INDIAN FARMERS FERTILIZERS

COOPERATIVE LTD.

A
PROJECT REPORT

ON

LABOUR WELFARE SCHEMES

AT IFFCO

SUBMITTED TOWARDS
THE REGULAR FULFILLMENT OF THE AWARD OF THE PROF.
COURSE OF MASTER OF BUSINESS ADMINISTRATION (MBA)

UNDER THEGUIDANCE OF:

SUBMITTED BY:

Mr. ARUN KUMAR SAXENA

DESH RAJ SINGH

ASSISTANT MANAGER (HR)

MBA. III Sem(HR)

(P & A DEPARTMENT)

ROLL NO. 0701670021

IFFCO, AONLA (BAREILLY)

U.P.TECHNICAL UNIVERSITY, LUCKNOW

DURATION: FROM 2nd JUNE TO 9th AUGUST 2008

ACKNOWLEDGEMENT
Every experience requires the help of a number of
people for it to be truly rewarding. No. work can be done in
vacuumed. The accomplishment of this project would have
not been possible individually without encouragement,
assistance and valuable support from various sources.
Through it is customary to thanks all those who
helped me in this project, but since the report of my
summer training as part of my course curriculum for
MASTER
OF
BUSINESS
ADMINISTRATION
(MBA)
programmed so I take this, Opportunity to offer my
gratitude to a number Of helping hands for their cooperations and advices to enable me to bring up this
project report.
My training in IFFCO INDUSTRY has been a worth
while experience because of the help I received from a
number of people here and I would like to take this
opportunity to extend my heart felt thanks of all those who
made my training a good learning process.
First of all, I express special gratitude to my project
guide Mr. Arun Kumar Saxena, Assistant Manger (HR) (P&
A Department) IFFCO Aonla, Bareilly for encouraging me
take this topic for research work and providing the
stimulus for putting my heart and soul into it.
I am deeply indebted to Mr. N.C. Nigam (Sr.
G.M.
IFFCO), who gave me permission for training and made
necessary arrangements for the same.
I take this opportunity to express my appreciation
and deep sense of gratitude to Mr. D.C.. KALTA, Manager
Training, IFFCO, AONLA, for the moral support.

My sincere thanks also go to Mr. K.K. PANDEY,

training Officer, IFFCO, AONLA, Who allowed me Summer
Training in IFFCO and gave me his suggestions, invaluable
time and criticism, whenever needed.

Last but certainly not the least, I would like to thank

to all the members of IFFCO INDUSTRY who provided me
with the information and the facilities for the execution of
the project.
Finally I would like to thank my teachers and parents
for their guidance, and friends who helped me in the
completion of this report.

DESH RAJ SINGH

PREFACE
A comprehensive practical study of management is a
supplement to the theoretical classroom knowledge. It
helps to understand the subject more precisely.
This report tries to outline idea of professional world
and helps in understanding the pragmatic aspect of
management functions. Own observations are significant
towards the contribution in learning the subject. The
report is therefore, designed as a reference of organization
functioning rather than copy down instrument.
The purpose of vocational training is to make
management student familiar with day to day functioning
of business. The present report is an effort in this
direction.
My humble endeavor and motive in presenting the
project report is to impart a balanced introduction and
knowledge of functions of HRD which is an important
integral part of Personnel management.
It is hoped that this project will serve as a supportive
document to research workers as efforts has been tried to

make this report an informative, stimulating and self

explanatory.

CONTENTS
ACKNOWLEDGEMENT
PREFACE

PART-A
INTRODUCTION ABOUT IFFCO
ORGANIZATION CHART OF IFFCO
OBJECTIVES OF IFFCO
GROWING FOR STRENGTH TO STRENGTH
VISION AND MISSION

