Contract Labour Sasi(1)

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A STUDY ON SATISFACTION OF CONTRACT LABOUR IN C.R.I

PUMPS

PROJECT REPORT

Submitted in partial fulfillment of the requirements for the award of the degree of

MASTER OF BUSINESS ADMINISTRATION

of BHARATHIAR UNIVERSITY

Submitted by

V.SASIKALA.

Reg.No:12F50589

Under the Guidance of

Mr. S.RAJESH MBA.,

Assistant Professor

Department of Management Studies

DEPARTMENT OF MANAGEMENT STUDIES

COIMBATORE641 035

SEPTEMBER - 2013


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TABLE OF CONTENTS

S.NO. PARTICULARS PAGE.NO.

Synopsis

List of tables

List of tables

1

Introduction to the study

2Introduction to the organisation

3Introduction to the industry

4Objectives of the study

5 Limitations of the study

6 Review of literature

7Research methodology

8Analysis and interpretation

9.Findings

10.Suggestions

11 Conclusion


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Appendix

Bibliography


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LIST OF TABLES

S. NO PARTICULARS PAGE. NO

1. Showing the Age of Respondents

2. Showing the gender of respondents

3. Showing the Experience of the Respondents

4. Showing the Department of the Respondents

5. Showing the Educational qualification of the Respondents

6. Showing the monthly income of the Respondents

7. Showing the respondents opinion about the company clearconveying of its mission

8. Showing the respondents opinion towards the right time of the

managerscommunication.

9. Showing the respondents opinion towards the supervisor

listening the words of employees

10. Showing the respondents opinion towards the opportunities

given to the employees for learning.

11. Showing the respondents opinion towards the convenient

working hours


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12. Showing the respondents opinion towards happiness of

working.

13. Showing the respondents opinion of too much of work

14. Showing the respondents of having tools and resources for

doing their work

15. Showing the respondents opinion for having training to do their

job

16. Showing the respondents opinion towards the safety measures

provided by the company

17. Showing the respondents of getting recognition for their job

18. Showing the respondents opinion towards the amount of work

expected

19. Showing the respondents opinion towards their colleagues

20. Showing the respondents opinion towards the department

communication

21. Showing the respondents of having a good relationship with the

supervisor.

22. Showing the respondents opinion towards the supervisor active

listening to employees suggestions

23. Showing the respondents opinion towards the enabling of best

performance by the supervisor


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24. Showing the Respondents opinion towards the promotion of

teamwork atmosphere by the supervisor

25. Showing the respondents opinion towards the superiors

evaluation of employees work on regular basis.

26. Showing the respondents opinion that the superior will address

the employees questions

27. Showing the respondents opinion towards the satisfaction of

support of the co-workers

28. Showing the respondents opinion towards the helping tendency

of one another


refreshments.

30. Showing the respondents opinion towards the employee

motivation by the supervisor to increase their efficiency

31. Showing the respondents overall satisfaction level of the

present job


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LIST OF CHARTS

S. NO PARTICULARS PAGE NO

1. Showing the Age of Respondents

2. Showing the gender of respondents

3. Showing the Experience of the Respondents

4. Showing the Department of the Respondents

5. Showing the Educational qualification of the Respondents

6. Showing the monthly income of the Respondents

7. Showing the respondents opinion about the company clear

conveying of its mission

8. Showing the respondents opinion towards the right time of the

managerscommunication.

9. Showing the respondents opinion towards the supervisor

listening the words of employees

10. Showing the respondents opinion towards the opportunities

given to the employees for learning.

11. Showing the respondents opinion towards the convenient

working hours


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12. Showing the respondents opinion towards happiness of

working.

13. Showing the respondents opinion of too much of work

14. Showing the respondents of having tools and resources for

doing their work

15. Showing the respondents opinion for having training to do their

job

16. Showing the respondents opinion towards the safety measures

provided by the company

17. Showing the respondents of getting recognition for their job

18. Showing the respondents opinion towards the amount of work

expected

19. Showing the respondents opinion towards their colleagues

20. Showing the respondents opinion towards the department

communication

21. Showing the respondents of having a good relationship with the

supervisor.

22. Showing the respondents opinion towards the supervisor active

listening to employees suggestions

23. Showing the respondents opinion towards the enabling of best

performance by the supervisor


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24. Showing the Respondents opinion towards the promotion of

teamwork atmosphere by the supervisor

25. Showing the respondents opinion towards the superiors

evaluation of employees work on regular basis.

26. Showing the respondents opinion that the superior will address

the employees questions


support of the co-workers

28. Showing the respondents opinion towards the helping tendency

of one another


refreshments.

30. Showing the respondents opinion towards the employee

motivation by the supervisor to increase their efficiency

31. Showing the respondents overall satisfaction level of the

present job


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SYNOPSIS

This research work has been done to measure the satisfaction level of employees with

special reference to C.R.I. Pumps. Today to sustain in such a competitive market its very


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important for the organization to retain good employees that contribute towards the attainment of

Organizational goal and employee satisfaction as well.

The research has been done with a sample size of 100 employees based on random

sampling techniques. Data was collected based on structured questionnaire method five factors

namely employee motivation and work environment, working relation, salary and future

prospects, Training & work involvement and job rotation. We found the employees to be

satisfied on the basis of above said five factors.

The statistical tools used in this study by the researcher are simple percentage method,

chi-square analysis and Anova. The SPSS software has been used for the purpose of data

analysis. The Chi-Square tests, Anova and simple percentage method were performed to view

the satisfaction level of the employees. We also found that a few important factors that normally

contribute to the employee satisfaction such as welfare measures, role clarity, recognition at

work.


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INTRODUCTION TO THE STUDY

1. INTRODUCTION TO THE STUDY

CONTRACT LABOUR (1970):


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CONTRACT LABOUR is a term applied to labour as employed to perform some

work, which has no direct employer employee relation with the party called principal

employer, for whom that work is ultimately done.

The parties who act as intermediary between the principal employers and the worker are

called as the contractors and their relationship with the principal employer is governed by

contract between them.

All over the world, employment is recognized as a contract between employer and

employee. Both parties are supposed to honour it. Those were the reasons that even the fifth pay

commission headed by Justice Mr. Pandian has suggested: that workers for certain jobs in the

government of India also should be engaged through contract system and that will unburden the

government to a great extent. The concept of turn key and franchise is also an extension of

the contract labour system. Hence, there has been a demand in this country that contract labour

act, 1970 be amended to bring it in tune with the changing scenario of the world. In order to

taken this study to know the satisfaction level of the contract labour to increase the productivity

and their performance in C.R.I Pumps. Thus, this project is undertaken to make a study.

Advantagesof Using Temporary Labor:

When we use temporary labour we should be getting an employee that has already been

screened and interviewed by the temp agency. If we work closely with the same agency

they should be able to get a feel for what type of employees we are looking for. This also

saves our time having to go through the normal hiring process.

If we are not satisfied with the employee. Well the solution to that is simple. Ask the

Contractor to send out someone else. We are not required to use anyone he sends to us.

There are a couple of other advantages to using a temporary labour. One is the ability to

let go the employee when we no longer need them. All we have to do is make a call or

give a letter and the Contractor will handle the employee.


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The other advantage is the ease with which payroll is handled. Thats because the

contractor handles the employees payroll. He deals with all the taxes as well as the

benefits the employee might be receiving. All we have to do is pay the bill.

Economic and financial feasibility - the contract Labour are able to do a better job interms of supervision since they have a fear of loss of job as compared to regular workers.

As such the principal employer has no liability towards the contract labours but his

liability is limited to the act of payment of bill raised by the contractor.

Under sec. 16 (1) (c) of contract labour Act if the contract labour appointed by the

contractor is more than 100 then it is the duty of contractor to provide Canteen for the

Labours.

As the contract Labours are appointed by contractor there will be no chance for Labour

Unions.

Dis-Advantages of Using Temporary Labor:

As per Sec. 10 of Contract Labour Act. We cannot appoint them on machine work but

only loading and un-loading work can be given to them.

However, being the principal employer, we have to ensure that the contract employees

are getting their salary from the contractor in time. It is the responsibility of the principal

employer to ensure that EPF/ESI in respect of these workers is remitted by the contractor

in time. We have also to ensure that bonus is given to those who are eligible for. Besides,

we have to obtain permission from the appropriate authorities for hiring employees

through a contractor.

