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ARBITER NOVEMBER 20153

Volume 33 No.4 NOVEMBER 2015

ARBITER

JOURNAL OF THE INDUSTRIAL RELATIONS INSTITUTE OF INDIA104, Prospect Chambers, Dr. D. N. Road, Fort, Mumbai - 400 001.

Tel.: 2204 4084 • Email : [email protected]

Editor : Dr. R. Krishna Murthy

Views expressed in the Journal are not necessarily those of the Industrial Relations Institute of India

Editorial Page 4

In the News Page 6

Salient Features

PREVENTIVE VIGILANCEA Tool for Good Corporate Governance Dr. Rajen Mehrotra Page 11Dr. Rajen Mehrotra, immediate Past President of Industrial Relations Institute of India (IRII), Former SeniorEmployers’ Specialist for South Asian Region with International Labour Organization (ILO) and Former CorporateHead of HR with ACC Ltd. and Former Corporate Head of Manufacturing and HR with Novartis India Ltd., hasplaced before the readers of Arbiter the map of the road to go about – if, the stake holders, instead of sufferingsilently, wish to fight corruption, which adversely effects the economic development of the country.

Interviewing for Integrity, Value Fit& People Skills Alex Emmanuel Page 14Alex Emmanuel, Founder Director, PEOPLEPLUS India Prvt. Ltd., Vice-President of IRII is an HRprofessional with over three decades of experience. He makes us aware through the instances narratedas to how the interviewees are able to hide their shortcomings, but the able and expert interviewer canask probing questions skilfully to judge the actual personality of the candidate.

Who is Afraid of Labour Laws! P. N. Samant Page 19Mr. P.N. Samant, a brilliant trade union leader and the brother of late Dr. Datta Samant has exposed the realitysituations as they exist in Maharashtra nearer its capital city of Mumbai in respect of “implementation” labourlaws with several specific instances, and therefore, no wonder, he asks, “Who is afraid of labour laws?”

Success Through Skill Enhancement Dattatraya Ambulkar Page 22Mr. Dattatraya Ambulkar, HR-Management Consultant and Ex-General Manager (HR), Suzlon GlobalServices Ltd., Pune pinpoints the need for all concerned stakeholders, namely, the students,educational institutions, academicians, industry and corporate houses, policy makers and governmentto urgently enhance and transform the “Syllabus to Skills Sets” to achieve the national goal of skilledIndia for ensuring development.

Domestic Enquiry vis-à-vis Criminal Trial R N Misra Page 25Mr. R N Misra, Head HRM – ER, Tata Steel, Jamshedpur has, with the citation of various importantjudgments and decisions, conveyed that the criminal trial by the court and the domestic inquiry by theemployer are independent of each other.

Honesty Dr S. Srinivasan Page 29Dr. S. Srinivasan, MBBS, MD and Lifestyle Coach on Life Skills has highlighted the difference betweenHonesty and Truthfulness resorted to in our dealings with others in day-to-day life based on teachings ofConfucius, and then advises, rather cautions, us: “Be Honest, otherwise be careful”.

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Editorial

Happiness At The Workplace - Real or Elusive?

Can you have happiness at the placeof work? Is it an oxymoron or is it possibleto find Happiness in Work? Work is oftenconsidered drudgery and not somethingone looks up to. Hence the MondayMorning Blues. People do not like to goback to work, after two holidays and haveto drag themselves back.

The top three best places to work in Indiain the year 2015 were RMSI Prvt. Ltd., aNoida based Information TechnologyCompany, employing over 800 employees;the Second was Google India Prvt. Ltd.,employing over 1600 employees, and thethird was Marriott Hotels India Prvt. Ltd.The highest ranking ManufacturingCompany was Forbes Marshall Prvt. Ltd.,employing over 1400 employees, whichwas awarded a rank of 9.

Globally, Google is recognised as theBest Place to work, and there are manyintriguing and interesting things about howit has become the best place to work. Notonly that it is the best place to work, it hasretained its ranking for the last two yearsand the previous year, it was SAS Institutethat was in the first place. This is certainlya matter of great achievement andsomething of interest. The Top threecompanies recognised as the Best Placeto work in 2015 were Google, employingover 56,000 employees globally, an ITfirm. The second, SAS Institute is also inthe Information Technology area,employing over 13,000 employees. Thethird is a manufacturing company, and also

into textiles called W.L. Gore & Associatesemploying over 10,000 employees.

These companies outperformed over700 multinational companies and the factthat these companies were successful inparameters of performance that includethe financial parameters is a big testimonyto the fact that satisfied and motivatedemployees can make a difference to thebottom-line of the company. Apart fromattracting the best talent, retention of talentwas higher and employees enjoyed abetter working culture and environment,giving them that extra space and room forcreativity and innovation that alsobenefitted the organisation.

It is reported that Google had hiredsocial scientists to study the organisationand the scientists, who were part of agroup called Pilab, i.e. People andInnovation Lab – run several experimentsin an effort to scientifically answerquestions about how to manage a largefirm. Typical of some of the research theydid was to ask employees whether theywould like more by way of bonus or wagehikes and the feedback was that theywanted more hikes in the base pay. Theygot a hike in the base pay after this.Smaller findings pertain to issues such ashow long should the lunch lines be. Ideally3 to 4 minutes to get your food. Cafeteriatables were made longer so thatemployees, who don’t know each other,are forced to chat. They also stocked in 8inch plates alongside 12 inch plates

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encouraging people to take smaller,healthier portions.

SAS Institute that was hogging the firstplace for several years, before Googlereplaced it (some say, Google followed thepractices of SAS Institute and beat themto the race) also has a very high degreeof employee involvement in the company,and the company is very sensitive to thefeelings and opinions of the employees.The reason why the company was ratedas the best place to work was that it valuedpeople above everything else. During theworst year of 2009, when companies weredownsizing, all employees were told thatthey would not be asked to go. Rather,they would have to work in the downsizingenvironment and thrive. They made profitswhen other companies were only cuttingcosts. Dr. Jim Goodnight, the CEO of theCompany had the conviction that whatmakes his organisation work was the newideas that came out of the employee’sbrains. He holds his employees in highesteem. At the workplace, SASemployees, and their families, have freeaccess to a massive gymnasium featuringtennis and basketball courts, a weightroom, and a heated pool. An on-site healthcare clinic, staffed by physicians,nutritionists, physical therapists, andpsychologists also is entirely free. Deeplydiscounted child care is available, inaddition to no-cost “work-life” counsellingwhich helps employees more effectivelymanage the stresses of everyday life. And,of course, common work areas areroutinely filled with snacks and treats.According to Jack Poll, a 28-year SASemployee and director of recreation andemployee services, “when people aretreated as if they’re important and truly

make a difference, their loyalty andengagement soar.” The company’sattrition rates for top-notch professionalswas just 2-3 per cent compared to theindustry average of 22 per cent, and thecompany says that it saved the money itwould have otherwise spent on head-hunters, training and restoring lostproductivity. The company also valuestrust as a key ingredient, and permitsemployees complete freedom on thehours they work and when they use thecampus services that provides anythingthan an employee would ever need. Andthe top managers are rated by theemployees every year.

