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BUSINESS MANAGER JULY 20181

IN THIS ISSUEC

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11Why Lala organizations havestrong retention DNA

Lala organizations do offer great experienceto the employees even if at the cost ofprocesses. While on the other hand it isuniversal fact that working in professionallymanaged and Fortune listed organizations isalways pleasant experience. Still there arenumerous reasons behind the success ofLala led organizations. They run with equalcontribution of People, Passion andRelationships. They have their own DNA offunctioning. An article by Sanjeev Sharan

06 BIG INTERVIEWIR and HRD integrationdevelops better problem solvingmechanism

ANIL K KHANDELWAL is theformer chairman and managingDirector of Bank of Baroda and Denabank. He is among the very few whorose from HR to CEO position anddemonstrated that how reshaping HRcan transform organisations. An

international key note speaker andleadership trainer, Dr. Khandelwal

speaks to Anil Kaushik, ChiefEditor, Business Manager and

shares his research on IR andhow insights from researchhelped him to design a newparadigm of HRM. Extractsfrom the interview .

14 Digitization & changingbusiness environment

This is the new vision for digital HR -integrating SMAC technologies to redefinethe employee experience, make work easier,real - time, more productive and rewarding,and improving work - life balance. HR teamsare now rethinking upon the way peoplework and trying to add digital tools to makethese solutions better. The impact of designthinking may be most profoundlyexperienced with digital "appification." Anarticle by Dr. Upinder Dhar & Dr. Santosh Dhar

IN EVERY ISSUE

Response

From the Editor’s Desk Guest Column by Dr. Vinayshil Gautam

0304 05

Seashores, business andopportunities

18-4

0

BOOK EXCERPTS- CEO- Chess Master or Gardener?

From Industrial relations to HRDDr. Anil Khandelwal in his new book CEO- Chess master orgardener published from Oxford University Press providesinteresting insights about journey of evolution fromIndustrial Relations to HRD. 09

From IR to HRD : Learning from Reflection 10

Women have an overwhelming majority in the total HR workforce. What does thisactually mean, and what can it teach usabout employment trends across thecountry? BM tries to find an answer to this…

Climbing the

success ladder

with integrity

and grace

-BMEditorial

Team

Celebrating a Journey Called LIFE- Dr. Rajeshwari Narendran

Wonderland of ambitions anddetermination - Sonal Jain

Making a difference, with integrityand zeal - Smriti Krishna Singh

An Antelope among Cheetahs- Shikha Gupta

In pursuit of Excellence, withCourage - Mridula Sankhyayan

Journey of satisfaction andlearning... - Indrani Chatterjee

Breaking Barriers - Sucharita Palepu

Shattering the glass ceiling- Simin Askari

Leadership as a lifestyle choice- Aparna Reddy

Never give up!- Sunaina Mattoo Khanna

Dedicated towards building astrong value system

- Nita Baluni

BUSINESS MANAGER JULY 20182

IN THIS ISSUE

LABOUR LAW

44

53 Challenges & way forward inthe role of unit HR-Head

The people having powers to decide may notbe totally acquainted with ground reality anddynamics in the field and hence would notfeel the heat which a unit HR Head has toendure. As a consequence, unit HR Headsare always vulnerable to losing trust of thepeople as at times. An article by Deepanjan Dey

55 The Contract LabourConundrum in India

The compliance mode under which mostorganizations like to take shelter may notwork; one needs to be sensitive to the legalimperatives and policy changes likely to beannounced. Some of the issues which needimmediate attention for the Contract LabourManagement System are; need for carryingout realistic manpower audit, numberrequired need to be worked out and kept tothe bare minimum and on boardingpractices are required to be carried out. Anarticle by Sidhartha Mukherjee

LINE

57CASE STUDY

Dream Merchant &Ideal HR

- BM Editorial Team

59

60

CASE ANALYSIS

Bring business as usual and beopen for dialogue

By Ketan Bhatt

Remove trust deficit

By R.N. Misra

62 BOOK LEARNING

63-64 HR NEWS

Murderous attack on HR head questions employeerelations scenario in Gurugram area again

Govt Wants Employers to Restructure Salaries to Increase Basic Wage

Wage ceiling may be hiked to expand EPF net

Labour Ministry puts on hold quarterly jobs survey

Ugly truth of females exploitation in H&M's supplychain in India: ILO Report

from the COURT ROOMRecent Important Labour Judgments 4

6-5

2

42 Alarming need for balancebetween employment andGDP

The general understanding is thatemployment rate should be proportional togrowth in GDP. Economic growth shouldideally emerge from a suitable combinationof productivity growth and employmentgrowth. Established economic theory hasfailed in the context of Indian economy. Thethumb rule of 'higher GDP leads to higheremployment' doesn't follow in India.Alternatively, high GDP growth is sustainedwithout high employment growth. Soon,employment may get its due share in thefuture. An article by Sudhir Dhar

61 EVENT REPORT

Aparna's "Between U & Me" book launched

The Whole Brain LeaderAuthors : INGVAR JONSSON & SJOERD DE WAAL

The Power of PositivityAuthor : Padmakali Banerjee

Commentaries on Contract Labour(Regulation and Abolition) Act, 1970Authors: V.K. Kharbanda & Vipul Kharbanda

Introduction to Law of PartnershipAuthor : Avtar Singh

BUSINESS MANAGER JULY 20183

Owned, Published and Printed by Anil Kaushik at Sun Prints, Ganpati Tower, Nangli Circle, Alwar - 301001 andPublished From B-138, Ambedkar Nagar, Alwar - 301001 ( Raj.) India. Editor : Anil KaushikThe views expressed in the articles published in Business Manager are those of the authors only and not necessarilyof the Publisher/Editor.While every effort is made to have no mistake in the magazine, errors do occur. Publishers do not own anyresponsibility for the losses or damages caused to any one due to such ommissions or errors.

This issue of Business Manager contains 68 pages including cover

JULY 2018

Hardly trainedExcellent explaining of workplaceexcellence and organization culture.Kudos.

Individual culture shape the organizationculture. The employees need to beshaped form the day they are hired.Unfortunately, after a very shortinduction, they are put on job, hencethey hardly trained on organizationculture.

Rudra Misra

Mr. Anil Kaushik ji really doing best torecognise the HR Professionals.

Karam Veer YadavJust noticed Tanaya, you are the onlywoman on that panel of men! Morepower to you.

Shailja KaushalBuilding this in an organization is amust but this is slow process and haveto have patience.

Nathuram SingalCongrats. Very well articulated andwritten

Nadeem Kazim

Well saidVery nicely explained... Being an HR Professional,liked too much your advice " HR has to be businesscentric and not only process oriented"- Very wellsaid Sir..

Binod Kumar

Annual Subscription Rs. 1300/- through DD (by ordinary Book-Post) (by Courier/Registry Rs. 1600/-) favouring Business Manager may be sent to: B-138, Ambedkar Nagar, Alwar - 301001 (Raj.) India

Mob.: 09785585134, 07665913854www.businessmanager.in E-mail : [email protected], [email protected]

Published on 1st of Every Month

CHIEF EDITOR

ANIL KAUSHIK

ASSOCIATE EDITOR

ANJANA ANIL

EXECUTIVE EDITOR

JAYSHREE DUTT

DESIGN & DIGITAL

SATENDER TEJ ARUN

SUBSCRIPTION

GIREESH KUMAR DIXIT

HON'Y EDITORIAL BOARD

Dr. T.V. Rao

Dr. Vinayshil Gautam

H. L. Kumar

Dr. Rajen Mehrotra

JUNE 2018 ISSUE

Visit us on:

BUSINESS MANAGER

VALUES YOUR FEEDBACK. WRITE

TO US WITH YOUR SUGGESTIONS

AND IDEAS [email protected]

https://www.facebook.com/businessmanagerhrmagazine

RESPONSE

Needs clarityThe recent amendment in central rules ofthe standing orders brining category offixed term employment has caused furtherconfusion and ambiguity. If contract labourand employees’ on company rolls are put onfixed term, liability of paying gratuity to allneeds to be clarified. Request BM to pl.publish another article on this topic.

Deepanjan Dey

InsightfulI read your point of view today in the magazine.Seemed most insightful to me. Interestinglearning!

Suguna Swamy

delved wellThanks Harjeet. You delved well thatdigitization is only a tool to speed up datacapture and analysis. Finally it is yourcapability to interpret and take appropriateaction. That is your culture, knowledge andintelligence is that what matters in your/organisations becoming successful.

Mukul Pandey

Labour reformsLabour reforms was initiated by previousGovt, continuing in present Govt. Do youforesee any change going to happenpractically in near future? If so what kindof...

Sanjay Singh

SupportiveIndustry need to change calling "Labour" actuallythey are associate. Step required for theirupgradation, they will more supportive in future.

Ravindra Pareek

BUSINESS MANAGER JULY 20184

From the EDITOR’S DESK

Everyone can see writing on the wall of corporate world. She is quite visible. She hascarved the niche of her own. Yes! Women in HR are making a difference. Althoughnumber may dwindle at highest level of HR but still women in HR profession hold theemployment edge. Females are not limiting to one specific role. In last few years theyhave increasingly made felt their presence by unique traits in all areas, be it sales,marketing, IT, finance, manufacturing, quality, R&D and what not. At each layer inbusiness organisation, they are there.

HR function has evolved over past few years. In hard competitive businessenvironment where technological disruptions are making their way, the function hasshifted from administrative to transactional to transformative to strategic. HR is gainingmore strategic and analytical roles where women have successfully emerged becauseof having duo skills of understanding how people deliver and also how to embracetechnological advancements to take data driven decisions. This wonderful ability ofblending skills has made women in HR leadership roles distinct, thus, making a positiveand powerful impact.

There is no doubt that women have faced and continue to face various challengesposed before them at social, family and work front. What has significantly changed isthat women have accepted these challenges as normal and have learnt to handle themintelligently rather converted such challenges in to opportunities and proved theirability. They have not sought any discount on account of peculiar challenges whichmales do not face.

Before concluding on the list of women HR leaders of 2018, BM has interactedinformally to many Industry HR experts including women at top in HR positions tounderstand the common strengths and specific inherent skills, women have, whichhelped them to reach at top positions. Some of them revealed are working hard withdedication, honesty and integrity to self and organisation, recognising own strengthsand weaknesses, attitude of never giving up with high degree of patience, highadaptability to embrace changes and excelling in multitasking.

When interacted with many employees who have their women HR bosses inorganisations, they indicated that she is excellent counsellor, keen observer,compassionate and empathetic, soft communicator, flexible and sensitive.

Women HR leaders of this anniversary issue, with which BM also enters in to 21st yearof flawless publication every month, represent a variety of industries andentreprenureship challenges. All have their own professional and personal journey fullof sweet and sour experiences, which are enough to show path for next generationwomen in HR.

If you like it let us know. If not, well, let us know that too.

Happy Reading!

It is SHE!

July 2018Vol. 21, No. 1

Anil Kaushik

@ tdanilanilkaushik

anilkaushik

Coastline or seashore is the area where land meets the sea or the ocean. Itcan also be the boundary between the land and a lake. However, theprecise definition of a coastline remains to evolve in a universally

accepted manner.

Talking of India: India measures 3214 kms from North to South and 2933 kms from Eastto West. The Indian land frontier is 15200 kms and the coastline is 7517 kms. The figuresspeak for themselves and any conscious citizen can look at the news headlines in anymedia and come to a conclusion on how comprehensive and inclusive are the informationcannels on national welfare.

There are 9 states which have a sea line running through their borders. They areGujarat, Maharashtra, Goa, Karnataka, Kerala, Tamil Nadu, Andhra Pradesh, Orissa andWest Bengal. Additionally, there are 4 Union Territories with coastline. They are Damanand Dui, Puducherry, Andaman and Nicobar and Lakshadweep Islands.

The entire scene is conscious neglect of a potential whose possibilities we are nowbeginning to be recognised in sporadic parts. The price of this approach may be bigger topay than what came our way on the North-East Frontier.

Concurrently with security considerations, there are huge business opportunitieswhose potential is yet to be recognised. It is another matter that more-of-the-same attitudehas created huge problems of employment, economic growth .Yet, otherwise successive,intelligent governments have done very little to develop this economic potential.

A comparative illustration may make the point clearer.

Let’s move to Australia. We will only consider two islands there – Philip Island andHamilton Island. Philip Island is the quintessential habitat for watching Penguins. Onehas merely to cruise to Seal Rocks to see Seals in their original habitat. One is not evenraising spot viewing of Koalas. It is an education to visit this zone and see how businessand environment can co-exist. One is not even referring here to the fishing hotspots of thisisland and the rugged coastline for surfing.

There is not one business house and no government since 1947 that has even looked atthis business dimension. If the Business Manager of tomorrow is to make it good it willnot be because of its connects at various ‘Bhavans’ of the Capital or by partying with thepolitically high and mighty in appropriate cocktail circles. For proper business, cocktailcircuit is a useful additional feature and not the end-all of achievement. This requires nosocial engineering but some thought.

There are other similar examples. A start-up business socially is deemed successfulwhen the owner owns a Mercedes or a snazzy car. When the writer of these lines was inKozhikode, he was advised of the only successful business house there, which originatedand grew in Kozhikode. It had a net worth of about Rupees 20 crores. The owner waswatched with awe because he was the only one in the city with a Mercedes! That is anotherstory.

In a post-industrial ethos, the ownership of a fancy car is the beginning of the storyand where the businessman actually begins his ‘journey of arrival’. What we see in Indiatherefore, is a medley of known but untapped opportunities and search for socialindicators rather than bench marking of business successes.

Let’s return to the coasts, the islands and the business possibilities there.

There is yet another island in Australia which fascinates many including the writer ofthese lines. It is the Hamilton Island. It is the largest inhabited island of the WhitsundaysIslands in Queensland, Australia. It is positioned approximately 887 kms north ofBrisbane and 512 kms south of Cairns. It is the only island on the Great Barrier Reef withits own commercial airport. It is a popular tourist destination round the year. At the timeof the August Annual Hamilton Island Race, Yachting festival is held. Mumbai has also aYatch Club strategically located. Its Guest rooms have been successfully converted, likemany things in India, to a destination where people who have ‘arrived’, go to stay to marktheir status. That is still another story.

Without any unnecessary analysis, the facts of the case of ports in India are thefollowing.

At the time of writing of these lines, of the 13 major ports in India – which reallymeans Government of India Ports- 7 don’t have a Chairman. Senior officials of one all-India cadre or another hold positions in the remaining five. Several of them are holdingdual charges. Many of them got into positions of being CEO of a particular port becausethe destination had a family advantage. The house which went with the CEOs rank waslavish and inviting. Quite a few of them find it more productive to spend time hobnobbingwith powers that be and seeking equivalent or better postings to migrate. Of course, thereare several exceptions of some outstanding and talented incumbents.

But, business covering 7515 kms of coastline and 4 Islands needs a leadership pool of adifferent order altogether. One might in passing mention that the narrative above hasn’teven talked of the shores, the littoral zones or the foreshores. India is truly a land ofbusiness opportunities if only we could let it happen!

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BUSINESS MANAGER JULY 20185

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BUSINESS MANAGER JULY 20186

BIG INTERVIEW

IR and HRDintegration developsbetter problemsolving mechanism

AANNIILL KK KKHHAANNDDEELLWWAALL isthe former chairmanand managingDirector of Bank ofBaroda and Denabank. He is among thevery few who rosefrom HR to CEOposition anddemonstrated thathow reshaping HR cantransformorganisations. Aninternational key notespeaker andleadership trainer, Dr.Khandelwal speaks toAnil Kaushik, ChiefEditor, BusinessManager and shareshis research on IR andhow insights fromresearch helped himto design a newparadigm of HRM.Extracts from theinterview :

DR. ANIL K. KHANDELWALFormer Chairman and Managing Director of

Bank of Baroda & Dena Bank, Mumbai

BUSINESS MANAGER JULY 20187

BIG INTERVIEW - DR. ANIL K. KHANDELWAL

What has been thecontext, of your newbook CEO- ChessMaster or Gardener?

A. As you know, I have been inbanking industry for verylong time and havewitnessed very difficultindustrial relationsenvironment affectingworkplace peace andsignificantly disruptingcustomer service. Themanagement initiativeshave been very limited totake any significant steps toimprove IR. In thisbackground I undertookresearch on CEOs strategiesin IR (leading to mydoctorate under thenDirector IIM, Ahmedabad).In this longitudinal studycovering six CEOs, it wasfound that the main strategyof the CEOs had been onneutralising labourmilitancy by extendingfavour and concession tokey union leaders andpampering them andignoring issues of disciplineand productivity. The trendhas been uniform in theBanking industry with someexceptions here and there.My research also revealedthat the managementstrategy changed with thechange of CEO and eachCEO had played a key role inshaping the strategy invarious areas of unionmanagement relations. Therelationship has oscillatedbetween cosying up to bitterconflict on some occasions.The relationship with tradeunion could be seen as agame of Chess in which oneoperates on win-losedynamics.

So how did you change the paradigm?

A. Post liberalisation andcompetitive environment,this model of managing IRand HR function wasirrelevant and it had tochange. However, It has beena very difficult andturbulent journey. Changingthe legacy culture is themost difficult task of any

leader. No one wants to disturb the status-quo fearing disruptionacross the bank and trade unions have taken full advantage ofsuch anxieties within management. My research gave me someinsights that helped me to craft my strategies. The researchrevealed that the cosying up with management was resented bymember - employees who felt that their leaders had little time forgenuinely pursuing their grievances and instead sought favour forthemselves. Thus the leader - member connect was poor. I wasconfident that if reforms in IR are undertaken from anunstructured mode to more formalised pattern, the trade unionwill not be able to offer any formidable resistance. It was testedwhen I initiated many reforms in IR in my role as ExecutiveDirector. For example - the union could not mobilise anyworthwhile protest against management initiatives to come out oflegacy culture and formalise union-management relations.Similarly, other insights such as over dependence on trade unionleaders to garner support of employees was misplaced to a greatdegree. The research confirmed my belief that trade unions andemployees are two separate entities and management initiatives toengage employee is as important for growth of the Bank. Theresearch debunked the belief of many that keeping trade unionleader happy would automatically result in happy workforce. As aHR specialist in Bank, I witnessed dysfunctional consequences ofsuch a short term and myopic strategy pursued.

The research debunked the belief ofmany that keeping trade union leadershappy would automatically result inhappy workforce.

I experimented with my belief to engage employees andde-focus on trade union leaders which was a majorcorporate level obsession at that point of time.

BUSINESS MANAGER JULY 20188

BIG INTERVIEW - DR. ANIL K. KHANDELWAL

Could you tell more about your initiatives?

A. At some point in my career, I landed in two business roles and Iexperimented with my belief to engage employees and de-focus ontrade union leaders which was a major corporate level obsessionat that point of time. I undertook several initiatives to buildconfidence in the workforce and improved response mechanism inemployee matters. This was my testing laboratory of my ideas andI was more than convinced that we needed to reach out tooperating managers and employees and use field wisdom inmanaging business. I was encouraged with excellent businessresults and broke the log-jam in union-management relationsespecially in Kolkata. I was convinced that with open mind andengagement with the live issues, one can find solution to problems.

Your earlier book "Dare to Lead" is about extra-ordinary transformation of Bank of Baroda, didyour IR and HR Strategy had any role to play in this?

A. Yes, Very Much. I undertook major IR reform streamlining therelationship with the trade unions, reviewing our process ofconsultation both formal and informal and come out of somelegacy problems in a significant way. This was the most difficulttask and we experience lot of turbulence but we achieved ourpurpose. This eventually paved away from many new initiatives inthe bank. Having rid the bank from daily problems at operatinglevel, we built a strong edifice of employee engagement and anarchitecture of human processes. In essence BOB transformationstory is a classic example of HR driven business transformation.

In your book you have mentioned that "conflict isan opportunity to bring about long pendingchanges", what do you mean by this?

A. I mean that conflict is not necessarily dysfunctional all the time.The conflict situation provides a great opportunity to correct thesituation on account of many adhoc practices and violations andstreamline the relationship. The book demonstrates in detail as tonumber of issues that we streamlined during conflict period.

One of the chapters in your book is, "From IR toHRD". How could you as a CEO make time for suchan ambition shift?

A. My background in HR and deep conviction about people processeshelped me to design the shift. My research insights provide meconfidence that this could be done successfully. The rest is history

How did you integrate IR and HRD atorganisational level and linked it to Business?

A. I took several steps to achieve this :

a. Reorienting the personnel and HR functionaries to HRDphilosophy and practices through a well-planned trainingprogramme. This programme had a special component todevelop Human Process orientation through sensitivitytraining.

b. Rotating personnel functionaries in IR and HR roles.

c. Bringing some senior line managers to HRD and IR roles andsending some HR functionaries to line assignments tounderstand business.

d. Setting up the joint task forces for problem - solving in IR andHRD.

e. Continuous review to ensuresuccessful integration and takecorrective action wheneverrequired.

This integration resulted in betterrelationship between IR and HRDfunctionaries, better problem -solving mechanism and overallsynergy of HR function.

We would like to know therole of CEO as a gardener?

A. The CEO has a very strategic role inbuilding a culture of anorganisation. It essentially involvechallenging and dealing with thelegacy attitude, dysfunctionalprocesses, overriding bureaucracyand status quoist mindset.Simultaneously the leaders need tofocus on organisation - widecommunication, engagement andemployee development. Culturechange cannot be affected bysermons, entreaties, exhortations,or by emails. It requires prodigiousefforts in streamlining manyexisting legacy-based systems,drilling new attitudes, and initiatingnew processes in the organisation.The CEO also need to prepare thesoil by building internal supportsystem and creating a facilitativeenvironment in which people areencouraged to give their best.Finally, the CEO has to focus onbuilding a culture of innovationsand also nurture people and nextgeneration leadership throughconstant motivation,encouragement and emotionalsupport to maintain their level ofefficiency and commitment. It is thejob of gardener leaders to mentor,encourage, and hand-hold theemployees during work, and at timesto protect them from unnecessaryexternal interference or unfairtreatment.

The conflict situation provides agreat opportunity to correct thesituation on account of manyadhoc practices and violationsand streamline the relationship.

BM

BUSINESS MANAGER JULY 20189

CEO- CHESS MASTER OR GARDENER?

BOOK EXCERPTS

From Industrial relations to HRDDr. Anil Khandelwal in his new book CEO- Chess master or gardener published from OxfordUniversity Press provides interesting insights about journey of evolution from Industrial Relations toHRD.This book is about IR/HR strategies of CEOs. Khandelwal, probably, is the only one HRprofessional who rose to the level of CEO of PSB who carries the treasure of unique research on IRwith enormous application of that research findings at workplace.The findings stood the test of timeand still hold the ground of validity. Nothing much has changed. Here are excerpts from his book.

The CEO as a key designer and strategist in IR

Contrary to the popular belief that IR and IR strategies are largelyshaped in response to demands from trade unions, my research, in fact,revealed that it is largely management strategies that shape the IRenvironment in the context of change in environment and ingovernment policies. Apart from his, there are organisational variablesthat influence IR strategies, such as the power of the unions,management politics, the CEO's attitude and orientation towards theunions, and the immediate pressure of business. Thus, severalenvironmental and organisational factors, in various combinations,influence managerial strategies in IR.

The key decisions in union - management relations are shaped andorchestrated by the CEO.

Exclusive focus on union leaders leads todysfunctional consequences

Although the IR strategies at the Bank changed with each CEO, acommon pattern is noticeable among them. The main focus ofmanagerial strategies both in the pre-nationalisation and post-nationalisation periods was on neutralising labour militancy byextending favours and concessions to key union leaders, yielding totheir pressures, and thereby ensuring industrial peace. Themanagement's strategy to manage IR by focusing all its energies on keyleaders of the unions led to a number of consequences, culminating inthe creation of an adverse IR climate at the operating level.

Management strategies focusing entirely on key leaders of theunions alienate the general employees as they feel that management didlittle to reach out to them.

Role of the CEO in HR/IR : He must engage with :

1. Policy formulation in HRM : Specify key dimensions of policy inrelation to various sub - systems of HR, expectations, deliverables,and accountability of HR function. Like any other business function,HR policy document should be developed after wide - rangingdiscussions in the organisation.

2. Upgrade and support the role of HRM function : Ensure thatthere is no ambiguity in the role of HRM functionaries. The researchhas pointed out that mere advisory nature of the role of HR createsseveral dysfunctionalities in the conduct of this function.

3. Invest in innovative HR policies : Like every other area ofbusiness, HR gets its share of new technologies and practices and HRand senior line functionaries should always show keen interest inadopting such practices (Ulrich, 1990).

4. Developing operating managers : To have an appreciation of the

big picture about theconsequences of their actionsand inculcate in them necessarysoft skills to manage conflicts,build teams, and productivelyengage them. Successful linemanagers are the best source ofcreating future leadershippipeline.

5. Developing appropriatestructure : To put in place anappropriate organisationalstructure in HR that is non -bureaucratic, tech - savvy withminimum hierarchies, and intune with high-speed decisionresponse to respond to peopleissues.

Leaders as Chess Master

The IR management in the Bankduring the research phaseappeared more akin to a chessmaster's role played by the CEOsfrom time to time, by meddling in

BUSINESS MANAGER JULY 201810

CEO- CHESS MASTER OR GARDENER? - BOOK EXCERPTS

the internal dynamics of thetrade unions, buying theirsupport and concessions,pampering them by splurgingfavours and concessions tocontain labour militancy,reducing the power of individualleaders, and supporting rivalgroups in the unions. Thesemoves and counter - moves of theCEOs were able to contain unionmilitancy; and at other times, itwas reduced to rather highlypersonalised win-lose game. Thiswould fall into the classical gameof chess playing in which thereare victors and vanquished.While it is not disputed that thecircumstances prevailing duringthe tenures of the respectiveCEOs would have prompted themto target individual unionleaders, the important issue isthat in this process, the leadersfailed to craft any long - termactions led to chaotic IR at theoperational levels anddemoralisation of employees.

The management actions orinactions can be seen as movesand counter - moves mainly toeither strengthen its own poweror weaken the power of the tradeunion leaders. It became lessbetween two institutions, namely,management and trade union, to

settle issues of principles and more between the CEO and the leaders ofthe unions at the personal level, staking the fate of the organisation.This resembles the typical game of chess between two opponents, eachone trying to defeat the other.

What Gardener-Leaders Need to Do?

1. Need to be clear about their priorities and redefine role andbehaviour to transcend from overwhelmingly 'business mindset' to'people and organisation mindset'. Also, they need to delegate theirday-to-day temptation to engage with business and elevatethemselves to leadership and culture crafting work.

2. Constantly work on structure, systems, processes, and people tocreate an enabling culture for work and help individuals to give theirbest and rise to their full potential.

3. Act as 'live-in coach' on the job to next - generation leaders, makingtheir knowledge, experience, and wisdom available to them, stand bythem during any crisis, and provide meaning in their lives.

4. Foster learning by encouraging creativity, engagement, and personalgrowth.

5. Guide their teams on the priorities of the organisation and ensurethat the execution machinery remains in motion impeccably.

6. Encourage team excellence, which alone can maintain momentumfor business.

The challenge before twenty - first century performance - maniacorganisations is to create the breed of gardener-leaders. The challenge is areal daunting one to the leaders who are shaping the future of theirorganisations and want their organisations to flourish without jerks.Building leadership is not a choice but a part of their duty to create long -term future for their organisations. Leadership development is far morechallenging than what is normally thought of. Leaders will need to fosterintergenerational and intercultural teamwork. To be able to buildcompetitive strength to face the ever - growing challenges, leaders will haveto strengthen leadership inside their organisation. In fact, the organisationwill be in great peril if today's leaders abandon this role.