 CORPORATE PLANNING
VISION 2010
IFFCOS LOGO
HUMAN RESOURCE MANAGEMENT SYSTEM (HRMS)
LAUNCHED

PART-B

INTRODUCTION ABOUT IFFCO AONLA UNIT

ORGANIZATION CHART OF IFFCO

PERFORMANCE HIGHLIGHTS OF IFFCO
SERVICES TO FARMERS
SAILENT FEATURES OF IFFCO
AONLA UNIT
MOTTO OF IFFCO
MAJOR AWARDS RECEIVED BY IFFCO
NOTABLE ACHIEVEMENTS OF IFFCO AONLA
PROBLEMS OF THE ORGANIZATION

PART-C

PERSONNELL DEPARTMENT

INTRODUCTION
PRIMARY FUNCTIONS OF PERSONNELL
DEPARTMENT
ORGANIZATION STRUCTURE OF P&A DEPARTMENT
VARIOUS SECTIONS UNDER PERSONNELL
DEPARTMENT AT IFFCO

PART-D

EMPLOYEE WELFARE THEORY

INTRODUCTION
MERITS OF WELFARE MEASURES
TYPES OF WELFARE ACTIVITIES
CHAPTER V OF FACTORIES ACT

PART-E
EMPLOYEE WELFARE AT IFFCO
WELFARE MEASURES OUTSIDE THE WORK-PLACE

 IFFCO TOWN-SHIP
SIPSA
SOME OTHER NON STATUTORY/ VOLUNTARY
WELFARE SCHEMES
1. LOANS
2. MEDICAL BENEFITS
3. TRANSPORT

PART-F
CONCLUSION
BIBLIOGRAPHY

INTRODUCTION ABOUT IFFCO

Indian Farmer Fertilizers Cooperative Limited was
established in 3rd November, 1967 with the principal
objective of the undertaking manufacture and marketing of
chemical of fertilizers. In order to fullfill these goals IFFCO
had set up the KALOL plant for manufacture of
nitrogeneous fertilizers and kandla plant for manufacture
of phosphoric fertilizers. These plants commenced
commercial production in the year 1974-75.
IFFCO has emerged as Asia's largest fertilizers
cooperative with its four modern sophisticated plants at
kalol and kandla in GUJARAT and Phulpur and Aonla in
Uttar Pradesh. IFFCO is country largest producer of
nitrogenous and complex fertilizers with the total
production capacity of 2.6 million tones and contributes
approximately 13% of the fertilizers produced in the
country.
The membership of IFFCO today comprises of 30,000
Cooperative Societies from village to the national level
spread over in 18 states and 3 Union Territories and the
total paid up share capital as on the date stands at over Rs
362 crores.
IFFCO is co-promoter with the government of India in
Krishak Bharati Cooperative Limited (KRIBHCO) and has
contributed Rs.97 crores to the equity of KRIBHCO. IFFCO
is also co-promoter with the government of AP in the
GODAWARI FERTILIZERS AND CHEMICAL LIMITED
(GHCL) and has contributed Rs 52 lakhs in the equity of
INDIAN POTASH LIMITED (IPL).
The society has been implementing projects through
financial assistance from the world bank and indigenous
public financing institutions who have prescribed their own
requirement for drawl of funds procurement producers and
accounting etc.

Organization Chart Of IFFCO

Board Of Directors
Chairman & Vice Chairman
Managing Director

Director
Director
Marketing Finance

Executive
Dir. P&A

Executive
Dir. Tech.

Executive
Dir. P&D.

OBJECTIVE OF THE COMPANY

During last 35 years of existence, IFFCO has taken a
remarkable step forward and has established itself as
Asias largest fertilizer company. The broad objectives of
setting up this venture are as follows:
1) The main thrust of IFFCOs activity is an increasing
agricultural productivity through balanced fertilization.
2) Some of the innovative endeavors of IFFCO in the
pursuit of its commitment to serve the farming community
are village and district adoption programs, intensive
fertilizer - promotion campaigns and reclamation of
problematic lands.
3) It aims to promote the activities for enriching the life of
rural masses playing a role of catalyst by village adoption.
4) To create a healthy social atmosphere by establishing
some health care centers in clusters of villages.
5) To create scientific awareness among the farmers.

