cost containment/prevention

Market share

Sales revenue

Individual Incentive Plans (Piecework plans):

Awards based on individual Production vs. company standards

Awards based on individual performance standards using objective &

subjective criteria

Quantity and / or quality goals

Group Incentive Plans:

Rewards employees for their collective performance

Group incentive use has increased in industry

2 types Team - based or small group

Gain sharing

BENEFIT AND SERVICE PLANS

Square has a personal and administrative Department. Square is one of

the biggest employers in Bangladesh. The total number of employees is

1,223. For the employees there is systematic in house training in home

and abroad. To motivate the employees, along with salary and benefits

the company provides various facilities

BENEFITS OF SQUARE

Employee benefits & services were formerly known as fringe benefits and

these benefits were primarily the in-kind payments employees receive in

addition to payments in the form of money.


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In addition to paying employees fairly and adequately for their

contributions in the performance of their jobs, organizations assume a

social obligation for the welfare of employees and their dependents.

Employees benefits are usually inherent components of the non-compensation system are made available to employees that provide:

Protection in case of health & accident

Income upon retirement & termination

These benefits are components that contribute to the welfare of the

employee by filling some kind of demand.

LEGALLY REQUIRED BENEFITS OF SQUARE

Social Security

Social security benefits include the general benefits like unemployment

insurance & benefits, old age insurance, and Medicare facilities.

Workers Compensation

Workers compensation includes the compensation when an employee

becomes injured or disable due to extreme working conditions or while

working at the job site.

Family & Medical Leave

Family leave includes the compensation continuation during the family

leave such as maternity or paternity leave and other family leave.

Old age, Survivor, Disability Insurance requirements for getting

compensation: Earn 40 quarters of credit, or

Be employed for 10 years

Be age 62 for partial benefits

Be age 65 for full benefits

Now the age has been extended to age 67 because more and more

workers are retiring late.

Widow aged 60 +


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Medicare:

Depends on the countrys policy, Medicare facilities are generally

government services to citizens. Organizations add some value to

Medicare facilities. In some countries Medicare is financed together by

employees tax, employers, and the government.

Provided insurance coverage for

Hospitalization - Covers inpatient & outpatient hospital care & services.

Major Doctor bills Charges of visiting a doctor or specialist.

Prescription drug costs.

Provides unlimited in-home care in certain situations.

Workers Compensation:

Workers compensation is a legally required benefit is included in the

compulsory disability laws of many countries. Mostly, employer is seen

liable regardless of the fault.

Objectives of Workers compensation:

Provide income & medical benefits

Reduce litigation

Eliminate legal fees & time

Encourage employer safety

Promote accident study & avoidance

Workers compensation claims

Injury

Occupational disease

Death

Workers compensation benefits

Medical services

Disability income

Death benefits

Discretionary Benefits:


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Discretionary benefits are judgment based benefits that the organization

provides to its employees. These benefits are not legally required benefits

but enhance organizational culture and corporate image.

Benefits include:

Protection programs

Pay for time not worked

Other services

Pay for time not worked:

Holidays

Vacations

Funeral leave

Marriage leave

Sick leave

Stress leave

Blood donation or welfare work

Personal leave

Sabbatical leave/ For Muslims, leave after death

Other religious leaves such as pilgrimage or preaching

EXECUTIVE COMPENSATION PLAN

Administration:Category Monthly Salary

General Manager Tk. 15,000

Manager Accounts Tk. 10,000

Cashier Cum Computer Op. Tk. 8,000

Store Keeper Tk. 5,000Peon, Guard, Driver Tk. 3,500


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Other Staff Tk. 3,000

Commercial:Category Monthly Salary

Manager Commercial Tk. 12,500Commercial Officer Tk. 8,000

Production:

Category Monthly Salary

Production Manager Tk. 20,000

Floor In Charge Tk. 12,500

Supry. Tk. 7,500

Cutting In Charge Tk. 6,000

Finishing In Charge Tk. 6,000

Workers:

Category Monthly Salary

Skilled Operator Tk. 2000

Helper Tk. 1500

RECOMMENDATIONS

The whole factory and all equipment possess the highest international

safety standards. All employees should regularly train in order to increase

their efficiency and to ensure the safe operation of all the equipments

related to their work.

CONCLUSIONS:

The company believes their workers are their asset without them they could not have reached

to their present success. Square textile limited implements its corporate social responsibility

in the work place, with the workers and with the environment. Square Textile Limited is a

very conscious and socially responsible RMG factory. They are sympathetic to their workers.

In short, in many senses Squarer textile is a model for many RMG factories in Bangladesh.


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The flourishment of any industry requires combined efforts and co-

operation from several parties. Social, political and macroeconomic

environment play pivotal role in this regard. Though Square Textile is a

newly Ventured Company in the respective sector, its growth andexpansion is praiseworthy. Its contributing the country and serving the

nation in different ways. If it can up hold its much toward advancement, it

will be able to set a role model in our country.

380 Term paper.doc

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