From IR to HRD : Learning from Reflection

1. Culture change is a prerequisite fortransformation. Transformingorganisations is not merely transplantingthe new over the old. Along with cleaningthe stable, the fundamental role of theCEO is to create a new culture that canabsorb new thought process, adapt tonew innovations, and lead enthusiasticallythe momentum for change.

2. The leader should stand back from day-to-day routines and foster learning aboutthe gap between current reality andvision and how to bridge it. The mainfocus of his work should be on buildinghealth and long - term future of theorganisation.

3. Transformation is a collaborativeendeavour of management and therefore,the creation of a team of zealots oftransformation is very critical for any CEO.Transformation must aim at long - termvalue creation and the CEO shoulddevelop this vision in his team byconstantly providing a big picture.

4. For successful transformation, leadersmust lead to break siloed working,

debureaucratise decision - making, andcreate a smart, responsive culture foreffective engagement with thecustomers.

5. Wisdom is in the field and therefore directconnect of the CEO and top managementwith the foot soldiers is the sine qua nonfor creating a vibrant organisation. Thisrole cannot be delegated to trade unions.

6. In large organisations with geographicaldispersion of business units, the realchallenge is to ensure that people acceptchallenges of change and therefore, themajor focus of the CEO has to be onengaging people by open conversationsand listening to their concerns, withintention to act.

7. Transparency and communication byleaders can produce extraordinaryoutcomes through creation of anenabling environment for realising thefull potential of employees.

8. Innovations, risk-taking, and excellenceare the outcomes of teamwork and notthat of a single individual.

9. During transformation, it may at times beuseful for a leader to have a small nucleusfocused on HR under his direct charge topilot innovations in people area andmonitor the programme of HRtransformation.

10. High - performance culture can besustained in only a high compassionculture.

11. In the context of the public sector,support from the government in general,and bureaucracy in particular, should bemobilised as this is extremely critical forsuccessfully piloting transformation.Likewise, when necessary, skilfully protectthe organisation from their undueinterference.

12. The CEO is the 'Chief Employee Officer'and this responsibility is undelegable. Heshould build entire ecosystem of HR andnot merely undertake piecemeal esotericsteps based on current fads in HR.

The CEOs need to hand - hold theoperating managers in solving theirproblems and stand by them at all times.Leadership is co-leading.

BM

BUSINESS MANAGER JULY 201811

WHY LALA ORGANIZATIONS HAVE STRONG RETENTION DNA - SANJEEV SHARAN

One common aspiration of any professional is to work inhighly admired, professionally managed organization aliasfortune companies. We do come across references like "HowY organization works in employee development Or How Zorganization has structured performance management

process or How B organization has super vendor payment process" etc.It is not only good experience for internal employees working there,rather it is equally wonderful experience for external associates likevendors, partners, suppliers, contractors and customers. In spite of allthe laid down standard process and policies are also not "Bug free"!!!They have their own share of challenges in terms of stagnatedemployee satisfaction, increasing attrition, joining issues, challenges ofattracting right talents, lower customer satisfaction index, marketchallenges, distributors, stockist grievances, logistic distribution etc.

On the other hand there is no dearth of organizations falling into thecategory of "Not so professional" or in local term of "Lalaorganizations". Lala organizations are ideally family ownedorganizations which are still run by the owners in their ownmanagement style. These organizations have their own definedprocesses and policies. They have employee base and go through thesame process and business challenges. The difference lies in their"INTERFERENCE & FLEXIBILITY" in management with very limiteddelegation of authority. In spite of this difference many employees arehappily working there for ages along with numerous business partnerswho prefer working with these organizations for generations. It isinteresting to study & explore their motivation factors to work in suchorganizations either as employees, vendors, consultants, partners etc.These learning make it more interesting :

Belongingness : I own it :

Many of the employees,partners, vendors feel morebelonged to "Lala driven or NonProfessional" organizations.They feel connected to theorganization. The kick for themis surprisingly associating andKNOWING the managementpersonally. They feel their viewsand opinions are heard andcounted for the business. Theyget sense of pride in directcontribution.

Familiarization - Access tosenior management :

One of the most attractiveaspects of employees' satisfactionover there is easy access to thesenior management. Thoughmany of them have worldlydesignation, grades andhierarchy, but the informal accesssystem is always there for the"own people or apna aadmi".They are seen as "TrustedLieutenants". And many a timesthey are assigned as "Crisis

Sanjeev Sharan, Director HR, ZTE, Gurgaon

Lala organizations do offer great experience to the employees even if at the cost ofprocesses. While on the other hand it is universal fact that working in professionallymanaged and Fortune listed organizations is always pleasant experience. Still thereare numerous reasons behind the success of Lala led organizations. They run withequal contribution of People, Passion and Relationships. They have their own DNA offunctioning.

Why Lala organizationshave strong retention DNA

BUSINESS MANAGER JULY 201812

WHY LALA ORGANIZATIONS HAVE STRONG RETENTION DNA - SANJEEV SHARAN

Managers". The kick of havingthe one - o- one access to thepromoter is a big morale booster.In case of vendors and suppliers,the same philosophy works. Theycan cross over the existingstructure and connect with thesenior management or promoter.

Flat structure - By-Passingculture :

In spite of written laid downprocess and policy, one can find aready set of employees who aretreated differently. Is it too tiringfor professionals working in suchorganizations? The naturalanswer would be - Yes. Aninteresting incident is worthsharing. In one of theorganization a CEO of a businessunit manager had joined from anMNC and was posted in Germanybefore joining this organization.He found one of his teammembers bypassing him. It wasnot accepted by him though hetried to counsel him to follow therules but it all failed. He could notalign him for long. The factsremained the same, as theemployee was with theorganization for last 12 years andhad seen the organization growfrom scratch. He had been one ofthe few members who had joinedthem when the office was startedfrom a small shuttered shop ofaround 800 sq meters. These kindof people do have problemaccepting their managers andperceive them as "Relationbarriers". This kind ofrelationship can be comparedwith mother in law and daughterin law, whereas MIL finds DIL as

a barrier between her and son!! The handling requires balancing thesame.

Caring & Personalized performance management system :

Performance management period is quite an interesting time for HRteams in such organizations. They invariably are accustomed ofpreparing TWO SET of employees Lists for increments. One listcomprises of all the employees while the other list comes from themanagement or promoters with special recommendations for their"aapne aadmi". It is not very uncommon to have the exceptional list inmost of the organizations, but in this case the percentage ofbeneficiaries is higher. Also interestingly the factors for getting a placein the exceptional list are different. This list is prepared keeping inmind loyalty, personal bonding, performance etc. Though performancedoes play an important role but one more factor also is considered bymany promoters while deciding the amount or percentage. This factor isknown as "environment driven requirement". Yes it is true. Promoters ormanagement do show their benevolence considering the employeesenvironment or situations especially related to their personal life!! e.gson's admission fees in engineering or medical college, or downpayment to buy a house or down payment for car for daughter'smarriage, which one will rarely find in professionally managed setups.This kind of flexibility is a big blessing to the people working there forages. They do not have to struggle through the HR processes and policyguidelines. It is the choice between "Employee Need and ManagementWill" rest all is history. If both sides Kundli matches, nothing can stop.

Founding father of matrix reporting :

Have you ever thought about history of matrix reporting system inour country? It is as old as Lala system prevailing in our country. Whilethe organizations have hierarchy system with multiple layers or sobetween owner and employee, in spite of the structure, few of the oldones continued having parallel relationship of reporting with ownersin late evening or after some sales calls. This was the beginning of"Matrix Reporting" which has evolved into a full-fledged reportingsystem. And ironically while there are rims of pages written tostrengthen the system in professional organizations, same is managedeffectively for years and generations in Lala organizations.

Personalized - Customized travel policy :

It is nothing new when many of us "over spend or over shoot" ourtravel entitlements and find finance deducting from the bills whilesettling the travel bills. There are well designed travel policy in all theprofessional organizations with well defined limits of who can travel byair or train classified by class along with limits of hotels or guest

BUSINESS MANAGER JULY 201813

WHY LALA ORGANIZATIONS HAVE STRONG RETENTION DNA - SANJEEV SHARAN

houses. Though, there are clauses mentioned how to claim onexceptions cases but they are not encouraged keeping in mind todevelop a culture of "wastage management". While on other hand inLala organization, management clears the exception cases purely onthe explanation by the so called employee with fewer struggles withaccounts departments to justify the overshot expenses. It is purely onthe wishes of the management.

Have you ever thought about a situation when you are traveling to alocation where your In-laws stay? Yes, you might have travelled theremany times. It's nothing unusual. Right? But the catch here is not aboutthe location, it is more of thought process in such Lala culture. Youshould not be surprised to encounter the suggestion of taking yourspouse along with you and on top of it, you will find administrationdepartment being instructed to provide a better kind of vehicle duringyour stay. After all it's the matter organization's image in front of yourin-laws. How can organization compromise on it!!

Family blessing - CSR :

With the government making CSR mandatory for decent sizedorganizations, It has pulled the women folks from Lala family out inaction. They are the ideal choice as CSR Chairmen leading the CSRinitiatives of the organization. In some way it is beneficial for thesociety. In these organizations CSR is an extension to HR function thusmakes an important KPI of HR Heads. One interesting observation hasbeen that these Lala family women folks are usually more productiveand sincere in delivering their responsibilities. They stick to theircalendar and ensure full participation from top to bottom. While HRHead might have to struggle in getting support on other initiatives fromdepartment heads and senior management but on CSR front his life iseasier. A small one liner mail from him attracts full attendance by allconcerned at destined time and place. No questions asked. Nojustifications given!! Whether it is inaugurating a girl school, or blooddonation camp or distributing blankets in slums or distributing books toadopted schools. The support is always there. In fact the best part of thewhole game is the "zero constraints on budget". Accounts neverquestions the expenses assuming the "activity has the blessings ofMadam"!! While on other hand in a professionally run organization, onehas to follow set rules and processes to get budget and moreoverexceptions are only encouraged as an exceptions in such professionallymanaged organizations and to get the approvals one has to spend rimsof pages and hours of justification to concerned person with 50- 50 hope.

Un structured way of structuring - Emotion led manpower planning :

Though most of the Lala or promoter driven organizations try toimplement scientific manpower planning but they succumb on the wayand get into emotional traps. One of the best examples is observedduring role conflict of so called "apne aadmi". In such case the role iscarved to fit the "INCUMBANT". HR is advised to design role fitting theincumbent. The competency based hiring is put on the shelf anddesigner roles are developed. These experiences train HR expertsbecoming Designer JD Experts!!

Partner sensitive - Bhaichara Culture :

Even the Vendors and Suppliers at times are committed to such Lalamanaged organizations. Surprisingly they continue even during "low"

time when the so calledprofessionals flee during badtimes. What keeps them together?On doing drill down, it isidentified that "the comfort ofknowing the management" is onebig factor. This gives themcomparatively much clearerpicture of inside, while in otherorganizations they have zero orlow visibility. They also have theprivilege to have the opportunityto express to the right decisionmakers. In Lala organizationthey have the unwritten comfortthat in case of emergency theyhave support of Lala to bail themout. It's the choice of certainty vsuncertainty. It is not to be missedthat their loyalty is rewarded orcompensated through othermeans for being loyal. Hence,they find long term benefit instaying with Lalas. Also most ofthe suppliers themselves arepromoter driven in our countryhence they feel more connected inworking in such structures.

To sum up, it is true that grassis greener on the other side. Lalaorganizations do offer greatexperience to the employees evenif at the cost of processes. Whileon the other hand it is universalfact that working inprofessionally managed andFortune listed organizations isalways pleasant experience. Stillthere are numerous reasonsbehind the success of Lala ledorganizations. They run withequal contribution of People,Passion and Relationships. Theyhave their own DNA offunctioning. As a writer myobjective here is not to promoteany culture neither demean any,rather should be read as aninteresting information withdifferent perspective. It also statesthat there is always a space for"Little different recipes of theworld". Happiness and satisfactionof an employee is very individualat times and can be found in anyorganization. It depends upon howit is handled.

Mandatory CSR has pulled the women folks from Lala families out in action. They arethe ideal choice as CSR Chairmen leading the CSR initiatives of the organization. Insome way it is beneficial for the society. In these organizations CSR is an extensionto HR function thus makes an important KPI of HR Heads. One interestingobservation has been that these Lala family women folks are usually more productiveand sincere in delivering their responsibilities.

BM

BUSINESS MANAGER JULY 201814

DIGITIZATION & CHANGING BUSINESS ENVIRONMENT - DR. UPINDER DHAR & DR. SANTOSH DHAR

Digitization is the buzzword these days. It isthe 'in' thing of todayjust as thirty yearsago Industries spoke

of automating the processes. Thedigital economy is the newproductivity platformconsidered as the thirdindustrial revolution which isexpected to generate new marketopportunities, jobs and seamlessbusiness opportunities.Organizations are forced toadopt newly developed tools toremain in digital space andcompete. Present initiatives arein both the Government sectorand in Institutions of advancedresearch and Industry.

Digital technologies haveradically changed the societyand the experiences at work.Technology change iseverywhere, driven by mobiledevices, sensors, locationawareness and soon wearable.Hours are spent interacting withdigital apps. Digital devicesclosely monitor, and influencethe decisions by suggestions andrecommendations driven byanalytics and behavioraleconomics. Today, there aremore than 7 billion mobiledevices in the world, and more than 40 percent of allInternet traffic is driven by thesedevices.

Digital HR and SMAC Technologies

Digitalization is drastically changing the inner workings of HR, andmore specifically, in talent acquisition and talent management. It hascreated opportunities resulting in a more engaging and personalizedexperience for both prospective candidates and employees through theuse of digital touch points. This is a great benefit but with greatresponsibility. Candidate and employee data needs to be handled verycarefully while adhering to privacy regulations in different countries.With so much personal data, recognizing the importance of dataprotection and data security is crucial. Technological securitystandards while regularly checking the security of certificationprocesses is critical while introducing new technologies into theorganization.

There are number of innovative new technologies, tools and systemsfor HR which affects organizations. The HR technology industryreceived more than $2 billion in investment capital in 2015 (according toCB Insights research), fueling a growing ecosystem of new tools forrecruitment, performance management, learning, wellness, feedbackand employee engagement. This technology will change the way peopleare managed, forcing HR to stay vigilant about the new methods to getwork done. This new digital life (and workplace) is forcing to rethink HRfrom top to bottom : how to design programs, which tools to use, andhow to roll out and communicate solutions. Digital employeecommunication solutions like one-minute, fast, animated videos are

Dr. Upinder Dhar, Vice Chancellor, Shri Vaishnav Vidyapeeth Viswavidyalaya, Indore

Dr. Santosh Dhar, Dean - Faculty of Doctoral and Research, Shri Vaishnav Vidyapeeth Viswavidyalaya, Indore

Digitization & changingbusiness environment

This is the new vision for digital HR - integrating SMAC technologies to redefine theemployee experience, make work easier, real - time, more productive and rewarding,and improving work - life balance. HR teams are now rethinking upon the way peoplework and trying to add digital tools to make these solutions better. The impact ofdesign thinking may be most profoundly experienced with digital "appification."

DIGITIZATION & CHANGING BUSINESS ENVIRONMENT - DR. UPINDER DHAR & DR. SANTOSH DHAR

BUSINESS MANAGER JULY 201815

used by organizations to communicate new benefit programs, wellnessprograms and other employee benefits. Curated video learning systemlets employees recommend content to others.

Different digital HR experiences have enormous influence on theworkforce. Digital HR requires fluency with mobile apps, designthinking, video, behavioral economics and the use of embeddedanalytics. HR applications are to be thought of as "platforms" and not"systems or programs" - and to measure success by the rate of adoption,not through massive change management programs. The tremendousshift from traditional licensed HR software to modern, cloud - basedsystems is going to increase with the coming times. Today, there areover 150 million employees using cloud - based HR systems around theworld (just by adding up the users of the top HR and talent managementsoftware providers) and this number will rapidly grow in the yearsahead. As HR apps move to mobile devices, the shift will be to mobileplatforms next.

Cloud - based systems for payroll and core HRMS, performance andtalent management, online learning, employee engagement, wellnessand employee communications are easy to buy and use. Externalrecruitment and job posting providers like LinkedIn, Indeed, Glass door,Career builder, and others can spread and expand the recruitment. Thecloud - based systems, which have now been in the market for five toseven years, are now mature, trusted and enterprise class bringingamazing new technology and functionality to the market. Yet HR teamsremain far behind in deploying mobile solutions. Fewer than 20 percentof companies deploy their HR and employee productivity solutions onmobile apps today. Designing mobile apps and considering the end-to-end user experience are new disciplines for HR, combining designthinking with apps, video, social and mobile technologies.

Digital HR, which brings together social, mobile, analytics and cloud(SMAC) technologies, represents a new platform for improving theemployee and candidate experience. With the founding of Workday in2005, the acquisition of Success Factors by SAP in 2011, and thepurchase of Taleo by Oracle in 2012, HR remains at the forefront of themove to digital and cloud at the workplace. While vendors are now

delivering solutions, companiesneed to build their ownintegrated digital HR strategiesand programs.

The barriers between workand personal life are breakingthrough the use of mobiledevices. Mobile has become thechannel of preference foremployees, giving organizationsan opportunity to encourageadoption of mobile HRtechnologies to the extent rarelyseen with traditional HRplatforms. Integrated apps canmanage time and attendanceautomatically; pinpoint everyappointment and meetinglocation; deliver on-demand videolearning to participants in a newproject; send messages to a teamwhen someone is running late fora meeting; monitor stress levelsand recommend when it is time totake a break; and even reviewplans and offer intelligentrecommendations.

This is the new vision fordigital HR - integrating SMACtechnologies to redefine theemployee experience, make workeasier, real - time, moreproductive and rewarding, andimproving work - life balance. HRteams are now rethinking uponthe way people work and trying toadd digital tools to make thesesolutions better. The impact ofdesign thinking may be mostprofoundly experienced withdigital "appification." Ratherthan building an on boardingsystem, a learning system, aperformance managementsystem, and collaboration andcoaching system, design thinkingbrings these solutions together inseamless apps that improveemployee experiences across theboard. These functions if movedto apps in a thoughtful way, HRcan receive 10 times as manyresponses from employeescompared to traditional systems.

Data quality can improve.Leading companies across allindustries are embracing thistrend. DuPont, for instance,embarked on a major project toreplace, simplify and combine allof its HR and learning systemsinto one integrated portal. Ratherthan offering a traditional "self -service" application, thecompany developed astreamlined interface that hasimproved productivity. Telstra,one of Australia's largesttelecommunications companies,is using an app to transform its

Digital HR, which brings together social, mobile, analyticsand cloud (SMAC) technologies, represents a new platformfor improving the employee and candidate experience.

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DIGITIZATION & CHANGING BUSINESS ENVIRONMENT - DR. UPINDER DHAR & DR. SANTOSH DHAR

first-year employee experience.By using design thinking,studying the behavior andfrustrations of first-yearemployees, and creatingpersonas, Telstra developed anintegrated on boarding programthat dramatically improvedemployee engagement andretention. Despite impressiveresults at these and othercompanies, many HRdepartments have yet to embracethis transformation.

Today, only 7 percent ofcompanies use mobile technologyfor coaching, 8 percent for timescheduling, 10 percent forperformance management, 13percent for recruiting andcandidate management, and 21percent for leave requests. Thisnew world of digital HR isarriving fast, but, only 38 percentof companies are even thinkingabout it and only 9 percent arefully ready. Nearly three -quarters of companies, or 72percent, believe this is animportant priority and 32 percentdefine it as very important, so itwill be a major area ofopportunity for HR in near future.Digital HR, however, is more thanjust building apps. It encompassesdeveloping a new mobile platformwith a wide range of apps builtwith cloud and analyticstechnology behind the scenes.This platform can be used forhundreds of apps : from time andattendance to employee wellness,to recruitment, collaboration,goal - setting and more.

Learning and Building New Capabilities

The digital enterprise anddigital HR are a revolutionaryleap forward, not an incrementalstep. While the replacement oflegacy systems into the cloud is amajor part of the transition, so isthe adoption of design thinking,integrated mobile app design,and real - time HR operations.

The principles of behavioral economics, the use of analytics, andconstant iteration on design also underpin these efforts. To succeed inthis new paradigm, HR teams will have to partner with IT, adopt designthinking, use integrated analytics, and analyze vendor solutionscarefully. It represents a new world for HR technology and design teams,one that will open up new career opportunities and transform theimpact HR has on the business.

Reliance Jio, the 4G telecommunications and digital servicescompany headquartered in Mumbai and owned by Reliance Industries,began its employee launch of digital telecom services in early 2016. Thecompany's vision is to provide video - quality digital mobile Internetservice to 1.2 billion customers across all 29 states and 7 unionterritories within India. For several years, the company's focus was onbuilding the network infrastructure; in late 2014, the focus turned tostarting up the business operations and recruiting and on boardingemployees across the country.

As one of the largest start-ups in the world, Jio's leadership crafted astrategy suited to the business growth, scale, and the current state ofHR technology by designing a mobile-first, cloud-first, digital-poweredapproach to Jio's HR strategy and launch. The business goals for Jio areto build a national 4G network across 18,000 cities and towns in India toserve hundreds of millions of customers; deploy the largest start-up 4Gnetwork in the world; hire and manage a workforce of 50,000; andorchestrate a national network of hundreds of thousands of retailersand distributors.

HR strategy has always been based on an employee value propositionto support candidates, employees and business managers with anexperience that would be easy to use, quick and safe. The HR programwas digital-first; it allowed recruiters, candidates, employees, businessmanagers, and HR staff to complete HR tasks and reporting byleveraging real - time apps and secure, cloud - based services usingmobile devices. Second, all HR processes, policies, and technologies(including SAP and a series of cloud apps such as Salesforce.com) wereintegrated into an HR platform to support the apps, reporting, and HRoperations. Third, with the goal of end-to-end digitization and real -time HR, the company is challenging itself to eliminate its sharedservices organization.

Core activities were automated and streamlined to be conducted,reviewed and approved in hours (in some cases, minutes) and not days.The HR platform is being run by an HR operations centre tasked withclearing all inquiries and exceptions on the day they are received whileworking with HR centres of excellence and HR IT to continuouslyimprove the platform. Further, the HR platform and HR operationscentre have been designed and built using an agile approach thatincluded multiple releases of both the systems and operations centre.This agile approach has enabled the HR process, policy, HR IT andbusiness teams to learn and build capabilities in the new digital HRenvironment.

How to Start?

Challenge HR to start with a digital-first HR strategy The combination of mobile and cloud solutions and the pervasiveaccess to smart phones as powerful as laptops and desktop computersof just a couple of years ago, are redefining how HR processes aredesigned, delivered, accessed and operated.

The digital enterprise and digital HRare a revolutionary leap forward, not

an incremental step. While thereplacement of legacy systems into

the cloud is a major part of thetransition, so is the adoption of

design thinking, integrated mobile appdesign, and real - time HR operations.

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DIGITIZATION & CHANGING BUSINESS ENVIRONMENT - DR. UPINDER DHAR & DR. SANTOSH DHAR

The shift to a mobile and platform way of thinking is at the forefrontof this challenge.

Embrace design thinking Social, mobile, analytics, and cloud tools are only useful if employeesadopt them.HR must begin with employee needs and the user experience.Incorporating design thinking throughout the process will helpcompanies maximize the impact of new digital technologies.

Leverage an agile approach integrating HR, technology,employees, and business leaders in the process

HR has the opportunity to use agile development - rapid developmentby integrated teams delivering prototypes and solutions insuccessive releases and waves - as a new way of operating in HR andsupporting similar programs across the company.Unlike the traditional waterfall development process, agiledevelopment requires HR specialists, system and app developers,designers, employees, and business leaders to work together as ateam.

Share digital strategies and experiences across the companyHR has the opportunity to learn from early digital adopters in thecompany, generally marketing and operations.A community of practitioners can share digital experiences andimplementation learning across the company.

Imagine HR and the employee experience in real timeOne of the biggest changes in moving to a digital HR strategy is thefocus on real - time access, decision - making and results.This involves a significant step beyond many recent HR efforts,which have focused on shared services and HR service centres andSLAs (service level agreements).Digital HR is also a call to automate many areas of HR. With everyemployee having a Smartphone, HR teams can automate, streamline,and adopt more real - time and digital-first operations rather thanprocess forms and transactions.

Integrate analytics and reporting as part of the digitalplatform, not an add-on

Most HR teams today have dedicated teams that collect informationfrom process and transaction systems for basic HR reports andanalysis.It should provide managers with real - time information and leaderswith real - time analysis, decreasing the time spent on reports andincreasing the time HR and business leaders spend on analyzing dataand solving problems.Analytics and reports can be configured and integrated into abusiness intelligence layer of the HR platform, linking apps directlyto leadership reports and analysis.

Bottom LineDigital transformation of HR begins with a change of mind-setwithin the HR organization, prioritizing connectivity, real - timeoperations, platforms, automation and mobile-first.

Challenges

Digitization for access and preservation needs special attention.Most of these efforts are vulnerable to changes in government policies,technological changes, economic support and socio-educationalchanges. Some of these initiatives are isolated ventures generallyrestricted only to the needs of a special group of users. Sustaining theinitial efforts and continuing these activities need special support ofthe decision makers. Sustainability of these initiatives calls for

continuous technical andeconomic support. Humanresource development ismandatory requirement incontinuing service - orientedaccess. The ongoing digitizationof industries has drasticallyreduced the half-life of skills andcapabilities acquired byknowledge workers throughformal education. Thus,industries have to makesignificant ongoing investmentsin training their employees toremain competitive.

Information era has presentedthe Indian industries with a widerange of opportunities as well aschallenges. An insight into thesedelves into the types of challengesthat the industry face in theinformation era and calls formeans by which they can be dealtwith. Advances in technologyhave given rise to newer forms ofrisks like cyber risks and databreaches. As per reports, thepercentage of fraudulent claimsis increasing by 20% every year.So, on one hand industry has tomake effective use of technologyand information to expand thecustomer base. On the other hand,they have to be agile in resolvingthe risks arising due to thetechnological advances. There is afierce competition betweenindustries to garner mind shareand market share. Informationera presents the industries withplenty opportunities to increasetheir market and enhancecustomer satisfaction.

The challenge is how to ensurevigilance, checks and controlswhile delivering what is neededto deal with new kinds ofexposures in the information era.Effective use of data willcontinue to be a challenge. Theconcern in the future is not goingto be information butinformation overload. It is crucialto have adequate infrastructureto handle the load. It is likedemand forecasting - the likelygrowth has to be anticipated andprepared for. The system has to besuch that capacity enhancementcould be fast and unified. It is aquestion of having the right setup. The opportunities areseamless but with a fleet ofchallenges also.

Webliography http://www.singularityhub.com/2014/02/18/there-are-7-billion-mobile-devices-on-earth-almost-one-for-each-person http://www.bersinone.bersin.com/ resources/ research http://www.kpcb.com/internet-trends https://www2.deloitte.com/insights/us/en/focus/human-capital-trends/2016/digital-hr-technology-for-hr-teams-services https://www.forbes.com/sites/joshbersin/2016/01/29/ten-predictions-for-hr-leaders-in-2016-how-the-digital-world-of-work-will-change https://www.intraworlds.com/digitization-of-hr-trust-benefits-challenges-of-technological-change

BM

BUSINESS MANAGER JULY 201818

Women have anoverwhelming

majority in the total HRworkforce. What does

this actually mean, andwhat can it teach us

about employment trendsacross the country? BMtries to find an answer to

this…

COVER FEATURE

Climbing the success ladder

with integrity and grace

-BM Editorial Team

BUSINESS MANAGER JULY 201819

CLIMBING THE SUCCESS LADDER WITH INTEGRITY AND GRACE

RReeggaarrddlleessss ooff ggeennddeerr,, iitt iiss iimmppoorrttaanntt ttoo

uunnddeerrssttaanndd tthhee eemmppllooyyeeee''ss ssttrreennggtthhss aanndd

hhooww oorrggaanniizzaattiioonnss ccaann hheellpp ffuurrtthheerr tthhoossee

ssttrreennggtthhss ttoo pprreeppaarree tthheemm ffoorr tthhee nneexxtt rroollee..