RMSI has been ranked first in the GreatPlaces to Work Study 2006 conducted bythe Grow Talent Company in partnershipwith the Great Places to Work Institute,Inc, USA and Business World. RMSIscored 4.5 on a scale of 1-5 on surveyparameters - Credibility, Respect, Prideand Camaraderie. Neerja Verma, SeniorVice President (Human Resources)opined that RMSI regularly achieved ‘APride of Place’ in external employersurveys and studies such as the GreatPlaces to Work Study and Dataquest IDCIndia’s Top 20 Best Indian IT Employerssurvey. These external endorsementsepitomize the fact that a good organizationis bound together by “a set of employee-centric best practices and values.” Amongthe other unique practices at RMSI thathave been highlighted in the study thisyear, is the focus on “Subject MatterExperts” being groomed to conducttrainings in-house, and an environmentthat is highly ethical and transparent. Thestudy also speaks highly of the “diversity

(Continued on page No. 28)

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In the NewsMaruti Ltd:Hike for Temps

Maruti Ltd. had announced a settlementfor its workers for an amount of Rs. 16,800of which 50 per cent was payable in thefirst year of settlement, and the remaining50 per cent to be distributed in two equalinstalments of 25 per cent in thesubsequent two years. The day thesettlement was announced, it created alot of unrest amongst the temporaryworkmen, who have seen these dramaticincreases for the permanent workmen,leaving them sore. They started anagitation and Maruti, now quite sensitiveto the demands and requests of workmen,promised them that their genuinedemands would be looked into.

The Company has now hiked themonthly wages of temporary workersemployed at the Gurgaon and Manesarplants, including those of SuzukiPowertrain, by 10 per cent. “Following thewage settlement with regular employees,the wages of temporary workers of thecompany have been revised in September2015. The increase is 10 per cent on anaverage,” a company spokesperson said.The increase is effective from April 2015onwards and arrears have been paid tothe temporary workmen along with lastmonth’s salary, the spokesperson added.

Before the hike, the temporary workershad an average monthly salaryof Rs. 15,000 to Rs. 16,000. Last month,the company had increased the wages ofits permanent workers at Gurgaon andManesar plants as well as those of Suzuki

Powertrain by Rs. 16,800 per month on anaverage spread over a period of three years.Following the wage agreement withpermanent employees, temporary workersat the Manesar plant had protesteddemanding hike in their wages. Maruti Suzukihas a total of around 4,000 temporaryworkers at its plants at Gurgaon and Manesar,including that of Suzuki Powertrain.

Arvind Strike:Santej Strife on Bonus Settled

Workers at Ahmedabad-based textileconglomerate Arvind Ltd.’s wovens andknits division at Santej Complex called offtheir three-day-long strike on SundayOctober 25. Demanding wage and bonusrevision, several workers had announcedstrike late Thursday night on October 22,2015 at the plant which saw about 6,000-7,000 workers refraining from work. Thestrike, termed “illegal” by the company,was called off post intervention by Gujaratgovernment’s labour department officials.

“The agitation by some of our workers atthe wovens and knits division at SantejComplex has been called off. All the workershave unconditionally joined the work and theplant is operating normally,” the companystated in an official communiqué.

Apart from making woven fabric withan installed capacity of 132 million metersper annum and knits fabrics with capacityof 10,000 tonnes, the Santej complex alsohas a denim making facility with capacityof approx 20 million meters per annum. The complex has over 11,000 workers.

According to labour departmentsources, the workers’ demands were

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unjustified and violated the terms andagreements that Majoor Mahajan, theorganisation representing the workers hadagreed upon with the company in mid2012. Apparently, Majoor Mahajan too hadtermed the strike “illegal’.” The companyhas already signed a wage settlementagreement with the workers for the period2012 to 2018, under which the workershave been receiving benefits by thecompany. Resultantly, the BombayIndustrial Relations Act, 1946 restrictsthem from striking work, given thesettlement in force. Hence, the suddendemand for another wage revision wasunjustified,” said a senior labourdepartment official.

The official added that the decision tocall off the strike was taken by the workersafter their discussion with labourdepartment officials and company officialson Saturday that lasted eight hours.

Boosting Employment:Tax Sops to Industry

It is reported that the government isconsidering “special incentives” formanufacturing companies that provideemployment to a certain number ofpeople. A working group has alreadysubmitted a report in the matter and thisreport should be in the public domain bythe end of the month. The sectors that arelikely to be part of the new policy includeautomobile, textiles and leather, whichtogether provide employment to over 23million people in the country.

The Prime Minister Mr. Narendra Modi,in his Independence Day speech had saidthat the investment coming to the countryin manufacturing sector should be offeredassistance based on new parameters,

including provision of employment tomaximum persons. He had said thatinvestors who come with an enterprise,which provided employment to maximumnumber of persons, would be eligible fora different kind of economic package.

The new policy accordingly will linkincentives for the manufacturing units insome sectors in proportion to the directemployment generated by them. Once theBihar election results are out, and theWinter Session of Parliament begins, thesecond major phase of labour reforms isproposed to be rolled out.

Paternity Leave:Indian versus International Practice

A report in the Times of India datedOctober 20, 2015 gives the list of Indiancompanies that give Paternity Allowanceto employees. Companies like KotakMahindra gives employees three daysleave. Dr. Reddy’s Laboratories reportedlygives five days of staggered leave withinthree months of the Baby’s birth and newfathers can take off for two hours every dayfor upto six months. Infosys permits fiveday leave and work from home options tothe new fathers. Godrej recently upped thenumber of days a new father can take paidleave from seven to ten working days.Vedantu, a new startup by former IITian’s,an on-line Tutoring Platform that enablespersonalised learning, permits 15 daysPaternity leave with the option to extend it.

According to the World Bank reporttitled Women, Business and the Law(2016), India is not the only country whichdoes not mandate paternity leave. Out of167 of the 173 countries covered in thestudy, a little over 80 countries providedfor paternity Leave. Nordic countries like

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Iceland, Finland and Sweden are the bestfor new Dads. Sweden has a genderneutral parental policy of 480 days, with60 days (now proposed to be extended to90) of non-transferable paternity leave.The salary during this period in Nordiccountries is typically partly paid andgenerally funded by the Governments.Among India’s neighbours, Afghanistan,China, Hong Kong and Singapore grant afew days of paternity Leave. The reportalso contained the table given below.

TERI Sexual Harassment:Complainant Resigns

It is reported that the lady, who hadcomplained against RK Pachauri headingThe Energy and Resources Institute(TERI), has resigned claiming that she hadbeen “mistreated” in the “worst possiblemanner”. The research analyst has hit outat TERI for creating what she has termedas a “hostile environment”, which “onlyescalated and showed no signs ofsubsiding whatsoever.”