6) To ensure availability of fertilizers at the farmers

doorstep.
7) Other side of IFFCO is to provide relief to rural masses
at time of contingencies and to help them in the treatment
of wasteland.
IFFCO has grown steadily since its inception today. It
has emerged not only as the largest fertilizer producing
organization in India but also Asias largest fertilizer cooperative.

GROWING FOR STRENGTH TO STRENGTH

Channeling the power of the unity,IFFCO has become
an unchallenged frontrunner in India's initiatives.On the
other hand, is its massive manufacture base both working
in tandem to serve the needs of millions of farming
families, nationwide?
On last count, IFFCO has membership of a whooping
36,000 member societies seperate across INDIA.This year's
fertilizers prodution of 55.50 lakhs tones in the highest
ever by IIFCO,further increasing it's lead as the no. 1
fertilizers organisation in India.In 2004-2005,IFFCO'S
pants contributed narely a fifth to nations total
nitrogenous and phosphoric
fertilizers production.
IFFCO production capacity not only offers the best
quality product but also enables production at the most

competitive cost,constant improvement in energy efficient

has been a major focus area a part of optimization of
operational cost.
At IFFCO, we are firmly on the track laeding to
farmer's service. A long journey, perhaps w/o an end but
with every action a matter of delight an satisfaction for us
economy.

VISION & MISSION

VISION

To augment the incremental incomes of farmers by

helping them to increase their crop productivity through
balance use of energy efficient fertilizers; maintain the
environmental health; and to make cooperative societies
economically and democratically strong for professionalized
service to the farming community to ensure an empowered
rural India .

MISSION

1. To provide to farmers high quality fertilizers in right

time and in adequate quantities with an objective to
increase crop productivity.
2. To make plant energy efficient continually review various
schemes to conserve energy.
3. Commitment to health, safety, environment and forestry
development to enrich the quality community of life.
4. Commitment to social responsibilities for a strong social
fabric.
5. To institutionalize core values and create a culture of
team building, empowerment and innovation which would
help incremental growth of employees and enable
achievement of strategic objectives.
6. Foster a culture of trust, openness and mutual concern
to make working a stimulating and challenging experience
for stake holder.
7. Building a value organisation with an improved and
responsive customer focus. A true commitment to
transparency accountability and integrity principle and
practice.
8. Souring raw matreials for production of phosphoric
fertilizers at economical cost by entering into Joint
Ventures outside India.
9. To ensure core and non- core sector.
10. A true Cooperative Soceity commited for fostering
cooperative movement in the country.

CORPORATE PLANNING.
NITROGENOUS FERTILIZERS PROJECT OMAN
(OMIFCO):-

IFFCO along with other joint partners is setting up

an ammonia urea fertilizers project is OMAN with an
annual capacity of 16.53 lakhs MT UREA and 2.5 lakhs MT
AMMONIA. The project cost of US$ 969 million is being
financed with DEBT: Equity Ratio of 2:1. Against the total
equity of US$ 320 million IFFCO has contributed 25%
equity amounting to US$ 80 million.
Natural gas as feed stock for the plant will be
spplied by the govt. of oman under a long term gas supply
agreement. The Govt. of India (GOI) wil purchase the entire
urea production from OMIFCO under a 15 year urea off
take agreement .IFFCO will purchase the entire surplus
Ammonia under 10 year Ammonia off take agreement.
Impementation of the project commenced on
August 15, 2002.The project is expected to be commisioned
with in schedule and the comercial production is expected
to start by 15 July 2005. We are happy to inform that trial
production of Aommnia started on March 28, 2005 and of
April 12, 2005.

VISION 2010

In order to maintain the sustained pace of remarkable

growth being achieved under the MISSION 2005, the
Society is in the process of formulating another growth
plan VISION 2010.
The Fertilizer pricing policy environment in the
country continues to be uncertain. In order to sustain
growth and ensure adequate return to the member
shareholders on the investment, IFFCO is exploring
opportunities for diversification into other areas of
profitable business apart from investments in the fertilizer
sector. In its foray into other sectors, the Society
strengthening cooperative infrastructure and cooperative
system with overall - emphasis on strengthening Rural
India. Accordingly, the following main objectives have been
kept in view while formulating the
VISION- 2010.
1. Attaining an annual turnover of Rs. 15000 crore by
2010;
2. Installation of Ammonia and Urea plants including
acquisition of fertilizer units;
3. Backward integration to meet feed-stock requirements
such as phosphoric Acid etc;
4. Generation of power;
5. Exploration / Distribution of Hydro-carbons;
6. Production and marketing of micro-nutrients, seeds, bio
fertilizers, pesticides etc;
7. Value addition to Agro-products and marketing;
8. Manufacture of Petrochemicals;
9. .Banking and Financial Services;
10. Information Technology and IT enabled services.