Also if the contractor dose not complies with the statutory provisions under sec. 21

regarding payment of wages the Principal employer have to pay the same.

The downside of hiring temporary employees? The main problem actually comes from

what happens when we find an employee wed like to keep. Most temp agencies require

their workers to sign a contract. Most are either three or six months in duration. The

contract keeps the worker from jumping ship if they are offered a job. This gives the

company that is using the employee usually only two choices. One is to buy out the

contract. This can often cost the company thousands of rupees. Its how the agency is able


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to still make its money on the worker. The other option is to keep the worker on until the

employees contract runs out. Either way our business will pay a price. Its up to us to

decide whether the employee is worth the price.

As the employees are appointed by contractor we have no chance to judge their working

ability before appointing them.

Essential ingredients of contract labor:

1. That the employment may be or through a contractor as define section 2(1) (c) of the act.

2. That he must be a workman as defined in section 2(a)(I) of the act.

3. That he must be employed in or in connection with the work of the establishment. It follows

that any person who is in some manner or other connected with the work of the establishment

would be contract labour.

4. That the employment may be with or without the knowledge of the principal employer.

5. There is no warranty to impose that it is only where the contractor obtains a license. Under the

act that workmen employed through him will be contract labour.

Standard Operating Procedure for Contract Labour Management System:

I. Ensuring issuance of work order to the party.

II. Ensuring safety training of the labours indicated in the list submitted by the contractors for

engineering as a contract labour to carry out the work.

III. Receipt of the recommendation of HOD/ section in charge for the preparation of the Gate

Passes of the labours undergone for safety training and submission of such list by contractors in

contract cell.

IV. Ensuring PFcode no of contractor by contract cell & then filling up of the nomination form

of provident fund from contract labours.

V. Ensuring ESI code no. of contractors by contract cell and then filling up of the relevant

declaration forms from contract labours.

VI. Ensuring Form 30 of Medical Fitness Certificate issued by the Government Doctors in

respect of each labours.


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2. Every license granted under cub rule (1) or renewed under rule 29 shall be subject to following

conditions namely:-

a) The license shall be non- transferable.

b) The number of workmen employed as contract labour in the establishment shall not,

on any day, exceed the maximum under specified in the license.

3. Save as provided in these rules, the fees paid for the grant, or as the as a case may be, for

renewal of the license shall be non-refundable.

4. The rates of the wages payable to workmen by the contractor shall not be less than the rate

prescribed under the minimum wages act ,1948(11).

5. In cases where the workmen employed by the contractor perform the same or similar kind of

work as a workmen directly employed by the principal employee of the establishment, the wage

rates, the holidays, the hours of work and the other conditions of service of the workmen of the

contractor shall be same as applicable to the workmen directly employed by the employer of the

establishment on the same or similar kind of work.

6. In other cases the wage rate, holidays, hours of work & condition of the service of the

workmen of the contractor shall be such as may be specified in the behalf of the chief labour

commissioner (central)

7. In every establishment where 20 or 20 more women are ordinarily employed as contract

labour, there shall be provided two rules of reasonable dimensions for the use of their children

under the age of 6 years.

8. One such room shall be used as a play room for the children and the other as bed room for the

children.

9. The license shall notify any change in the number of workmen or the conditions of work to the

licensing officer.

10. No female contract labour shall be employed by the contract labour before 6.00 am or after

7.00 pm.

Validity and Renewal of License:


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Every license granted under rule 25 or renewed under 29 shall remain in force for 12

month from the date it is granted or renewed.

Renewal contractor shall apply to the licensing officer for renewal of the license.

Welfare and Health of Contract Labour

1.Rest Room:

In every place wherein contract labour is required to half at night in connection with the

working of establishment to which the act applies and in which employment of contract labour is

likely to continue for 3 months or more, the contractor shall provide and maintain rest rooms or

other suitable alternative accommodation within which 15 days of the coming into force of the

rules in the case of existing establishment and within 15 days of the commencement of the

employment of contract labour in new establishment.

a) Separate rooms shall be provided for women employees.

b) Effective and suitable provision shall be made in every room for securing and maintaining

adequate ventilation by the circulation of fresh air and there shall also be provided and

maintained sufficient and suitable natural or artificial lighting.

c) The rest room or other suitable alternative accommodation shall be so constructed as to afford

adequate protection against heat, wind, rain and shall have smooth, hard and impervious floor

surface.

d) The rest room or other suitable alternative accommodation shall be at a convenient distancefrom the establishment and shall have adequate supply of wholesome drinking water.

2. Canteen:


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(2) Before issuing any notification under sub-section (1) in relation to an establishment, the

appropriate Government shall have regard to the conditions of work and benefits provided for the

contract labour in that establishment and other relevant factors, such as

(a) Whether the process, operation or other work is incidental to, or necessary for the

industry, trade, business, manufacture or occupation that is carried on in the

establishment;

(b) whether it is of perennial nature, that is to say, it is of sufficient duration having

regard to the nature of industry, trade, business, manufacture or occupation carried on in

that establishment;

(c) Whether it is done ordinarily through regular workmen in that establishment or an

establishment similar thereto;

(d) Whether it is sufficient to employ considerable number of whole-time workmen.

Employer Liability Act 1938:

Sec. 3 (A) Contracting out. - Any provision contained in a contract of service or

apprenticeship, or in an agreement collateral thereto, shall be void in so far as it would have theeffect of excluding or limiting any liability of the employer in respect of personal injuries caused

to the person employed or apprenticed by the negligence of persons in common employment

with him.

Employees State Insurance Act, 1948:

(Sec. 69) Liability of owner or occupier of factories, etc. for excessive

sickness benefit

(1) Where the Corporation considers that the incidence of sickness among insured persons is

excessive by reason of-


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(I) in sanitary working conditions in a factory or establishment or the neglect of the

owner or occupier of the factory or establishment to observe any health regulations enjoined on

him or under any enactment; or

(ii) in sanitary conditions of any tenements or lodgings occupied by insured persons and

such insanitary conditions are attributable to the neglect of the owner of the tenements or

lodgings to observe any health regulations enjoined on him by or under any enactment, the

Corporation may send to the owner or occupier of the factory or establishment or to the owner of

the tenements or lodgings, as the case may be, a claim for the payment of the amount of the extra

expenditure incurred by the Corporation as sickness benefit; and if the claim is not settled by

agreement, the Corporation may refer the matter with a statement in support of its claim, to the

appropriate government.

(2) If the appropriate government is of opinion that a prima facie case for inquiry is disclosed, it

may appoint a competent person or persons to hold an inquiry into the matter.

(3) If upon such inquiry it is proved to the satisfaction of the person or persons holding the

inquiry that the excess in incidence of sickness among the insured persons is due to the default or

neglect of the owner or occupier of the factory or establishment or the owner of the tenements or

lodgings, as the case may be, the said person or persons shall determine the amount of the extraexpenditure incurred as sickness benefit, and the person or persons by whom the whole or any

part of such amount shall be paid to the Corporation.

(4) A determination under sub-section (3) may be enforced as if it were a decree for payment of

money passed in a suit by a Civil Court.

(5) For the purposes of this section, "owner" of tenements or lodgings shall include any agent of

the owner and any person who is entitled to collect the rent of the tenements or lodgings as a

lessee of the owner.


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2. INTRODUCTION TO THE PUMP INDUSTRY

A pump is a device that moves fluids (liquids orgases), or sometimesslurries, by

mechanical action. Pumps can be classified into three major groups according to the method they

use to move the fluid: direct lift, displacement, and gravity pumps.

Pumps operate by some mechanism (typicallyreciprocating orrotary), and

consumeenergy to performmechanical workby moving the fluid. Pumps operate via many

energy sources, including manual operation, electricity,engines,orwind power,come in many

sizes, from microscopic for use in medical applications to large industrial pumps.

Mechanical pumps serve in a wide range of applications such as wells, aquarium, pond

filtering andaeration, in thecar industry forwater-cooling andfuel injection, in theenergy

industry forpumping oil andnatural gas or for operatingcooling towers.In themedical industry,

pumps are used for biochemical processes in developing and manufacturing medicine, and as

artificial replacements for body parts, in particular theartificial heart andpenile prosthesis.

In biology, many different types of chemical and bio-mechanical pumps haveevolved,

andbio mimicry is sometimes used in developing new types of mechanical pumps.