For most women HR leaders it is important to create avision and strategy. They think that it is must to focus onbringing out the best from the team and setting the tone, aspeople want to be led by confident leaders.

What has helped women, beside better exposure toeducation is the access to mentorship. Mentoring, in fact, hasproven to be one of the most effective tools for advancingwomen in the workplace. Most companies today havementoring programs and these organizations are viewed asmore attractive places to work and retain female employees ata higher rate.

Most women HR leaders have lead a simple yet challenginglife and those challenges have made them strong and worthyleaders. The greatness of their life came from the empatheticand brave approach towards life. They have applied theselearning from everyday life to the field of HR and helpedtransformed the profession.

The life stories of successful women professionals (some ofwhich we have captured in this edition) points that womenneed support to make it into senior roles, in fact, all leadersneed support when there is some complexity. Support is neededto ensure that talented women do not exclude themselves fromopportunities, and to give them guidance and mentoring onhow to navigate their career (and personal) aspirations - notcompromising on either.

As Cécilia Attias, former First Lady of France, founder ofthe Cécilia Attias Foundation for Women, and Senior VicePresident for Public Affairs at Richard Attias & Associates anda dedicated advocate for human rights, women'sempowerment, and education asserted in one of her editorialsfor The Hill that creating more women role models in thecorporate world is not just good for women, it's good forbusiness. Companies need women and people with diversebackgrounds at the table so that they can make better andsmarter decisions that respond to the diverse needs of theircustomers.

She also opined that for organizations that do not alreadyhave a pipeline of women leaders within the company, thereare an increasing number of technology tools at their disposalto help them grow from the outside.

Diversity and inclusion is a learning journey and the morethese elements are integrated in the talent developmentstrategy and company culture, the more likely theseorganizations are able to bring out the best in our workforceand also be successful at the same time.

It is the responsibility of the progressive organizations tomake women feel assured of an equal opportunity to reach top-management positions. BM

While organizationsworldwide struggle toattain gender equality in

the workplace, a number ofcareers that were once lead bymen are now seeing more diversedemographics.

However, HR remains one filedwere the workforce ratio isskewed towards womenprofessionals. In 2016, the U.S.Bureau of Labor Statistics (BLS)found that 72% of HR managerswere women; in 2017,Payscale.com reported that awhopping 86% of HR generalistswere women. It's not only US thefigures are largely the same inIndia, as well.

Organizations aretransforming how they managetheir workforce, and women in C-suite human resources positionsare leading the way. Most expertssee a direct correlation betweentraits traditionally found inwomen and the skills required towork in HR, as the key reason for ahigher participation of women inHR.

There is a fair amount ofscientific research which showsthat women are naturally morenurturing, hence, supporting thenotion that women are bettersuited to handle the conflicts andproblems at the workplace.

Also, behavioural researchshows that women look at issuesdifferently and are more likely toconsider decision from a differentperspective - making them moreapt for the HR field.

While most industry expertssee the overwhelming presence ofwomen in HR as a welcomechange from most other fieldswhere men dominate upper-levelmanagement, the challenges areno less for the womenprofessionals.

Coming to the challenge part -as ironic as it may sound, despitethe prominence women in thefield of HR, women are still paidless, a common occurrence inother professions as well.

Not only does equal pay makesense morally, but also financially,according to research. A reportfrom McKinsey & Companydiscovered a direct correlationbetween profitable companies anddiversity, as the more diversecompanies were more likely tohave above-average financialreturns.

BUSINESS MANAGER JULY 201820

COVER FEATURE - Dr. Rajeshwari Narendran

Kuch to "Aag" hai mere andar jo bujhte nahi hai hounsale Varna Kami to na rakkhi thi Hawaon ne kabhi...

Ishare my life story with great sense of gratitude and respect to myparents and my family, I wish to state that struggles have refinedand defined me greatly and I owe a big thanks to all the people andevents in my life helping me carve a destiny for self.

The Early Lessons of LifeWhen the welcome to the world is not a welcome by your own creator,the survival is nothing less than a miracle. Born as a fourth daughter,life started with an angel touch of my elder sister who whispered themagical words every day that you are born with a purpose, you are afighter, you are here to make a difference. Her inspiring efforts wereto make me strong, focused, and optimistic and above all to live a lifewith purpose.The hardship in childhood was filled with starvation, deprivationand often social rejection by some wealthy relatives, all these havegiven the best teachings in life to respect the dignity of labour,courage to upkeep the values in tough times, strength to balance andcollect positive energies to face any situation in life with a smile onface.

The Midas Moment with NCC I salute the NCC which has given the confidence to lead with all

activities like parade,trekking, mountaineering,rock climbing, river rafting,boat pulling, ship modelling,music, dance, group activitiesto embrace learning from alldiverse cultures, states,languages and truly livingunity and discipline forchannelizing the youthfulenergies. The exposure as cadetcaptain were magical momentsof insights and my first steptowards understanding humanbehaviours and leading withconfidence.Good academics, NCC, Cricket,Badminton and practicingSitar and Vocal music withhouse hold chores those timeswere eyebrow raising as manyneighbours and relativeswould exclaim why this girlhas to do all this while she hasto just settle as someone's wifeone day! However my sistersupported throughout all this.

Celebratinga Journey

Called LIFE

I did facediscriminatory

and chauvinistbehaviours from

seniors butnothing deters

the one who haspurity in intention

and heart.

DR. RAJESHWARI NARENDRANHon. Director, Academy of HRD, Ahmedabad and Professor and Head, Business Administration, MLSU

BUSINESS MANAGER JULY 201821

COVER FEATURE - Dr. Rajeshwari Narendran

The tough getstougher

Marriage at a tender age,continuing education andearly children coupled withrearing extended family wasnever easy however thehelping hand andencouragement from myhusband has paved way fortaking all the challenges instride.Almost nineteen to twentyhours of working for home,profession as a teacher andpursuing PhD all together hasmade me a fast learner on lifeskills, multi tasking andworking smart. I started usingmanagerial skills andparticipatory skills applied tohome and teaching and gothuge appreciations helping memove into a profession withpassion in Training andDevelopment as early as theage 21 with Indian Railwaysand State Governments as myfirst client. I faced lot ofchallenges as Training (NowL&D) was a man's world andacceptance of a womantrainer in early nineties in thecorporate sector was veryhard, however my innovativeideas to conduct trainingcaught attention of manycorporate leaders, traininginstitutions and professionalbodies. I evolved with an eye tolearn new skills, itsapplication with refinementand became first ever womanNational President of IndianSociety for Training andDevelopment and the youngestto be so.People sometimes refer me asLioness as I did take courageto call a spade a spade and took

toughest decisions a professional could have ever taken winning overdilemmas, chaos, personal differences.

Mentoring from GodfathersI consider myself very fortunate as I got inspiring gurus in Dr. UdaiPareek, Dr. T V Rao, Prof. A.K. Singh, Dr. D.M. Pestonjee, Dr. AnilKhandelwal and Dr. Pradip Khandwalla who directly or indirectlyhave chiselled out my learnings in HR/OD and OB and paved way tobe a part of this legendary organisation 'Academy of HRD' devotedfor research and knowledge creation in HRD, to lead as its ninthDirector.

My exposure to IIM Ahmedabad and Harvard Business School hashelped me to give back to society and serve education with a purpose.My mission as a trainer and educator is to make scholastic systemwhere children are not afraid to ask doubts and questions andlearning is a delightful activity nurtured with no fear of failure.

The teachers' contribution in making participatory learning agilityis the role where L&D has to carve the niche and mentor the teachersof today to instil knowledge, curiosity, experimentation and creatinglove for learning. I call L&D professionals as catalyst who have thepower to bring transformation in our learning processes and help innation building.

I am also fortunate that as a teacher I could ignite a movement called"Make a difference" (MAD) which is devoted to bringing smiles andjoys of life to those who need it most. I started this in 1991 as a smallthought provoking movement amongst school and college children tospread joy of giving time and support to save girl child, to spreadawareness in health, hygiene at rural and tribal villages, to voiceagainst dowry deaths, to connect needy to Government schemes, totake up the challenges of dignity and economic freedom of womenby supporting self help groups which now is spread across India andhas more than five lakh volunteers.

Arise, Awake and ActAsk yourself with honesty that have you made a difference tosomeone's life? If yes, then spread more light. If No, then start doingas this is the right moment to act.Failures and challenges are not road blocks rather they are pillars ofstrength to move on. Remember only YOU can stop you to attain yourdreams and nothing else.HR skills are life skills, understand the pulse of people around youand be sensible towards it.There is no shortcut to success, hence, balance and work smart.Never remove the "L" tag from your mind as learning is forwardlooking.Be thankful.Sing, dance and celebrate every moment and create a joy in everythingyou do. Celebrate the Journey Called 'LIFE' and live alive.

My exposure to IIM Ahmedabad and Harvard Business School has helped me to give

back to society and serve education with a purpose. My mission as a trainer and

educator is to make scholastic system where children are not afraid to ask doubts and

questions and learning is a delightful activity nurtured with no fear of failure.

BM

BUSINESS MANAGER JULY 201822

COVER FEATURE - Sonal Jain

Life for me is a wonderland where there are explorations,dreams and opportunities. I have been very fortunate tohave parents and society for whom girls and boys are onecreation of God and the concept that girls are treateddifferently did not exist.

I had all resources, friends, education and confidence to make mebelieve that life indeed is a wonderland. Realization that all times arenot great, came slightly late in my life. Sometimes there are situationsand people we experience which make us stumble and fail. For a while,I thought it was them (situations and people) who made me fail but Isoon acknowledged that it is not about them but it was about my abilityto handle them, myself and the situation. The beauty is that every timesuch an event happened, I emerged as an Individual with enriched anddifferent perspective.

I love the HR function because I firmly believe that it has the capacityto change dimensions of business and people. As an individual and anHR leader, there are three values which are important to me.

1. Authenticity -

This is about being who you are. It is about 'What you see, is what youget'. It's about being fearless and courageous and ability to live withtrade-offs in tough situations. The underlying assumption is that Ihave joined an organization whose fundamental values matches withmine. This trait has helped me in multiple times. To narrate one suchexample; I was leading a global transformation, one of the toughestassignment which impacted many employees across the world. Therewere many dynamics which came to the front due to involvement of

multiple stakeholders and anuncertain future.

By virtue of being authenticduring the design,engagement, decision makingand stakeholder alignmentstages, helped me to stay trueto the larger objectives andlead the transformationsuccessfully. Being true toyourself across organizationlevels, helps decode effectiveresults and channelizes theenergy to make powerfulimpact. HR function shouldcreate opportunities forbusinesses to create authenticvision/purpose, brands,strategic roadmaps,reputation and culture so thatcustomers, communities andemployees are aware what toexpect and not live in a worldof deception or feel cheatedwhen decisions are made.Organizations today are facingissues on unethical practicesand corruption because whilethe strategic roadmap isauthentic to organization

Wonderland ofambitions anddetermination

As HR leaders, we needto create safe spaces

where employees canbe open rather than

being worried to createperceptions which

actually don't exist.

SONAL JAINHR Director, Johnson and Johnson, Mumbai

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COVER FEATURE - Sonal Jain

purpose, in day to day life, thetactical decisions and actionsare with shortcuts and nottrue to the vision of theorganization.

2. Learning fromyour discomfort -

The moments I learnt the mostand grown as an individualand professional is, when Ifailed, when I refused to seewhat's uncomfortable or whenI didn't know how to bounceback after a tough timepersonally and professionally.However as human beings wehave infinite capacity to learnat each moment of our lives. Inone such instance, I wentthrough a personal healthcrisis and after being at thehospital for a month, I wasadvised to stay away fromwork or best to connect fromhome; for a long period oftime. I felt very uncomfortablesince this was the first time Iwas physically away from theoffice, teams and the fear ofnot being able to deliversurrounded me. Some of mybiggest learnings came fromthis experience. I learnt how tomanage my emotions, workingonly virtually withstakeholders who otherwisewere co-located, prioritizingand focusing on keydeliverables. Additionally, myteam stepped up to collectivelydeliver what we committed.

HR leaders play an importantrole to create a learningculture which makesorganization agile, resilientand ready to take up newchallenges. First, Leadersshould not be trapped in onlycreating incremental learningenvironment but should makespace for disruptive learningwhich pushes people out oftheir comfort zones. This iswhere challenge comes up forHR leaders to allow people tofail fast and learn faster.Second, Apart from alltraditional ways of impartinglearning, organizationsshould put structures toencourage peer learningwithout letting insecuritiescreeping into them.

Many organizations work insilos, with functional agendasthat becomes a block for the

immense learning opportunity which can happen through sharing ofknowledge/expertise and experiences. It's about inviting others tolearn and be a learner at same time. This will allow employees tohave End to End perspectives, drive inclusion of diverse teams andco create solutions for business. Third, Mentors could be of immensehelp to embed the culture of learning from yourdiscomfort/transformation/changes.

3. Building networks and connections -

In my perspective, life is about energies we transmit to peoplearound us. The world today is evolving at a very fast pace and is allabout connections and networks (even BlockChain is also anetwork!). It's about new ways of learning, getting and doing thingstogether. The connections which seem to be one on one are actuallyone to many due to inter-connectedness. Investing in trueconnections and networks does require effort/time and mostimportantly the true feeling with which it is established; which is ofcare, genuine interest and positivity in the other person. I amfortunate to have mentors inside and outside the organization. Someof my mentors have been there from last 13 years, who helped me atvarious stages; unearth the answers for doubts in my mind.

HR Leaders should inspire and motivate employees to capitalisepower of connections which can also act as a support mechanisms tolearn in good and bad times. I read an article which highlights thepower of high quality connections which says - We rarely grow alone.We can have more control over our learning at work if we makebuilding high - quality connections a priority. They're the connectionswith other people in which we feel positive regard, mutuality, andvitality. Positive regard is the sense that someone sees the best in us,even if we are only connected for a short time. Mutuality means we feela sense of responsiveness and openness from another person. Finally,vitality captures the heightened sense of energy we feel when deeplyconnected to someone else - as if we are more alive in the moment.

These are values which are important to me as an individual and asan HR leader. It gives me immense sense of purpose of living a lifewhich is fulfilling and be grateful every day. All these learning help mywonderland grow more beautiful day by day. BM

BUSINESS MANAGER JULY 201824

COVER FEATURE - Smriti Krishna Singh

Making adifference, withintegrity and zeal

It is important not to dwell ongender but also important

not to ignore it. In geometrywhere we have sets,

intersections etc. Men andWomen are like that - they

are unique for the most partwith some commonalities.

Women need to play on theirunique qualities rather than

suppress them.

SMRITI KRISHNA SINGHCHRO, Sony Pictures Networks India, Mumbai

M y Story is the story of any determined, logical, rational humanbeing with a passion to make a difference.

It doesn't matter where you came from,what matters is where you are going

I never thought about where I came from but I always knew where Iwanted to go and it was never about 5 years or 10 years, it was where Iwanted to go with the assignments that were in front of me. I had avision for everything - from the smallest thing like a token give awayafter a training program to the largest change management initiativesacross global offices.

In the first few years of my career, a very senior HR leader told methat I have "to change the world propensity". I was in awe of thatstatement. "Really", I never thought of myself like that. In fact, I alwaysthought I was less than ordinary. I always had a slight nervousnesswhen I embarked on assignments - I always wondered if I will besuccessful in that endeavor? And I believe that it has worked for me bykeeping me grounded, making me think about the finer details andmaking my endeavors successful. I never let nervousness impact myconfidence - and my confidence came from always doing my best andleaving the rest to destiny.

The harder you work, the luckier you getGiven how hard I worked, often making personal sacrifices, I guess I

was destined to get lucky. I got great assignments with great managerswho made me think, who pushed my limits but who also cared for me at

a very personal level rooting formy success at every step. Theycared enough to show me themirror and help me coursecorrect when required.

Feedback is a giftFor any dynamic professional,

getting feedback should be partfor course - if you are going sofast, you are bound to makemistakes and being open tofeedback and having some level ofself-criticality is important forpersonal and professionalgrowth. Having a senior leaderwatch your back, direct you whenyou are off track, shareperceptions and realities is themost valuable gift one canreceive. This applies equally topeers.

My fondest memories arewhen I worked with smart,intelligent peers, each bringingtheir own strengths to the tablewith a healthy respect for eachother despite being in a

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COVER FEATURE - Smriti Krishna Singh

competitive environment. Wecollaborated more than wecompeted and this made us abetter team and I believe thisresulted in better outcomes forthe organization.

This brings me torelationships. Human beings aresocial animals and I don't thinkthere is a single soul who does notgain happiness from goodrelationships. Therefore,logically we must have goodrelationships at the workplacewhere we spend a great deal ofour time every day.

A very senior HR leader toldme during my impressionabledays - "I have my friends andfamily for relationships, I don'tcome to work to make friends". Iunderstood this statementseveral years out because beingin HR, people may befriend you toget something out of you orpeople may perceive you to havefavorites which can impact youreffectiveness. The boundary ofrelationships therefore needs tobe drawn and its critical to bevery professional at work. Whilethis is true of everyone, given thelevel of information andconfidences that HR holds, this isespecially critical for all HRprofessionals. However, it doesnot mean that one cannot havegood, healthy and happy workingrelationships within theboundaries of professionalism.

The ceiling never existed forme - the ceiling is in the mind -My family is progressive and I amsure that helped. With a doubleMA in French and linguistics andtriple children, my mother was ahomemaker by desire and not bydefault. My father - a self-mademan climbed the ranks of thecorporate world and was my rolemodel growing up - I neverrealized there was a ceiling. Toquote Ms. Vidya Balan who spoketo our employees recently abouther career - "In my house, therewas only the sky."

Stop the 'Show and Tell'The issue is that the gender equation is imbalanced in favor of men.

Women tend to suppress their own identity to "fit in". For a long time, Ialso tried to fit in but then one day, being a rational person, I couldn'tfigure out why I should - It started with the smallest things - whycouldn't I have colors in my wardrobe instead of the blacks and blues -why did I need to be stiff in meetings and not have a sense of humor,why couldn't I show emotion if the situation demanded it. I couldn't findthe right answer to these questions that fit in with my values as anindependent woman with a voice, a head and a heart. So, at some pointin my career, even I cannot remember when, I decided to be morecomfortable and be myself externally along with being myselfinternally.

In a world where you can be anything, 'be yourself'

That has been my motto - I believe it makes me a better human being.At the end of the day, I believe that's what counts. Success is an outcomeof what we do and how we do it. We should focus on the journey andinvesting in that journey with the highest levels of passion and integrity.We should create as we go along, we should learn, improve and createsome more. We should aim to make a difference because every action ofours counts to something and if everyone aimed to make a difference,our place of work, our homes, our country, our planet would be a betterplace. I believe a good journey results in a good ending.

The gender equation is imbalanced in favor of men. Women tend to suppress their ownidentity to "fit in". For a long time, I also tried to fit in but then one day, being arational person, I couldn't figure out why I should - It started with the smallest things- why couldn't I have colors in my wardrobe instead of the blacks and blues - why didI need to be stiff in meetings and not have a sense of humor, why couldn't I showemotion if the situation demanded it.

BM

BUSINESS MANAGER JULY 201826

COVER FEATURE - Shikha Gupta

An Antelope

among Cheetahs

We are flooded by data,some relevant but mostlyjunk. So HR leaders needto focus more and more

on analytics anddecision making based

on the analysis.

SHIKHA GUPTADirector HR, Schneider Electric, Bangalore

Ifind both antelopes and cheetahs to be very majestic animals. Iadmire cheetahs, despite my preference for vegetarianism. Butthis is not a debate among herbivores and carnivores, its also notabout Us Vs Them.

It's a story of my life, as an HR person but more importantly, as aperson. As someone who, like everyone else, has had her fair share ofroadblocks, I am sharing this with the hope that you will find your ownstory in it, or at least a lesson that resonates with you.

This story began in a small town in UP, India, in a family whereeducation was expected to bring both learning and earning. At a timeand place when women would study mainly to prepare for a blissfulmarried life, I had both my parents working, in different towns 700 kmsapart! And no, it wasn't to maintain marital harmony, it was to earnenough money to give a good life their children. And there was my firstlesson - work not as a hobby, but because you want to work, you need towork. This brings an additional respect for the job, whatever that jobmay be.

Eventually, this antelope did what was considered at the time to be amainly Cheetah training, Engineering! And the journey of being anAntelope among Cheetahs started. Just when I was settling in, I movedto a different city for MBA, thus meeting a new set of Cheetahs.Through all the ups and downs, my learning was - give the new a chanceand you will grow!

Then came the momentous occasion - first job! Where this antelopehad to prove how well she could jump, how fast she could run and howeasily she could adapt. All this while navigating another city with a

very different language andculture! So here, not only did thecheetahs look different, theycommunicated in a language Ididn't understand at all. Ablessing in disguise though, wasthat I was the only antelopearound! And hence it was ajourney of mentoring, hand-holding and outright protectionby the cheetahs. I learned that itis all right to seek help and to feelhelpless. It makes you strongerand more aware of yourself.

Anyway, by now, the antelopehad started a family of her ownand had to juggle the usual workand home demands. Mostly,people say your success dependsupon a strong support system athome and a spouse who caresabout your career. But I learnedthat a far more important aspectis how much YOU care aboutyour career, how much are youwilling to give to it while notlosing sight of your family needs.We are not endowed with a

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COVER FEATURE - Shikha Gupta

support system, we build it withsome creativity, some convincingand loads of self confidence.

Life moved on and now theantelope found herself travellingto newer jungles, meetingdifferent species of cheetahs,sometimes getting caught andalmost eaten and yet managing toescape and come back ... it's asexciting as it gets. And thebiggest life lesson learned - yousurvive because of your hardwork and wit. Everything else,like your intelligence andcompetencies is the additionalplate in your armor.

The latest challenge thisantelope has seen is the cheetahsin different countries. They areso different, they don't even seemlike cheetahs, I otherwise know.And the best part is, by the time Ithink I have understood and amoutrunning a cheetah, Iencounter another one, comingfrom a very different direction.The trick is to adapt and quicklychange. I learn each day that nomatter how much you prepare,you cannot control all variables.So, try to have a plan B, but moreimportantly, have an agilemindset to adapt faster than thepace of change itself. Makechange your friend for it's theonly one who will always be withyou!

In case you are wondering, thecheetahs are not just people butall the unknowns I haveencountered in my life. These arepeople, places or situations I wasnot familiar or comfortable with.And the Antelope is me and myHR persona. Over time, I havelearned and have evolved and amnow taming cheetahs!

So far, so good. Whats next?Where will our antelope go? Whatelse will she come across? Morecheetahs? Or somethingcompletely different?

I have as much vision of the future as anyone else. But I do feel thatthe future does not belong to cheetahs or even antelopes but tochameleons, who are able to completely immerse themselves into asituation and then as easily come out of it and move to another. Thefuture is vibrant, agile and digital. In this new world, HR will have tocompletely reinvent itself and help the organizations as well toevolve.

Here are some of the key changes through my Chrystal ball,especially for the HR function.

Its going to be an era of anytime, anywhere, anyone working in mostcases. Remote working policies will be more relevant than workplacepolicies. So, we need to rethink compensation, reward and engagement

mechanisms for a floating workforce that will come in only for anassignment and then move on to another job, possible another company.

Technology will play a larger role and knowledge will no longer beexclusive. Even today, we can find out about anything and everythingjust by typing a few search strings. We are flooded by data, somerelevant but mostly junk. So HR leaders need to focus more and more onanalytics and decision making based on the analysis.

We will see experts working independently on small pieces oflarge projects and then there will be aggregators, those who willbring together these pieces and complete the jigsaw. This will be anera therefore of super specialization and hyper generalization. AsHR, we must start thinking of what skills are needed in suchscenarios and how to identify and develop such skills. The classicalexpectations from leaders will not work anymore, they will have to bemore facilitative than authoritative. 'Lead from the back' rather thanthe front!

Even with all this, I feel we are just seeing the tip of the iceberg. Thechange is huge, its exciting and its now! All ye antelopes and cheetahs,get ready to morph into chameleons!

The latest challenge this antelope has seen is the cheetahs in different countries.They are so different, they don't even seem like cheetahs, I otherwise know. And thebest part is, by the time I think I have understood and am outrunning a cheetah, Iencounter another one, coming from a very different direction. The trick is to adaptand quickly change.

BM

BUSINESS MANAGER JULY 201828

COVER FEATURE - Mridula Sankhyayan

In pursuit ofExcellence,

with Courage

Don't quit a badsituation. Strive to make itbetter. Have courage to

speak for what's wrongand navigate

challenging situationswith confidence.

MRIDULA SANKHYAYANFounder and Leadership Coach,Vatt Vriksh Consultants, Bangalore

In pursuit of excellence, one mustpersevere with courage despite allodds.

This has been the guiding principle as I navigated my HumanResources career to senior leadership roles over last two decades.

I have selected real stories that defined and shaped my career atthree important stages -

1. Campus to corporate

2. Voice of a junior executive

3. Leadership in the face of adversity

My biggest driving force was to achieve excellence in all I did. Butwhat got me there was Courage. Having courage in difficult situationsand navigating difficult relationships. Courage is the underlying yetdefining theme of my success.

1. Courage from Campus to Corporate

You can achieve any milestone, if you put your heart and mind to it.

English was not my first language, neither did I speak fluently whenI entered BITS, Pilani to pursue Master of Management Studies. I wasdetermined though to not let this language barrier get in my way. So Ilistened and I learned. I spoke less, listened more and over 6 monthslearnt to speak enough to get by college without being ridiculed.

A few years later, I was conducting Voice and Language Trainingclasses for BPO customer service executives who were communicatingwith American and Australian clients. It was quite a journey and ittaught me one important lesson - If you are determined and willingenough, anything is possible.

I could never have dreamt of being a Voice and Language trainer in

BITS Pilani. But looking back as Iconnected the dots I knew I madeintentional effort to make ithappen and it took significantamount of courage.

I celebrated and basked in theglory of this achievement.Celebrating mini milestones arecrucial steps to success. Theyencouraged me and gave meconfidence and more importantlyin my classes I used this as anexample to motivate others.

2. Courage to find my Voice

Knowledge coupled withpractice builds conviction to speakup!

In my early role as a juniorexecutive, I often found myselfoverwhelmed to face seniorleaders and struggled to find myvoice.

When I didn't speak up in animportant meeting out of fear,even though I knew theanswer, I missed a bigopportunity and regretted it.When I didn't call out aninappropriate behavior of amanager humiliating his team

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COVER FEATURE - Mridula Sankhyayan

publicly, I felt small, weak andguilty.When I listened along aspeople made racial jokes as Iwas too nervous to confront, Ifelt sad and incapable ofstanding up for what's right.

Each day we have opportunityto stand up for what's right orlook the other way and walk offwith tail between our legs.

But then I found courage togive feedback to the abusivemanager, risking my career. Somecalled it a 'career limiting move'.However, I gave him feedback thatI believed was in his best interest.That gave me the courage tospeak with confidence and haveconviction to act upon my beliefs.

The manager was able tolisten to me as he believed that Iwas putting his interest first. Iearned his respect and felt self -assured as I had never felt before.