She also expressed anguish over theconduct of the Governing Council. She

said that the Governing Council had alsolet her down in an unprecedented way andshe refuses to be associated with anorganisation which did nothing to ensurethat her career was not harmed. Shealleged that the organisation harmed hermentally, professionally and financially.She said that TERI failed to uphold herinterests as an employee, let aloneprotecting them. She alleged that TERIprotected Pachauri and provided him with

full immunity, despite being heldguilty of sexual harassment at theworkplace by its own inquirycommittee.

Expressing her regret at theactions of the governing council, shestated that the council could noteven suspend a man pendinginquiry and took no action despitethe indictment.

Tendering her resignation, shestated that her work profile waschanged and the organisation wasdeaf to her requests for not doingso. No explanations were given forchanging her profile and she

obtained vague responses from theorganisation, and hence she wastendering her resignation.

She has resigned without prejudice toher rights to claim salary, damages andother costs for the gross misconduct andmental torture meted out to her at theworkplace, apart from taking all pendinglitigation to their logical conclusion.

Dr. Pachauri has assailed the verdictof the ICC finding him guilty of the chargesof sexual harassment and the appellateIndustrial Tribunal had stayed the

Country No of Leave Salary % ofDays Paid By Salary

Iceland 90 Government 49

Sweden 90 Government 80

Finland 24 Government 58

Brazil 5 Employer 100

China 3 Employer 100

Afghanistan 10 Employer 100

Hong Kong 3 Employer 80

Singapore 7 Government 100

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operation of the report. The lady haschallenged the matter in the Delhi HighCourt and the High Court had givennotices to both parties, and they havealready filed their affidavits as well asrejoinders to the affidavits in the Court.With her resignation, the matter will nowbe pursued in the High Court. Dr. Pachauriwas given permission by the Court totravel abroad and the Court had directedDr. Pachauri to give copies of the ticketsto the police and on return, he had to reportalso to the Court. Dr. Pachauri has deniedthe allegations against him but the ladyhad given all details of the e-mails andsms messages that were sent to her.

BEST BONUS:Court Order against Strike

The Industrial Court has intervened inthe dispute between Brihanmumbai ElectricSupply and Transport Corporation (BEST)and the strike called by the Unions for threedays from October 26 owing to non-payment of bonus for the last three years.The BEST Corporation, transport wing isrunning in loss and is cross subsidised byits Electricity Department that in turn buyspower from Reliance and Tata’s.

The State Government also invoked theprovisions of the Essential ServicesMaintenance Act deeming the bus servicesand electricity as essential for the public.

A face saving solution was finallyhammered out by the BEST, declaring abonus of Rs. 5,000 to each employee, andthis would entail a burden of Rs. 25 crorefor its 40,000 employees. The BEST alsohas a Rs. 25,000 crore debt burden and itsoperations in the transport wing were makinglosses, and its fleet of 3,800 buses has runup an accumulated loss of Rs. 2, 400 crore.

Cabinet Approves Hike:Bonus Act Limits Enhanced

On October 21, 2015, the UnionCabinet approved a proposal to raise thesalary threshold for mandatory bonus forworkers from Rs. 10,000 a month to Rs.21,000 a month, and the bonuscomputation that was being done on amaximum salary of Rs. 3,500/= wasproposed to be doubled to Rs. 7,000/=.The Maximum Bonus of 20 per cent thatwas Rs. 8,400/= under the earlier Act,would now double to Rs. 16,800.

Bonus is payable to any employee, whohas worked for 30 days in the FinancialYear and who would be drawing below Rs.21,000 p.m. The amendments areproposed to be made effective April 1,2015. A new Bonus Bill will have to bepromulgated to make the changeseffective and also passed by both the LokSabha and the Rajya Sabha, and then getPresidential assent.

The revision of the salary limits was lasteffected in 2007 and given effectretrospectively from April 1, 2006. We mayexpect a similar change being notified witheffect from April 1, 2015.

Proposal to Hike Maternity Benefit:

It is reported that the Government isconsidering revising the present 6 monthsmaternity benefit to seven and a halfmonths leave. The discussions have beeninitiated with the tripartite groups to arriveat a consensus and the change would beannounced as part of the social securitycode that the government is proposing.

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l iquidated, or continues to l ive incomatose. Organisation for Economic Co-operation and Development (OECD) hasdefined Corporate Governance as“Structure of relat ionships andcorresponding responsibilities among acore group consisting of shareholders,board members, corporate managersdesigned to best foster the competitiveperformance required to achievecorporation’s primary objective”. Theabove definition brings out the relationshipand responsibilities; however, the same isexpanded and operated by every countryon the roles, audits, compliance andreports with the shareholders, key stakeholders and the board members andcorporate managers. This has involved theavailability of a whistle blowing policy toprevent fraud/corruption, investigatecomplaints of fraud/corruption and alsopunish those involved in fraud/corruption.

PSUs and Private Sector Units to operatehave to obtain the necessary permissions/approvals and also regularly interact, complywith various laws of the land and file variousreturns with the revenue and non revenuedepartments of the local, state and centralGovernment. Practically every PSU andmost large Private Sector Units has a policyof not bribing or paying speed money toanybody including the Government officials,and at times to overcome critical hindrances/difficulties/delays that they face in dealingwith certain departments of the local, stateand central Government authorities, mostof them have been using consultants, whofor a fee deal with these authorities to getthe work done. This is the escape route thatmost PSUs and Private Sector Units take,though there are units where the worksuffers when approvals are not granted andsome of them also take the litigation routeto get the approvals.

Experience of most industries andestablishments, who have dealt with thelocal, state and central Governmentinspection machinery, is that the officials,who come on visits to enterprises, areprimarily interested in finding areas of noncompliance/deviation and rarely undertakeany advisory role. Most of the inspectors/officials in their official interaction during theirinspection visits, while identifying areas ofnon compliance/deviation, at times, giveveiled threats of prosecuting the head of theindustry/establishment. Quite often theconcerned employer or his representatives,due to ignorance of the various sections ofthe laws, become vulnerable to suchpressure tactics. At the same time, there areindustries/establishments whose practicesdo not meet the requirements, as per law,and instead of complying with the same, areinterested in finding easy solutions.

We need transparency and corrupt freepractices in the local, state and centralGovernments, through use of higherquantum of e-governance, where variousforms and returns can be filed electronically,decisions communicated electronically inspecified time frame and all transactions andpayments to be tracked and madeelectronically. There is need to reduce andlimit discretionary powers of the junior levelofficers, which should be with only seniorofficials. The present practice of issuingveiled threats of prosecution of theexecutives of the industry/establishment bythe inspectors/officials in their officialinteraction needs to be eliminated.Importantly, the laws need to change wheredeviations in the first instances should resultin a fine rather than prosecution, if we desireto get rid of the inspector raj still widelyprevailing at the local, state and centralGovernment levels, in our country.