TYPES:

Mechanical pumps may be submerged in the fluid they are pumping or external to the

fluid. Pumps can be classified by their method of displacement intopositive displacement

pumps,impulse pumps,velocity pumps,gravity pumps,steam pumps andvalve less pumps.

Positive displacement pump:

A positive displacement pump makes a fluid move by trapping a fixed amount and

forcing (displacing) that trapped volume into the discharge pipe. Some positive displacement

pumps use an expanding cavity on the suction side and a decreasing cavity on the discharge side.

Liquid flows into the pump as the cavity on the suction side expands and the liquid flows out of

the discharge as the cavity collapses. The volume is constant through each cycle of operation.
http://en.wikipedia.org/wiki/Liquidhttp://en.wikipedia.org/wiki/Gashttp://en.wikipedia.org/wiki/Slurryhttp://en.wikipedia.org/wiki/Reciprocating_motionhttp://en.wikipedia.org/wiki/Rotationhttp://en.wikipedia.org/wiki/Energyhttp://en.wikipedia.org/wiki/Mechanical_workhttp://en.wikipedia.org/wiki/Engineshttp://en.wikipedia.org/wiki/Wind_powerhttp://en.wikipedia.org/wiki/Pondhttp://en.wikipedia.org/wiki/Pondhttp://en.wikipedia.org/wiki/Aerationhttp://en.wikipedia.org/wiki/Car_industryhttp://en.wikipedia.org/wiki/Water_coolinghttp://en.wikipedia.org/wiki/Fuel_injectionhttp://en.wikipedia.org/wiki/Energy_industryhttp://en.wikipedia.org/wiki/Energy_industryhttp://en.wikipedia.org/wiki/Pumping_(oil_well)http://en.wikipedia.org/wiki/Natural_gashttp://en.wikipedia.org/wiki/Cooling_towerhttp://en.wikipedia.org/wiki/Medical_industryhttp://en.wikipedia.org/wiki/Artificial_hearthttp://en.wikipedia.org/wiki/Penile_prosthesishttp://en.wikipedia.org/wiki/Evolutionary_biologyhttp://en.wikipedia.org/wiki/Biomimicryhttp://en.wikipedia.org/wiki/Pumps#Positive_displacement_pumphttp://en.wikipedia.org/wiki/Pumps#Positive_displacement_pumphttp://en.wikipedia.org/wiki/Pumps#Impulse_Pumpshttp://en.wikipedia.org/wiki/Pumps#Velocity_pumpshttp://en.wikipedia.org/wiki/Pumps#Gravity_pumpshttp://en.wikipedia.org/w/index.php?title=Steam_pumps&action=edit&redlink=1http://en.wikipedia.org/wiki/Pumps#Valveless_pumpshttp://en.wikipedia.org/wiki/Pumps#Valveless_pumpshttp://en.wikipedia.org/w/index.php?title=Steam_pumps&action=edit&redlink=1http://en.wikipedia.org/wiki/Pumps#Gravity_pumpshttp://en.wikipedia.org/wiki/Pumps#Velocity_pumpshttp://en.wikipedia.org/wiki/Pumps#Impulse_Pumpshttp://en.wikipedia.org/wiki/Pumps#Positive_displacement_pumphttp://en.wikipedia.org/wiki/Pumps#Positive_displacement_pumphttp://en.wikipedia.org/wiki/Biomimicryhttp://en.wikipedia.org/wiki/Evolutionary_biologyhttp://en.wikipedia.org/wiki/Penile_prosthesishttp://en.wikipedia.org/wiki/Artificial_hearthttp://en.wikipedia.org/wiki/Medical_industryhttp://en.wikipedia.org/wiki/Cooling_towerhttp://en.wikipedia.org/wiki/Natural_gashttp://en.wikipedia.org/wiki/Pumping_(oil_well)http://en.wikipedia.org/wiki/Energy_industryhttp://en.wikipedia.org/wiki/Energy_industryhttp://en.wikipedia.org/wiki/Fuel_injectionhttp://en.wikipedia.org/wiki/Water_coolinghttp://en.wikipedia.org/wiki/Car_industryhttp://en.wikipedia.org/wiki/Aerationhttp://en.wikipedia.org/wiki/Pondhttp://en.wikipedia.org/wiki/Pondhttp://en.wikipedia.org/wiki/Wind_powerhttp://en.wikipedia.org/wiki/Engineshttp://en.wikipedia.org/wiki/Mechanical_workhttp://en.wikipedia.org/wiki/Energyhttp://en.wikipedia.org/wiki/Rotationhttp://en.wikipedia.org/wiki/Reciprocating_motionhttp://en.wikipedia.org/wiki/Slurryhttp://en.wikipedia.org/wiki/Gashttp://en.wikipedia.org/wiki/Liquid


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Positive displacement pumps behavior and safety:

Positive displacement pumps, unlikecentrifugal orroot-dynamicpumps, theoretically

can produce the same flow at a given speed (RPM) no matter what the discharge pressure. Thus,

positive displacement pumps are constant flow machines. However, a slight increase in internal

leakage as the pressure increases prevents a truly constant flow rate.

A positive displacement pump must not operate against a closed valve on the discharge

side of the pump, because it has no shutoff head like centrifugal pumps. A positive displacement

pump operating against a closed discharge valve continues to produce flow and the pressure in

the discharge line increases until the line bursts, the pump is severely damaged, or both.

A relief orsafety valve on the discharge side of the positive displacement pump is

therefore necessary. The relief valve can be internal or external. The pump manufacturer

normally has the option to supply internal relief or safety valves. The internal valve is usually

only used as a safety precaution. An external relief valve in the discharge line, with a return line

back to the suction line or supply tank provides increased safety.

Rotary positive displacement pumps:

Positive displacement rotary pumps move fluid using a rotating mechanism that creates a

vacuum that captures and draws in the liquid.

Advantages:

Rotary pumps are very efficient because they naturally remove air from the lines,

eliminating the need to bleed the air from the lines manually.

Disadvantages:The nature of the pump demands very close clearances between the rotating pump and

the outer edge, making it rotate at a slow, steady speed. If rotary pumps are operated at high

speeds, the fluids because erosion, which eventually causes enlarged clearances that liquid can

pass through, this reduces efficiency.
http://en.wikipedia.org/wiki/Centrifugal_pumphttp://en.wikipedia.org/w/index.php?title=Roto-dynamic&action=edit&redlink=1http://en.wikipedia.org/wiki/Safety_valvehttp://en.wikipedia.org/wiki/Safety_valvehttp://en.wikipedia.org/w/index.php?title=Roto-dynamic&action=edit&redlink=1http://en.wikipedia.org/wiki/Centrifugal_pump


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Rotary positive displacement pumps fall into three main types:

Gear pumps - a simple type of rotary pump where the liquid is pushed between two gears

Screw pumps - the shape of the internals of this pump usually two screws turning against

each other pump the liquid

Rotary vane pumps - similar toscroll compressors,these have a cylindrical rotor encased in a

similarly shaped housing. As the rotor orbits, the vanes trap fluid between the rotor and the

casing, drawing the fluid through the pump.

Triplex-style plunger pumps:

Triplex plunger pumps use three plungers, which reduces the pulsation of single

reciprocating plunger pumps. Adding a pulsation dampener on the pump outlet can further

smooth the pump ripple, or ripple graph of a pump transducer. The dynamic relationship of the

high-pressure fluid and plunger generally requires high-quality plunger seals. Plunger pumps

with a larger number of plungers have the benefit of increased flow, or smoother flow without a

pulsation dampener. The increase in moving parts and crankshaft load is one drawback.

Car washes often use these triplex-style plunger pumps (perhaps without pulsation

dampeners). In 1968, William Bridgeman significantly reduced the size of the triplex pump and

increased the lifespan so that car washes could use equipment with smaller footprints. Durable

high pressure seals, low pressure seals and oil seals, hardened crankshafts, hardened connecting

rods, thick ceramic plungers and heavier duty ball and roller bearings improve reliability in

triplex pumps. Triplex pumps now are in a myriad of markets across the world.
http://en.wikipedia.org/wiki/Gear_pumphttp://en.wikipedia.org/wiki/Screw_pumphttp://en.wikipedia.org/wiki/Rotary_vane_pumphttp://en.wikipedia.org/wiki/Scroll_compressorhttp://en.wikipedia.org/wiki/Scroll_compressorhttp://en.wikipedia.org/wiki/Rotary_vane_pumphttp://en.wikipedia.org/wiki/Screw_pumphttp://en.wikipedia.org/wiki/Gear_pump


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Compressed-air-powered double-diaphragm pumps:

One modern application of positive displacement diaphragm pumps is compressed-air-

powered double-diaphragmpumps. Run on compressed air these pumps are intrinsically safe by

design, although all manufacturers offer ATEX certified models to comply with industry

regulation. Commonly seen in all areas of industry from shipping to processing, Walden Pumps,

Greco, Sandpiper or ARO are generally the larger of the brands. They are relatively inexpensive

and can perform almost any duty, from pumping water out ofbunds, to pumping hydrochloric

acid from secure storage (dependent on how the pump is manufactured elastomers / body

construction). Lift is normally limited to roughly 6m although heads can reach almost 200 Psi.