One evening amidst my circleof friends I called outinappropriate remarks againstgay men. I stayed in thatconversation as others tried totrivialize it and then seeing myconviction, they started to slowlylisten to me and I could see atinge of respect in the corner oftheir eyes. That mini success,gave me enough encouragementto never sit quiet in that face ofinappropriate behavior.

I must say it is never easy and

one has to muster courage every time and risk being alienated. And yetI chose to do what I believed in. I stood up for the weaker person withouta voice. Knowledge and courage to do what's right helped to build mytrust and credibility.

3. Courage to lead and conquer adversity :

When you get shot at often, know that you are flying over somethingimportant.

Imagine sitting in a review with your CEO and Head of HR within 3months of joining the organization where your entire team has revoltedagainst you and you don't have a clue!

It's an awful situation to be in. I was in one such situation - accusedof being biased, not walking the talk, unfair, un-empathetic. There were4 pages of feedback. It caught me by surprise as these challenged myvalue system of being fair, empathetic, and driving for excellence.

I was stunned and did not know what hit me. I was scared andheartbroken. I wanted to instantly parachute out of this situation. It feltunbearable to go back in that vicious environment. I cried the entirenight, brooded, sulked and did all I needed to do to get every strand ofnegative emotion out and expressed - in the quiet of my home and fourwalls.

I went back to office mustering courage and to face my fears. Acouple of days later, I faced my entire team along with CEO and HRHead and addressed each accusation, complain one by one. I faced themwith every intention and determination to turn around this team. Iowed that I will not quit till I fix it.

I encouraged them to share specific examples so I could change anddo better for the team. I assured them of my intention and as I walkedout of the room something quite amazing started to happen. My teammembers started to come to me one by one - some apologized, othersbroke down, others tried to be friend me and some said nothing out ofshame or guilt.

It turned out that Head of HR held a huge grudge against me as hewas not part of my selection and hiring. So, he instigated the teamagainst me and they fell like prey to his conniving drama.

I started spending more time with my team, communicatingvigorously and ensuring they are aware of my decisions and rationaleof my actions. 15 years later, most of them are my close friends, we havestayed connected over the years.

My learning - Don't quit a bad situation without making it better. It isan important lesson that helped me not only keep my self-esteem strong,it gave me immense confidence to navigate difficult situations andunexpected challenges, it got me many loyal and great friends.

In the end I will leave you with these thoughts :

Have one goal that's worth fighting for. In my case it was Excellence.Build courage through knowledge and perseverance. It's a weapon thatwill help you overcome difficult people and adverse situations.

Remember courage is not the absence of fear, it is persevering in faceof fear.

I encouraged them to share specific examples so Icould change and do better for the team. I assuredthem of my intention and as I walked out of theroom something quite amazing started to happen.

BM

BUSINESS MANAGER JULY 201830

COVER FEATURE - Indrani Chatterjee

When I left my home at the tender age of 9, I neverthought where life would take me. All I wanted was tostep out of the comfort zone of my house, get goodeducation because I come from a small town of Puruliawhich is part of rural West Bengal where girls are

married off by the time they are 18 years and become mothers by 19.Good schools were not there for girls at that time and getting a goodeducation was a luxury which most could not afford. I was lucky to havemy mother who has been my biggest motivator and my fathersupporting my education in a boarding school in Kolkata which wasquite expensive. Since the time I could recollect, I always wanted toestablish myself in the corporate world, become financiallyindependent and role model for other women who had talents but mayhave not the courage to live their dreams. My journey this far has beena roller coaster ride with its ups and downs neatly woven. But never foronce I deviated or got distracted from my goal. Every time I faced withadversities in life, I kept telling to myself "this too shall pass away". Lifenever comes with warranty card and life of a female in a corporateworld is little wobblier than we can imagine and that's a reality. After allfinest steel has to go through the hottest fire.

After completing my post-graduation in Organic Chemistry, I wasaspiring to continue my research work in the field of Chemistry, when Idecided to take a plunge in the Corporate world. However, marriagehappened to me unexpectedly because of a family exigency. I got thesupport from my husband to complete my MBA post marriage. I chosethe profession of HR simply because of my passion about people andwanted to pursue my career in that domain. After doing my MBA inHuman resource and Information Systems, I had a humble beginningwith a recruitment consultancy firm in 2000 as a recruiter. It was anexciting role and the learning opportunities were tremendous. Igrabbed the opportunity of interacting with all the professionals of the

Corporate world and startedlearning from them. Myprofessional journey by then hadbegun and subsequently I workedwith big brands like PattonInternational, PepsicoInternational, HutchinsonTelecom, Vodafone andPricewaterhouseCoopers. Mylearning in these Organisationshad been tremendous. I haveworked with the finest brainsfrom the industry and have learntimmensely from them. I also hadthe opportunity of learning andinteracting with the Globalleaders who helped me to grow. Ihave always believed in the magicof hard work and believed inexcellence in delivery. In mycareer, I have acquired fungibleHR skills because of my exposureto all the domains of HR and IRbefore becoming the Chief PeopleOfficer in 2012. I have receivedmultiple accolades throughoutmy career that made me moreresponsible towards myprofession. While I stronglybelievethat hardwork gets yousuccess I cannot deny the factthat stakeholder management

Journey ofsatisfaction

and learning...

HR should play a veryvital role to bring

back the positivityand enhance the

happiness quotient ofthe organisation. Andthis can only happen

when HR isindependent and

empowered.

INDRANI CHATTERJEEDirector- PwC Service Delivery Centre, Kolkata

BUSINESS MANAGER JULY 201831

COVER FEATURE - Indrani Chatterjee

and effective interpersonal skillsare integral and equallyimportant to be successful in theCorporate world. Having mentorsin your life to whom you canreach out for guidance is alwayshelpful and it has worked well forme. I was also extremely lucky toget various complex roles whichhoned my skills and made astronger HR professional out ofme. Being a regular speaker invarious industry and academicforums also helped me to getvaried exposure to learning bothfrom the fellow speakers and theaudience. As I introspect andreflect, my journey so far hasbeen extremely satisfying and oftremendous learning.

Role of HR :The role of HR should now

transition to more strategicpartnership with business. Withthe digitalisation wave setting in,HR should move away from beingtransactional. The technologyand automation can be used toperform more operational jobs,while HR should focus on thetalent management, talentdevelopment and play a pivotalrole in the leadershipdevelopment to anchor thestrategic growth of theorganisation. HR should feelempowered to influence theculture of the organisationpositively. HR should also ensuretransparency and preserve theethics in the organisation. TheCorporate world is becomingincreasingly competitiveand HRcan play a very vital role to strikea balance between the demands ofthe business and the needs of thepeople to ensure a healthyorganisation. People being thebiggest asset of any organisation,the HR leader should have astrong representation in theboard so that the voice of thepeople is heard. HR should alsofocus on building the brand in the

external market. To attract and retain talent it's imperative to have astrong employer branding in the talent market and HR should play aleading role in creating that value proposition to ensure sustainabilityof the organisation.

Challenges faced by corporate women :

While we talk of equality and inclusivity, in my personal opinion, lifeof a corporate woman in India is more challenging than her malecolleagues because of the societal fabric and the multiple roles that sheneeds to juggle with, in her life. By default, the responsibility of takingcare of the child and the family is assigned to the woman. I agree, timesare changing and fathers do dirty their hands to change the nappy ofthe new born, but a mindset change is still required. We still feel guiltyif we return home late, our kids still expect us to be at home earlier thantheir dad and we are still compared with other mothers who are notworking women. In this situation creating a supportive networkwhether at home or at office really helps. Having our own circle ofpositivity to circumnavigate the blocks helps a lot. Inclusivity does nothurt rather it strengthens the fundamentals of the Organisation. Ialways wished more women should be part of the board room and it'sextremely satisfying to see that it has now become mandatory by law tohave at least one woman representative in the board.

I have counselled many women in my career to not quit job afterbecoming mothers, because I was almost certain that they are doing thesame out of compulsion. It is important to support our female talentpool and help them tide through the tightrope of juggling between thefamily responsibilities and corporate duties. If we do not support themduring their mid careers, we will lose talents midway and will not haveenough women leaders at the top. It's during these times that thesupport from the family and the organisation is required to manage thedual responsibilities.

Every woman sees a dream. A dream to be someone. May not alwaysbe a corporate leader but to have her own identity. I would encourageeach one of you to feel empowered to dream and then chase your dreamto reality. Love yourself as much as you love others. Take care ofyourself as much as you take care of others. Go out, have fun, travel farand wide and have the courage to take the reins of your life in your ownhands. If I can take charge of my life at the age of 9, each of you can. It'sjust that you need to believe in yourself, in your talent and in yourpotential. Set a goal and go for it. The world will bow down and fulfilyour wish. Don't get distracted, diverted or demotivated. When you getstuck, just remind yourself "this too shall pass away" and trust me itwill...sooner than you can imagine... BM

Igrew up in a small city in a middle class household. My parentswere extremely hard working and came up from a very modestbackground. This was the bedrock of the values that I grew upon - there is no substitute for hard work, always question statusquo and continuously keep challenging yourself. I wasn't too

fond of studying during my school days. However, I knew that I hadtalents and preferences that were different from my others and it wasabsolutely fine to be different.

After having completed my Chartered Accountancy, I couldn't findmyself restricted to a desk job. While I started off as an AccountManager in Financial Services. I shifted gears by handling operations

for an IT services start up. Thisthen led to me leveraging mybusiness and financial knowledgeto specialize in HR withCompensation and Benefits,initially. I traversed acrossseveral functions having workedin large IT firms like SatyamComputer Services (Head of HRFrameworks), Infosys (Head HRof Manufacturing andEngineering Services) &TechMahindra (Global Head HR).

Over the years, I was able tobuild substantial expertise inestablishing robust HRframeworks, systems andprocesses in a globalizedenvironment, playing a significantrole in institutionalizing best andnext people practices. Yet, despiteover 18 years in HR, people stillask a question whether I want togo back to Finance. It continuesto baffle people and me! All thisdidn't come easy. I took up everychallenging opportunity thatcame my way, seeking help andsupport whenever I needed itboth from my team as well asothers.

BUSINESS MANAGER JULY 201832

COVER FEATURE - Sucharita Palepu

Breaking Barriers

While there is a hugedebate on whether

there is a glass ceilingand whether

organizations reallyprovide an ecosystem

for women to reachleadership positions, on

the other handsurprisingly, women are

also less optimisticabout their prospects

to get there.

SUCHARITA PALEPUHyderabad

BUSINESS MANAGER JULY 201833

COVER FEATURE - Sucharita Palepu

It took me time to move fromemulating male aggression tobecoming assertive. As women inHR, we have a unique power tolisten with empathy,understanding as well as providea more nurturing approach.Having fashioned my way acrossvarious functions of HR,continuous learning and stayingrelevant has been a majorcontribution to my success.Upgrading ones knowledge andskills on the job or otherwise iscritical especially in today'sVUCA world.

I have always volunteeredmyself for any new initiative orhandling a crisis. That helpedgive me tremendous experienceand recognition. What trulydrives me is a new challenge - tobe given a blank slate and beingable to draw on it.

As a woman (daughter, wifeand mother), I have gone throughthe life-cycle changes and the dayto day conflicts over the rigorsand demands that we all face. It'svery important therefore that thespouse has an equalresponsibility to "share the load".

While there is a huge debateon whether there is a glass ceilingand whether organizations reallyprovide an ecosystem for womento reach leadership positions, onthe other hand surprisingly,women are also less optimisticabout their prospects to get there.They therefore, don't aspire andthose who do also are not reallyconfident to get there. And ofcourse the lack of enough rolemodels also contributes to this.

My Mantra'sDifferentiate yourself -Identify your unique qualitiesand strengths that set youapart.Dream Big - If you don'taspire, you will never reachanywhere.Get out of your comfort zone.

Take risks and learn from your failures.Take up any challenge that comes up your way to give you enrichingexperiences.Don't make excuses that you are a woman to get to where you want tobe.Ensure you are treated as an equal and not different irrespective ofthe situation.Customer orientation is paramount and the ability to convert theirproblems into opportunities is key.Cross functional exposure is essential to be agile in today's dynamicenvironment.Make continuous learning a part of your DNA.YOU are as important as your family. So take care of yourself too. BM

BUSINESS MANAGER JULY 201834

COVER FEATURE - Simin Askari

Shattering the glass

ceiling

No matter how high wego, there will somethingmore to reach for so the

glass ceiling will alwaysbe there.

SIMIN ASKARIVice President- Corporate HR, DS Group, Noida

My journey as an HR professional has been fascinating.I have imbibed new learning from all my workplaces,which in itself have been very diverse and eachexperience has added to my knowledge andapplication of HR practices in a modern, global and

novel context.

I started my career as a sales and business developmentprofessional working in the IT and media sectors. After working for afew years I dwelled into an entrepreneurial venture, which dealt inmanufacturing and exports of leather garments and accessories.Initially I was responsible for backend support and managing buyerrequirements. However, over the years as the business grew, it wasimperative to have a focused approach on the HR function. Myinherent people skills backed with my educational background helpedme slowly transition into a seasoned HR professional. I actively tookover to talent management, handling basic processes such as payrolland compliance management as well as complex issues like employeemotivation and retention.

I ventured in to the corporate world again about ten years ago andwas heading the HR function for a large diversified organization. Theorganization had interests in diverse businesses located at severalinternational and domestic locations. As the head of HR for the group,I worked on developing the HR strategy for each of the businessesincluding designing the HR policies for the new ventures. Myentrepreneurial stint gave me a 360-degree view of the business and Iwas able to view the HR function from a financial and businessperspective, rather than just the prism of the HR function.

Over the years, I have learnt to be flexible and adaptable and toalign high level outputs to operational excellence withoutcompromising on quality and creativity. I still retain a high level of

excitement for my job and keepmyself up to date with HR trendsthat influence corporate decisionmaking.

My biggest learning throughthese years has been that HR as afunction is interdependent onmany variables, which are bothtangible and intangible. Peopleremain at the core of HRthinking, but it has to align withbusiness goals. Then it has towrap itself with resources, talentmanagement, growth, futureplanning, strategic thinking andempowerment. We can hire themost qualified staff but if we donot give them freedom to exercisetheir ideas or suppress them inhierarchy, we will stifle theirindependence. Yet, independencedoes not mean freedom fromresponsibility and to combine allthis with an eye on the big picturefor the long term is the biggestlesson for HR. HR is no longer amere support function! Analyticsand HR reporting are importantaspects of the function that areessential in helping businessesmaintain a healthy bottom line.

BUSINESS MANAGER JULY 201835

COVER FEATURE - Simin Askari

Every function in a globalorganization faces challengesand HR is no different. The keylies in how we manage themand if we can overcome themwith implementable solutions.The first challenge of course isthe co-existence of people ofvaried experience andtechnological skills. Themillennial are far advancedwith their tech expertisewhereas the older professionalsare less familiar with thedigital spectrum but they maybe in a leadership position. Toensure flawless working andteam spirit, matchingexperience with youthfulinnovation becomes central fora modernizing HR function. Asmore and more young peopleenter the work force, keepingthem involved and encouragingthem to bring their newexpertise to the table is a task,which HR needs to handle withfineness.

Many a times people havecommented on my position inthe organization and talked ofthe "glass ceiling" which seemsto be a barrier for women tocross. I have a different view onthe subject. The glass ceiling isa mindset - and it overcomesboth men and women.

What we women need to dois to have our own career goalsand aim to achieve that first.That way each of us shattersour own glass ceiling.Ambition is not a negativeemotion. It gives us focus,commitment and the desire tosucceed. This combined withexcellent people managementskills, empathy, empowermentand professional knowledgewill ensure that the sky aboveus is clear!

I strongly feel that for aworking professionalmaintaining work life balanceis of utmost importance.Work - life balance is all about

logistics and support systems. This is an issue not just for women,but for men too whose spouses have careers of their own. I am amother of two children and I have had a long and fruitful careerand I built it on setting out the right priorities and working onsystems at home to ensure that everything runs smoothly. Ofcourse, there are always obstacles and personal demands on yourtime, but if you have planned ahead, you can pretty much handleeverything. Women professionals tend to let their careers take aback seat. I feel they should have perseverance and commitment tobuilding their own career. There would be many instances in life

where pursuing a career may seem less relevant, but a littleperseverance is all that is required to overcome these difficulties.Women have the capabilities to reach the top echelons in anorganization and nothing should be able to stop them fromattaining that golden position.

As an HR leader my vision is to inspire enthusiasm, belief,commitment and excitement in not just my team, but across thecompany…. to challenge people to outdo themselves. My advice to my employees is to keep an open mind and update themselves withnew learning and knowledge. Remember to enjoy the job and haveinterests outside their expertise. This will keep one mentally agileand in touch with market trends…i.e. always a step ahead!

Many a times people have commented on my position in the organization andtalked of the "glass ceiling" which seems to be a barrier for women to cross. Ihave a different view on the subject. The glass ceiling is a mindset - and itovercomes both men and women.

BM

BUSINESS MANAGER JULY 201836

COVER FEATURE - Aparna Reddy

Leadershipas a lifestyle

choice

Work is a 'Way of Life' forme, and just not an

instrument of livelihood. Irespect my work, my

colleagues and myorganisation and feel

responsible for mysphere of influence.

APARNA REDDYAssociate Director HR, GVK Biosciences, Hyderabad

Challenges are never ending in HR world like OrganizationalChanges, Training & Development, PerformanceManagement, Compensation Management and LegalCompliance. I have adopted Belief, Adaptability, and Driveto excel qualities as a lifestyle choice to overcome them.

I'm in the HR world for the past 15+ years having enrichingexperience across gamut of HR functional areas from recruitment toseparations in both services and manufacturing companies. I bring totable a combination of Leadership, Strategic Planning, Team

Management and HR skills thatcan be leveraged to meet andexceed an organization's HRobjectives. I started as anExecutive HR at a productdevelopment company in 2004primarily focussing onRecruitment and Operations, andsince then there is no lookingback.

I see every single day as alearning and improvementplatform. Being adaptable tochange, taking challengingsituations and coming out withflying colours, acceptingfeedback, sounding aboard withideas and exhibiting confidenceand competence in every activitywhile being grounded was mysuccess mantra. Over the courseof my career span I performedvarying HR roles in mid to largesize organisations.

Based on takeaways from myexperience I strongly feel womenHR professionals should adoptLeadership as a lifestyle choice. Ithelps them build self -confidence, adaptability and

BUSINESS MANAGER JULY 201837

COVER FEATURE - Aparna Reddy

tenacity to handle anysituation(s) both in professionaland personal front. Beingapproachable, go-getter andstanding by my convictions,building interpersonal relationson a humane premise with trust,respect, humour anddependability made me asuccessful women HR leader inthe industry. My awards of beingin the Top 30 Super WomenAchievers Award in 2013 by worldHRD Congress, Top 100 HR superachievers in 2017 by the worldHRD congress, Women ofExcellence Award conferred byIPE, OU in 2017, Circle ofExcellence Award for Made aDifference in Talent Acquisitionby TA Dialogues in 2017 made mea recognised and confident HRand gave more energy to driveexcellence in HR function.

Whatever said and done, weare still living in a maledominated society where womenare always challenged andcompared. I believe that everywomen be in a profession or anentrepreneur or a home-makeralways strive to give more than100% to prove their worth. We gothat extra mile in every situationwith confidence, but forget thatwe are taking stress beyond whatis needed. However, in a fastpaced and competitiveenvironment, especially womenworking in organisations shouldunderstand that we are notrequired to prove right or strongin every situation, especially ifwe believe in the following :

Self-Belief Building self-belief helps us in

build relations, achieve goals andpaves path of our success. Igained this confidence throughconsistently improving myresponse to handling situationsand challenges. Managing goodworking relationships with fellowcolleagues and peer group,bringing them into confidencewill help to sell our point acrossthe table with ease.

Communication One of the most critical

factors for HR to succeed is howthey communicate with internalteam as well as otherstakeholders withinorganization. Communication isall about exchanging

information, brainstorming as a group, delegating responsibilities,setting expectations or alerting others to a problem or issue. I have astrong and powerful voice which is the epitome of women's leadership.My willingness to speak truth, though, it's not aligned with the statusquo or popular opinion, is highly appreciated by my teammates, peers,managers and higher management. By sharing my success stories,thoughts and ideas, I was able to connect with others, inspire to changeand empower them.

Team BuilderGood teams win against all odds, I strongly believe in team work and

always resonates "Our Team and We". Most often we don't' get anopportunity to choose our team members but we can always choose bestteam handling methods that inspire the trust and respect within teamand stimulate production within the workplace. I respect everyone onteam and take pride in projecting collective team work. My managersendorsed me as one who discourages favouritism keeps team spiritabove all. I empower my team with KNOW (Knowledge-Network-Ownership-Wiseness) so that they deliver on or ahead of schedules.

PassionateHappy minds develop happy people. I always had a sense of passion

and purpose attached to my living, I know my life drivers, what movesme and ensures that fire burns brightly inside. I show incredible energy,excitement and enthusiasm that brings cheers at my work place.Passion makes you fearless and move seamlessly to climb the careerladder.

Opportunity drivenWhen confronted with challenges of any magnitude keep an eye to

lookout for opportunities lying beneath. Be it change Management,crisis handling, talent acquisition, learning and development or ideaspertaining to organisation development. I have exhibited creative mindset to find solutions that are supported by strong reasoning, data andconclusions. I possess an extremely optimistic attitude and showcasethis behaviour in business decision making to increase the capacity forleadership. My tendency to look on the positive side of events orconditions helped business to keep a hopeful outlook. With anoptimistic perspective I always strive for most favourable outcomes.

Strategic outlookBecome a strategic partner in organization to contribute significantly

towards business decisions, advise on critical transitions and developthe value of the employees. Bring a multifaceted approach in deliveringHR services that meets the needs of both employees & employers andpositions HR as a significant contributor to organizational success.Improve HR processes thru strategic initiatives such as an employeechampion program which aims to provide HR services thru listeningand responding to employees' needs and agents of change to managechange processes to increase the effectiveness of the organization.

Way forwardWomen has come a long way and still we have a long way to go. I

believe that women representation at senior to top levels is still bleakand skewed. Organisations around the globe and particularly in Indiaare rising to diversity and inclusion as the prime agenda. There arepositive vibes seen in maternity benefits and related areas,representation of women leaders on board which is welcoming andgives greater impetus and open more doors for women acrossmanagement and HR. But it is our belief system and strong will powergraph which should take a steep up in our thoughts to ensure we reachgreater heights. BM

BUSINESS MANAGER JULY 201838

COVER FEATURE - Sunaina Mattoo Khanna

Sitting in a classroom during my MBA days, we would oftenmade to feel that we are going to be future managers and wemust behave, think, act and dress always like the ones. Thatwould often make me dream of a big cabin, a laptop, andmobile in my hand (as mobiles were a recent thing in 1999)

and a big team at my disposal to get my job done. I guess that is howevery MBA is made to feel even now while in college.

After passing out with distinction and as a college topper, I had evenvery high hopes of getting my dream job. Finally, the Placementsstarted and got a placement in one of the brands in beverages and colddrinks based out of Pune. As I had already spent 2 yrs away fromparents in Pune, so they asked me to come back to Delhi as Delhi wouldhave ample job opportunities available. I thought that was a good ideaas I had already started feeling home sick.

Now was the time to apply for job interviews. Every weekend I wouldearmark my dream companies and profiles and during the week, Iwould start sending my resumes. Job portals were not a very popularmedium at that time. I decided to take it easy till the time I find a profilewhich really interests me and a Company where I would have ampleopportunities to grow. It took me around 7 months post MBA to land upat Bajaj Capital. Everything was perfect to my imagination - Good office,superb brand, suitable profile and a very friendly boss. Everything wasso perfect... However success doesn't come easily. I had to literally doclerical work at the beginning including filing, punching of circularsand just screening candidates and not interview them as I was notknowing much about business and culture. We were just 2 of us in HRDepartment because importance of this department was not prevalentat that time and it was seen as a department that would only managepersonnel records and act as a door keeper when a candidate enters orexits the organization. I never thought that any job is big or small butwas also not keen on doing this kind of work where there is no value

add from my side. I had an optionto quit but I decided to hold on atleast to complete one year andthen move on. These clerical jobsincreased my learning aboutCompany, its business, people andpolicies which I would haveotherwise taken months. Whilescreening candidates, I quietlystarted telephonic interviewsbefore passing them on to myboss and she would further getthe candidates interviewed byBOD. After few months, BOD sawa significant increase in thequality of candidates and askedmy boss about what she wasdoing differently now. My bossenquired about how I wasscreening the candidates. It isthen when I confessed that it wasnot mere CV Scanning that I wasdoing but also interviewingcandidates over the phone. That'show my value add in each area ofHR got visible by BOD andpromoters.

10 months into the job. Now Iwas little better off as I have beengiven some free hand to executethings the way I wanted to. Onemorning I got information that

Never give up!

I never felt any discriminationas far as gender biases or

preferences is concerned butyes I had to face lot of struggle

while dealing with moreexperienced and seasonedBusiness/ Functional leaders

who would be 15-20 yrs seniorto me. Making them adhere toHR Processes and policies was

a challenge but with thecomplete backing of BOD

and CEO, we managed thischallenge very well.

SUNAINA MATTOO KHANNACPO and Head -Transformation Bajaj Capital Ltd., New Delhi

BUSINESS MANAGER JULY 201839

COVER FEATURE - Sunaina Mattoo Khanna

my boss had met with an accidentwhile coming to office and wasseverely injured. She was advisedbed rest for 3 months before shecould join back. The next dayCEO called me and said that nowthat you have to manage the showfor next 3 months, do let me knowif you need any help andproactively allocated oneresource under me. It was likepushing a non-swimmer into aswimming pool and asks her tolearn swimming.

I decided to revamp the entireoperations and also build onpeople policies as I strongly feltthat these were not at par withbest market practice. Myreporting Manager who was CEOand promoters saw this urge inme and extended full support.They would themselves spendample time on these agendas andhelp me close on lot of areas likeRewards & Recognitionprogrammes, automation of HROps, using technology whilehiring and performancemanagement system. In themeantime my boss didn't joinback and decided to take a breakin her career. It is then when

Management decided to let me take a lead in driving people agenda inBajaj Capital. 7 years of constant work around HR and people got us thefirst accolade in the year 2008 where we got ranked as one of the top 25great places to work in India by GPTW Inc. and we got the recognitionconsecutively for 4 years. Even this year we got certified as Great Placesto work. Since then there was no looking back.

I never felt any discrimination as far as gender biases or preferencesis concerned but yes I had to face lot of struggle while dealing with moreexperienced and seasoned Business/Functional leaders who would be15-20 yrs senior to me. Making them adhere to HR Processes and policieswas a challenge but with the complete backing of BOD and CEO, wemanaged this challenge very well.

Being a female worker has its own challenges in terms ofmaintaining work life balance especially when you are also a mother ofa toddler who would not understand why his mother leaves him for theentire day and why she is not around when he needs her. This at timeshas led to lot of stress but with ''Never Give Up'' attitude and with thesupport of my Colleagues and team, I am taking up exciting newprojects and managing well with the best of my capabilities.Especially with the changing role of HR now a days, it is reallyexciting to see that people policies are driving businesses across.Hence role of an HR person is equally or more important than anyother function.

1. My advice to freshers would be that don't join a Company unless itmeets your criteria and don't take up a profile unless you are reallyinterested or passionate about it. No stop gap arrangements please.

2. Being less experienced shouldn't stop you from taking up challengingprojects; you can equally do better if you are giving it your 100%.

3. Never give up. Whatever happens, it happens for betterment. Everysmall or big task has some learning in it. Don't try to find faults inthe system rather improve system within you.

