Page 202 - DMGT406_HUMAN_RESOURCE_MANAGEMENT

Unit 12: Welfare

12.6 Merits and Demerits of Welfare Notes

Merits

1. Enables workers to have a richer and more satisfying life.
2. Raises the standard of living of the workers by indirectly reducing the burden on their
pocket. Welfare measures will improve the physical and psychological health of employees,
which in turn, will enhance their efficiency and productivity.
3. Absorbs the shocks injected by industrialisation and urbanisation on workers.
4. Promotes a sense of belonging among workers, preventing them from resorting to
unhealthy practices like absenteeism, labour turnover, strike, etc. Welfare work makes
the service in mills more attractive to workers. It improves the relations between employers
and employees. "It promotes a real change of heart and a change of outlook on the part of
both the employers and employees".

5. Prevents social evils like drinking, gambling, prostitution, etc., by improving the material,
social and cultural conditions of work. Congenial environment as a result of welfare
measures will act as a deterrent against such social evils. (Murthy)

Demerits

1. Huge investment.
2. Employees being dissatisfied.

Self Assessment

State whether the following statements are true or false:
1. Governments in different states and union territories offer welfare facilities to workers.

2. Welfare activities undertaken outside the establishment are known as intramural activities.
3. Every factory must have a canteen if it employs 50 workers.
4. A labour welfare officer has to be appointed in every factory having 50 workers.
5. Many employers in public as well as private sector in India have under taken welfare
work voluntarily.
6. The Factories Act makes provisions for recreational facilities for workers and their children.
7. Credit unions provide lower interest rates on loans.

8. Employers try to avoid on-site childcare benefits because of fear of law suits.
9. Length of vacation is determined by level in the organisation.
10. Benefits are extended to employees these days as a condition of employment.
11. Employees often request more welfare amenities to meet their needs.

12. Elder care is currently offered by a majority of factories.
13. Wellness programmes encourage self-directed lifestyle changes.
14. No adult worker is allowed to work in a factory for more than 48 hours in any week.

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