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Interviewing For Integrity, Value Fit & People Skills

ALEX EMMANUEL

“An excellent candidate! Let’s hire him!”comments the Director HR of a Telecommajor. Others on the interview panel nodtheir heads in agreement. “What I likeabout him is the passion for work!” saysthe Marketing Head. The Branding andCommunications Head appreciates thefact that he spoke highly of his ex-employers and has so manyachievements to his credit. He is soanalytical in his approach. He has all thefacts on his fingertips. He is the kind ofperson, who would deliver on the promisesfor the company.

Not an unfamiliar conversation forthose who are/were involved in hiring fortop levels in the corporate sector.

The candidate is hired. A heftycompensation of 8 million plus! After all,he has been selected from amongst 20shortlisted candidates. Top managementhas invested their time. He is sure to provehis mettle, and contribute to the bottom-line. His energy levels, communicationcapabilities, past experience andeducational credentials are proof enough.

On the job, situation turned out to bealarming. That promising candidate, whohad the streak of a winner lies to hiscolleagues, gives false promises to all andsundry. He badmouths everyone in theorganization. There are doubts about hisintegrity as well. He uses the company carfor personal trips, hires it for third parties.Company Books & Periodicals arephotocopied. Whole text books for the

neighbour’s children are photocopied inoffice. His medical reimbursement billsinclude fairness cream, mouth wash,sunscreen et al. Expense reports arefudged; creatively. Customers complain ofhim. Promises galore to customers thatno one can fulfil!

Litany of agonies for the boss goes onand on. He criticizes his predecessors.Back stabs colleagues. Takes credit forwhat others do. Blames galore for thesubordinates, and all credits for himself.He is unable to motivate and retain staff.The anguished team members leave inhoards. Indeed an exodus, which the HRis trying to stem. The worst is yet to come,as he does not even believe that anythingis wrong with people leaving or for thatmatter ‘attrition’ matters. Good at publicspeaking he is, but turns out to be a poorcommunicator and cannot ensure willingparticipation of people on the job. He iscomfortable contracting out jobs and notmotivating professionals to give in theirbest. In short, he does not display any ofthe Leadership attributes that he spoke ofso highly of during his interview.

More often than not, these instancesare dismissed as yet another recruitmentfailure. The damage is done. Eh! Let himgo! One bad apple! One more painfullyfamiliar experience to be forgotten by all!After all the HR head believes in a 5 percent recruitment error.

What are the reasons for these‘recruitment failures’ as we call them? Hewas interviewed for knowledge, and skills,

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of course. He met all the “eligibilitycriterion”, but not “suitability criterion”. Hewas not interviewed for ‘competencies’and ‘Value fit’. Most of our people,including a large number of HR Leadersdo not have the competence to interviewfor values and competencies. That takesus to the eternal debate – can an interviewhelp gauge a candidate’s integrity/Value-fit, and what about the people skills?

In the current context of the boomingIndian Economy, where companies acrosssectors are in an expansion/growth/diversification mode, where employees haveoptions available in the job market, whereevery manager also needs to be a leader inhis/her own right in order to retain the team,hiring honest professionals with people andleadership skills, who fit in the company’sValues is an absolute imperative.

Many HR heads express a generaldesperation. Though they may not get thecredit for the successes, they are oftenanswerable for recruitment failures. Aska CEO when was the last time s/hecomplimented the HR team for theirrecruitment efforts. The HR functionarieshave to meet the ‘best-fit demand by’ aline manager (who looks for the perfectfit), within the compensation band directiveby the CEO, and in some instances theboard. And to add to it “its all yesterday’srequirement for all” at the review table, nomatter if they delay giving a date for theinterview or take 15 days to review theshortlisted applications.

Let’s get back to the issue in question.Are we helpless when it comes to hiringfor value fit and people skills? Certainlynot! Do we have to approach renowned

organizations to administer sophisticatedtests? Not really!

Through that time tested, ever sofamiliar, interview process, one can judgemanagers for people skills and Values.By training all those members on theinterview panel and making that extraeffort to check, cross check and discussthe ethical dilemmas faced by thecandidate, situations encountered andtrack record of achievements in peoplemanagement, one can interview forpeople skills and value fit.

What do sceptics say?

“A dishonest and unethical person isnot likely to be honest in your interview”,they say. “He will know how to camouflagehis failures and predicaments.” Not so,most of the times. Both research andexperience prove the other way.

A candidate who is so focused onthe task to the exclusion of people, whodoes not believe in a participative styleof management is most likely to sayso when situations and work contextsare discussed. The candidate wil ldefinitely not say it in so many words,but a trained interviewer will be ableto ask probing questions skilfully andget the actual personal i ty of thecandidate to be revealed.

People with low integrity tend to believethat the world is a dishonest place and thateveryone is dishonest to a degree. Theytend to believe that their behaviour isnormal and that the interviewers are likelyto think the same way. They believe thatsmall offences (bribing a police man),umbrages and transgressions areacceptable. Skilfully articulated questions

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and situations will bring in the value andpeople beliefs of the person.

In one case, when I was interviewing acandidate, many years ago, for the TataTele Services – the candidate was fromone of India’s largest corporations, shestated that anything done to influencepoliticians and bureaucrats is acceptableas that is the way it is. On being asked ifpeople misuse the situation to make a fewextra bucks for themselves, the answerwas “That is okay as long as the work isdone”. Those who believe that peoplehave to be goaded, pressurized, made todo their work and that people involvement,participation, recognition, andempowerment are management clichés willsay so in a number of ways. Anothercandidate, whom I interviewed from aninfrastructure major, said that there isnothing that his subordinates do that cannotbe outsourced and that all these talks aboutretention initiatives are sheer time wasters.A lady candidate once told me at theinterview that as a secretary, she helps herboss make a few extra bucks: ingeniously/imaginatively and innovatively, of course.Her justification was, “He has really beendiscriminated against in the organizationas the CMD’s secretary, who is all toopowerful, has a grudge against him.” Howdoes the boss reciprocate the secretary (forhelping him fudge the bill, of course)? Hedoes not have to. The lady is a goodperformer, on the job otherwise. She getsthe highest increments and at times a fewexpensive gifts.

Whi le discussing with seniormanagement professionals, the issueof attrition and retention initiatives, theirbeliefs about People Managementcome to the fore.

Interviewing skills are important.

Incorporating integrity and peopleskills questions in the interview isimportant. However, it calls for certainskills. The interviewer needs to have theskil l to establish rapport with thecandidates, establishing such ‘one-to-one’ equation is important. Empatheticlistening skills need to be developed.Empathy does not amount to agreeingwith the other person. It helps you togauge the feelings of the person in thecontext of an ethical dilemma.