Being a female worker has its own challenges in terms of maintaining work lifebalance especially when you are also a mother of a toddler who would notunderstand why his mother leaves him for the entire day and why she is notaround when he needs her.

BM

BUSINESS MANAGER JULY 201840

COVER FEATURE - Nita Baluni

Organisational Culture and Values are the backbone of everybusiness and keeping a straight spine is more critical thanstriving for success. To add on the employees are the heartand brain and by keeping the heart pumping and the brainbeing utilised any organisation can do wonders.

With this belief, as human resources professionals, the duty ofbuilding a strong culture is my prime responsibility. It is of paramountimportance to deliver to every individual's expectations as a brand. Thisnot only delivers the brand promise but also brings out the best in eachindividual. The core purpose for me was very clear since the beginningof my journey, the culture and the values!

Culture and values are an integral part of my life, both personallyand professionally. Born and raised in New Delhi, an alumina of XLRI,Jamshedpur, I started my journey about 3 decades ago and have beenfortunate to work with best of the hospitality brands, namely, Hyatt,InterContinental, Carlson, Oberoi's, currently proud to be associatedwith InterContinental Hotels Group (IHG) for over 8 years. With mycurrent assignment as an Area Director Human Resources, N&W, SouthWest Asia, I get to travel a lot. Based out of Crowne Plaza Greater Noida,398 keys, upscale hotel, hospitality is now in my DNA and is totallypassionate about hotels and hospitality business, despite the long workhours and assignments of very dynamic nature.

Why are Culture and Values important to any organisation?

Attracts right talentA great work culture and value system will not only help in retaining

the workforce but will alsohelp in attracting the righttalent. A happy employeebecomes the brandambassador of theorganisation, because intoday's world, everyone islooking for happiness in theirjobs.

Builds TrustIn a family, every memberreaches out for each other.Whether it be helping themtraining or be it extendingsupport in the hour of need.Trust is built by :

Being authenticSharing informationInvolve in decision makingEnsure that we deliver onthe promises made to ourcolleaguesHave honest conversation

This helps in instillingconfidence in each other. IHGfocuses on Colleagueengagement and every hotel

Dedicated towardsbuilding a strong

value system

I started my journeythree decades ago. I getto travel a lot. Based outof Crowne Plaza GreaterNoida, 398 keys, upscalehotel, hospitality is now in

my DNA and is totallypassionate about hotelsand hospitality business,

despite the long workhours and assignments of

very dynamic nature.

NITA BALUNIArea Director Human Resources, North & West SWA, Director Human Resources, Crowne Plaza, Greater Noida

BUSINESS MANAGER JULY 201841

COVER FEATURE - Nita Baluni

drives this value to the fullest,thus bringing in thecamaraderie, trust and fun.

Helps in retentionRetention of talent hasbecome the need of the hour. Adis-satisfied colleague will bethe first one to look for anopportunity outside yourorganisation. And this iswhere culture and values stepsin as the guiding principle forall. The happiness of acolleague portrays the beliefin his/her organisation. Withthis continuous endeavour tolive up the colleagueexpectation, we at IHG, arestriving towards reducing ourattrition rate by 2%.

How to create astrong culture andvalue system?

Having a purposeThe core purpose of IHG is tobe # 1 for the colleagues, guestand owners. The core purposeis the "What" which can beachieved by the "How", createsthe wining culture. From theGeneral Manager to thecolleagues, we all have ourwinning ways commitmentand we all live the winningways, which are our 5 corevalues,

Do the right thing,Show we care,Aim higher,Celebrate difference and Work collaboratively.

For this culture to besuccessful, all colleaguesshould believe in the same setof values. These commonvalues need to be documentedand displayed at all common

areas. These values will help in - keeping our promises,treating colleagues as individuals,aiming higher as a team and as an individual,welcoming different perspectives, respect difference, and developing excellent working relationships amongst allcolleagues.

RecognitionAs an organisation it is important to recognise your colleagues forwhat they bring to work every day. A small recognition could bring abig change for an individual. We have a concept of winning waysWednesday, where colleagues are thanked and recognised for job welldone during the week, week after week, 365 days in year. Having adefined day or event for recognising the colleagues for their hardwork will have a great impact on the happiness metre of yourorganisation.

Celebrating the differenceIt is important for any organisation to have an open arm to all. Anorganisation should welcome different perspectives and encourage aculture of ideation, being respectful of all cultures and look to learnfrom them. As an organisation, we need to play a proactive role in thecommunity development and contribute towards it in every waypossible.We at IHG engage differently abled colleagues at both guest facingroles and back end roles and personally I am very attached to eachone of them at my hotel and feel gratified by imparting skills to themand thus assisting them in earning a livelihood and bringinghappiness to their family.We have kept a donation box at the employee entrance wherecolleagues drop in their used clothes, shoes, books, stationery andtoys, which we in return donate to NGO's.

Live your passionFor most of us, our passion has been side - lined. But, in order tocreate the best culture, it is imperative for an organisation to makesure that the colleagues have enough time and space to follow theirpassions along with work. It helps an individual to unfold and relax,which helps them bring new ideas to work. IHG, believes that if youbring the same passion to work, then work is no longer work.

Room to growCreating an environment for learning and growth, comes naturallyat IHG, being an international organisation. Now we host virtualcareer fairs and offer ample opportunities for our colleagues to applywithin SWA and overseas.

Bringing in the culture to work place enhances the abilities of allcolleagues who strive for a perfect balance. For me, creating a strongculture will always remain a top priority!

"Happy colleagues are and will always remain the real ambassadorsof any organisation!"

Retention of talent has become the need of the hour. A dis-satisfied colleague will bethe first one to look for an opportunity outside your organisation. And this is whereculture and values steps in as the guiding principle for all. The happiness of acolleague portrays the belief in his/her organisation. With this continuous endeavourto live up the colleague expectation, we at IHG, are striving towards reducing ourattrition rate by 2%.

BM

BUSINESS MANAGER JULY 201842

ALARMING NEED FOR BALANCE BETWEEN EMPLOYMENT AND GDP - SUDHIR DHAR

The association between employment and economic growth isone of the most contested issues in national strategies. Thegeneral understanding is that employment rate should beproportional to growth in GDP. Economic growth shouldideally emerge from a suitable combination of productivity

growth and employment growth. Creating jobs and incomes is crucialfor development and thereby the GDP. Most developing countries tusslewith high underemployment or unemployment. Many people can barelylive from what they earn. This is why creating new jobs, improvingincomes and working conditions for existing jobs, together, isimmensely important.

Employment is quite unstructured in India given the fact that a largepart of the workforce is in the unorganized sector where it gets blurred.The importance of employment is very well established in the westernworld. Real GDP and employment move in line with each other in mostmature economies. However, data for the past quarter of the century, itis found that employment and GDP ratio share a robust inverserelationship in the Indian economy.

The virtuous/vicious cycle of employment is thus broken in Indianeconomy. Employment grows faster during a slowdown and it growsslowly during the boom period. One of the explanations for suchunconventional relationship could be opportunistic behaviour ofemployers, as employees lose their bargaining power duringslowdowns, employers hire more at lower cost. On the contrary, as theeconomy recovers, the employers try to retain their employees insteadof hiring new resource, since income rather than employment decides

consumption. GDP growth sharesan inverse correlation with theemployment.

Following questions arise inmind when such a situationperpetuates -

1. The increasing pace ofrecruitments across sectors, is itreally required?

2. What really matters? HiringOR Retention?

The above representationconfirms that thumb rule ofhigher GDP growth required toboost employment doesn't hold incase of Indian economy. It alsoconfirms that higheremployment is not necessary tohigher GDP growth. One of thekey reasons why employmentmay have become irrelevantduring the past decade or so is thesharp fall in the labour forceparticipation ratio (LFPR). As aresult, even lower employment

Sudhir Dhar, Director & Head HR, Motilal Oswal Financial Services Ltd., Mumbai

Alarming need for balancebetween employment and GDP

The general understanding is that employment rate should be proportional togrowth in GDP. Economic growth should ideally emerge from a suitable combinationof productivity growth and employment growth. Established economic theory hasfailed in the context of Indian economy. The thumb rule of 'higher GDP leads tohigher employment' doesn't follow in India. Alternatively, high GDP growth issustained without high employment growth. Soon, employment may get its dueshare in the future.

BUSINESS MANAGER JULY 201843

ALARMING NEED FOR BALANCE BETWEEN EMPLOYMENT AND GDP - SUDHIR DHAR

growth failed to increase theunemployment rate, which is thekey. The future, however, could bedifferent. Most of the factorsresponsible for the lower LFPR(almost entirely due to ruralfemales) such as educationenrolment, higher householdincome, buoyant nonfarmeconomy, etc., are at least partlyreversing. Hence, the ruralfemale population may soonbegin entering the labour force,creating a U-shaped recovery inthe LFPR.

Almost half of India'sworking-age population is noteven looking for jobs. India'slabour force (as % of population)has fallen from its peak of 60% in2005 to 53% on 2015, among thelowest in the G-20 economies.Although the headlineunemployment rate is sub-4%,the unemployment rate amongthe youth (aged 18-29 years) wasas high as 13.2% and stood at 35%among the educated (graduate &above) youth.

On other hand, employment situation has not influenced the resultsof general elections in India since liberalisation. The change inunemployment rate also appears insignificant in terms of the results ofthe general elections. However, during the past three elections,employment growth and unemployment rate have unconventionallymoved in similar directions. During all the past three elections, India'sunemployment rate appears to have been more important for thegeneral elections than the country's employment growth.

The estimate of jobs requirement will thus depend upon the rise inLFPR. Recruitment will no longer be in the hands of the employer.Looking at the base case scenario, our economy would require 10.2million jobs per annum until 2030 however only 9.1 million jobs could beprovided which gives a deficit of about million jobs per annum. If so,the unemployment rate will surge from 3.5% currently to 5.9 by 2030.This will make the labour market more relevant for India's economicand political landscape for the future.

It is imperative to conclude that established economic theory hasfailed in the context of Indian economy. The thumb rule of 'higher GDPleads to higher employment' doesn't follow in India. Alternatively, highGDP growth is sustained without high employment growth. Soon,employment may get its due share in the future.

Reference - http://institution.motilaloswal.com/emailer/Research/ECO-THEMATIC-EMPLOYEMENT-20180110-MOSL-SU-PG078.pdf

BM

Almost half ofIndia's working-age

population is noteven looking for jobs.

India's labour force(as % of population)

has fallen from itspeak of 60% in

2005 to 53% on2015, among the

lowest in the G-20economies.

BUSINESS MANAGER JULY 201844

LABOUR PROBLEMS & SOLUTONS

Anil Kaushik Management Expert -HR & IR

LINE

Solutions provided here are in context to narrated facts & not in general.

Gainful employment includes either self employment or income from agriculturalpursuits.

Q. When Labour Court grants back-wages, the question of gainfulemployment is also considered. How we can justify that the personis employed gainfully to avoid back-wages?

Ans. First of all, it is now settled law that back-wages is neitherautomatic nor the rule, when reinstatement is granted. It isdiscretionary and has to be dealt by the court in accordance with factsand circumstances of each case. It has so been held by Supreme Courtin the case of Ram Ashrey Singh vs. Ram Bux Singh 2003 LLR 415.

It is for the employer to adduce the evidence that the empolyee wasgainfully employed during intervening period. Gujarat High Court inthe case of Veterinary Officer vs. Rajendra Singh R. Jhala 1997 II CLR986 has held that if there is no evidence led by the employer aboutGainful employment of the employee, grant of back-wages is normalconsequence.

Supreme Court in the case of Uttar Pradesh State BrasswareCorporation Ltd. vs. Udai Narain Pandey 2006 LLR 214 and in the caseof Uttar Pradesh State Road Transport Corporation Ltd. vs. SaradaPrasad Mishra 2006 LLR 586 has held that no precise formula can belaid down for payment of entire back-wages and being a discretionarypower no straight jacket formula can be evolved for universalapplication.

Supreme Court in the case of North East Karnataka Road TransportCorporation vs. M. Nagangouda 2007 (112) FLR 887; 2007 LLR 340 hasheld that gainful employment during the intervening period willinclude either self employment or earning from agricultural pursuitsbecause income either from employment in any establishment or fromself employment merely differentiates the source from which incomeis genreated but the end use is same.

Q. Can a Junior Officer to the appoining authority sign thedismissal letter of the employee and would it be legal?

Ans. Normally it would not be legal. It all depends on the powersdelegated by the board of the company to the person concerned,who signs such letters. Punjab and Haryana High Court in the caseof Bank ofIndia vs. Central Government Industrial Tribunal 1991LLR 497 has held that such termination signed by subordinateOfficer to appointing authority would be null and void. Because byage old recognised relationship of master and servent it hasbecome and integral part of service jurisprudence that anauthority subordinate to the appointing authority cannotterminate the services of the employee.

Q. Can we terminate anemployee who has mis-represented at the time ofinterview by mentioning thathe was having experience buton verfication it was foundthat he did not have anyexperience?

Ans. Yes! You can terminatethe services of such employeewho has obtained theemployment by mis-representing the facts.Supreme Court in the case ofKendriya Vidyalaya Sangathanvs. Ram Ratan Yadav 2003 LLR433; 2003 (97) FLR 117 has heldthat the termination of ateacher who gave falsedeclaration about hisinvolvement in criminal caseshas been held to be valid.

Allahabad High Court in thecase of Abhishek Chaturvedivs. Union of India 2017 LLR 816has also held dismissaljustified for obtainingemployment by mis-representing the educationalqualification. Karnataka HighCourt in the case of Shri PuttaNanjaraje Urs vs. TheManagement of KSRTC 2017LLR 844 has also held in thesame direction where employeewas found guilty of obtainingappointment on the basis offake and forged educationalcertificate.

Such actions of an employeeamounts to cheating andbreach of trust and also causesloss of confidence. Delhi HighCourt in the case of SubhashChander vs. P.O. Labour Court

independent statutory provisions, with requirements under anyother laws not impacting these, which mean provisions of thePayment of Gratuity Act will not limit the functioning of theIndustrial Employment (S.O.) Act.

In sum, workers hired under fixed-term contracts will be entitledfor gratuity from employers whenever their contract ends, even ifthey have not completed five years of continuous service.

Whereas the permanent workers are not entitled to gratuity underthe Payment of Gratuity Act unless they complete minimum fiveyears of service to become eligible for gratuity.

In another benefit to workers, the government has said anemployer will not be allowed to "convert the posts of thepermanent workmen existing in his industrial establishment" asfixed-term employment after notification of the new rules.

The amendment will aid the industry to employ workers in sectorswhich are of seasonal nature and witness fluctuation of demandand hence requires flexibility in employing worker. Beforeextending the facility of employing workers on fixed term to allsectors, it was initially introduced in apparel manufacturingsector in industrial employment (S.O.) Act in October 2016.

Accordingly in Uttar Pradesh, unless this amendment done by theCentral Government in Industrial Employment (S.O.) Rules, isadopted and proper amendments are made in U.P. State IndustrialEmployment (S.O.) Rules, this amendment will not impactemployment relations in your State because labour is a statesubject and state has to amend their respective rules in the state.

Q. Our factory is situated in a area where ESI Act is notapplicable. In such situation, when we want the employer tobe covered under ESI, will a workman get compensation fromthe employer if the establishment of the employer is notcovered under the E.S.I. Act?

Ans. Yes! Since your establishment is not covered under ESI, youare liable to pay compensation as per provisions of Employees’Compensation Act to a workman receiving injuries arising out ofand during the course of employment. It does not depend on yourwish to get your factory covered under ESI Act. Unless there is anotification issued by the Govt. to make the Act applicable in yourarea, you will be covered under E.C. Act.

It is suggested that you should take up a insurance policy for E.C.In case of compensation you will be indemnified by the insurancecompany. This system is popularly known as group InsuranceScheme and the amount of annual premium is also veryreasonable. Some of the newly set up Insurance Companies havealso started such type of insurance policies.

Now as per latest amendment in the E.C. Act you are also underlegal obligation to make your all employees aware in writing abouttheir rights of compensation benefits available to them. BM

BUSINESS MANAGER JULY 201845

LABOUR PROBLEMS & SOLUTONS

Unless the amendment of fixed term employment category is also adopted/carried out by

states in their respective state (S.O.) rules, alongwith standing orders of the establishment,

it cannot be implemented in the industry.

2013 LLR 566 has also held thatcheating and breach of trustwould justify dismissal.

Q. Recently CentralGovernment has included thecategory of fixed termemployment in central rulesof Industrial Employment(S.O.) Act. Our industry is inUttar Pradesh. How it isgoing to impact us?

Ans. The central Govt. hasincluded a new category ofworkman" Fixed termemployment" by amending theIndustrial employment (S.O.)Rules 1946. The notificationhas been issued on 16. 03.2018.

Unless your state governmentalso carry such amendment inyour state standing orderrules, it is not going to impactyou. At present the impact ofthis amendment is for theindustries covered undercentral rules and also suchindustries must have suchcategory in their certifiedstanding orders that theemployer can appoint a personfor a fixed period on contractand after expiry of thecontract, he will not be entitledto notice pay or compensation.It will be covered under sec.2(oo) (bb) of I.D. Act.

Such fixed term workman'shours of work, wages,allowances and other benefitsshall not be less than that of apermanent workman; and (b)he shall be eligible for allstatutory benefits available toa permanent workmanproportionately according tothe period of service rendered.

The provisions under theIndustrial Employment(Standing Orders) Act of 1946,under which the rules havebeen amended to allow fixed-term contracts, are

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RECENT IMPORTANT LABOUR JUDGMENTS

AbandonmentWhen labour inspector indicates in his report/proceedingsthat workman himself absented from duty andmanagement was ready to take him, abandonment ispresumed.

Report of Labour Inspector that workman himself absentedfrom duty and did not resume duty despite offer given by theManagement is a material evidence to prove intention of theworkman that he had abandoned the job on his own accord.

When an employer indicates to the employee that his servicesare no more required, it is said 'termination of services of theemployee.

Intention not to continue working for the employer by theemployee is to be presumed from the conduct of the employeesince;

(i) intention or aminus to abandon is necessary since qua non,for any case of 'abandonment' to be said to exist and in theabsence of intention, there is no abandonment;

(ii) intention to abandon exists or not is to be determined on thebasis of facts in each case;

(iii) termination or removal is a positive act of the employerwhereas abandonment is a positive act of the employee;

(iv) any evidence, to indicate that the employee or workmandesired to join duty but was prevented from doing so, would byitself, militate against any presumption of "abandonment'.

If the workman had neither made any representation to themanagement pointing out that he is not being provided dutywhile he reported for duty nor made any complaint to theLabour Authority or Police or approached the Union for anyhelp nor he adhere to the offer of the Management before the

Labour Authority by reporting for duty, are sufficient to provethat he had no intention to resume duty.

Termination is not an expression of art but merely aconstriction of the expression "determination" of employer-employee relationship, whether it takes place because of any actof the employer in terminating the relationship or the act of theemployee in choosing not to attend work.

Industrial Adjudicator is not free to enlarge the scope of thedispute referred to it but must confine its attention to the pointsspecifically mentioned and anything which is incidental thereto.

Something incidental to a dispute must mean somethinghappening as a result of or in connection with the dispute orassociated with the dispute.

Dispute, as referred, is the fundamental thing while somethingincidental thereto is an adjunct to it which cannot cut at the rootof the main thing to which it is an adjunct as held by SupremeCourt in the case of 'Delhi Cloth and General Mills Co. Ltd. vs.Workmen, AIR 1967 SC 469.

Writ Court under Article 227 of the Constitution of India doesnot sit in appeal over the decision of the Industrial Adjudicatorbut interfere therewith only where the findings of IndustrialAdjudicator are perverse or suffer from some manifest error oflaw or fact.

Dev Narayan vs. The Mgmt. of M/s. Auto Precision. 2018 LLR 628(Delhi H.C.)

CompensationIt will be appropriate to allow employer and employee tosettle the dispute amicably even after passing the award ofreinstatement with 50% back-wages.

When an award in industrial dispute was passed directing the

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RECENT IMPORTANT LABOUR JUDGMENTS

management to reinstate the workman with 50% back-wagesand the parties have agreed to settle the matter amicably on anamount of Rs. 13.00 lacs in addition to gratuity which works outto be Rs. 75,000, it is appropriate that the parties may bepermitted to settle the matter, wherein the Management wouldpay a lumpsum compensation of Rs. 13.50 lacs includinggratuity to which the workman has agreed in addition topensionary benefits to be considered by the management onrepresentation of the workman, is appropriate in view oflengthy litigation.

Mysore Cement Ltd. vs. All India Trade Union Congress,Karnataka Rajya Samithi. 2018 LLR 609 (Kar. H.C.)

Compensation in place of reinstatement would be propereven in case illegal termination.

Non- compliance of provisions of Section 25-F of the IndustrialDisputes Act, 1947 while effecting termination of services of aworkman, would attract reinstatement with or without backwages or compensation in lieu thereof.

Termination of service of a workman without compliance ofprovisions of applicable statutory laws including Section 25-F ofthe Industrial Disputes Act, 1947, is illegal.

When termination is in violation of statutory provisions of theAct, lumpsum compensation in lieu of reinstatement could begranted.Bhanwar Singh vs. Presiding Officer and Another. 2018 LLR 623(P&H H.C.)

Contract LabourDocumentary evidence on the record that workmen wereperforming work of permanent nature since long underthe direct supervision and control of the principalemployer justifies the regularization as regular employeesof the principal employer.

If it is proved that the workers have been performing the job ofpermanent nature since long under the administrative controlof the principal employer, they would be treated as regularemployees of the principal employer, entitled to get wages andother benefits which the regular employees of the principalemployer have been paid by the principal employer, irrespectiveof the fact that such employees are paid wages and otherfinancial benefits by the contractor.

When the averments made by the workman are not denied inspecific terms, the same would be treated as undisputed facts i.e.admission by the employer.

Administrative control of the principal employer over theemployees of the contractor is assessable on the basis of factsinvolved in performing the job.

Facts like that the establishment of the Management works for24 hour in shifts justifying necessity of a canteen in the premisesof the appellant, Rules of Society (Contractor) for running thecanteen are approved by the Chairman of the appellant(management), only workers of the appellant-Trust are eligibleto become member of the Society and not others, only a nomineeof the appellant-Trust can act as Chairman of the Society, porttrust has a right to audit the account of the Canteen, electricityand water are supplied free of cost by the appellant, thePresident and members of the Society are nominated by theRegistrar only in consultation with the Chairman of theappellant-Trust, Appellant provides cost of staff, maintenance ofbuilding of the Canteen, canteen is specifically intended only forthe workers, Executive Engineer of the appellant has beennominated as President of the canteen to control all affairs ofthe canteen, financial matters are controlled by the FinancialAdviser of the appellant. Policy matters are controlled by thePresident of the appellant, prove that the principal employer hasbeen having administrative control over the canteen workers.

Chennai Port Trust vs. The Chennai Port Trust Industrial

Employees' Canteen Workers Welfare Association and Ors. 2018LLR 612 (S.C.)

The order of the government to not prohibit theemployment of contract labour will not be illegal andarbitrary when neither the union nor the workmanappeared before the sub-committee despite notice served.

Since the sub-committee examined the justification of contractlabour by interacting with the contract labours because despitenotice served upon the Union leaders and Management, noneappeared before the Sub-Committee for clarification, thedecision taken by the Sub-committee cannot be stated to beagainst the principles of natural justice.

Natural justice is no unruly horse, no lurking land mind nor ajudicial cure-all.

When fairness is shown by the decision-maker to the manproceeded against, the form, features and fundamentals of suchessential processual propriety being conditions of the facts andcircumstances of each situation, no breach of natural justicecan be complained of.

Unnatural expansion of natural justice, without reference to theadministrative realities and other factors, can be exasperating.

Jogendra Sabar vs. Union of India & Others. 2018 LLR 638 (Orissa H.C.)

Disciplinary ProceedingsDepartment enquiry and criminal proceedings both areheld on different footings.

Acquittal in criminal case due to failure on the part of theprosecution to produce witnesses or becoming hostile by theprosecution witnesses, the accuse may be acquitted on account oflack of evidence.

Standard of proof in criminal case is 'strict proof of evidence'whereas in departmental inquiry the standard proof ispreponderance of probabilities.

Mohan Kumar Singh vs. Chief Manager (HRD) Central Bank ofIndia. 2018 LLR 595 (Pat. H.C.)

DismissalCharged employee is not entitled to reinstatement orgetting waived off the quantum of punishment imposedupon him on the basis of departmental enquiry simply onthe ground of his acquittal from criminal case on accountof evidence.

Mohan Kumar Singh vs. Chief Manager (HRD) Central Bank ofIndia. 2018 LLR 595 (Pat. H.C.)

Employees’Compensation ActIt is for the insurance company to establish against whatclaimant has established for compensation. Failure to doso, insurance company is liable to pay what has beenawarded.

In terms of provisions of Evidence Act, the initial onus isalways on the plaintiff and if he discharges that onus and makesout a case which entitles him to a relief, the onus shifts to thedefendant to prove those circumstances, if any, which woulddisentitle the plaintiff to the same.

Once the plaintiff has been able to create a high degree ofprobability so as to shift the onus on the defendant, it is for thedefendant to discharge his onus on the defendant, it is for thedefendant to discharge his onus and in the absence thereof theburden of proof lying on the plaintiff shall stand proved.

Shriram General Insurance Co. Ltd. vs. Rustam and Another. 2018LLR 584 (All. H.C.)

Claimant is entitled to amend the typographical error in

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RECENT IMPORTANT LABOUR JUDGMENTS

the claim and passing of award rejecting the claim is liableto be set aside.

When a claim has been rejectd only on ground of atypographical/clerical error regarding date of accident as01.07.2009 instead of actual date of accident as 30.06.2009, theclaimant be allowed to amend the claim.

Since the Employees' Compensation Act is a liberal piece oflegislation, Employees' Compensation Commissioner ought tohave taken a more pragmatic view and practical approach andshould have permitted the claimant to carry out necessaryamendment in the claim application in respect of date ofaccident.

Smt. Patang Bai and Others vs. C.G. Forest DevelopmentCorporation and Others. 2018 LLR 588 (Cal. H.C.)

Proceedings of claim under the Act before thecommissioner is of summary in nature, so strict rules ofpleadings or evidence or not required to be followed.

Strict rules of Evidence Act are not applicable in the claim caseunder Employees' Compensation Act, 1923, since theproceedings in such a case is summary in nature.

Employees' Compensation Commissioner is not required torecord the deposition of vital witness like a doctor.

When the procedure for receiving document is prescribed inRule 21 of the Employees' Compensation Rules, 1924, the samecannot be permitted to be flouted so as to render the same asotiose.

New India Assurance Co. Ltd. vs. Shaher Ali and Others. 2018 LLR598 (Gau. H.C.)

Be it supervisor or otherwise, every employee who isemployed with the employer is covered under the E. C. Act.

As per clauses (xviii) and (xxix) of Schedule II of Section 2(1)(dd) of the Employees' Compensation Act, there is no distinctionin the persons who are employed on the estate, whether they bein the category of supervisory or otherwise whereas the Actmarely says that it will include every employee who is employedon the estate into different classes as supervisory cadre, who isemployed on the estate for certain specified purpose.

The Field Officer, an employee drowned in the pond situated at adistance of 600 meters from the main office building butconcededly within the perimeter of the estate itself whichproves that the decessed drowned and died while he was on duty.

When court below has considered meticulously, adverting to therelevant factual factors and documentary evidence on record,Appellate Court under Section 30 of the Act, would not bejustified in considering the issues relating to facts speciallywhen the appellant did not adduce any contrary evidence withrespect of factual factors before the court below.