Rope pumps:

Devised in China as chain pumps over 1000 years ago, these pumps can be made from

very simple materials: A rope, a wheel and a PVC pipe are sufficient to make a simple rope

pump. For this reason they have become extremely popular around the world since the 1980s.

Rope pump efficiency has been studied by grass roots organizations and the techniques for

making and running them has been continuously improved.

Impulse Pumps:

Impulse pumps use pressure created by gas (usually air). In some impulse pumps the gas

trapped in the liquid (usually water), is released and accumulated somewhere in the pump,

creating a pressure that can push part of the liquid upwards.

Impulse pumps include:

Hydraulic rampumps - uses pressure built up internally from released gas in liquid flow.

Pulser pumps - run with natural resources, by kinetic energy only.

Airlift pumps - run on air inserted into pipe, pushing up the water, when bubbles move

upward, or on pressure inside pipe pushing water up.
http://en.wikipedia.org/wiki/Diaphragm_(mechanical_device)http://en.wikipedia.org/wiki/Bundinghttp://en.wikipedia.org/wiki/Hydraulic_ramhttp://en.wikipedia.org/wiki/Pulser_pumphttp://en.wikipedia.org/wiki/Airlift_pumphttp://en.wikipedia.org/wiki/Airlift_pumphttp://en.wikipedia.org/wiki/Pulser_pumphttp://en.wikipedia.org/wiki/Hydraulic_ramhttp://en.wikipedia.org/wiki/Bundinghttp://en.wikipedia.org/wiki/Diaphragm_(mechanical_device)


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Hydraulic ram pumps:

Ahydraulic ram is a water pump powered by hydropower. It takes in water at relatively

low pressure and high flow-rate and outputs water at a higher hydraulic-head and lower flow-

rate. The device uses thewater hammer effect to develop pressure that lifts a portion of the input

water that powers the pump to a point higher than where the water started.

The hydraulic ram is sometimes used in remote areas, where there is both a source of

low-head hydropower, and a need for pumping water to a destination higher in elevation than the

source. In this situation, the ram is often useful, since it requires no outside source of power other

than the kinetic energy of flowing water.

Velocity pumps:

Rot dynamic pumps (or dynamic pumps) are a type of velocity pump in which energy is

added to the fluid by increasing the flow velocity. This increase in energy is converted to a gain

in potential energy (pressure) when the velocity is reduced prior to or as the flow exits the pump

into the discharge pipe. This conversion of kinetic energy to pressure is explained by theFirst

law of thermodynamics,or more specifically byBernoulli's principle.

Dynamic pumps can be further subdivided according to the means in which the velocity

gain is achieved.

These types of pumps have a number of characteristics:

Continuous energy:

1. Conversion of added energy to increase inkinetic energy (increase in velocity)

2. Conversion of increased velocity (kinetic energy) to an increase in pressure head

A practical difference between dynamic and positive displacement pumps is how they

operate under closed valve conditions. Positive displacement pumps physically displace fluid, so

closing a valve downstream of a positive displacement pump produces a continual pressure build

up that can cause mechanical failure of pipeline or pump. Dynamic pumps differ in that they can

be safely operated under closed valve conditions (for short periods of time).
http://en.wikipedia.org/wiki/Hydraulic_ramhttp://en.wikipedia.org/wiki/Water_hammerhttp://en.wikipedia.org/wiki/Rotodynamic_pumphttp://en.wikipedia.org/wiki/First_law_of_thermodynamicshttp://en.wikipedia.org/wiki/First_law_of_thermodynamicshttp://en.wikipedia.org/wiki/Bernoulli%27s_principlehttp://en.wikipedia.org/wiki/Kinetic_energyhttp://en.wikipedia.org/wiki/Kinetic_energyhttp://en.wikipedia.org/wiki/Bernoulli%27s_principlehttp://en.wikipedia.org/wiki/First_law_of_thermodynamicshttp://en.wikipedia.org/wiki/First_law_of_thermodynamicshttp://en.wikipedia.org/wiki/Rotodynamic_pumphttp://en.wikipedia.org/wiki/Water_hammerhttp://en.wikipedia.org/wiki/Hydraulic_ram


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Centrifugal pump:

A centrifugal pump is a rot dynamic pump that uses a rotatingimpeller to increase the

pressure and flow rate of a fluid. Centrifugal pumps are the most common type of pump used to

move liquids through a piping system. The fluid enters the pump impeller along or near to the

rotating axis and is accelerated by the impeller, flowing radically outward or axially into a

diffuser orvolute chamber, from where it exits into the downstream piping system. Centrifugal

pumps are typically used for large discharge through smaller heads.

Centrifugal pumps are most often associated with the radial-flow type. However, the term

"centrifugal pump" can be used to describe all impeller type rot dynamic pumps including the

radial, axial and mixed-flow variations.

Radial-flow pumps:

Often simply referred to as centrifugal pumps. The fluid enters along the axial plane, is

accelerated by the impeller and exits at right angles to the shaft (radically). Radial-flow pumps

operate at higher pressures and lower flow rates than axial and mixed-flow pumps.

Axial-flow pumps:

Axial-flow pumps differ from radial-flow in that the fluid enters and exits along the same

direction parallel to the rotating shaft. The fluid is not accelerated but instead "lifted" by the

action of the impeller. They may be likened to a propeller spinning in a length of tube. Axial-

flow pumps operate at much lower pressures and higher flow rates than radial-flow pumps.

Mixed-flow pumps:

Mixed-flow pumps function as a compromise between radial and axial-flow pumps. The

fluid experiences both radial acceleration and lift and exits the impeller somewhere between 0

and 90 degrees from the axial direction. As a consequence mixed-flow pumps operate at higher

pressures than axial-flow pumps while delivering higher discharges than radial-flow pumps. The

exit angle of the flow dictates the pressure head-discharge characteristic in relation to radial and

mixed-flow.
http://en.wikipedia.org/wiki/Impellerhttp://en.wikipedia.org/wiki/Volutehttp://en.wikipedia.org/wiki/Volutehttp://en.wikipedia.org/wiki/Impeller


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Educator - jet pump:

This uses a jet, often of steam, to create a low pressure. This low pressure sucks in fluid

and propels it into a higher pressure region.

Gravity pumps:

Gravity pumps include thesiphon andHeron's fountainand there also

importantquanta or foggier systems that simply use downhill flow to take water from far-

underground aquifers in high areas to consumers at lower elevations. Thehydraulic ram is also

sometimes called a gravity pump.

Steam pumps:

Steam pumps have been for a long time mainly of historical interest. They include any

type of pump powered by asteam engine and alsopiston less pumps such as Savers or

thePulsometer steam pump.

Recently there has been a resurgence of interest in low power solar steam pumps for use

in smallholder irrigation in developing countries. Previously small steam engines have not been

viable because of escalating inefficiencies as vapour engines decrease in size. However the use

of modern engineering materials coupled with alternative engine configurations has meant that

these types of system are now a cost effective opportunity.
http://en.wikipedia.org/wiki/Syphonhttp://en.wikipedia.org/wiki/Heron%27s_fountainhttp://en.wikipedia.org/wiki/Qanathttp://en.wikipedia.org/wiki/Hydraulic_ramhttp://en.wikipedia.org/wiki/Steam_enginehttp://en.wikipedia.org/wiki/Pistonless_pumphttp://en.wikipedia.org/wiki/Pulsometer_steam_pumphttp://en.wikipedia.org/wiki/Pulsometer_steam_pumphttp://en.wikipedia.org/wiki/Pistonless_pumphttp://en.wikipedia.org/wiki/Steam_enginehttp://en.wikipedia.org/wiki/Hydraulic_ramhttp://en.wikipedia.org/wiki/Qanathttp://en.wikipedia.org/wiki/Heron%27s_fountainhttp://en.wikipedia.org/wiki/Syphon


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3. INTRODUCTION TO THE ORGANISATION

The beginning of C.R.I, back in 1961, was a resolute attempt to produce a few

irrigation equipments using the limited facility of an in-house foundry. Now, after four

eventful decades, the founders dream has become a reality, a multi -winged organization that

produces different varieties of pumps and motors like waste water pumps, pressure booster

pumps, ch pumps, drainage pumps, sewage pumps and valves that are engineered to

perfection. What made the legendary growth possible is the flawlessly maintained value

system of the company. The name C.R.I. itself encapsulates the companys ethos:

Commitment, Reliability, Innovation and it has now become a household name associated

with water lifting pumps be it for agriculture, industry, domestic, mining or civil

applications.