You may not altogether reject a personcoming from certain corporate houses,where indulging in unethical practices isthe norm rather than an exception. In suchcases, you will need to use your skill ingauging the feelings, emotions andbehaviour in other contexts.

Once, during an interview at ABB, acandidate narrated a story as to how shehad to pad up the bills and manipulate theexpense accounts to make up for themoney she spent to get certain informationthat was vital for the organization. She didso as rivalry and mistrust with the bossdidn’t allow her to keep him posted. Thelady was selected, after a thoroughreference check, and placed as a topfunctionary. And she proved to be anasset; more than willing to live theorganizational values.

Of course you have to paraphrase yourquestions by giving an acceptablerationale for the candidate to open up. Forexample, you can say, “It is almostimpossible for anyone in Mumbai not tocompromise”; “I am told that even an

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income tax commissioner has to payblack money to buy a house”; “In thecorporate jungle, at times, survivalbecomes di ff icul t wi thout somecompromises”; “Everyone breaks therules some time or the other in anorganization” and so on. These kindsof statements put the candidate atease, which make him reveal the trueself unconsciously.

Research has proved that more than50 per cent of the candidates makemistakes (inadvertently, of course, whilewriting their resume). Time has to beinvested to scrutinize the profiles ofcandidates interviewed for top positions.One has to be careful aboutinconsistencies in the résumé. Theconfidence with which the candidates referto previous bosses, subordinates andpeers also are useful indicators.

One has to be extremely careful not tomake notes when the candidate narratesexperiences relating to ethical conduct.

Way back in the 80s, in the Excel group(Excel Crop Care/Excel Industries) the HRteam was instructed, encouragedsearching for those who believed in theprinciples of trusteeship and societalcommitment. In an Indian family controlledorganization with which I was associatedin the early stages of my career, thedirectors were always above board andtruly the embodiments of corporate values.They espoused the principles oftrusteeship; invested huge amount ofmoney and time on societal initiatives farmore than most other corporates do/farmore than the profits permitted, at times,

and won awards consistently andcontinuously at the national level for suchinitiatives. It was possible to interviewcandidates to gauge if they believed insharing and being ‘involved’. Thequestionnaire that was prepared helpedthe line managers too to interview fortrusteeship and commitment.

The questionnaire prepared around theorganizational core values and beliefs canskilfully be used in an interview context togauge value fit and people skills. It’s apractice followed in most of theorganizations that we are engaged with.

Multiple questions, multiple contexts,probing for identifying patterns ofbehaviour in different contexts, early lifeexperiences, parental influences anddiscussion on corporate practices will helpthe interviewer, to get an insight into thecandidate’s organizational fit in terms ofValues and People skills. Encouragingcandidates to share events/incidences/experiences in real life, asking open endedprobing questions and gauging thefeelings/emotions will help.

This article has been written arising outinteractions and inputs with my colleaguesMs Pallavi Wagle and Ms Tanvi Matondkaras also based not only on my ownexperiences in conducting interviews ofcandidates for various positions, as amember of the Interview Panels, but alsolearning from and discussions with theparticipants at the Workshops onCompetencies conducted, including thenotes in HBR and Conference board.

NOVEMBER 201518

ARBITER NOVEMBER 2015

P N SAMANT

Who Is Afraid Of Labour Laws!

19

The Maharashtra Government, in linewith the policy of Shri. Narendra Modi, theHon’ble Prime Minister is waiting anxiouslyto make amendments in various labour lawswith the sole motive of inviting moreindustries, especially the foreign investmentin the State. The employers organizationsare not losing any opportunity to toe the lineof the Government, in assailing some of theprovisions in the existing labour laws likethe Factories Act, Contract labour Act,Section V-B of the Industrial Disputes Actand even the Trade Unions Act to curb theformation of unions and also to preventoutsider union leaders to handle the unions.

The first step taken by the Chief Ministerof Maharashtra was to reduce the numberof forms required to be submitted byindustries and online filing of various returns,which will neither be examined nor verifiedor inspected by the respective GovernmentDepartments. The Inspectors would nothave any right to inspect the factories at theirdiscretion but may have to wait for thecomputer which will indicate or guide theinspection procedure.

No wise citizen of this country wouldcriticize the policy of inviting more industriesin the State. Nobody will also oppose theremoval of excessive restrictions whereverpossible or to reduce drastically (three orseven days?), the time required to grantpermits or licenses to industries. It ishowever observed that this decision ofgranting permits in three to seven days isnot at all implemented, and another so calledattractive law is being made to limit theperiod to be taken by a Government

Department for each prescribed servicewhich if not followed, will invite action.

For the purpose of working class, it willbe interesting to note that an employershall be given registration for engagingcontract labour (in hundreds or even inthousands) in his factory and thecontractors, the license to engage contractlabour in this factory within three or sevendays. If the licenses are not given in thestatutory period, it will be deemed to havebeen granted! No comments!

Incidentally, we would politely request theHon’ble Chief Minister to also issueinstructions to the Labour Commissioner’soffice to issue registrations to trade unionswithin three days or to issue certificates formodifications in the Constitutions of theunions, etc. within a reasonable time, as ittakes months and years at present.

Now are even the simplest andbasically required labour laws beingfollowed by the employers!??!

A number of workers from some factoriessituated in Khalapur-Khopoli industrial areain Raigad District have approached us. Weare extremely surprised to know theirconditions in this area which is just 70-80kms. from Mumbai City.

One dal manufacturing factory atKhalapur has about 50 workers and over100 mathadi workers. They had majorgrievances of payment of very low wagesfor 12 hours a day working, not knowing theirstatus whether they are permanent,temporary or contract workers, salary paidin cash, no overtime payment for 12 hour

ARBITER NOVEMBER 201520

working, no PF, no weekly offs, etc. Whenthe employer learnt that the workers wereapproaching the unionists, a local politicalleader got the resignations of all workerssigned. He might have given thememployment earlier. However this matterwas taken to the police station whichenabled the workers to cancel theresignations. Still four workers wereremoved for whom the AssistantCommissioner of Labour, Panvel wasapproached, who was kind enough toinstruct the employer to take them back.

Now the same political leader has appliedfor a license for engaging contract workersin the factory may be to treat all the workersas his contract workers. Fortunately, theworkers got wiser now, and a new union hasbeen registered; and a Complaint ULP isfiled and the employer has given anundertaking to the Industrial Court at Thanenot to terminate them, etc. In a major eventthe political leader has given a promise tothe unionists that he will no longer interferein the employment of these workers, whichis perhaps a big achievement for this area.Incidentally, this being a dal manufacturingfactory there are more than 100 mathadiworkers, none of whom is registered in anymathadi board in spite of the famousMathadi Workers Act, a major achievementof the State Government. Naturally theseworkers are not getting any statutorybenefits like PF, paid leave, gratuity, etc.,which the Mathadi Boards are giving bycollecting a levy from the employers.