Kerala Forest Development Corporation Ltd. vs. Mohan. 2018 LLR604 (Ker. H.C.)

Employer-Employee RelationshipWhen salary, PF,ESI contributions in respect of workmenwere paid by the contractor who supplied them to theprincipal employer for providing services, there would beno employer- employee relationship between suchworkmen and principal employer.

There would be absence of existence of employer-employeerelationship if the workmen were appointed by the contractor,their salary, PF, ESI and other dues were paid by the contractor.

A disute between the parties is barred by the principle of resjudicate since the order dated 21.04.2006 was passed by theTribunal on merits after hearing the parties which was neverchallenged and the same has attained finality.

Though no period of limitation is prescribed for raising anindustrial dispute but there is no rule of universal application

for condonation of delay.

Sh. Ashwani Kumar and Ors. vs. M/s. Institute of HotelManagement, Catring and Nutrition, Pusa and Anr. 2018 LLR 618(Delhi H.C.)

Employees’Provident FundChallenge to an interim order, in normal course, only inwrit petition is not maintainable.

Decision of appeal under the Employees' Provident Funds andMiscellaneous Provisions Act, 1952, on merits of the case is thefunction of the EPF Appellate Tribunal and not of the WritCourt.

Once the Tribunal has exercised its discretion giving reasonsthereto, interference by the writ court is not proper.

M/s. Vibhor Marketing (P) Ltd. vs. Assistant Provident FundCommissioner. 2018 LLR 643 (Delhi H.C.)

EPF authority cannot withhold the money of the employeedeposited in EPF by adopting negligent approach.

Withholding the hard earned money of the employee by takingcasual and whimsical approach, on the party of the EPFAuthorities is not justified at all.

The EPF Authority is to release the amount due to the employeeat the earliest as and when such requisition is received from theemployee, as per provisions of the Act.

Sh. Ramesh Chander Pandey vs. Employees Provident FundOrganisation. 2018 LLR 645 (Delhi H.C.)

Without waiting for outcome of the 7-A inquiryproceedings, writ is not maintainable. EPF Authority isempowered to decide the disputes regarding applicabilityof the Act.

Appeal or writ petition is not maintainable against the noticeissued by the EPF Authority for joining the inquiry underSection 7-A of the Employees' Provident Funds andMiscellaneous Provisions Act, 1952 for deciding coverage of theestablishment under the Act since the EPF Authority underSection 7-A is empowered to decide the dispute regardingapplicability of the Act to an establishment.

When the alternative effective remedy is available to get thedispute resolved, writ jurisdiction of the High Court cannot beinvoked.

Mohit Industries, Akola vs. Asstt. Provident Fund Commissioner,Akola. 2018 LLR 646 (Delhi H.C.)

While challenging the orders of damages in appeal beforeTribunal, pre deposit is not necessary.

When the order impugned before the Tribunal was not undersection 7A of the EPF Act but under sections 14B and 7-Q of theEPF Act and therefore the question of pre-deposit as mentionedin section 7-O of the EPF Act does not arise. It is section 7-O ofthe EPF Act which puts an embargo on the entertainment of theappeal by the Tribunal by requiring 75% of the amount due asdetermined under section 7A of the EPF Act to be deposited,with a power vested in the Tribunal to waiver or to reduce suchamount to be deposited. This embargo to entertain the appeal isnot attracted in the present case as the order impugned beforethe Tribunal was under sections 14B and 7Q of the EPF Act.

The impugned order is not passed under section 7-of the EPFAct by the Tribunal. It is a conditional order of stay of impugnedorder before the Tribunal which the Tribunal was empowered topass. Therefore, I do nto find any merit in the writ petition.

Ascot Hotels and Resorts Pvt. Ltd. vs. Assistant Provident FundCommissioner. 2018 LLR 648 (Delhi H.C.)

Employer cannot dispute or challenge the number ofemployees mentioned by the Enforcement Officer at laterstage if not challenged initially.

The report of Enforcement officer containing number of

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employees, if not challenged at the very initial stage, it cannotbe challenged later on in writ petition regarding number ofemployees, nature of such employees and wages paid to them.

Information regarding number of employees is within thespecial knowledge of the employer-petitioner, hence onus lies onthe petitioner to disclose the same.

Sylee Tea Estate Ltd. vs. Regional Provident Fund Commissioner-I, Jalpaiguri and Other. 2018 LLR 650 (Cal. H.C.)

Once exemption is granted under EPF Act to theestablishment, the same does not terminate automaticallyif the benefits under the establishments' own schemebecome less fovourable.

It is trite that any observation made during the course ofreasoning in a judgement should not be read divorced from thecontext in which it was used.

Writ Court is not required to give reply to the terms of referenceand the Single Judgte is free to grant relief to petitioners on thebasis of independent finding.

Caledonian Jute and Industries Ltd. and Another vs. Union ofIndia and Others. 2018 LLR 652 (Cal. H.C.)

Teachers, Clerks and Class-IV staff of the School is entitledto the benefit of Contributory Provident Fund according toexistence Rules.

The School is entitled to get benefit of Clause (b) of sub-section(1) of Section 16 of the Employees' Provident Funds andMiscellaneous Provisions Act, 1952 because the establishmentwas under the control of State Government and the employeeswere entitled to the benefit of Contributory Provident Fundunder the Rules of 1983 framed by the State Government.

Regional Provident Fund Commissioner and Others. vs.Uttarpara Children's Own Home High School and Others. 2018LLR 655 (Cal. H.C.)

An employer having not paid EPF dues in time due tofinancial crisis may be considered for making payment ininstalments keeping in view the facts and circumstances ofthe case thereby deferring the coercive steps to be taken bythe EPF Authority.

Dr. Somervell Memorial C.S.I. Medical College vs. EmployeesProvident Fund Organization and Others. 2018 LLR 657 (Ker. H.C.)

Writ petition is maintainable against the order of the EPFAuthority, irrespective of availability of alternativeremedy when the regular presiding officer of the EPFAppellate Tribunal is not available.

Palakkad District Co-Op. Hospital and Research Centre Ltd. andAnother vs. Employees Provident Fund Organization and Others.2018 LLR 658 (Ker. H.C.)

A pensioner/petitioner is entitled to modify thenominations already made jointly in favour of his wife andson, by making nomination in favour of his son alone inaccordance with clause 61(5) of the Scheme by having afresh representation with relevant documents.

The Commissioner, Regional Employees Provident FundOrganization. 2018 LLR 659 (Mad. H.C.)

When there is no enquiry of finding of fact that theemployer had willfully and deliberately withheld theprovident fund contribution, the levy of damages imposedby the EPF Authority is bad in law.

When an occasion arises for the EPF Authority to exercise itsdiscretion after October, 1982, it will have to exercise itsdiscretion in accordance with guidelines which are in force atthat time, meaning thereby that when the default had takenplace prior to October, 1982, if at the time of determination ofdamages, revised guidelines are in force, then such guidelinesmust be applied as held by Division Bench of Bombay HighCourt in 'Union of India and Others vs. Super Processors, (1993)

II LLJ 203 in view of the fact that such an occasion may ariseeither because a case is pending or it may arise if the matter isremanded to the officer for fresh determination.

Under Section 14-B of the Employees' Provident Funds andMiscellaneous Provisions Act, 1952, which is considered purelyas a penal provision, the authority concerned, while imposingdamages in case of failure to carry out a statutory obligation,should treat the proceedings as quasicriminal proceedings asconsider whether the employer has acted deliberately indefiance of law or was guilty of conduct contumcious ordishonest or in disregard of its obligation.

Assistant Provident Fund Commissioner vs. Renaissance RTWAsia (P) Limited & Anr. 2018 LLR 660 (Mad. H.C.)

Writ petition challenging the order passed under Section14-B and 7-Q of the EPF Act, 1952, filed after havingremitted the entire amount assessed by the EPF Authorityunder Section 7-A of the Act, is not maintainable.

Vivekananda College of Arts & Science for Women vs. TheCommissioner, Regional Employees Provident Fund Organizationand Others. 2018 LLR 662 (Mad. H.C.)

Tribunal's decision to allow second restoration applicationwhen the first restoration application was dismissed,cannot be justified in law.

Generally an appeal against interlocutory order is notmaintainable.

In an appeal from a decree, it will be open to a party to challengethe correctness of any interlocutory order which had not beenappealed from but which has affected the decision of the case.

When the second restoration application is not maintainable,the decision taken on merits after allowing the secondrestoration application, is not sustainable.

Janta Cold Storage Mahnar, Vaishall vs. Employees' ProvidentFund Organisastion. 2018 LLR 664 (Pat. H.C.)

The law is well settled that allowances are not the part ofbasic wages, attracting deduction of EPF contributions.Incentive wages paid in respect of extra work done isexcluded from the basic wages.

After having considered the definition of basic wages, asprovided under Section 2(b) of the Employees' Providen Fundsand Miscellaneous Provisions Act, 1952, with reference to otheremoluments and relying on the case 'T.I. Cycle of India vs. M.K.Harmani, 2001 (7) SEC 204 wherein the Apex Court has held that"incentive wages paid in respect of extra work done is to beexcluded from the basic wages" while allowing the appeal,appears to be just and proper since allowances are not the partof wages for the purpose of deduction of EPF contributions.

Assistant Provident Fund Commissioner vs. M/s. JanaSanghatan Trust Shapur Road, Deodurg, Raichur. 2018 LLR 668(Kar. H.C.)

EPF Tribunal is empowered to impose any condition whilegrantign stay of the order passed by the EPF Authority.

While granting staty of the order passed by the EPF Authorityby the EPF Appellate Tribunal, subject to imposing condition ofdeposit of part determined amount or such other condition iswithin the power of the Tribunal.

Granting stay subject to deposit of certain amount is notinsisting on any statutory deposit under Section 7-O of the Act.

Challenge to order passed by the Tribunal thereby granting staysubject to deposit of certain amount in writ petition is notmaintainable since such a condition is only to accommodate thepetitioner and not a statutory deposit under Section 7-O of theAct.

BKR Swamy Security Agencies, Devanagere vs. RegionalProvident Fund Commissioner. 2018 LLR 669 (Kar. H.C.)

When the employee retired in 1998 i.e., after intorduction ofEmployees' Pension Scheme, 1995, the employee will be

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RECENT IMPORTANT LABOUR JUDGMENTS

entitled to pension at the rates as provided underParagraph 12(4) of the Scheme of 1995.

Shri C. Doddabasappa vs. The Employees Provident FundOrganisation & Ors. 2018 LLR 671 (Kar. H.C.)

In the absence of mens rea, claiming damages is notjustified.

In the absence of mens rea, claiming damages is not justified inview of law settled by the Supreme Court of India in case'MCLEOD Russel India Ltd. vs. Regional Provident FundCommissioner, Jalpaiguri and Others, 2014 7 LLR 905 (SC) andA.P.F. Commissioner vs. Management of RSL Textiles India Pvt.Ltd., 2017 LLR 337 (SC).

When the EPF Authority has not given any specific reason forlevy of damages, the petitioner has deposited the determinedamount within 7 days from the date of order of the EPFAuthority and the petitioner is running its business on 'No profitand No Loss basis' it cannot be presumed that there was anymens rea for not depositing the EPF dues by the employer.

DCW Employees Co-operative Canteen Ltd. vs. The PresidingOfficer, Employees' Provident Fund Appellate Tribunal, NewDelhi. 2018 LLR 672 (Mad. H.C.)

Writ is maintainable against EPF Authority order whenAppellate Tribunal is not sitting.

When the EPF Appellate Tribunal is not sitting whereas theappeal alongwith stay application has been filed, the writpetition against the order of the EPF Authority, is maintainable.

Staying all actions for recovery of amount as assessed by theEPF Authority till disposal of 'stay application' is justified.

M/s. Speciality Hospital vs. The Assistant Provident FundCommissioner and Another. 2018 LLR 676 (Ker. H.C.)

Financial problems relating to other indebtedness or delayin relization of amount paid by cheques or drafts or powercut or dispute between the partners are not relevantexplanation to avoid liability for default under theprovisions of section 14-B of the EPF Act, 1952.

The EPF Authority, before levy of damages, has to apply its mindby serving a show cause notice and considering the reply, if anyreceived from the employer before passing a reasoned order byfollowing the principles of natural justice, taking intoconsideration the number of defaults, the period of delay, thefrequency of defaults and amounts involved.

There is no period of limitation, prescribed under the Act forrecovery of damages.

An employer might also claim prejudice upon proof of loss of allthe relevant records and/or non-availability of the personnelwho were several years back in charge of these paymentsprovided there is no other way he can reconstruct the recordwhen the damages are imposed after lapse of abnormal timeperiod.

Central Board of Trustees, Employees Provident FundOrganisation and Others. vs. Employees Provident FundAppellate Tribunal and Another. 2018 LLR 677 (Guj. H.C.)

A writ petition is not maintainable while challenge is onlyto the show cause notice for initiation of proceedingsunder Section 7-A of the EPF Act, 1952.

A writ petition may be maintainable against a show cause noticeif the same is issued by an incompetent authority having nojurisdiction or competency or an allegation of mala fide israised or if the same is in violation of any statutory rules inforce.

The Constitutional Courts cannot usurp the powers of thecompetent authorities in the absence of any legally acceptablereason.

Similar type of matters are sub-judice before the SupremeCourt, wherein initiation of proceedings is not stayed by theSupreme Court since the Stay is only that the EPF Authority

shall not raise demand of EPF contributions upon allowancestill final disposal of the pending cases.

Once the enquiry is initiated, intermittent interventions are tobe avoided.

In such circumstances, the petitioner is at liberty to appearbefore the EPF Authority by placing its records in its defence.

The EPF Authority shall not demand EPF contributions uponallowances till final disposal of cases peneding before theSupreme Court.

Decision of EPF Authority in respect of allowances shall be keptin abeyance till such time and order, if any, passed by the EPFAuthority shall not be implemented till final disposal of casespending before the Supreme Court.

M/s. Techset Composition India (P) Ltd. vs. The RegionalProvident Fund Commissioner (C&R). 2018 LLR 683 (Mad. H.C.)

While deciding applicability of the Act upon anestablishment afresh, the employer be given due andproper opportunity to submit his case by way ofdocuments and witnesses in accordancec with law.

Non-granting proper opportunity to a party to submit his standon the basis of documents and oral hearing is not proper beingviolation of principles of natural justice.

M.V.V.N.L. vs. Regional Provident Fund Commissioner. 2018 LLR686 (All. H.C.)

When the employer did not avail the opportunity to defenditself before EPF Authority and order is passed, he may beallowed another opportunity subject to heavy cost of 1lakh.

If a party does not appear before the EPF Authority, whensummoned repeatedly, despite having documentary evidence inits favour, if that party, later on, challenges the order of the EPFAuthority on the ground that the impugnd order is not corrector illegal even on the basis of documentary evidence, the partyconcerned is liable to be burdened with costs to get opportunityafresh to defend its case on merits.

EPF Authority must consider the document as and when thesame is brought in its knowledge or is produced on recordirrespective of its being belated, for which costs may be imposedbut principles of natural justice to be adhered to in the interestof justice.

Swaraj Engines Ltd. vs. The Regional Provident FundCommissioner and Others. 2018 LLR 688 (P&H H.C.)

An appeal filed after expiry of prescribed limitation to 60days and extended limited upto 60 days, if allowed by theEPF Tribunal, i.e, total period of 120 days, is notmaintainable.

Writ petition is not sustainbale if there is no error on the face ofrecord and the order impugned is within the jurisdiction of theAuthority.

There is no violation of principles of natural justice it the EPFAuthority has given due opportunity to the employer to produceits relevant records and to lead its defence.

M/s. Lotus Chemicals Pvt. Ltd. vs. Assistant Provident FundCommissioner (Compl) Rourkela. 2018 LLR 690 (Orissa H.C.)

When earlier the establishment was taken over by the Stateand later on transferred to appellant, joint and severalliabilities cannot be effected.

No objection can be raised for recovery of interest under section7Q of the Employees' Provident Funds and MiscellaneousProvisions Act, 1952 since the interest is compensatory.

Sick Industrial Companies (Special Provisions) Act, 1985 hasnow been repealed.

Applicability of Acquisition Act providing for payment only byapproaching the Commissioner, would be repugnant to CentralAct i.e. Employees' Provident Funds and Miscellaneous

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Provisions Act, 1952.

Komalapuram Spinning and Weaving Mills vs. AssistantProvident Fund Commissioner, Kochi. 2018 LLR 695 (Ker. H.C.)

Ex-parte AwardIf summons are not served upon authorized person or theemployer, ex-parte award can be re-called. Applicationcannot be rejected on the ground that after passing award,the labour court becomes functus officio.

Order rejecting the application for recall of Award withoutconsidering merits of the application only on the ground thatafter Award passed, the Labour Court becomes functus officio,liable to be set aside.

Service of summons not upon authorized person of theemployer can be a ground for recall of the Award passed.

Service of summons is not admissible if the name of person whoreceived the summons is not on record.

Summons showing that 'some person on behalf of the employerhad received the notice without making any signature andaffixing any stamp on the said notice' is not proper service ofsummons upon the employer.

M/s. Kurela Packaging Pvt. Ltd. vs. Presiding Officer, LabourCourt-I, U.P., Kanpur And Another. 2018 LLR 586 (All. H.C.)

Fixed Term EmploymentEmployee appointed on contract basis has no legal right tohold the post after fixed period of employment is over.Holding of inquiry or issuance of charge-sheet notattracted.

Provisions of Section 2(oo) (b) of the Industrial Disputes Act,1947 are attracted in case of termination of a workman,appointed on fixed term employment.

An industrial dispute may be dismissed on account of abormaldelay in raising the same without cogent explanation.

A workman, appointed on contract basis, has no legal right tohold the post after the fixed period of employment is over.

In the case of termination of a workman appointed on fixedterm basis, after the contractual period is over, issuance ofcharge sheet or holding of enquiry is not required.

Baljeet Singh vs. Industrial Tribunal, Bathinda and Others. 2018LLR 622 (P&H H.C.)

GratuityForfeiture of gratuity cannot be claimed under IndustrialDisputes Act.

Any claim towards forfeiture of gratuity is not maintainableunder the Industrial Disputes Act, 1947, since the Payment ofGratuity Act, 1972 is a special and an independent code foradjudication of claim of gratuity.

Rajeev Saxena vs. The Chief General Manager, Bank of Baroda& Ors. 2018 LLR 616 (Delhi H.C.)

Interim ReliefWhen employer offers employment to the workman duringpendency of writ petition subject to final decision andworkman does not agree to work, he is not entitled tointerim relief under Section 17-B of I.D. Act.

Demand of regularization of a workman when his other threecolleagues were regularized, is justified.

To pay wages to the workman under Section 17-B of theIndustrial Disputes Act, 1947 is a statutory liability of theemployer, during the pendency of writ petition, when the award

passed in favour of the workman is challenged by the employerin writ petition.

Calculation of last drawn wages on the basis of present rate ofminimum wages, is appropriate.

If the employer offers employment to the workman duringpendency of the writ petition, subject to result of writ petitionand in case the workman does not agree to work, despite offer,the workman shall not be entitled to the benefit of Section 17-B ofthe Act.

The Commissioner, Thiruvannamalai Municipality vs. C.Vijayabalan and Another. 2018 LLR 637 (Mad. H.C.)

Maternity Benefit ActWomen employee working on contract are also entitled tobenefit under Maternity Benefit Act.

Female employees working on contract basis are also entitled tomaternity leave and benefits as per provisions of the MaternityBenefit Act, 1961.

The Maternity Benefit Act, 1961 is undoubtedly a piece ofwelfare legislation providings equal opportunity to women inpublic employment.

Non-granting of maternity leave as per provisions of the Act tocontractual woman employee would amount to discriminationagainst woman employees.

Female employees, though on contract basis directly or throughcontractor (s), working in public sector are entitled to maternitybenefits as per Service Rules applicable to State and CentralGovernment servants.

Rakhi vs. State of Kerala. 2018 LLR 601 (Ker. H.C.)

Minimum WagesFor an establishment falling under state, Central LabourEnforcement Officer cannot issue notice to suchestablishment.

The Regional Labour Commissioner (Central) has no authority toissue notice under the Minimum Wages Act, 1948 in respect ofthe establishment falling within the jurisdiction of the StateGovernment.

State Government was the appropriate authority to deal with thematters connected with minimum wages under the MinimumWages Act, 1948.

M/s. Reborn Castle Cleaning Pvt. Ltd. vs. Union of India andOthers. 2018 LLR 589 (Cal. H.C.)

In case of default of 6 months in paying less than minimumwages, compensation of 3 times amount instead of 8 timesas directed by the authority would be appropriate.

Authority under the Minimum Wages Act, 1948 is empowered toissue direction to the Management for paying compensation asit may think fit but not exceeding ten times of differentialamount less paid.

Since the default is only six months, it would be appropriate ifthe eight times compensation is substituted by three times of theexcess amount of wages as compensation.

M/s. Tops Security Ltd. vs. Raghunandan Choudhary. 2018 LLR621 (Delhi H.C.)

MisconductCausing sexual harassment and brutal assault to a ladyofficer is a grave and serious misconduct justifyingpunishment of dismissal from service of the chargedemployee.

Mohan Kumar Singh vs. Chief Manager (HRD) Central Bank ofIndia. 2018 LLR 595 (Pat. H.C.)

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RECENT IMPORTANT LABOUR JUDGMENTS

Payment of Bonus ActFor claiming bonus under Section 33-C (2) of I.D. Act forthe last 15 years, Labour Court has to provide soundreasons while condoning the delay, failing which order isliable to be set aside.

The order, passed by the Labour Court, condoning the delay of 15years without giving reasons thereto, is liable to be set aside.

Direction for payment of bonus passed without having regard tothe formula prescribed under the Payment of Bonus Act, 1965 isliable to be set aside.

Ahmedabad Advance Mills Ltd. vs. Rameshchandra D. Christianand Others. 2018 LLR 590 (Guj. H.C.)

Payment of Wages ActEmployer cannot insist upon employees to open their bankaccount in the bank of the employer.

There is no legal stipulation in the Payment of Wages Act, 1936that the employees should open their bank accounts in the bankin which the employer has a bank account to facilitate theemployer to transfer their salary or such other paymentsdirectly to their account.

The purpose of transfering the salary directly in the bankaccount of the employee can be achieved irrespective ofwhether the bank account of the employees is in the same bankin which the employer has a bank account or the accountmaintained by the employee is in some other bank. In theabsence of curtailment of any legal right, the writ petition is notmaintainable. It is choice of the employee to open his bankaccount in any bank but to inform the employer with completeparticulars enabling the employer to transfer his salary andother payables directly his bank account.

Malabar Cancer Centre Society vs. Dinesh Kumar. 2018 LLR 625(Ker. H.C.)

ProbationEven if termination of a probationer at the end of theperiod is due to some stigma, it will not be deemed aspunitive.

Termination, at the end of the probation period even whenstigmatic cannot be said punitive.

Termination is not stigmatic if no allegations of misconduct aremade in the order.

Temination of services of a probationer on the basis of anassessment that his work is not satisfactory will not be punitive.

Even if the inquiry is dropped and a simple notice oftermination is passed, the same will not be punitive because theInquiry Officer has not recorded evidence nor given anyfindings on the charges.

Remarks in the assessment are merely the motive and not thefoundation since the assessment is not done with the object offinding out any misconduct on the part of the employee/officer.

Director Aryabhatta Research Institute of Observational Sciences(ARIES) & Anr. vs. Devendra Joshi & Ors. 2018 LLR 579 (S.C.)

PunishmentPunishment of compulsory retirement is justified for themisconduct of irregularities in granting loans.

Charges of non compliance of rules and procedures of the bank,terms & conditions of sanctioning of loan and commission ofsuch other irregularities are grave and serious charges to justifythe imposition of major punishment of compulsory retirement,

forfeiture of gratuity, pension etc.

When the charges of irregularities on the part of a SeniorManager of the Bank would exposed the Bank to a loss of morethan 2 crores, if left uncheked, the removal of that SeniorManager from service by way of compulsory retirement isjustified.

Rajeev Saxena vs. The Chief General Manager, Bank of Baroda &Ors. 2018 LLR 616 (Delhi H.C.)

ReferenceReference of private canteen employees rightly denied tocentral government industrial tribunal because they werenot government employees.

Law is well settled that a private venture and its employees are byno stretch of imagination, the employees of the Government orCSD.

When the employees are of a private venture, denial of thereference of their dispute with the Management, a CentralGovernment establishment, to the Central GovernmentIndustrial Tribunal, is justified.

Unit Run Canteen Employees Welfare Association (Regd) vs.Union of India & Ors. 2018 LLR 582 (Delhi H.C.)

Unauthorised AbsenceDismissal not proper for absence of 4 months due to illnessof wife proved on the basis of medical documents.

Punishment of dismissal is to cause financial death of thefamily of the employee, hence on account of absenteeism due toillness of wife, proved on the basis of medical documets, is harshjustifying its modification into voluntary retirement withcontinuity of service without back wages and otherconsequential benefits, by the Labour Court on the basis ofevidence recorded and documents persued properly whereas theemployer has not brought on record any strong reason to justifythe punishment dismissal.

When the enquiry, as held by the management, has been vitiated,granting opportunity to Management to lead afresh evidence toprove the charges against the workman before the Labour Court,is proper.

When the Labour Court has passed an award after consideringevidence recorded afresh and documents on record, interferenceby the Writ Court with the award under challenge, without anystrong reason, is not called for.

Punishment of dismissal is disproportionate to the gravity ofmisconduct of absenteeism when the same is due to illness ofwife, proved on the basis of medical documents.

Abdul Rafiq Tigadi vs. The Management of NWKRTC. 2018 LLR607 (Kar. H.C.)

Unfair Labour PracticeDuring the process of adjudication of industrial disputesalready raised by union invoking of Section 25-T and 25-Uwould not be applicable for prosecution of employer.

Union has simply sent a representation to the Secretary toGovernment who cannot be directed to consider therepresentation in the absence of any adjudication and in theabsence of any specific finding in respect of commission of anoffence of unfair labour practice by the Management since anadjudication and finding of the offence of unfair labour practiceis a pre-condition for invoking Section 25-T and 25-U of theIndustrial Disputes Act, 1947.

Viralimalai Rane TRW Steering Systems Private Limited vs. TheGovernment of Tamil Nadu. 2018 LLR 611 (Mad. H.C.) BM

Courtsey - Labour Law Reporter, FLR, CLR , LLJ & APS Labour Digest

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CHALLENGES & WAY FORWARD IN THE ROLE OF UNIT HR-HEAD - DEEPANJAN DEY

Challenges & wayforward in the role ofunit HR-Head

The people having powers to decide may not be totally acquainted with ground reality and

dynamics in the field and hence would not feel the heat which a unit HR Head has to

endure. As a consequence, unit HR Heads are always vulnerable to losing trust of the people

as at times. Even after hard persuasion, the decision either appears not to be forthcoming

or even if it comes, it creates more problem than resolving the issue at hand.