IFFCOS LOGO
Logo's ratio is 1:2:5 and the color is green. The
rectangle shows that the Indian economy is depend upon
the agriculture and green color shows the faith of the
farmers, they believe that after using the urea their fields
will always be green, the remaining white color shows that
the quality of the IFFCO's product is very good and oval
shape is meant for the wealth and prosperity.
IFFCO's are four pants:
1. KALOL
2.KANDLA
3.PHULPUR
4.AONLA

Having the capacity of the production of 4.7 million

tonnes of fertilizers. IFFCO's all plant have been avhieving
the annual capacity utilization in the range of 122-120% in
the critical condition of the limited supply of the natural
gas.

HUMAN RESOURCE MANAGEMENT

SYSTEM (HRMS) LAUNCHED
The ambitious FIRMS Package of IFFCO was formally
launched on June 4, 2003 at New Delhi. In a simple but
elegant function, the President of IFFCOs Employees
Union, Mr. Bharadwaj, launched the software and reviewed
one of the modules after entering his personal number and
password. Shri S.C. Mittal (General Manager, Management
Services) gave an over view of the package and explained
the usefulness of the package to the organization. Mr.
Rakesh Kapoor (Finance Director) and Shri S.K.Mishra (ED
Personnel & Administration) and other dignitaries from
Employees Union, Officers Association, production units,
marketing and corporate office graced the occasion.
The HRMS package is software of wide dimensions
and touches almost all aspects of employee related
activities. It consists of about 35 modules and provides an
exhaustive MIS for managers at various levels for
monitoring and also provides an elaborate Employee
Information System (EIS) to update employees on
information pertaining to them. Important modules include
Payroll,
Establishment,
Time
Office,
Medical
Reimbursement, Provident Fund, Loans & Advances and a
host of other modules that address all the requirements of
all the employees of the Society.

The launch of HRMS, in tandem with the IFFCOs

Wide Area Network, heralds a new approach of wide
ranging unified and integrated systems throughout the
organization that can result in a boost to employee
productivity

ABOUT AONLA UNIT

The IFCCO AONLA unit is located in gangetic plants
of Uttar Pradesh Bareilly district about 28 km. South-west
in Bareilly-Badaun-Aonla road. It was set up on 08
January 1985 and started commercial urea production at
16 July 1988. The infrastucture of Aonla unit is very big
and constructed on 713 acres of land.
IFFCO AONLA unit is one of the most efficient and
quality-wise as well as environment oriented unit so that
M/s KPMG Peat Marwick, a qualty registrar has certified it
as ISO:9002 unit and M/s BVQI London has accredited it
as ISO:14001 unit. The Aonla unit, an Ammonia -Urea
complex is comprised of the two phases:
AONLA-I
AONLA-II
AONLA-I was established in 1988 and it was
digested to nation by honarable prime minister of India late
SHRI RAJEEV GANDHI on 17 May 1989.

AONLA-II was established in 1996 December. This

unit was digested to nation by honorable prime minister of
India SHRI I.K.GUJRAL on 28 Jauary 1997.
The total capacity of both the phases is 891000
million tonnes ad 145200 millions tonnes per annum of
ammonia and urea respectively. there are two streams of
ammonia and four streams of urea.
The natural gas from H.B.J pipeline being supplied
from Bombay highway is the feed for the plant. AONLA I
was commenced on May 1988 and AONLA II was on
December 1996. Both uits are acheiving the annual
capacity utilization 116%.