Mr. K. Goal, the founder established CRI PUMPS at Coimbatore in the year 1961.

CRI PUMPS stands for Commitment, Reliability and Innovation. It had a modest

beginning with the manufacturing of foot valves. After four eventful decades, it is a reputed

organization which produces more than 1000 varieties of perfectly engineered pumps and

motors and sells its products in numerous countries spread across six continents.

Mr. G. Soundarajan was born in Coimbatore and completed his sciencegraduation in P.S.G college of Arts & Science. He joined his family business in 1979. The

sudden demise of his father in 1980 was a huge setback for the business and saw Mr. G.

Soundarajan along with his 3 brothers shouldering the responsibility of building the business.

His Vision, determination and undaunted confidence propelled him to confront the

hurdles that came in the way and this paved way for the group to start its own offices

throughout India. Currently C.R.I has 4500 dealers outlets served by 30 company offices

and five foreign subsidiary companies in South Africa, UAE, Brazil, Turkey and Spain.

Mr. G. Soundarajan passion and dream of talking company to the global level was

made possible in the year 2000. He has made significant moves that have made the presence

of CRI felt in over 70 countries if the world.


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VISION, MISSION AND VALUES:

To be the industry leader providing best-in-class fluid management solutions to

individual and institutional customers and societies in our chosen markets.

We will achieve this through our dedicated efforts to enhance the welfare of all our

stakeholders and by living by our values of commitment, reliability and innovation.

Pump Manufacturing Divisions:

The Infrastructure of C.R.I. is pretty comprehensive with state-of-the-art machineries and

a high potential R&D wing, all inside its own covered area of 1, 50,000 square meters. The

production environment is accredited with ISO 9001 & 14001 Certification. The R&D team

always stays in tune with the changing scenario and seldom fails in coming up with outstanding

solutions every time. Needless to say, behind this renowned growth lies the determined,

innovative, enthusiastic and dedicated team work.

C.R.I. Pumps Quality Awards:

In recognition of its pioneering efforts and contribution to the cause of progress and

quality the group has been honored with so many prestigious awards. C.R.IS penchant has not

only resulted in a growing list of delighted customers, but also in a steady stream of awards and

certifications that stand testimony to its excellence- be it in its products, services or processes. In

line with the serving of burgeoning demands in the region and beyond, our production facilities

have been accredited by both global and local authorities.

C.R.I, has won a number of prestigious awards during its growth through innovation. In

pursuit of global excellence, C.R.I has succeeded to be become one of the first companies from

India to be honour with export excellence award from EEPC India times in a row.

C.R.I commitment towards quality has been rewarded with Rajiv Gandhi national quality

award. It has been awarded the first prize in national energy conservation for manufacturing BEE

star labeled appliances (agriculture pump segment), by ministry of power, government of India,

for the 2nd consecutive year.


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C.R.I. 60Hz motors are the first one to be certificate by UR (American Standard) in India

and most of its 50Hz products have CE certification, which are the testimonies for the quality

standards and strength of research & development of C.R.I.

Various units of CRI PUMPS in the world:

Ransar industries

Meltzer casting

C.R.I. PUMPS

Wire and cable

Service centre and tool room

Valves

Steel casting

Chola pumps.

DEPARTMENTS IN C.R.I PUMPS:

Human Resource department

Accounts departments

New product development

Purchase and stores department

Sales and dispatch department

Tool grip engineering department

Planning department

Production department

Testing department

Dispatch department

Quality department

Maintenance department

Marketing department

Finance department


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ORGANISATION CHART OF C.R.I PUMPS

CFO

CHRO

MD

General

export

manager

Purchase VP

(material)

General

Manager

(SBT)

IT

manager

Deputy

Manager (5)Manager

(4)

Labour

R

manager

IT

software

IT

hardware

roject

manager

Civil

managerCentral

planningLegal

manager

Accounts

manager

Finance

manager

Costing

manager


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COMPANY PROFILE

Name of the company : C.R.I Pumps private limited

Business type : Trading Company

Founder : Shri. K Gopal

Chairman : Mr. C. velumani

Vice chairman : Mr. Soundarajan

Address of the company : 7/146.1, keeranatham road,

Saravanampatti,

Coimbatore- 641035.

Tel:-0422-2669971

Web address : http://www.c.r.ipumps.in

Year established : 1961

Products and services : pumps

Certifications : ISO 9000/9001/9004/19011:2000 ISO/4000/
http://www.c.r.ipumps.in/http://www.c.r.ipumps.in/http://www.c.r.ipumps.in/


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4. OBJECTIVES OF THE STUDY

Primary objective:

The primary objective is to study the satisfaction of contract labor in C.R.I. Pumps.

Secondary objective:

To study about the contract labour and contract labour act

To find out the expectations and satisfaction level of the contract labour.

To fulfill the future needs and aspirations of contract labour.

To create an atmosphere of goodwill between labour and management and also between

management of the public.

To suggest and recommend certain remedial measures to the organization.


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5. LIMITATIONS OF THE STUDY

The labours where busy with their works, it was difficult to get the data and the

information.

The contract labour was outsourced, so the language becomes a barrier to communicate

with them. It makes me too hard to collect the datas.

Due to the restriction of the company, cannot able to make a detail study of contract

labours in a limited time.

The study is done in Coimbatore branch as it may not applicable to other plant outs. The employees views and opinions varying in nature and hence the results cannot be

generalized.


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REVIEW OF LITERATURE


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6. REVIEW OF LITERATURE

Ahmed Hammed Kaleenhas made Studies on Industrial/cognitive task performance in

Intec open science Data may be obtained either from the primary source or the secondary

source. A primary source is one that itself collects the data; a secondary source is one that makes

available data which were collected by some other agency. In an integrated society, changes and

disturbances propagate rapidly and widely and the increasing scale of operations requires also

that rare events and circumstances are considered during systems design. In this situation, human

factors contributions should be increasingly proactive, not only responding to observed

problems, but also, they should be based on models of adaptive human behavior in complex,

dynamic systems.

Lachlan and Deserts (1972),has made a study on centralized contract actual agents.

In this study he explained the essence of the firm is the centralized contractual agent in a team

productive process. And one method of reducing shirking is for someone to specialize as a

monitor to check the input performance of team members.

Ann-Sophie Vandenberghas conducted a research in laborcontracts. Four Important

aspects of the employment relationship will be discussed: Matching of employer and employee,

acquisition and retention of firm-Specific human capital, earnings stability as insurance and the

effort intensity of employees. These four important areas of the employment relationship are

encountered by imperfections, mainly information problems and opportunistic behavior. Some

labor market institutions, such as the design of a certain wage policy, can be explained as devices

to overcome these imperfections. The employment contract can be viewed as a combination of

explicit and implicit agreements.

Acaridae s (1975) has made a study on labor and insurance considers the risk-neutral

firms to act both as employers and as insurers of homogenous, risk-averse laborers. The use of

the employment contract as an insurance contract has been discussed in the implicit contract


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theory. The origins of implicit-contract theory lie in the belief that observed movements in wages

and employment cannot be adequately explained by a competitive spot labor market in which

wages are always equal to the marginal product of labor and the labor market is always in

equilibrium. Instead, the observation in the labor market is that over the cycle

Azariadis (1987)has a study on laborservices. The contract is a complete description,

made before the state of nature (good or bad) becomes known, of the labor services to be

rendered unto the firm in each state of nature, and of the corresponding payments to be delivered

to the worker. These types of risk sharing agreements are termed implicit-contracts in the

implicit contract theory.