Deepanjan Dey, DGM (HR), Dalmia Cement (Bharat) Limited, Meghlaya Unit

The role of a unit HR Head isabsorbing, challenging andinteresting. Generally his JD would

read as a person responsible for industrialrelations, human resource, administration &security of the establishment. In few casesthis may also include CSR, safety and legalalso. The unit HR Head is a conduit betweenthe management and various stake holdersof the unit which generally includesexecutives, all categories of workmen,contractors and sometimes nearby locality.Hence, people in the establishment look athim as their messiah to resolve their issuesand meet expectations. It is the job of theunit HR Head to balance the expectation ofthe masses with that of the managementplans and objectives. He needs to be thechampion of the people before themanagement but at the same time beforethe masses he has to pursue the objectivesof the management. In putting this delicatebalance many HR Heads may have to dealwith the following constraints andchallenges :

1. Empowerment - A unit HR Head is entrusted with the responsibility tomaintain harmonious industrial relations, manage expectation of the employees,drive HR interventions but the decision making powers are in general vestedsomewhere else in the corporate office far away from the establishment. The peoplehaving powers to decide may not be totally acquainted with ground reality anddynamics in the field and hence would not feel the heat which a unit HR Head hasto endure. As a consequence, unit HR Heads are always vulnerable to losing trust ofthe people as at times, even after hard persuasion, the decision either appears notto be forthcoming or even if it comes, it creates more problem than resolving theissue at hand. Sometimes excessive interference of the corporate management mayat times be also distressing as they are not attuned to ground reality. Though inmost of the organization the buzz word remains to be employee empowerment butdecentralization at times appears to be a distant dream or myth. Hence, at timesfrom formation of a committee to matter pertaining to wage or bonus negotiationthe unit HR Head has to live with the interference (at times at every step) from thecorporate management who might not be exposed to the dynamics in the field.However, the quantum of interference depends upon the person holding thecorporate office as each individual has his own leadership style. Nevertheless, evenif the unit HR Head is fortunate to have functional boss who does not interfere inevery aspect and allows considerable freedom to function but in the Indian contextthe unit HR Head has to endure the culture of approval which is often a long list ofhierarchy and time consuming affair especially in case of big organizations orcorporations. A structured DOA might to an extent may take out the pain to certainextent but in spite of such DOA he cannot abjure the culture of approval totallywhich is often very long.

2. Balancing two power centers - Unit HR Heads in general have dual reportingadministratively to the unit head and functionally to business/corporate HR Heads.Hence, unit HR heads are often either identified close to the unit head or to thefunctional head. If such perception gain ground, it becomes difficult for unit HRhead to function as his every action will be viewed with suspicion by either of thebosses and in turn their support will not be forthcoming. As the unit head and unitHR head are on the ground, their understanding of the ground level dynamics ismore than of the functional boss. Hence, they may agree and collaborate on mostof the issues. This collaboration may at times be perceived as closeness which maybe detrimental to company's interest, HR independence and authority. On the otherhand, on HR policies and issues, some domineering unit heads might want to havehis say in the way he perceives and might be resisted by the unit HR heads. On suchinstance he might be perceived to be close to the functional boss and a deterrentfor the unit head to function. Either way, ultimately in such situation theorganization becomes the loser and therefore, the unit HR heads need to learn thetact of balancing both the power centres.

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CHALLENGES & WAY FORWARD IN THE ROLE OF UNIT HR-HEAD - DEEPANJAN DEY

3. Bogging down with mundane jobs - The role and expectations of HR hasgone a sea change over the years. HR is now perceived as a strategic businesspartner and no more it can remain content with doing the mundane jobs of pay roll,attendance, MIS, performance appraisal or just remain a custodian of discipline whomanages day to day administrative activities of the establishment. This is where, therole of unit HR head becomes important whereby, he has to go out of his way to actas strategic partner of the unit. Hence, rather than collating datas and figures, it ismore important for unit HR heads to collaborate with the business objectives interms of productivity, costs, safety and quality. His major role is to motivate peopleand to be a change agent in his unit. He needs to be the champion of initiativeswhich increases the happiness and engagement quotient in the unit. If people arehappy, the objectives of the unit will automatically fall in place. He should, therefore,appear more as a strategic partner rather than a decorated clerk who is more oftenbogged down with datas and administrative affairs of the unit. However,unfortunately the role of strategic partner gets surpassed due to variousrequirements or management pressure to deliver mundane jobs within a specifiedtimeline. Sometimes a diktat will come from a corporate office or regional office toprovide a data or job within a specified timeline. In this connection, it may bepertinent to mention that one of the term which has gained currency now a days inmany organization is "EOD" (End of the Day). As a result of this EOD culture, unit HRheads are unable to free themselves from the mundane jobs and as consequencethe role of the strategic partner gets obscured and hindered.

4. Quality Team - No matter how smart, talented, driven, or passionate a unitHR head may be, his success will depend upon the team he leads. It may beappropriate to recall one famous quote by Helen Keller "Alone we can do so little,together we can do so much". A quality team can do wonders and it is the teamwhich actually wins. However, there will be few deadwoods or cookie - cuttermembers in every team and the leader has to live with it. If the deadwoods or thecookie - cutters are more, the performance of the team is surely going to getimpaired. Inexperience of the team is not a hindrance if the team members have afire in their belly to excel, learn and desist from politicking. The problem lies whenthe team members are content with what he or she does and the fire in the belly islacking. Motivating and getting performance from a team which lacks fire in thebelly is a challenge, a unit HR head might have to confront. There can be anotherkind of problem if the team comprises with some experienced persons. Theseexperienced persons are in general obstinate in their thoughts and views,sometimes engage themselves into politicking. Their egos need to be managed asthey may feel they can do no wrong. The best team is a team which comprisesmostly of youngsters with fire in their belly along with few experienced persons.However, nobody can get a team of his choice and a leader has to live up with theteam he gets. As the saying goes you cannot choose your parents and boss. Inreverse also in most cases you cannot choose your team also. However, the issue ofteam is not HR specific and can be also true for other functions as well.

Way Forward : The question that arises what is the way forward. There cannotbe a straight jacket formula as each organization has its own culture, size andmodus operandi. However, still a common approach can be worked out to findsolutions to the aforesaid issues. As regard to empowerment to certain extent, it isalso up to the unit HR head as up to what extent he feels empowered to take adecision. It helps if the organization has a clear cut DOA (delegation of authority).Even with or without DOA, the unit HR head should learn to take bonafide decision.He has a choice either to act or make his office a post office whereby he refers allmatters to his bosses for a decision. This may be convenient to many as theaccountability factor will be missing. A unit HR head who makes his office a postoffice will surely lose the respect of the employees and the peers as well. Hence,best thing is to act and take a decision within the framework of the policy or DOA.Even in case of any policy deviation if the matter turns out to be urgent in extremenecessity, a unit HR head should not dither to take a decision if it does not mar theinterest of the organization and something which is related to welfare of theemployee. In day to day functioning there will be colleagues who will suggest thatan action may be adversely viewed by audit, hence, the decision should wait till thenecessary approval is obtained. A spirited nit HR head will keep advising thesecolleagues not to worry for audit till the actions are bonafide and are in the interestof the company.

In case of balancing the two power centers a unit HR head needs to develop atact whereby both power centers will be content as if their objectives are beingcarried out. However, there is no guarantee that this tact will always work. In suchcases where the occasion so arises, two things should be kept in mind; (I) Keepingorganization before anything and (ii) need to be fearless while taking a positionwhich the unit HR head perceives to be correct irrespective of the perception, onemay develop as a consequence of taking a position. At the end day we are all

working for the organization and as aconscience keeper and custodian of the unit,the unit HR head is required to act only inthe interest of the organization.

A unit HR head cannot escape from thetransactional jobs and it will keep coming tohim. It is here, where empowering the teamis important so as keep free time tostrategise and think. Empowerment isdouble edged and it holds true for the teamalso. It would not be an understatement thatthere are leaders in all organizations who areafraid to empower his or her subordinateson pretext of losing his or her importance.People, who have learnt to empower teammembers, can breathe easy and devote timeto constructive things. This also ensuresbetter team spirit and ultimately a betterperformance from the team. As a leader, aunit HR head needs to stand with themember of the team even if he does wrongbut has acted in a bonafide manner. This willinstill confidence in the team and the teamwill be ready to break many benchmarks.Even in case of deadwoods or member ofthe team, who does not have a fire in thebelly, persuasion and patience may turnthem around. Impatience, bullying andabrasiveness will not work and will rathercreate fear and fissure in the team.Sometimes ignoring small indigentdemeanors of a team member and focusingon the right objectives will build relationshipwith the team. However, this does not meanthat the unit HR head should not act againstthe errant member of his team. Theleadership style of unit HR head to a greatextent will also determine how his team willrespond to a situation. A team might belacking motivation or may be inexperiencedbut the onus lies on the unit HR head tomotivate his team.

Unit HR head should strive to earn therespect and trust of the management, team,peers, colleagues and all stakeholders of theunit. After all he is one of the most importantinterfaces of the unit after the unit head. Ifhe can gain trust and respect, his jobbecomes easy as people in managementand stake holders will be willing to listen tohim without any reservations. The kind oftrust and respect, he will earn, will dependupon how he carries himself amongst thestake holders. One of most important aspectto earn trust and respect is transparency andtruthfulness while dealing with people andstakeholders. In addition, the unit HR headwill be respected for his knowledge, wisdomand the kind of value, he adds to the unitand his team. He, therefore, needs to devotesome time in reading and acquiringknowledge to keep abreast with recentdevelopments in his area of work, be itcompliance, HR, labour Laws and thebusiness aspect of his industry, which herepresents. The knowledge, he acquires, willhelp him to add value to the organizationand his team and his stature and respect willgo up amongst his peers, colleagues,management and other stake holders. BM

BUSINESS MANAGER JULY 201855

THE CONTRACT LABOUR CONUNDRUM IN INDIA - SIDHARTHA MUKHERJEE

The Contract LabourConundrum in India

The compliance mode under which most organizations like to takeshelter may not work; one needs to be sensitive to the legal imperativesand policy changes likely to be announced. Some of the issues whichneed immediate attention for the Contract Labour Management Systemare; need for carrying out realistic manpower audit, number requiredneed to be worked out and kept to the bare minimum and on boardingpractices are required to be carried out.

Recently, the Chief Minister of Delhi,on the occasion of InternationalLabour Day, reportedly announced

that his government would endeavor to endthe contract labour system in Delhi. Theobvious derivation which begs enquiry iswhat would happen to the existing contractlabour? Are all of them to be absorbedwherever they are currently engaged? Anyattempt at an answer would bring to centrestage, the vexed issue of Contract LabourSystem in India. Those who employ largenumber of labour on contract, whether byan accepted, well regulated, perfectly legaland established industrial practice or as anexpedient dictated purely by transientfinancial considerations are both compelledto sit up and take note of such significantdevelopments in the milieu. Contract Laboursystem, we all know, is not unique to Indiabut the Indian practice is definitely quitedistinct from others. It is also true that thesystem has brought untold misery to asection of workers and much infamy toemployers including governmentdepartments and undertakings. In manycorporates, confusion reigns large when themanagement is confronted with a call forabsorption of a numerically significantsection of labour, whom, more times thannot, the management does not even considerits own. At the core of the rigmarole is apiece of central legislation namely, TheContract Labour (Regulation & Abolition)Act, 1970 which has contributed significantlyto several thorny situations and countlesslitigation. Managements are caught inbetween a cleft stick of myriad regulationsof the act which puts several onerousresponsibilities, on one hand and theeconomics of labour market on the other.Consequently, there is a tendency to ditherfrom taking reasoned choices till absorptionof contract labour becomes virtually thewolf snapping at the organization's doorstep.It can also transform into a heady mix ofsimmering discontentment with potential toexplode dramatically as was witnessed

during year 2012, in a leading auto manufacturer's premises, in Gurugram, NorthIndia. Mercifully of late, such violent incidents are less frequent but the specter isfar from being totally obliterated.

Organizations faced with the compulsion of absorption of contract laboureither take the exit route of denial or grudgingly accept that contract labourabsorption is a price to be paid for excessive industrial democracy that developingcountries like India can ill afford. In both instances the results could be damning.Often, labour and unions finding that employment, however transient, is anextremely scarce commodity and are thus quite willing, in the initial stages ofengagement, to make compromises. They tend to 'play along' with theemployer/management regardless of suboptimal employment conditions.However, with a mere passage of time, perspectives and priorities tend to changedrastically; resulting in an incessant clamor for absorption of contract labour aspermanent workmen in the organization. The whole system gets tense anddysfunctional; bitterness coupled with protracted litigation becomes the norm.Such a scenario, time and again, unfolds in organization after organizationmaking contract labour absorption the bane of effective human resourcesmanagement. Reforms in Labour Legislations being a political quagmire for mostgovernments, seemingly take ages to fructify and cannot come to the rescue ofIndividual organizations, complete industrial sectors and geographical areasmired in throes of a contract labour crisis which obviously does not auger well forthe economy.

To understand the real politique of the absorption of contract labour and whypracticing managers need to take a greater active interest in it, we need to explorea bit of the connected legislative history. The system of Contract Labour inorganizations was in focus even before the passing of the central enactment inyear 1970 and the implementation of the act itself has been rather checkered. Weneed to remember, that the Supreme Court of India in year 1960, in StandardVacuum Refinery Company v. Their Workmen case, (1960 AIR 948, 1960 SCR (3) 466)had laid the purpose and foundation of the act. Immediately upon its passage, theact's constitutional validity was challenged in the apex court in Gammon IndiaLtd. Etc. vs. Union of India & Ors. (1974 AIR 960, 1974 SCR (3) 665), however the apexcourt upheld the validity of the act. The introduction, in the Act, through a legalfiction of the concept of PRINCIPAL EMPLOYER Vis a Vis the workers of theContractor (the proximate or actual employer) was indeed a novel one. However, ifone was to take some liberty, it could safely be said that this concept is quitecontrary to the well established principle of Master - Servant relationship whichwas hitherto a well understood and accepted principle in labour relations. Theintroduction of the concept of Principal Employer led to fissures in industry andgave rise to a sort of intrinsic non acceptance of the doctrine by even the mostbenevolent of employers. In Dena Nath & Ors vs. National Fertilizers Ltd. & Ors.(1992 AIR 457, 1991 SCR Supl. (2) 401), the Supreme Court stated that the actbasically provided for REGULATION of Contract Labour primarily and in certaincases, it's ABOLITION; however the act stopped short of suggesting automaticABSORBTION. In fact, the sequence of the words themselves reflects thelegislative intent. The Apex court however in one of the most hotly debated caseson Contract Labour to date; in Air India Statutory Corporation vs. United Labour

Sidhartha Mukherjee, ED (HR & CSR) Retd., Indian Oil Corporation Ltd., New Delhi

BUSINESS MANAGER JULY 201856

THE CONTRACT LABOUR CONUNDRUM IN INDIA - SIDHARTHA MUKHERJEE

Union & Ors. (AIR 1997 SC 645) on 6 November, 1996 took adiametrically opposite view to Dena Nath's case and ruled thatupon notification being issued by the Appropriate Governmentfor prohibition of contract labour in any process, operation orother work of an establishment; there ought to be, after abolitionof the system of contract labour; their ABSORPTION. Thisinterpretation of automatic absorption of contract labour uponabolition of the system of contract labour by GovernmentNotification created history and many copy cat litigations cameto the fore. Contract workers and unions started demandingautomatic absorption based on the principle set down in thisparticular case. Many managements were in a quandary as largescale absorption of contract labour was inimical to the survivalof an organization/particular industry. However, the clockturned a full circle again in year 2001 when the Supreme Court inSteel Authority Of India Ltd. & ... vs National Union Water Front;(LAB. I.C. 3656=2001 LLR 691 (SC) = 2002 (4) LLN 135 (SC) reversedthe judgment of the Air India case prospectively. In SteelAuthority Of India Ltd. vs. Union Of India & Ors. (2006 (12) SCC233) it ruled; whether expressly or by necessary implication, theact does not provide for automatic absorption of contract labouron issuing of a notification by appropriate government. Thiscame as a huge relief to many organizations however the lessonwhich organizations ought to have been learnt went a beggingand large number contract labour continued to be engaged; oftenin violation of the provisions of the act. In another landmarkjudgment the Supreme Court in State Of Punjab And Ors vs.Jagjit Singh And Ors. (2016); (Reference:Indiankanoon.org/doc/106416990) ruled that in case of contract labour, where all therelevant factors were fulfilled, the principle of EQUAL PAY FOREQUAL WORK would apply. As such, the contract workers wereto be given equal remuneration and conditions of service as thatof permanent workmen.

The specter of large scale compulsory absorption of ContractLabour often daunts the best of managers and adds to the generalsense of foreboding for anyone who deals with the subject on adaily basis. The convoluted path of the court judgments andgovernment policies makes it difficult for organizations to preparea clear roadmap for future. Interestingly, the issue of ContractLabour absorption which was primarily a concern of GovernmentDepartments and Public Sector Undertakings earlier seems tohave slowly crept up to the doors of Private Sector as well. Thestringent cry for absorption of contract labour in various PSUsand Govt. departments for reasons ranging from permanent &perennial nature of work being done by them, prolonged service,same and similar nature of job as that of permanent workforceetc. has now come to haunt the private employers too. Therefore,time has come for organizations, be they in Public Sector orPrivate Sector, to examine the matter of contract labour in entiretyfrom the viewpoint of general administrative strategy, courtpronouncements and current government dispositions. Thecompliance mode under which most organizations like to takeshelter may not work; one needs to be sensitive to the legalimperatives and policy changes likely to be announced. Some ofthe issues which need immediate attention for the ContractLabour Management System to be really effective are : 1) a need forcarrying out realistic manpower audit on the actual numbers ofcontract labour engaged. A roster of Regular, Badli, Casual,Contract, Sub Contract Workers etc. should be available at alltimes for knowing the accurate number engaged; lest theorganization be made to face a bloated list once the matter ofabsorption comes to a head 2) Often, there is a general tendency incorporates to engage a sizeable number of labour on contractsunder systems which go by varied nomenclature as ServiceContracts, Maintenance Contracts, Annual Labour Contracts etc.which are essentially perennial jobs; the actual number requiredneed to be worked out and kept to the bare minimum 3) In allinstances of contract labour engagement a detailed manpoweranalysis and sanction of higher management needs to beundertaken 4) The mandatory ON BOARDING PRACTICES vizRigorous Qualification Standards/Checks, AntecedentVerification, Medical checks and assessment of suitability prior to

engagement is required to be carried out for contract workers also,as is routinely done in the case of intake of regular workforce. Aworkforce which is unsuitable for regular employment canbecome a huge unwanted burden in case of their absorptionnecessitated by a legal process, union pressures, issuance of agovernment notifications, Parliamentary Committee Suggestionsetc. In today's competitive environment, organizations can illafford to ignore addressing these crucial factors. The numbersgame has to be played with equal vigour in case of contract labouralso as is done for permanent employees. The luxury of engaginglarge numbers of relatively unknown, untested, ill trained;contract labour force is well neigh over. Down to earth, practical,field level issues like ensuring receipt of payment of applicableMinimum Wages by the contract workers, extending the requiredmedical facilities, welfare facilities, PF and ESI entitled servicescan go a long way to ensure optimal management of the contractlabour system.

Best Strategies and extremely well laid long term plans can gofor a six if organizations continue to treat contract labourmanagement as an untouchable subject or an unfashionablepursuit. It is worthwhile to reflect whether the contract laboursystem in the organization is robust enough to stand up to thetest of 'Lifting of Veil' and being within the permitted limits oflegislations and their intent. Ensuring the desired employeeengagement for contract labour is especially important andacquires a crucial significance during crisis situations lest itmake the organization vulnerable from within, ready todisintegrate at the slightest hint of adversity. Most organizationstoday need to make optimal contract labour management a partof their operating DNA to survive and remain competitive.

Notwithstanding any political statements made, we mustremember that in India contract labour system is permittedunless it is prohibited by a notification issued by the appropriategovernment after following the due process laid down under lawor a new policy with necessary legislative or administrativeauthority is promulgated. In the interim, a more professionalway of managing the system is the need of the hour. It is alsoextremely important to understand and make a clear distinctionof OUTSOURCING of work from the contract labour system.Outsourced workers are, per se, not contract workers and arethus not the responsibility of a distant organization. As is thecurrent position, a Principal to Principal Contract for products,services, jobs, assignments excludes the workers of organizationproviding such services from becoming the responsibility of the'Principal Employer'. Use of separate premises to carry out thework, whether work is done exclusively for the Organizationsought to be brought under definition of Principal Employer orfor others also; would be important distinguishing tests. To citesome obvious examples - Courier Company Workers, Employeesof Transporters, Drivers, Housekeeping Staff etc. if are not forexclusive use of an organization can fall within the purview ofoutsourced jobs. Another vital mode of employment of workershas assumed prominence lately, that of FIXED TERMEMPLOYMENT. Ministry of Labour & Employment videnotification dated 16.3.2017 has permitted fixed term employmenton basis of a written contract of employment for a fixed term.Such a person would be entitled to all statutory benefits availableto permanent workmen proportionately, according to the periodof service. However, he will not be entitled to any notice or paythereof, if his services are not renewed or he is terminated onexpiry of such contract period. It is a significant step taken by thegovernment towards reforms in labour legislations. The newdevelopments in engagement of secondary and tertiary labourforces need to be fully understood and adopted by organizations.Job creation, skilling, employability, which is core thrust areasfor the current government, is also inevitably linked to the formsof labour engagement, including contract labour systemprevailing in Indian industries. The role of HR functionaries inindustries, cannot be overemphasized in ensuring that thesystems best suited are made known, suitably adapted, gotformally approved and implemented for meeting the businessgoals of organizations. BM

BUSINESS MANAGER JULY 201857

-BM Editorial Team

CASE STUDY

Dream Merchant & Ideal HR

It was dawn hours of thatfateful day, when armedpolice had to evacuate about

800 workers forcibly from thefactory premises of the PratibhaAuto Ltd. in NCR, where they wereoccupying the whole premisessince last 15 days in the name ofstay in strike. At that time in thepremises, there were only twoofficers of the company namelyMr. Gupta and Mr. Saxena. Guptawas Administrative head andSaxena was HR head. They bothwere in close liaison with the StateGovt. Since Gupta was old timerhaving close connections andreach with the promoters, HR wasmade to report to him. Mr. Guptawas capable of turning down anyinitiative of HR which he did notlike.. When workers wereforcefully expelled from thepremises, they after coming outresorted to violence, indulged instone pelting, broken glass pans ofthe adm. Building, put the policeand officers vehicles on fire. Afterabout two hours of operation andcombating, Police handed over thepossession of the premises to Mr.Gupta. Actually police acted incompliance of a court order whichthe management obtained whenall efforts failed to persuadeworkers to leave the premises.

For Saxena, who was XLRIalumini and worked in veryreputed organizations, joined thiscompany three years back only,this incident and last one yearworking compelled him to unlearncertain things, relearn pastpractices and make confirmationsin beliefs. The chain ofhappenings from start gave rise tocertain affirmations that labourand its psychology will remainsame be it in any time and anyenvironment. Union and itsthought process will remainunchanged what come may.Unions will never raise above

their century old convictions that management and workers are enemiesto each other and cannot learn to understand and co-exist. The time maychange but unions will not change. This was the conclusion Saxena drewfrom incident.

It was Saxena, who after listening to other severe IR crises inneighbouring states and reaching to academicians’ conclusion that theproblem was due to engagement of contract labour and difference ofwages, he was able to influence Mr. Gupta and top management about notrecruiting contract labour. So, as a recruitment policy, it was decided notto keep any contract labour in any production process. Consequently Co.employed about 1800 workers directly on Co. rolls, which raised eye browsof many HR professionals of the area. Three year old company has about30% permanent, 20% probationers and about 50% on fix term employmentfor three years. This segment was to address the business fluctuations andflexibility.

Co. provided all facilities with state of the art technology in respect ofcanteen, uniforms, transportation, rewards and recognition practices, oldtime trusted practices like annual function, Holi Milan, Diwali Mela anddifferent Poojas at plant viewing as engagement activities.

Things were moving in right direction. In spite of best efforts ofSaxena to work with collaborative mindset and developing good networkand influence on workers, somehow bureaucratic mindset startedemerging between different departments. Confirmations of workers weredelayed. Appointment letters were not given even after joining of sixmonths. Too much legalistic approach started causing concerns to Saxenaas it overpowered HR approach and his idealistic initiatives. He felt losinggrip among workers because his team was not able to resolve grievances.Appointments and confirmation documentations were in the hands ofAdmin department because unless they clear the vigilance referencecheck of each worker, letters were not to be issued. In spite of having goodteam at top to think, strategize and decide, things did not go down well ascollaborative approach at second and third line started missing. Sense ofbelonging at HOD level started disappearing as they were not activelyinvolved in participative decision making at plant level. Saxena wasperceived as influential and trustworthy person among workers, so he wasslowly sidelined by Admin Department and other HODs. His manyproposals were either turned down or kept pending by Admin Dept.Internal office politics of leg pulling between different HODs overpoweredactual issues making workers disturbed and insecured.

Though Saxena was getting feelers that workers were gettinginfluenced with that kind of unionism which believe in arm twisting,

It was again frustration and retaliation of

workers who were made simply tools in the hand

of other outsiders whose motto was only to bring

back their leader inside. This frustration and

retaliation was against police and administration.

BUSINESS MANAGER JULY 201858

CASE STUDY - DREAM MERCHANT & IDEAL HR

aggression, poisoning against management and even violence if neededto get high salary jump through negotiations, but was not convincedkeeping in view of his fair and transparent dealing and HR practices heput in place with workers. He shared this feedback to top managementthrough admin dept but did not get much attention. Slowly workersdeveloped mind frame that 20k salary to workers was only possible ifunion was formed. Presently average salary of workers was around 10K.This idea got acceptance broadly among workers.

On the other side Saxena acted very transparently, proactively andhaving believed in open communication, put works committee in place toresolve the workers issues in spite of strong objections and nonconfirmation from Mr. Gupta and other manufacturing heads. Workscommittee representatives who were seen as future potential leaders weretargeted by influential lobby of Mr. Gupta who was in no mood to spareany occasion to let down Saxena and his team who was having influenceover such potential leaders. On one side workers started feeling unsecuredand on the other, humiliated Saxena felt sidelined, lost grip over workersand could not make efforts to remove feeling of insecurity among workers.During last one year about 20 workers (probationers, trainees and FTCs)were discharged mainly on the basis of the performance, the process ofwhich was not very transparent. Saxena felt that few of the dischargedworkers were not bad as were projected. They were also a part of effectiveintelligence network, Saxena was somehow able to develop in plant. Theaction of discharge of workers slowly broke the intelligence fabric ofSaxena.

Some workers got in touch with other company union leaders whopassed them to one politically affiliated union leaders of neighbouringstate, paid them good money for union registration but could not succeeddue to some technical reasons.

Few workers who had worked in some trouble some companies ofnearby area earlier were recruited somehow without much antecedentverification because of pressure of making available required manpowerin short time, got in touch with their union leaders. Outside UnionLeaders increased their aspirations and motivated to form union. Outsideleaders asked workers to collect money for the purpose and about 7-8 lakhswere collected. Neighbouring state leaders motive was only to earn moneyin the matter and make fool of workers. It was their business model. Theydirected the workers movement on same lines on which other companiesfaced acute labour violence and unrest.

Again papers were filed for union registration, but fractured,demotivated front line officers could not regain the confidence of workersand stop them in spite of having no substantial grievances. Mainsupporters of union were FTCs whose three year contract was coming toan end. Production and Admin managerial persons having conflictinginterest did not allow front line officers/supervisors to function effectivelyand on the other side tried to prove them as failure in the eyes of topmanagement. Since they were not trusted, upward information flow driedup.

Inaction and belated decisions and communication gap caused chaos atall operations and functional level. Whatever planned to counter unionmove, could not be materialized in time.