The second is a Steel Factory engaging300-400 workers, all on contract and all aremigrators from northern states of UP, Bihar.They are also doing 12 hours duty, no PF,paid less than minimum wages, no overtimewages, no weekly offs, etc. Salary is paid incash and not through bank.

The third is a packaging industry withabout 300 permanent and 250 workerson contract, who are working for 12-13years. They do not get any PF orGratuity, if they leave. Peculiarly some50 hands are directly appointed asexecutives, who are performing thesame duties as other workers.

The fourth is a wire drawing factoryemploying 400-500 workers, who arepaid less than minimum wages and nostatutory benefits.

The fifth is a flowers nursery situated ona big landscape on the bank of the river,engaging few hundred women workers, whoare found to be mostly from Bengal. Theywork for the whole day with their childrenalso staying in the premises during workinghours. No service conditions laid down.

Another big commercial unit is engagingabout 1200 workers. Some educatedqualified workers are given appointmentletters of various terms. Some are employedon fixed term period, while some areemployed for 12 months extending theperiod yearly, and at the end of one periodsimply stopping him at the gate without anywritten or even verbal instructions. Theappointment letters are 4-5 pages long,which are signed by so called “AuthorizedSignatory”, whose name is not mentionedbelow his initials. Will anybody be identifiedas having appointed this technically qualifiedemployee, when necessity arises?

The appointment letters carry manyservice conditions most of which arecovered by Model Standing Orders, and yetin the last para of this 30-odd para letter, itis stated that besides all the conditionsmentioned therein, the workman has toabide by “the Service Rules/Regulations as

ARBITER NOVEMBER 201523

The plan should also identify the areas foremployee development plan, particularlyfor those employees whose roles arecritical from the operation and businesspoint of view. The process should be inapposition to provide the correctivemeasures in order to bridge the skill gapin a time bound and planned manner.

Scope: The skill sets normallycomprise of Technical Skills, Conceptualor Analytical Skills and the Behaviouralskills. The level of the particular skill mayvary from position to position and dependsupon the role and responsibilities of theindividuals. Apart from categorizing theseskills sets, their adequacy needs to beframed keeping in view the specificrequirements of the organisation.

Execution and Documentation: Theexecution of such initiatives solelydepends upon its communication,articulation, execution anddocumentation, and all these phases areequally important. This can be ensuredthrough adequate involvement of allconcerned and essentially with therespective employee, his superior/manager and the HR resource involvedin the process. Proper documentation ishelpful for seeking and providing theclarity to all and ensuring properexecution of the whole process.

Review and Re-visit: The schemesuch as skill enhancement has to havethe back up of timely and structuredreviews, and one should be even open andflexible to revisit the framework on needbased basis. This would in turn providethe scope to improve the prevailing andcurrent trends and skill levels amongst theemployees, and provide the revisedversion and framework.

Skills of Freshers: Evaluating the skilllevel of freshers is comparatively easy andcan be mapped and even enhanced easily.However, the focus has to be given as tohow much domain or role related inputsare given at the campus or at the institutelevel so as to evaluate the newly qualifiedstudents as candidates.

Of course, multiple types of efforts arebeing made on this front through the nodalagencies like National Skills DevelopmentCouncil as the apex body, the state levelcouncils in the respective states, andworking at different industry clusters, theApprenticeship Boards, the State levelTechnical Education Departments,Employers’ Associations and even theCorporates and Public Sector enterprises.These efforts are being focused on the skillenhancement at the entry level, and havealready started giving the encouragingresults, and at the same time, there isemphatic need to have more efforts tohave better impact.

It has also being discussed andappreciated that more collaborative effortsby the stakeholders in the process of skillenhancement at the entry level arerequired to accelerate momentum of theprocess. This should go beyond thecurrent procedure of getting the recentlypassed out candidates through the usualcampus visits and selection, and calls forthe involvement and interaction ofacademicians and representatives of theindustry on a common platform.

Usually the fresh students are recruitedfrom Industrial Training Institutes,Technical Polytechnics, EngineeringColleges and Business Schools. Theseeducational institutions are largelyinstrumental in providing the basic

technical or subject specific education,including the vocational educationacross the country. The agewisestatistics shows that among the numberof pass outs from these institutes, 25 percent population is below 14 years, 50 percent population below 25 years and thebalance 25 per cent happens to be below35 years of age. Based on this premiseand as per the recent estimation, by theyear 2020, the average age of Indiansis likely to be 29 years.

The above figures essentially meanthat the number and the percentage ofemployable Indians is going to be higherand increased on year to year basis verysoon. These trends are in consonancewith the increasing trend of educatedand literate people in our society, whichin a way is encouraging. For example,when we got the independence, thepercentage of people knowing onelanguage was 12 per cent, which nowhas increased to 75 per cent.

Despite the encouraging scenariomentioned above, the fact remains thatthe percentage of employable youthamong the literates and educated youngones is getting reduced day by day and ina very fast manner. The major cause forthis is that the young ones although aregetting educated fast and in large quantity,they simultaneously lag in theemployability aspects mainly because ofthe lack of skills currently sought andpreferred in the employment market.

It is pertinent to note that from the freshengineering graduates; only 30 per centare actually employable and can beemployed by the industry. The customizedacademic curriculum aligned with both theprevailing, as also the prospective

requirements of industry, would definitelyaccelerate the process and chances ofemployment as well as enhance theemployability of such qualified youth.

This can be effectively brought aboutby the institutions and the industry throughmutual collaboration and consultation ina reciprocal manner. For example, theacademic curriculum, which needs to belooked into, can be revisited and evenrestructured, taking into account thechanging requirements of the industry.They need to interact and get aligned toget the syllabus customized to skillsrequired in the concerned stream of theeducation. This can be aptly tagged as“S2S” meaning the transformation fromSyllabus to Skills sets.

It is the need of the hour that theeducational institutions take thecognizance of the changing and changedrequirements of the trade and industry,and make necessary and correspondingadditions, alterations and deletions in thecurriculum. There is urgency no doubtand, therefore, the change should becarried out without losing any further timeand in most practical and focused manner.

One of the most prominent successstories in this regard comes from thepioneering efforts initiated and executedby ICICI Bank and NIIT, who haveevolved and successfully implementedthe most customized PG Diploma inBanking and Financial Services. This haspaved the practical and mutuallysupportive way for the Institute, the Bankand even the students in everyperspective. It also confirms the need andthe mutual and multiple benefits to theconcerned stake holders. “S2S” couldthus be the effective way forward.