Benjamin Yomba has made a study in evaluation of employeesproductivity in relation

to their contract status. This study uses (a) survey data collected among manufacturing sector

firms, having more than 15 employees, in Cameroon between April and May 2006 and (b)

information issued by the National Institute of Statistics. Information collected concerned 45

firms spanning the period 2003 to 2005. This study uses the stochastic production frontier,

distinguishing employees holding fixed-term contract (FTC) from employees that do not have

fixed-term contracts (indefinite-term contract (ITC)).

Bentolila and Saint-Paul, 1994) has made a study ona Work contract affects business

performance. The fixed-term contracts (FTC) allow the company to manage demand

fluctuations in consumer goods and services market by minimizing the adjustment1 costs of the

number of employees. Thus, in periods of expansion, the firm may hire employees under fixed-

terms and they can be dismissed without costs during periods of recession. Beyond this

numerical flexibility, FTCs allow the firm to acquire a functional flexibility, which will facilitate

access to expensive expertise (Christensen, 1991). Numerical flexibility and functional

flexibility allow the firm to manage its payroll and increase profits.

Benton, 1991, Work contracts affects business performance through production cost and

the productivity of factors of production. The fixed-term contracts (FTC) allow the company to

manage demand fluctuations in consumer goods and services market by minimizing the


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adjustment costs of the number of employees. Thus, in periods of expansion, the firm may hire

employees under fixed-terms and they can be dismissed without costs during periods of

recession. Beyond this numerical flexibility, FTCs allow the firm to acquire a functional

flexibility, which will facilitate access to expensive expertise.

Bosworth, Dawkins and Stromback (1996, p. 280)has made the study on risks and

labor returns. It is not the implicit nature of the insurance contract that is the crucial feature of

implicit contract theory, but it is the question how risk is shared between employer and

employee. For that reason, risk-sharing agreements would be a better term. It is, however, true

that the risk-sharing agreement considered by the implicit contract literature is implicit. Indeed,

we do not observe such risk- sharing contracts in the real world.

Carmichael, 1989, A contract to induce the employee to provide a certain effort level is

often an understanding that cannot be enforced by third parties, such as courts. Such contracts

are labeled implicit contracts. It is, for example, usually understood, but seldom explicitly

expressed, that workers who provide a high effort level will be rewarded with a bonus. Implicit

contracts are distinguished from explicit contracts which can be enforced by third parties.

Carat and Humphreys (2008)has done a research in employeesperformance. In his

study he advise that although it is possible to theoretically separate the human resource function

of performance appraisal from broader strategic management processes, such an approach is not

realistic for organizational leaders charged with strategy execution...

Chen &Huang (2009) has made a research on effective labor performance. In his

study he indicates that strategic human resource practices of which performance appraisal are an

essential part lead to effective knowledge management.

Derby (2001) in his article labor and labor welfare Under Article 246 of the Indian

constitution, issues related to labor and labor welfare come under ListIII that is the Concurrent

List2. Exceptional matters related to labor and safety in mines and oilfields and industrial

disputes concerning union employees come under Central List. In all there are 47 central labor


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Eyck (2003) states three basic theories for perceived need for flexibility in labor markets.

The first one emphasizes on the need for labor force to change according to the market

fluctuations which happens because of increase in specialized products that requires firms to

quickly change the size, composition, and at times the location of the workforce. The second

emphasizes on lowering the labor costs and increasing productivity because of rising

competitiveness. The third is the political economy perspective which advocates free markets

where there would be no government intervention and interference of trade unionism

Gordon Beckerman has made a study in Labor Market Institutions. The studies

impacts of four types of labor market institutions: minimum wages, employment protection

regulation, unions and collective bargaining, and mandated benefits.The Methodologyused by

him in this study isboth qualitative and quantitative approaches have been used to analyze the

impacts of different labor market institutions. The overall conclusion of modest impacts drawn in

this review suggests that, in many cases, governments set regulations and workers and employers

negotiate contracts that avoid the worst consequences of these potentially extreme risks.

Grossman and Hart (1986) on his study economic institutions and contracts explained

that the heterogeneity and information also play key roles in the theory of employment contracts

reviewed in Section 3. The past forty years have witnessed tremendous progress in the economic

theory of contract, especially in terms of teasing out how a particular set of parties should design

a contract given the transaction costs characterizing the employment relationship. The influential

principal-agent model, for example, was developed in the context of the insurance contract,

which species state-contingent payments. The modern theory of contract, building on the work of

Grossman and Hart recognizes that an important function of economic institutions and contracts

is the efficient allocation of authority and decision rights within a relationship.

Hall and Purcell (2003), has made a study on psychological contract With the re-

emergence of interest in the psychological contract, a different interpretation was utilized. Rather

than focus on a two-way exchange, she explicitly distinguished between conceptualizations at

the level of the individual, and at the organizational relationship level. Rousseau sought to focus

in on the former by advancing a case for individual employee subjectivity in employment. For


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her, the psychological contract is an individual employees be life in mutual obligations

between that person and another party such as an employer, re-conceptualization of the

psychological contract stressed an emphasis on the individual employees sense of obligations,

rather than expectations, on the assumption that unmet obligations would naturally result in a

more damaging response than unmet expectations.

Holmstrom, (1981) has done a study on cost of contract labor. The problem with

contracts that are implicit (understood) compared to explicit (written) contracts is that they are

not enforceable by a third party, such as a court. One of the parties might breach the implicit risk

sharing agreement; the employer can increase his profits by dismissing the worker whose

marginal revenue product is below the fixed wage in the bad state of nature and replace him by a

cheaper worker, and the employee has an incentive to quit when his marginal revenue product is

higher than the fixed wage in the good state of nature. These implications can be avoided when

the implicit contract is self enforcing through labor market institutions such as mobility costs

Howard and Foster (1999) has done a research in certain human resource (HR)

management practices (such as a good labor performance) establish a platform for basing

employee empowerment, and that increasing empowerment would be positively related to

perceptions of leadership commitment to quality. Scuba Rae. A.V, (1991) in his study entitled,

"Labor Management Co-operation and Conflict in the Indian Steel Industry -A Tale of the Two

Sectors", examined the comparative level of labor management co-operation and conflict in

public sector Bokhara Steel Plant and private sector Tata Steel Plant. Collective bargaining,

recognition of trade unions, closer association of employees with management and workers

participation was the aspects studied.

Hyde, 2006 has made a study on Labor law rules. it may have redistributive aims,

while at the same time giving expression to notions of fair treatment which serve as focal

points in bargaining between the parties .The employment contract is a complex legal

institution in this sense. It represents a standard form for labor transactions, based on a tradeoff

between the powers of coordination reserved to the employer and the employees access to


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mechanisms for income-smoothing and insurance which help to offset risks associated with

wage-dependence.

Ivan Martin has conducted a study on Labor Markets Performance and Migration

Flows in Arab Mediterranean Countries: Determinants and Effects The main findings of the

Study Despite recent improvements in the availability and the quality of employment and

migration statistics for AMCs, any serious analysis of labor markets and migration in AMCs is

seriously hampered by a widespread scarcity of data at the national level, the inaccessibility,

unreliability and inconsistency of available data and the difficulty of comparing data from across

the region.

Kaufman, 2007 in his study entitled on labor markets. The theoretical reappraisal

represented by this work remains, however, somewhat incomplete. Rather than being seen as

undermining the competitive model of the labor market, it has been understood as qualifying it in

the narrow sense of showing that, in certain specific contexts, the conditions for perfect

competition may not obtain. How far this is the case has come to be viewed as an empirical

matter, and because more recent studies have found evidence of negative employment effects

from the raising of minimum wage rates (at least in the US context; see section 4.1),

Knight (1921), a study on implicit contracts exploits. He argued that inherently

confident and venturesome entrepreneurs will offer to relieve their employees of some market

risks in return for the right to make locative decisions. The basic idea of implicit-contract theory

is that in their dealings employers are less risk-averse than workers. One reason is that owners of

capital who represent the employers can divide their capital among many different firms through

the stock market, and by this diversification they obtain insurance against the risks faced by

individual firms. On the other hand, for workers it is generally difficult to diversify assets which

take the form of human capital because workers generally work for only one employer at the

time.

Kumar (1998) has conducted a study on the customers Satisfaction and Promotional

Strategy for ELGI Pump sets in Coimbatore City. The main objective of the study was to find


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socio-economic status of the customers and to find out the awareness and preference of

customers towards the product.