Since proposed union president was also suspended long back and wasput to disciplinary proceedings, he provoked workers to resort to stay instrike and demanded for immediate call back of all discharged workersduring last one year for duty. Their purpose was only for union presidentbut to show solidarity, they made common cause. On persuation, Saxenamade Gupta agree for taking take two pre emptive actions. One - heobtained 500 meters injunction order against workers from court andsecond - few workers filed suit against union registration and got stay onunion registration process. Felt frustrated by this move, workers thenwithout waiting for registration of union, presented demand charter withsupport of about 1000 workers to management. Workers started buildingpressure to reinstate union president which management did not concede.One day tactfully workers resorted to stay in strike. They were in about 800in count. A + B + G shift workers remained inside. Management werecaught unaware. They restrained the management from doing logistics offinished product. Management obtained court order for evacuation. Butpolice expressed helplessness due to state elections approaching near.Staying for about 15 days inside the plant, workers could not anticipate the

other side of action as they werekept engaged in discussions forleaving the plant peacefully or startworking. And on that late night theywere evacuated... It was againfrustration and retaliation ofworkers who were made simplytools in the hand of other outsiderswhose motto was only to bring backtheir leader inside. This frustrationand retaliation was against policeand administration.

Now there is leadership vacuum.Management has refused to talk tooutside union leaders as well assuspended union leader. Others whowere representing workers werenow arrested and in jail on thecharges of arson, looting, rioting,stone pelting, property damaging,police assault, vehicle burning etc.Tactically management did notdeclare lock out. Workers are onstrike. They only say, take back allearlier discharged persons, settledemand charter, have judicial probein police action, withdraw casesagainst all arrested workers andrelease them. Public rally in the areaand procession has sensitized theissue. Sleeping industrial areaworkers have again started talkingof union and seeing a ray of hope forbetter unrealized unrealisticdreams. What these outsider unionleaders have been successful inselling unrealistic dreams toworkers and took money from them.Management could not counter thateffort, Saxena realized. Defusingunrealistic financial expectationswhich started growing amongworkers mind was going to be thenew and next challenge before everyindustry HR in coming times.Saxena concluded this in his mind.

Next day Saxena decided to moveto corporate office to submit hisfactual report and observations toChairman, as Chairman wanted tobrief the board about the incidentand future prospects of business asthe company was the listed one instock market.

Questions for Discussion :

1. What went wrong, where andwhy?

2. Discuss the ideology, thoughtprocess and beliefs of Saxenawhich he felt shattered and washe correct in reaching to hisconclusion?

3. Who was responsible for suchcrisis and how it could have beenavoided?

4. What should be the futurecourse of action to bring backbusiness and employee relationson track? BM

BUSINESS MANAGER JULY 201859

CASE ANALYSIS

Ketan Bhatt, Vice president, Services,, Secure Meters Ltd., Udaipur

Bring business as usual and be open for dialogue

1- First and foremost, it was awrong step for the organization tomake HR report to theAdministration head, Mr. Gupta,who was although an old timer,but had his own views on HRmatters and was capable of usingdark tactics to turn down anygood HR initiative that he did notlike. Many companies make thismistake of putting HR functionsin wrong hands.

Secondly, it is probably not theright IR solution to make alltemporary staff permanent.Many a times, it is the right mixof permanent & contractualstrength which is key to success.We have cases, where understrike by unionized permanentworkmen, companies have beenable to carry on with business asusual, although it may be onlower scale, by deploying staff &contractual workmen on shop-floor.

Thirdly, Mr. Saxena had greatideology and vision. But he couldnot truly take his boss, Mr. Guptaand other HoDs along side inimplementing his idea of makingtemporary staff permanent. As aresult, a great idea wasimplemented so badly and turnedinto a catastrophe. Plus both Mr.Saxena & Mr. Gupta failed toassess the magnitude of workinvolved in making thetemporary workmen permanentin one go. It would have been farbetter to do this activity in smallbatches to make the wholeprocess execute in muchsmoother manner withoutcausing any cultural shock orover-burden of work toHR/Admin staff.

Since these workmen havealready been working with thecompany under fixed termcontract, there should have been

deliberations regarding any real need for police verification or reference check. Ifit was really needed, it should have been proactively taken place before hand.

Removing some workmen without following thorough process was notappropriate.

Finally, Mr. Saxena failed to judge the politics & undercurrents by other HoDs,especially Admin HoD, Mr. Gupta. Under those circumstances, it was notappropriate to continue with his straight forward & transparent style leading tohis own failure. He did not even escalate this to the promoters to raise the alarm intimely manner to avoid such eventuality.

2- Mr. Saxena started with great vision & ideology. However he failed in takingalong the critical mass of the leadership team with him. His peers possibly becamejealous of his influence and adopted politics and dark tactics to make him fail.Although he started getting these feelers, he did not escalate this matter to the topmanagement to seek their involvement, direction and support.

Although Mr. Saxena is right in thinking that the union and its thought processwill remain unchanged and will never raise above their century old convictions.But he fails to realize that the above factors led to turning their good, loyal &committed employees into a typical unionized work force.

3- In any IR situation, it is the company that ultimately suffers, causing pain tothe promoters and all the staff & workmen. Hence, it is the utmost duty andresponsibility of the management team to put up such matters to the highest levelat an early stage and work in accordance with the direction.

Both Mr. Saxena as well as Mr. Gupta did not escalate this in timely manner andare primarily responsible for it. The rest of management team is also responsiblesince they did not support HR & Admin function at a critical stage.

4- Future course :

a. First step is to start the production. Be open and allow the interested genuineworkmen to join the work. Keep trying this for some times.

b. Divert staff members/even managers to support production. If possible,engage contractual workmen for support activities.

c. Look at the possibility to shift some of the work to another unit. If not possible,explore possibility to sub contract some of the work to bring business as usual.As business as usual starts, it will stop hurting the organization. So,management will have patience & courage to take right steps.

d. Be open for a dialogue. But not with external union members and those whohave spread violence and are under police action. Try and work closely with thereasonable, senior & respected workers, whom rest of the workmen will trustand let them take the lead for the masses.

e. If possible, bring in new HR face. Look at possibility to move Mr. Gupta toanother unit & Keep Mr. Saxena away from these discussions directly.

f. Keep the dialogue on. Be kind to the workmen but also be firm to those thingswhich are fundamentally not acceptable.

g. Once strike ends, establish linkages and keep a very close watch on thebehaviour of workmen and act immediately in case of any need. Activate workscommittee under the leadership of right employees & let the dialogue withworks committee members continue and become foundation of resolution ofworkmen's day to day problems to win back the trust and confidence of all theworkers. BM

1. Ms Pratibha Auto Ltd. islocated in NCR. It has 30%permanent, 20% Probationers and50% fix term employment. FTE isboth a bane and boon, dependingon its application.

There are mainly two executivesstaying within factory premisesduring the days of 'Dharana', oneMr. Gupta, Administrative Headand Mr. Saxena, HR Head. The laterwas reporting to the former. Theformer was having closeconnections with the promoters,and hence was capable to turningdown any initiative of later. TheLater was an enlightenedexecutive, having knowledge of theworkers' psychology, ideas toimplement fresh initiatives andwas perceived as influential andtrustworthy person among theworkers.

Due to non adherence to certainunderstanding by the managementof the company, the workers weregradually lost confidence on themanagement. They were provokedby outside leadership to resort tomore aggressive approach againstmanagement. Influenced byoutside Union leadership to adoptmode of agitation, the urge andexpectation/aspirations of theworkers were defeated since ontechnical ground on account ofdelay in confirmation of workers,they were restrained from havingtheir Union registration. Lack ofambience for amicable negotiationand Mr. Saxena being sidelined,internal office politics and legpulling between different HODsmaking the workers disturbed andunsecured with constant efforts ofMr. Gupta not to spare any occasionto let down Mr. Saxena made theissue more complex. The gapbetween the workers andmanagement became very wide onaccount of internal conflict withinthe management and external

Union leaders' provocation for their ulterior motive(s).

To summarise, the internal politics, attitude of Mr. Gupta of lettingdown the initiatives of Mr. Saxena, popularity of Mr. Saxena and envy ofthe HODs, deliberate delayed action with regard to confirmation ofworkers, nonexistence of internal Union, majority of the workers being inFTE meaning no guarantee of permanent employment, delay in settling thewage dispute, restraining of the workers in fulfilling of their aspirations,intensified by the disciplinary actions and court's order inter-alia policeintervention to remove dharana of workers and force applied to removethem from the work premises created a huge "TRUST DEFICIT" betweenthe workers and the management resulting in to anger and violence.

2. Mr. Saxena was highly qualified, experienced and sincerely desired tobring upon a cordial atmosphere and implemented many workers welfareinitiatives, such as provision of uniform, transportation, rewards andrecognition practices, annual function, Holi/Dewali/Puja celebrations typeemployees engagement practices, convincing the top management againstengagement of contract labours, recruitment of 1800 workers in direct rollas an outcome of his persuasion with the top management etc.

He felt shattered due to internal squabbles for not being able to takeforward his proposed initiatives in a desired manner. The inference of Mr.Saxena that attitude of workers and belief that the management andworkers are enemies to each other and not understanding the concept ofharmonious coexistence might be due to his frustration arising out ofhelplessness in not able to taking right kind of initiatives. This thoughtprocess of Mr. Saxena got compounded, since he was not having access tothe top management to share his observations and put hisrecommendations.

3. The deteriorating situation was avoidable. It was within manageablelimit. It is evident that while the workers stayed for 15 days on the pretext ofstrike, yet no much untoward situation did arise. There was no threat to lifeto both Mr. Gupta and Mr. Saxena.

BUSINESS MANAGER JULY 201860

CASE ANALYSIS

R.N. Misra, Advocate, Consultant- HRM & Labour Laws, Bhubaneswar

Remove trust deficit

After 'Reality Bytes - The Role of HR in Today's World', inEnglish and Hindi, Aparna Sharma's second book, 'Between U &Me', is an endeavor to share with the readers, 'extraordinarylessons' from the lives of 'ordinary people'.

All of us encounter obstacles or face challenges in our lives. Asthe challenges become complex, quite naturally, we feel the needfor motivation. While self - help and inspirational books areavailable aplenty, most of them sketch the journey of the who'swho or celebrities whose advice, though genuine, is difficult tofollow for common people. "But why does one need to takeinspiration from celebrities alone?" asks Aparna Sharma. Since itis human nature to share and learn from others, why not seekadvice from 'ordinary' but experienced people around us, who canguide us effectively and practically to resolve our problems?

It is with this thought that Aparna has written the book,'Between U & Me'. What makes Aparna Sharma's book stand outis that unlike the norm, she does not use the lives of famouspersonalities to draw inspiration. Rather, the book portrays the

Aparna's "Between U & Me" book launched

real-life stories of the people around her, who have inspired herand made a positive difference to her life - from her educational topersonal and professional life. The protagonists of this book, areso-called 'ordinary' people, but each is an achiever in his/her ownright. In simple, lucid language, they have chronicled their lifejourneys, the circumstances and the challenges they faced withtenacity to reach the pinnacles of success, for the benefit of thereaders.

They also freely share their hard - earned wisdom, with theearnest hope that the readers would absorb and apply it to achievean accomplished and fulfilling life.

From Smt. Vimla Patil, an octogenarian former editor ofFemina, the first English women's magazine in India, to Dr.Radhakrishnan Pillai, an author, educationist & an entrepreneurwho applies the ancient knowledge given by Chanakya to thebusiness world, to Vandana Jadhav, a household help, tested bycircumstances but firm in spirit, to Dhyanshree Shailesh, a young,guitar-strumming renunciate, they span generations and are fromdifferent age groups and strata of society. However, the commonthread that runs between them is, their attitude towards life andthe fact that the transformation they brought in their lives, beganwith themselves.

The stories in this book cover a gamut of challenges that lifeoffers-ranging from those faced by working women to solebreadwinners to those of a spiritual nature. Each reader will findin the book, something that will resonate with his/her life, eitherpersonal or professional, making it a must-read for people of allages, as well as a wonderful gift. Interspersed with highlightedlearning, the book will give the reader valuable lessons that theycan apply to overcome the twists and turns of life. Moreimportantly, the reader can revisit the book any time he/she feelsthe need for much-required encouragement. The book ispublished by Vishwakarma Publications.

BUSINESS MANAGER JULY 201861

CASE ANALYSIS - REMOVE TRUST DEFICIT

The situation declined because of non-cooperation from highermanagement, the latter not keeping their ears to the ground, gettingmisguided by few, internal conflicts and not interacting with the qualifiedHR head from time to time lead to widening of the gap in understanding theground realities.

4. Since finally good sense prevailed with the top management and theChairman might have understood the ground reality from the HR Head.,some pro-active measures are warranted like :

a) Initiating Confidence building measures, through fresh negotiationswith the workers representative under the prescribed provisions of law.

b) Keep the disciplinary proceedings in abeyance and decide actiondepending upon the outcome of negotiations.

c) Organising negotiations away from work location in peacefulenvironment not approachable by the outside leadership may bringearly results.

d) Negotiating wage issues on scientific manner using the MOST (MaynardOperational Sequence Technique) Model, relating to productivity norm.

e) Revisiting the rewards and recognition schemes and introducing fewemployee happiness and friendship models.

f) Instead of keeping vacuum, allow the workers to form their internalunion with no outsiders. It will provide a sense of security to workersand sense of achievement.

g) Introducing several leadership/workers development programmes topromote awareness and ethics, discipline, code of conduct, productionand productivity mode.

h) Implementing the previously agreed pending issues, like confirmationetc.

i) Creating a regular Workers Management Communication models to

avoid mis-representation bymiddle level management andshop floor politics andultimately to have a direct linkto understand the issues andconcern of the shop floorworkers.

j) Strengthening the Workscommittee activities andregular updating the workerswith business developmentsand their expectedcontributions.

k) Implementing differentengagement modes for workerspartnership for the growth ofthe industries formation ofjoint committees, workersempowerment models.

l) Sharing the gains.

m) Withdrawal of police casesagainst workers, if any.

n) Creation of a managementcouncil, comprising all thedepartmental heads, holdingregular meetings, andemergency meetings as whenneeded. BM

EVENT REPORT

BUSINESS MANAGER JULY 201862

BOOK LEARNING

Intoduction to Law of partnershipby Dr Avtar Singh gives a clearexposition of partnership law.Thecurrent edition has beenthoroughly revised and updated.The book starts with a brief historyand definitions of the PartnershipAct. It further discusses the natureof partnership, mutual relations ofpartners, relations of partners tothird parties, incoming andoutgoing partners,dissolution andregistration of firms andsupplemental details along withtwo Schedules.A separate chapteris devoted to the Limited LiabilityPartnership Act,2008.

Important decisions on issues suchas whether a partner can appoint apower of attorney all by himself todeal with partnership property;whether property brought in by apartner into the business becomesa part of the common stock;whether a partner’s personalexperience is a valuable asset havebeen discussed.

The following are the highlightsof this edition:

1. Covers the amendment madeto the Partnership Act, 1932 bythe Insolvency and BankruptcyCode, 2016.

2. Latest case laws of High Court,Supreme Court and of foreignjurisdictions covered.

Introduction toLaw ofPartnershipAuthor : Avtar SinghPublisher : EBC Publishing (P) Ltd.,34, Lalbagh, Lucknow-226 001Price : Rs. 375/-Website : www.ebc.co.in

The Contract Labour (Regulationand Abolition) Act, 1970 is oneamongst a whole host of laborlaw legislations in India whichwere enacted to give employeesvarious benefits and regulatethe practice of employingcontract labour to get aroundthe labour welfare legislation. Ina country like India theimportance of welfarelegislations, especially in thefield of laour laws cannot beover emphasized. This proved bythe high number of instances inwhich the Contract Labour(Regulation and Abolition) Act,1970 is invoked and the numberof cases delivered by the variouscourts in the country which arecontinuously interpreting theprovisions of the Act in newerlight and newer contexts.

This book contains casesreported till December, 2017from the major labour lawjournals of the country and alsocontains the major rules andregulation, etc. This book will beextremely useful for Employers,Employees, Trade Unions,Lawyers, Industrial Tribunals,Labour Courts and all thosedealing with Labour Laws.

Commentaries onContract Labour(Regulation andAbolition) Act,1970Authors: V.K. Kharbanda & VipulKharbandaPublisher : Law Publishing House,39, Sheo Charan Lal Road,Allahabad-211 003Price : Rs. 1800/-Website : www.lphindia.com

As a psychologist, the author hasconsistently researched on successand innovation. She has wonderedabout the variable that separates asuccessful leader from others? Theanswer perhaps is in this attitudethat has the differentiating powerto transform and to win.

Author believes that the powerfulattributes of optimism that guidedhas in personal and professional lifecan also be replicated by people atlarge. And so the approach of thebook is to delineate the practicalimplications of optimism as a spowerful trait for achieving successand a life of fulfillment. The booktalks about a seventh sense, whichcan be understood as optimismintelligence, to be nurturedthroughout life with far-reachingbenefits to individuals, bothpersonally and professionally.

The seven chapters of the book arecomplete in themselves,yet make acomposite whole and unravel theconcept of optimism steadily andsurely.The book takes you througha roadmap of life situations andemphasizes the fact that cultivatingthe spirit of optimism can empowerindividuals to achieve their drams.

It acts as a virtual handbook andtoolkit that enables readers topractice optimism in real life. Theobjective, through this book, is toempower the youth to becomecreative, innovative andaccomplished beings, andtransform the world into a place fullof peace and happiness.

The Power ofPositivityAuthor : Padmakali BanerjeePublisher : SAGE Publications IndiaPvt. Ltd., B1/I-1, Mohan CooperativeIndustrial Area, Mathura Road, NewDelhi-110 044Price : Rs. 425/-Website : www.sagepub.in

The message in this book is simple:leaders who are able to put thewhole brain into action can optimiseorganizational performance. BothJonsson and de Waal havedistinguished careers in leadershipdevelopment across countries andcultures,as well as in their roles as.

The book begins with the authorsunpacking the challenges of themodern leaders and the realitiesthey are facing (realities that keepon changing dramatically). An 8-dimensional leader is the one whonot only understand his ownthinking preferences but is also ableto understand and respond to thethinking preferences of his teammembers and employees. Theadded value of understanding yourown 8-dimensional profile is that asa leader you can surround yourselfwith people who complement youand assist you in areas where youlack the passion or the skills.Organisation have to reinventthemselves in order to deal with theVUCA world, a world defined by ahigh level of Volatility.

Major shifts in leadership thinkingare necessary. Leadership is nolonger attached to a position; it hasbecome a process.

All this presented in the book,wouldmake you aware of your reality,helpyou to implement Whole BrainThinking, teach you to Lead as aCoach and get you started on thetransformation necessary.

The WholeBrain LeaderAuthors : INGVAR JONSSON &SJOERD DE WAALPublisher : SAGE Publications IndiaPvt. Ltd., B1/I-1, Mohan CooperativeIndustrial Area, Mathura Road, NewDelhi-110 044Price : Rs. 395/-Website : www.sagepub.in

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Assume that you engage a trainee, and don't re-employ him, he buildspressure on you, deliver threats and intimidate you and when you asHR person express your inability to provide re employment, you are

shot at by that trainee/apprentice and his accomplice. Should HR person dis-charge his functions in Haryana at the cost of his life, where industrial rela-tions scenario has confronted with mindless violence on management pro-fessionals and no signs of improvement appears even after passage of muchtime?

Once again this has happened on 7th June in Mitsuba Sical India Pvt. Ltd.established in 2008 who set up a manufacturing facility in Pathredi village atBilaspur- Tauru road in Haryana. It comes in Gurugram district. This Japanesefactory manufactures auto electrical products mainly for Maruti.

Dinesh Sharma is Head HR there. Joginder, an apprentice/trainee wasremoved around three months back as per unconfirmed sources.Disgruntled Joginder along with some other persons started buildingpressure on Dinesh Sharma to get him re employed. The day before theincident as per FIR, one Daya Chand master called Dinesh at Bilaspur Chowk,where Joginder, Krishan and 8-10 other persons were there. Dinesh wasclearly threatened that if Joginder was not taken back, he will be shot. Nextday Dinesh, HR Head while coming from his house in sector 43, Gurugram toFactory, at about 8.20am, reached near GITM College on Tauru-Pathredi road,two persons on motorcycle indicated him to stop, but he did not butaccelerated, then he was shot at from the right side smashing window glassand ran away. Bullets penetrated at back of Dinesh Sharma. He managed tocontinue driving till the office, where his co-workers rushed him to RocklandHospital in Manesar where he is recovering. Police have registered a case atBilaspur police station under relevant IPC sections. Three people have beennamed in the FIR, including the sacked employee and his brother. Theattackers, one of whom was later identified as Joginder, managed to escapefrom the spot. Police have arrested main accused Joginder and Daya Chand,while a hunt is on for one Krishan and others, also involved in the crime.

The matter did not just stop here. After few days, the co. received athreatening letter, in which it is said that either terminate the services ofDinesh Sharma in fifteen days otherwise another Sharma is on target. Co.management have handed over the letter to the police for furtherinvestigation.

The incident is not as simple as it appears on the surface and neithershould it be dismissed as an isolated incident of violence not impacting thewhole industrial environment. It appears an act of professional criminals withorganised efforts to eliminate HR Head and disturb industrial peace.

There remain many unanswered questions:Engaging trainee for fix period and then relieving them is commonpractice and nothing unusual in the industrial area. Almost every industryemploy trainees?Why the negative behaviour and criminal attitude of the assailant could

not be noticed by the management earlier at the time of recruitment orin between during the training period?Is it only an instant provocation of a person to shot at HR Head for thesimple reason that he was not able to re employ him when he wasremoved three months back?Were there any more specific/acute reasons than simple issue of reemployment which management or HR was not aware of or could notascertain?What were the compelling reasons for the injured Dinesh Sharma to gooutside the factory and meet all those assailants on their call and put hislife in danger?When Dinesh was being threatened regularly from some time back, whattop management did to provide protection to HR head and why matterwas not reported to police for proper action to maintain law and ordersituation?

The co. management and police might be investigating the wholecircumstances and situations which led to this unfortunate violent incidentbut for company management now priority should be to:

1. Review the entire HR policies and practices and take corrective measureswhere needed, to ensure that employer relations are not furtherdeteriorated.

2. HR/IR should not be construed as second class function and managementshould empower HR to deliver in collaboration with other departmentmanagers.

3. It is generally seen that there lies a trust deficit among workers anddepartment heads and between department heads and HR. Both do notappreciate each other's point view. This conflict gives rise to unpleasantincidents. There is high need of collaborative approach in managingfunctions of people issues.

4. The recruitment policy should be stringent enough to filter antisocial/criminal/ bad elements even before they are offered for employment.Top management should understand its importance and give enough timeto HR for appropriate recruitment.

5. Managers must soil their hands and learn human psychology to read mindand emotions of employees with devoting time with employees at floor toremove trust deficit.

6. Management should be bold enough to handle intelligently politicalinterference in recruitments.

Murderous attack on HR head

questions employee relations

scenario in Gurugram area again

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BUSINESS MANAGER JULY 201863

HR NEWS

BUSINESS MANAGER JULY 201864

HR NEWS

Govt Wants Employers toRestructure Salaries to Increase

Basic WageThe centre is planning to reform labour laws to ensure

employers do not keep basic income low in order to reducecontributions towards social security schemes. The propos-al to make basic income a major component of salary couldlead to a decline in the take-home pay of workers as contri-butions towards provident fund, insurance and gratuitymay rise alongside a higher tax outgo.

The government has proposed that salaries should bestructured in such a way that allowances for house rent,leave travel and overtime, among others, are capped at 50per cent of the basic pay. Whatever employers offer assalary beyond this will be treated as basic pay, on which thecontribution towards provident fund, insurance and gratu-ity will be decided.

While some trade union leaders have welcomed themove, industry has opposed it fearing an increase in itswage bill.

Labour Ministry puts on holdquarterly jobs survey

Labour ministry's quarterly employment survey (QES),which provides for the number of jobs created in eight sectorsthat account for over 80% of the country's total organisedworkforce, has been put on the backburner owing to the morerecent payroll data which has projected much higher number ofjobs created in the organised sector than the labour bureausurvey shows.

According to the government's first-ever estimate of payrollcount based on Employees' Provident Fund Organisation(EPFO) subscription and data from the Employees StateInsurance Corporation and the Pension Fund Regulatory andDevelopment Authority, over 35 lakh jobs were added in theformal economy in the six months between September 2017and March 2018. But the 6th and 7th QES shows a total of twolakh jobs created between April-September 2017.

While the periods are not comparable as QES data comeswith a lag, the latter is redundant considering its significantlylow numbers and time lag. The seventh quarterly employmentsurvey data showed only 1.36 lakh jobs were created acrosseight sectors, which account for 81% of the country's totalorganised workforce, in the July-October quarter of 2017.

Wage ceiling may be hiked toexpand EPF net

After dilly dallying for more than a year (by talking a U-Turn) the labour ministry may enhance the wage ceilingfrom Rs 15,000 to Rs 21,000 to bring more subscribers underthe pension net. This could cost the exchequer Rs 2,500crore annually and an estimated 6 million people willbecome eligible for minimum pension of Rs 1,000 a monthunder the government's Employee Pension Scheme.

The EPFO had hiked salary threshold from Rs 6,500 to Rs15,000 in August 2014.

This has been a long pending demand of trade unions toexpand the coverage of social security net by enhancingthe wage limit. Very soon, Govt. May announce theincrease.

Ugly truth of females exploitation in H&M's supply

chain in India: ILO Report

There are no easy answers to the question 'how cangender-based violence best be eradicated?' Women'sorganisations, international development NGOs, andhuman-rights campaigning bodies have succeeded inbringing out this crime into the open as a human-rightsviolation and a development concern, but the barriers arestill formidable.

The recent case of gender based violence in H&Msupply chain triggered concerns around this social issue.Are all those talks around gender equality is just a myth?Are we living in an imaginary world when we talk ofwomen empowerments? Are we fooling ourselves and thesociety at large when we share success stories of womenleaders and take pride in celebrating women's day? Yes,indeed. Because, the ground realities are way differentfrom what we can think of.

When H&M's supply chain departments' employeeRadhika raised a complaint against her employer ofsexual violence - the world knew it was true but nobody inthe world has the courage to accept it.

Millions of female workers are forced to work in anintimidating, hostile or humiliating environment, andexperience various unwelcome forms of sexual conduct.Despite its massive scale, sexual harassment in theworkplace remains under-reported because of fear ofdisbelief, blame, or social or professional retaliation.

Gender-based violence, though can be understood asthe use or threat of physical force against an individualbased on their gender identity, but often is inflicted bymen on women, represents one of the greatest risks tohuman potential worldwide. According to the UN, one inthree women worldwide will experience physical and/orsexual violence in her lifetime. Despite this staggeringnumber, less than 40% of women who experience violencewill seek help of any kind, with less than 10% seekinghelp from the police.

Given these facts, Radhika's experience of workplaceviolence not only provides insight into the risk factorsthat leave women workers in H&M garment supply chainsexposed to violence, but also exposes the larger realitiessurrounding gender based violence in workplaces.

In the H&M supplier factory the genderedconcentration of women workers as machine operators,checkers, and helpers in this H&M supplier factory is amicrocosm of gendered hiring practices in garmentglobal production networks. Across Asia, women garmentworkers make up the vast majority of garment workers.In Bangladesh, Cambodia, Indonesia, and Sri Lanka,women workers represent between 80 and 95% of thegarment workforce. In India, women account for atbetween 60-75% of the garment workforce. Women rarely,however, hold management and supervisory positions,states the report by ILO 2018 on Gender Based Violence inthe H&M Garment Supply Chain.

The repots points out that, woman workersconcentrated in low-wage employment at the base ofH&M garment supply chains are at daily risk of violence.So is the case with most other organizations (globally).

Keeping in mind the widespread prevalence of genderbased violence especially in the supply chain system ILOoutlined some recommendations.