ARBITER 24 NOVEMBER 2015

ARBITER NOVEMBER 2015

R N MISRA

Domestic Enquiry Vis-A-Vis Criminal Trial

25

Many a times the workman commitsmajor misconducts like theft, fraud,dishonesty or riotous behaviour etc. Theincident being reported, the managementusually takes very serious view of thesame and adopts dual approach, namely,lodging FIR against the Act of misconductand simultaneously initiating disciplinaryaction within the organisation. It has furtherbeen observed that on completion of theenquiry, the management imposes penalaction by awarding punishment asprescribed under the provisions of theCompany’s Standing Orders, which alsoinclude discharge or dismissal from theservices. Later on, in the criminal trial, thealleged workman is acquitted, may be onaccount of lack of evidence or technicalerrors. Since the workman is alreadypunished by the Company’s internaladministration, preceded by a detaileddomestic enquiry, few questions are raisedby the aggrieved workman –

i) Whether the establishment shouldhave awaited for outcome of thecriminal trial,

ii) Whether the Company is justified inawarding punishment prior to disposalof the criminal trial,

iii) Whether the acquittal in the criminaltrial has a bearing on the outcome ofthe domestic enquiry/penal action,and

iv) Whether at all the Company shouldhave adopted dual approach i.e. bothinitiating penal action of law of the

land and domestic enquiry as per itsStanding Orders.

It is, therefore, very pertinent to discussand analyse the issues raised asmentioned above.

A domestic enquiry is conducted inpursuance to the provisions under theCompany’s Standing Orders andpunishment is awarded accordingly. It isusually conducted within theorganisation and the general law of theland i.e. the Law of Evidence or similarother laws are not applicable in adomestic enquiry. It is a settled principleof law that the ‘standard of proof’ in adomestic enquiry and in a criminal trialis entirely different. The Hon. SupremeCourt in the case of Cholam RoadwaysLtd. V/s G. Thirugnanasamkbandam(2005) 3 SCC 241 has clearly held as under:

“15 – It is now a well settled principle oflaw that the principles of evidence haveno application in a domestic enquiry”

The Hon. Apex Court has also heldwhile relying on the findings in MaharastraState Board of Secondary & HigherEducation V/s K.S. Gandhi &Ors. (1991)1 SCC 773 as under:

“16. It is thus well settled law that strictrules of the evidence Act and the standardof proof envisaged therein do not apply todepartmental proceedings or domestictribunal. It is open to the authorities toreceive and place on record of thenecessary, relevant, cogent andacceptable material facts, though notproved strictly in conformity with the

ARBITER NOVEMBER 201526

evidence Act. The material must begermane and relevant to the facts in issue.In grave cases like forgery, fraud,conspiracy, misappropriation etc. seldomdirect evidence should be available. Onlythe circumstantial evidence would furnishthe proof. In our considered viewinference from the evidence andcircumstances must be carefullydistinguished from conjectures orspeculation. The mind is prone to takepleasure to adopt circumstances to oneanother and even in stretching them a littleto force them to form parts of oneconnected whole. There must be evidencedirect or circumstantial to deducenecessary inferences in proof of the factsin issue. There can be no inferencesunless there are objective facts direct orcircumstantial from which to infer the otherfact which does surely established. Thestandard of proof is not proved beyondreasonable doubt but the preponderanceof probabilities tending to draw aninference that the fact must be moreprobable. Standard of proof, however,cannot be put in a strait jacket formula.No mathematical formula could be laid ondegree of proof. The probative value couldbe gauged from the facts andcircumstances in a given case. Thestandard of proof is the same both in civilcases and domestic enquiries”.

The Hon. Apex court distinguished thestandard of proof required in a criminalcase and in a domestic enquiry. In theaforementioned case, the Hon. Court hasobserved as under:

“19 – It is further trite that the standardof proof required in a domestic enquiryvis-à-vis a criminal trial is absolutely

different. Whereas in the former“preponderance of probability” wouldsuffice; in the latter “proof beyond allreasonable doubt” is imperative”.

It is also a settled principle of law thatthe criminal court has no power to takedisciplinary action against the delinquentas the said power vests with thedisciplinary authority. It is also settledprinciple of law that pendency of a criminalcase is not bar to continue with thedomestic enquiry. As the nature of proofrequired is different in both theproceedings, it cannot be said that rightof workmen would be prejudiced.

In the criminal trial, the prosecution isrequired to prove its case beyondreasonable doubts and the role of theaccused in putting up in defence isminimal. The whole burden to prove theguilt of the accused that too beyondreasonable doubts is on the prosecution.However, in a domestic enquiry thedepartment has to prove the charges ofmisconduct by preponderance of evidenceand the delinquent has to disprove it. Thussubject to extension of fair opportunity todefend afforded to the workman, there isno constitutional bar for conducting twoparallel proceedings on the samecharge(s) and both the proceedings cango simultaneously. Both the proceedingsare of independent nature and findings inone proceeding do not in any way effectthe findings in the other proceedings.

Another point which needs examinationis whether a subsequent acquittal of theworkmen on the criminal trial, theAppellate Authority is bound to set asidethe penal action as per the provisions ofthe Certified Standing Orders. In the case

ARBITER NOVEMBER 201527

of Dy. Inspector General V/s S.Samuthiram (2013) 1 SCC 598, theSupreme Court had observed as under:

“26 – As we have already indicated, inabsence of any provisions in the servicerules for reinstatement, if an employee ishonourably acquitted by a criminal court,no right is conferred on the employee toclaim any benefit including reinstatement.Reason is that the standard of proofrequired for holding a person guilty by acriminal court and the enquiry conductedby way of disciplinary proceedings isentirely different. In a criminal case, theonus of establishing the guilt of theaccused is on the prosecution and if it failsto establish the guilt beyond reasonabledoubt, the accused is assumed to beinnocent. It is settled law that the strictburden of proof required to establish guiltin a criminal court is not required in adisciplinary proceedings andpreponderance of probabilities issufficient. There may be cases where theperson is acquitted for a technical reasonor the prosecution giving up otherwitnesses since few of the other witnessesturned hostile, etc. In the case on handthe prosecution did not take steps toexamine many of the critical witnesses onthe ground that the complainant and hiswife turned hostile. The court, therefore,acquitted the accused giving benefit ofdoubt. We are not prepared to say that inthe instant case, the respondent washonourably acquitted by the Criminal courtand even if so, he is not entitle to claimreinstatement since the Tamilnadu Servicerules do not permit so”.

This judgement was later on followedby the Hon. Supreme Court in case ofCommissioner of Police, New Delhiand another V/s Mehar Singh (2013) 7

SCC. It was further followed in the caseof State of West Bengal and Ors. V/sShankar Ghosh 2013 (14)_ Scale,wherein at para 16 the Hon. Court hasheld as under:

“16. We indicate that the respondentcould not lay his hand to any rule orregulation applicable to the police forcestating that once an employee has beenacquitted by a Criminal Court, as a matterof right, he should be reinstated in service,despite of the disciplinary proceedings. Inother words there is no rule of automaticreinstatement on acquittal by a criminalcourt even though the charges levelledagainst the delinquent before the EnquiryOfficer as well as the Criminal Court arethe same …..”