Lazar (1979)has made a research in laborproductivity. In his study it shows that it is

beneficial to both employer and employee to arrange workers pay over time so that employees

are underpaid (less than their marginal productivity) early in their careers and overpaid later

on. Holding out payments until late in the individuals lifetime alters the workers incentives to

reduce his effort on the job. Workers are less likely to shirk their responsibilities because the

penalties for being caught and fired are forfeiture of a late future award.

Levinson et al. (1962: 21) has made a study on labor and employment relationship

saw the psychological contract as a series of mutual expectations of which the parties to the

relationship may not contracts -where employees do not expect a long-lasting relational

process with their organization based on loyalty and job security, but rather perceive their

employment as a transaction in which long hours are provided in exchange for high contingent

pay and trainingseemed to capture the mood of the day concerning labor market flexibility and

economic restructuring of the employment relationship.

Lilith Harris had conducted a study on Contract work and employment relation in

Jamie Professionals, technical and clerical personnel were more likely to be employed on

contract than other occupational categories. Among the main reasons for using contract labor

needed specialized skills, lower training costs, uncertainty as it relates to the success of the

business, fewer benefits, and higher productivity and better quality of work.

Longenecker et al (1988)has done a study on labor perception and attitudes. In this

study he postulates that performance appraisal will be effective to the extent that managers and

subordinates have a shared perception of its purpose and function and the degree to which it

meets the needs of both groups.

Marissa and Cannot (1988), has done the study on production function of employees

The heterogeneity of production factors, including labor inputs can therefore be taken into


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account and introduced the heterogeneity of labor across different socio-professional categories

in the production function to assess productivity differences between employees in French

industries. He distinguishing employees based on their participation in the capital of French

cooperatives and uses a Cobb-Douglas production function to assess productivity differentials

between membersstaff and non membersstaff of French cooperatives.

Malcomson, (1997), a study on the a long term contract and relations. Long-Term,

Incomplete and Self-Enforcing Implicit Contract When the motivation for an employment

contract is to regulate and divide the surplus of relation-specific investments, to ensure a certain

income stream, and to provide incentives to the workers to work hard through deferred forms of

pay, long-term employment relationships are in many instances conducive to economic

efficiency. Normally, long-term employment contracts are incomplete. A contract is incomplete

when it does not specify each partys obligations in every conceivable eventuality. The

employment contract might be incomplete if parties are not able to foresee all future

contingencies. If they envisage contingencies, it may just be too costly to write all those details

into the contract.

Minford, 1985 has made a study onLabour laws themselves are seen as an external

source of imperfections; they originate in decisions made in the political sphere and reflect rent-

seeking or distributional demands, by collective groups. Rent-seeking, as it is aimed at

redistribution rather than value creation, imposes a deadweight loss on the economy and so

constitutes a source of inefficiencies. Further inefficiencies arise from distortions in the operation

of the market which are induced by legal interferences with bargaining. Wage regulation (such as

minimum wage or pay equity legislation, or the taking of wages out of competition through

collective bargaining) depresses demand for labor.

Rangarajan (2006) has done a research inlabor intensive sectors in order to achieve

faster growth rate emphasis should be laid on labor intensive sectors by skill development of the

labor force and flexibility of labor laws. He also stressed on the fact that flexibility is not just

related to hire and fire strategy and that business units will have to function under legitimate


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restrictions. Flexibility in labor laws has also been advocated by the Planning Commission

Deputy Chairman Mr. Monte Singh Ahluwalia.

Rousseau (2001) has explained the labor relationship. However, the concept has much

longer and deeper pedigree, with its antecedents evident in earlier work on social exchange

theory. Central to this theory is that social relationships have always been comprised of

unspecified obligations and the distribution of unequal power resources

Shapiro and Stieglitz (1984), has done a research in contract labors wages and

incentives state in their shirking model that if all employers were to follow the strategy of

raising wages, then the incentive not to shirk again disappears; the worst that can happen to a

worker who shirks on the job is that he is fired, since he can be rehired (assuming there is no

unemployment) at the same high wage. But as all firms raise their wages, supply of labor would

exceed demand and unemployment would result. With unemployment, even if all firms pay the

same wages, a worker has an incentive not to shirk.

Srivastava, 1989 has made a study on Unfreeze labor relations. Some argued that

unreel wage labor reflects not only underdeveloped labor markets, but also conjoint exploitation

in interlocked markets and an incomplete transition to the capitalist mode of production. By

contrast, Brass (1990,1992,1997a)and Miles (1987)take an opposing view that unreel relations

are compatible with capitalism, comprising part of capitalists' assault on the autonomy and

wages of labor. Brass has argued that convict labor and indentured labor were subject to

capitalist exploitation.

Tailing (1996) hasconducted the study on the centralized labor unions and employer

organizations solution is to delegate the power to renegotiate to centralized labor unions and

employer organizations. Negotiations are then independent of the problems of the workplace and

specific investments do not influence the decisions. I n general the fear of opportunistic behavior

leads to wage rigidity in long term explicit contracts where specific human capital is present.

This argument is distinct from the argument for the existence of rigid long-term implicit labor
http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#SRIVASTAVA1989http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#BRASSBERNSTEIN1992http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#BRASS1997Ahttp://www.yorku.ca/jspot/2/wkolsenrvramana.htm#MILES1987http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#MILES1987http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#BRASS1997Ahttp://www.yorku.ca/jspot/2/wkolsenrvramana.htm#BRASSBERNSTEIN1992http://www.yorku.ca/jspot/2/wkolsenrvramana.htm#SRIVASTAVA1989


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contracts as a means of bearing risk. The use of the employment contract as an insurance

contract will be discussed in the next section.

The Labor Code, (1952)explains that Labor market reform The Labor Code currently in

force in Cameroon is the result of a procedure which started since 1952, before independence.

From the Labor Code of 1952 to the Labor Code of 1974 after the code of 1952, instituted by

colonial authorities, law-makers successively promulgated other codes in 1967, 1974 and 1992.

The provisions of previous codes especially that of 1974, are rigid concerning labor contracts.

Initially, Article 30 subparagraphs 2 of the 1974 code provided that if the contract is concluded

for a limited duration, this duration cannot exceed two years. As for subparagraph 3, it laid out

that When the two-year period envisaged above is exceeded and employment continues beyond

such date, the fixed term contract becomes an open-ended contract...

Uzi and Zoe (1998)have done a research in the relationship between labor contract and

corporate performance. The first group of work focuses on the relationship between FTCs and

the minimization of labor costs by using the production cost function. In this logic, have showed

that the use of an ITC costs twice as much as using a FTC. Bentolila et al. (1994)indicate that

an increase by 1% of the proportion of temporary workers reduces labor costs of 0.64% in

private enterprises in the Italian manufacturing sector.

W. Bentley Macleod (June 2010) has issued the chapter on employment and labor

law. The goal of the study is to understand why every jurisdiction in the world has extensive

employment law, particularly employment protection law, while most economic analysis of the

law suggests that less employment protection would enhance welfare. He conclude that many

aspects of employment law are consistent with the economic theory of contract - namely, that

contracts are written and enforced to enhance ex ante match efficiency in the presence of

asymmetric information and relationship specific investments.

Zhang et al (2008) have found that high performance human resource practices are

positively related to corporate entrepreneurship (CE), and that this relationship is mediated by

the organizational citizenship behavior (OCB) of employees.
http://www.nber.org/people/bentley_macleodhttp://www.nber.org/people/bentley_macleod


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RESEARCH METHODOLOGY


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7. RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research problem. It may be

understood as a science of studying how research is done scientifically. In it we study the various

steps that are generally adopted by a researcher in studying his research problem along with the

logic behind them.

RESEACH DESIGN:

A research design is the arrangement of conditions for collection and analysis of data in amanner that aims to combine relevance to the research purpose with economy in procedure. It

constitutes the blue print for collection, measurement and analysis of data. The research

conducted is descriptive in nature.

NATURE OF RESEARCH:

The type of research used in this project is descriptive in nature. Descriptive research is

essentially a fact finding related largely to the present, abstracting generations by cross sectional

study of the current situation.

DATA COLLECTION METHOD:

PRIMARY DATA:

Primary data is the data collected for the first time through field survey. Therefore

primary data are those collected by the investigator (or researcher) himself for the first time and

thus they are original in character. The primary data are useful for knowing opinion, qualities

and attitudes of respondents. Primary data regarding the opinion and views of performance

appraisal system are collected through Structured Questionnaire Method.