In the case of Divisional Controller,Karnataka State Road TransportCorporation V/s N G Vittal Rao (2012)1 SCC 442 at para 11, the Hon. SupremeCourt has observed as under:

“11. The question of consideringreinstatement after decision of theacquittal by a competent criminal courtarises only, and only, if the dismissal fromservice was based on conviction by acriminal court in view of the provision ofArticle 311 (2) (b) of the Constitution ofIndia, 1950, or analogues provisions in thestatutory rules applicable in a case. Actionin a case where enquiry has been heldindependently of the criminal proceedings,acquittal in a criminal court is of no help.The law is otherwise. Even if “personstood acquitted by a criminal court,domestic enquiry can be held the reasonbeing that the standard of proof requiredin a domestic enquiry and that in a criminalcase is altogether different. In a criminalcase, standard of proof required isbeyond reasonable doubt while in a

ARBITER NOVEMBER 2015

domestic enquiry it is the preponderanceof probabilities that constitute the testto be applied”.

From the aforementioned discussion,it is apparently very clear that a domesticenquiry and a criminal trial on a sameallegation run parallel to each other. Theacquittal in a criminal case does not havea bearing on the punishment awardedpreceded by a detailed domestic enquiry,conducted as per the principles of naturaljustice. Further unless there is a specificrule in the Company to withdraw/revokethe punishment, the delinquent cannotseek any relief on ground of acquittal.While the criminal trial is based on ‘beyondany reasonable doubt’, in the domestic

enquiry, it is the preponderance ofprobabilities. In a criminal trial the onus ofproof fully lies with the prosecution but ina domestic enquiry while the managementtries to prove the misconduct, thedelinquent is also responsible to disprovethe misconduct. Last but not the least, thedomestic enquiry can be held on the sameallegation even if there is criminal trialpending before the criminal court. Theyare independent to each other. However,if there is a punishment awarded arisingout of a conviction to the delinquent bythe criminal court and no independentenquiry has been held on the sameallegation the delinquent is entitled to seekrelief/revocation of the punishment.

of projects” at RMSI. According to RajeshKalra, Managing Director, “the gettingthere part (to being a great work place)was easy. This is the base thatemployees have come to recognize.Anything after this has to be a significantvalue addition. And that’s a tough ask!”The study spanned all industries in Indiaincluding Health, Insurance, Hospitality,Manufacturing, Consulting and IT. Morethan 121 organizations participated andover 16,000 employees were surveyed.A unique employee-centric methodologywas adopted to measure the levels oftrust, pride and camaraderie inorganizations. Workplaces were rankedon a point scale in a combination ofquantitative and qualitative data based onthe opinion of employees.

Whether you can’t wait to get back towork or hate going back to work has a lotto do with the individual and to some extentthe organisation. The people make the

organisation and if the organisation isgreat, the people are the ones who madeit great. Getting the best of the people youhave is entirely different from getting thebest people. The best people may cometogether, but getting to be the greatestorganisation is brilliant managementleadership, and the CEOs of theseorganisations and the HR need to take abow for their achievements. No unionproblems also in such organisations.Employers must take lessons from thesedevelopments and re-engineer theirorganisation to make it a happy place towork. Happy employees also producebetter profits. The Shareholders will alsolove this, not just the employees. Theorganisation will also become an objectof envy. Let HR professionals andmanagement thought leaders ponder overhow these organisations have become thebeacon light for others. Rearing to go towork on a Monday? Welcome aboard forcreating a happy organisation.

Editorial

Happiness At The Workplace - Real or Elusive?

(Continued from page No. 5)

28

ARBITER NOVEMBER 201529

DR. S. SRINIVASAN

Honesty

Honesty is a reflection of moralcharacter and denotes positive, virtuousattributes such as integrity, truthfulness,and straightforwardness along with theabsence of lying, cheating, or theft. All thisis more easily said than done. Even withthe best of intentions to be honest, onemay come through looking or soundingdishonest.

In simple terms, honest communicationis one in which you say something truthfulto another person, the other personreceives truthful information from you, andyou are communicating honestly. What’sinteresting is that when people talk abouthonesty, they rarely seem to take intoaccount the other person’s interpretation.If you say A and another person hears B,your intention and even the content of whatyou said may have been honest, but thecommunication was not.

For example, you could point out a flawin a friend of yours with the intention ofhelping him/her in overcoming it and theymight perceive what you said as apersonal attack or an insult, a way ofdegrading or humiliating him/her. Again,this is – you say A, they hear B. Youhonestly wanted to help; they think youare being malicious. This is just oneexample of how honesty can bemisinterpreted,

In discourse a statement can be strictlytrue and still be dishonest if the intentionof the statement is to deceive its audience.Similarly, a falsehood can be spokenhonestly if the speaker actually believes itto be true, assuming the speaker does notunfairly reject or suppress evidence.Conversely, dishonesty can be definedsimply as behavior that is performed withintent to deceive or to manipulate the truth.

Confucius

ARBITER NOVEMBER 201530

Confucius recognized several levelsof honesty, fundamental to his ethics:His shallowest concept of honesty wasimplied in his notion of Li: all actionscommitted by a person to build the idealsociety – aiming at meeting theirsurface desires of a person eitherimmediately or longer term. A keyprinciple was that a “gentleman” muststrive to convey his feelings honestlyon his face; so that these could helpeach other coordinate for long term gainfor all. This generates self-honesty andkeeps such activities as business calm,unsurprising, and aboveboard. In thisconception, one is honest because itsuits one’s own self-interest.

Deeper than Li was Yi or righteousness.Rather than pursuing your own interestsyou should do what is right and moral –based on reciprocity. Here too time iscentral, but as a time span: since yourparents spent your first three years raisingyou, you spent three mourning them afterthey died. At this level one is honest aboutone’s obligations and duty. Even with noone else to keep you honest or to relateto directly, a deeply honest person wouldrelate to ancestors as if they were aliveand would not act in ways that would makethem ashamed. This was part of the moralcode that included ancestor worship, butConfucius had made it rigorous.

The deepest level of honesty was Ren,out of which flowed Yi and thus Li.Confucius’ morality was based uponempathy and understanding others, whichrequired understanding one’s own moralcore first, rather than on divinely ordainedrules, which could simply be obeyed.

The Confucian version of the GoldenRule was to treat your inferiors as you

would want your superiors to treat you.Virtue under Confucius is based uponharmony with others and a recognitionof the honest reality that eventually (sayin old age) one will come under the powerof others (say one’s children). So thislevel of honesty is to actually put oneselfin context of one’s whole life and futuregenerations – and choose to do or saynothing that would not reflect one’sfamily’s honour and reputation forhonesty and acceptance of truth, such aseventual death.

“If you have made mistakes, even serious ones, there is alwaysanother chance for you. What we call failure is not the falling down

but the staying down.”

- Mary Pickford