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SECONDARY DATA:

Secondary data were collected from the websites of the company, social networks

and magazines. The research also took the other relevant information collected through various

websites, books and news papers.

SAMPLE SIZE:

Sample size chosen for the study is 100.

STATISTICAL TOOLS USED:

Percentage (%) method

Chi-square

A nova.

SIMPLE PERCENTAGE (%) METHOD:

The Percentage (%) method is used for comparing certain features. The collected data

represented in the form of tables and graphs in order to give effective visualization of

comparison made.

Actual Population

Simple Percentage (%) = ---------------------------- x 100

Sample Size


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STATISTICAL PACKAGE:

"SPSS is a comprehensive system for analyzing data. SPSS can take data from almost

any type of file and use them to generate tabulated reports, charts, and plots of distributions and

trends, descriptive statistics, and complex statistical analysis."


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DATA ANALYSIS AND INTERPRETATION


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ANALYSIS AND INTERPRETATION

Table No.1

Showing the Age of Respondents

Age No of Respondents Percentage (%) (%)

,

18-20 Years 21 21

20 - 30 years 20 20

3040 yrs 40 40

40 and above 19 19

Total 100 100

INTERPRETATION

From the above table we can infer that 40% of the respondents are between 30-40 years

of age, 21% of the respondents are 18-20 years, 20% of the respondents are 20-30 years and19%

of the respondents are above 40 years.


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Chart No. 1

Showing the Age of the respondents

0

5

10

15

20

25

3035

40

45

50

Below 20years 2130 years 3140 years Above 40

years

3 %

48 %

36%

13%

Percentage(%

)

Age


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Table No. 2

Showing the gender of respondents

Gender No of Respondents Percentage (%) (%)

Male 66 66

Female 34 34

Total 100 100

INTERPRETATION

From the above table we can infer that 66% of the respondents are male and 34% of the

respondents are female.


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Chart No. 2

Showing the gender of the respondents

0

10

2030

40

50

60

70

Male Female

66 %

34 %

Percen

tage(%)

Gender


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Chart No. 3

Showing the Experience of the Respondents

0

5

10

15

20

25

1-11

months

1- 2 years 23 years Above 3

years

25% 25 % 25 % 25%

Percentage(%)

Experience


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Table No. 4

Showing the Department of the Respondents

Department No Of Respondents Percentage (%) (%)

Human resource 17 17

Marketing 17 17

Sales and dispatch 17 17

Production 33 33

Finance 16 16

Total

100 100

INTERPRETATION

From the above table we can infer that 33% of the respondents are production, 17% of

the respondents are human resource, 17% of the respondents are marketing, 17 % of the

respondents are Sales and dispatch and 16% of respondents are finance.


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Chart No. 4

Showing the departments of the Respondents

0

5

10

15

20

25

30

35

Human

resource

Marketing Sales and

dispatch

Production Finance

17% 17% 17%

33%

16%

Percentage(%)

Department


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Table No. 5

Showing the Educational qualification of the Respondents

Educational qualification No of Respondents Percentage (%)

Higher secondary 33 33

Diploma 37 37

Under Graduate 17 17

Post Graduate 13 13

Total 100 100

INTERPRETATION

From the above table we can infer that 37% of the respondents are Diploma holders, 33%

of the respondents are higher secondary, 17% of the respondents are Under Graduate and 13% of

the respondents are Post Graduate.


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Chart No. 5

Showing the Educational qualification of the Respondents

0

5

10

15

20

25

30

35

40

SSLC HSC/Diploma UG PG

33% 37%

17%

13%

Percentage(%)

Educational qualification


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Table No. 6

Showing the monthly income of the Respondents

Monthly income No of Respondents Percentage (%) (%)

Below Rs 10000 38 38

Rs 10001Rs 15000 32 32

Rs 15001Rs 20000 19 19

Above Rs 20001 11 11

Total 100 100

INTERPRETATION

From the above table we can infer that 38% of the respondents are Below Rs 10000, 32%

of the respondents are Rs 10001Rs 15000, 19% of the respondents are Rs 15001Rs 20000,

and 11% of the respondents are above Rs 20001.


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Chart No. 6

Showing the monthly income of the Respondents

0

5

10

15

20

25

3035

40

Below 10000 10001

15000

15001

20000

Above 20001

38%

32%

19%

11%

Percentage(%)

monthly income


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Table No. 7

Showing the respondents opinion about the company clear conveying of its mission

Mission No of Respondents Percentage (%) (%)

Highly satisfied 27 27

Satisfied40 40

Neutral 18 18

Dissatisfied 15 15

Highly dissatisfied - -

Total 100 100

INTERPRETATION

From the above table we can infer that 40% of the respondents are satisfied, 27% of the

respondents are highly satisfied, 18% of the respondents are Neutral, 25% of the respondents are

dissatisfied.


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Chart No. 7

Showing respondents opinion about the company clear conveying of its mission

0

5

10

15

20

25

30

35

40

Highly

satisfied

Satisfied Neutral Dissatisfied Highly

dissatisfied

27%

40%

18%

15%

0%

Percentage(%)

Mission


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Table No. 8

Showing the respondents opinion towards the right time of the managerscommunication.

CommunicationNo of Respondents Percentage (%)


Satisfied 29 29

Neutral 14 14

Dissatisfied 14 14


Total 100 100

INTERPRETATION

From the above table we can infer that 43% of the respondents are highly satisfied of

right communication by managers, 29% of the respondents are satisfied, 14% of the respondents

are neutral and 14% of the respondents are dissatisfied.


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Chart No. 8

Showing the respondents opinion towards the right time of the managerscommunication.

0

5

10

15

2025

30

35

40

45

Highly

satisfied


dissatisfied

43%

29%

14%14%

0%

percenta

ge(%)

communication


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Table No. 9

Showing the respondents opinion towards the supervisor listening the words of employees

Listening employees wordNo of Respondents Percentage (%)


Satisfied 33 33

Neutral 17 17

Dissatisfied 16 16


Total 100 100

INTERPRETATION

From the above table we can infer that 34% of the respondents are highly satisfied with

supervisors listed to employee words, 33% of the respondents are satisfied, 17% of the

respondents are neutral amd16% of the respondents are dissatisfied.


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Chart No. 9

Showing the respondents opinion towards the supervisor listening the words of employees

0

5

10

15

2025

30

35

Highly

satisfied


dissatisfied

34% 33%

17%16%

0%

percentage(%

)

managers listening


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Table No. 10

Showing the respondents opinion towards the opportunities given to the employees for

learning.

Opportunities No of Respondents Percentage (%)


Satisfied34 34

Neutral 17 17

Dissatisfied 16 16


Total 100 100

INTERPRETATION

From the above table we can infer that 34% of the respondents are satisfied, 33% of the

respondents are highly satisfied, 17% of the respondents are neutral and 16% of the respondents

are dissatisfied.


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Chart No. 10

Showing the respondents opinion towards the opportunities given to the employees for

learning.

0

5

10

15

20

25

30

35

Highly

satisfied


dissatisfied

33%34%

17%16%

0%

perentage(%)

opportunities


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Table No. 11

Showing the respondents opinion towards the convenient working hours

Convenient working hours No of Respondents Percentage (%)


Satisfied33 33

Neutral 20 20

Dissatisfied 17 17


Total 100 100

INTERPRETATION

From the above table we can infer that 33% of the respondents are satisfied with working

hours, 30% of the respondents are highly satisfied, 20% of the respondents are neutral, and 17%

of the respondents are dissatisfied.


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Chart No. 11

Showing the respondents opinion towards the convenient working hours

0

5

10

15

20

25

30

35

Highly

satisfied


dissatisfied

5

33%

20%

175

05

percentage(%)

convenience


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Chart No. 12

Showing the respondents opinion towards happiness of working.

0

5

10

15

20

25

30

35

40

45

Highly

satisfied


dissatisfied

41%

28%

13%9% 9%

percentage(%

)

happiness


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Table No. 13

Showing the respondents opinion about the work load

Work burden No of Respondents Percentage (%)


Satisfied 32 32

Neutral 15 15

Dissatisfied 14 14

Highly dissatisfied 15 15

Total 100 100

INTERPRETATION

From the above table we can infer that 32% of the respondents are satisfied with the work

load, 24% of the respondents are highly Satisfied,15% of the respondents are Neutral, 15% of the

responde

Contract Labour Sasi(1)

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