Organizational Chart at Aonla Unit

Unit Head
General Manager

Manager
Finance

Manager

Manager

Manager

Production Maintenance (HR)

Manager
Marketing

Manager Personnel
Administration

PERFORMANCE
YEAR 2004-05

Manager

HIGHLIGHTS

FOR

THE

The following are the performance highlights of IFFCO:Production of Fertilizers

61.54 LAHK TONNES

Production of Urea

37.14 LAKH TONNES

Production of NPK/DAP

24.40 LAKH TONNES

Highest sale of fertilizers

64.64 LAKH TONNES

Profit before Tax

Rs.470.92 CRORE

Profit after Tax

Rs.319.64 CRORE

Turnover

Rs.7224 CRORE

Plant Productivity

1510 tonne/head

Marketing Productivity

4042 tonne/head

SERVICES TO FARMERS
Agricultural Extension and fertilizer use promotion
programs as an integral part of the marketing activity.
Programs are conducted at Area / State / Zonal Offices

under the guidance of agricultural scientists. Programs

undertaken are:
Balanced fertilization programs
Adoption of villages
development

for

all

round

socio-economic

Farmers visit to various agricultural institutes and

research farms
Farmers Meetings, Field Days and Crop Seminars
Mobile Soil Testing Laboratories with Audio-Visual aids

FARMERS BENEFIT PROGRAMS

IFFCO from its very inception has been alive to its
responsibility of increasing the agricultural productivity
through promotion of scientific farming among the farming
community including balanced fertilization. IFFCO field
staff use the whole range of methods such as field
demonstration, farmers meeting, soil testing, crop
seminars, field days, distribution of mini kits etc. to the
weaker sections of the community for effective transfer of
improved agricultural technology.

FARMERS SERVICE CENTER

IFFCO has established about 200 Farmers Service
Centers where all essential inputs like fertilizers, seeds,
agro chemicals and guidance for their judicious use are
provided under one roof. The agricultural implements like
seed cum fertilizer drills, sprayers, dusters etc. are also

provided to farmers on custom hiring basis. Considering

their popularity among the farming community, IFFCO in
collaboration with NCDC is presently engaged in developing
2500 co-operative societies on the pattern of IFFCO
Farmers Services Centers.

FARMERS INTEGRATION SCHEME

To fulfill its objectives of serving the farming
community, the society has drawn up a scheme of farmers
integration under which the farmers from one part of the
country are taken to another part in small groups. The
objective is to expose them to modern agricultural heritage,
social customs and lifestyle of different regions of the
country and thus to achieve the objective of national
integration.

SOME FEATURES OF IFFCO AONLA UNIT

MANAGEMENT INFORMATION SYSTEM
In keeping pace with changing time, management
information system has been given due status at Aonla
Unit. The unit has a campus wide computer network using
client-server technology. Fiber Optic Cable of about 7 Km
length runs throughout the plant and forms the nerve
system of network. All networking components like state of
art switches and hubs have been provided by IBM The
network comprises of 200 No of clients and- 5 No. of
servers. Most of the clients are Pentium and Pentium MMX
Computers. IBM Rs.6000 is the main server having AIX
and Oracle 8.0 on it. Rest is Windows NT and Netware
Servers. All functional areas of the Unit have been
computerized. The network is connected to all Units, Head
Office and Marketing Offices via satellite through NICNET.
Lotus Notes 4.5 on Windows NT facilitates e-mail within
and outside the country.
Aonla Units own website has been placed on Internet
so as to enable others to know about the success story of
Aonla Unit.

ENVIRONMENT MANAGEMENT
IFFCO understands its responsibility towards the
environment, therefore, to maintain the ecological balance,
Zero Effluent Technology has been selected for its plants.
The effluent from various plants undergoes extensive
treatment and collected in lagoons from where it is used for

irrigation of: the green belt. A large 80 meters wide green

belt has been created around the plant. Some of the
important environment management facilities provided are,
dedusting system disc-oil separator, hydrolyser, nonchromate cooling water treatment program and separate
effluent treatment plant. The air quality is also monitored
continuously.
The environment parameters that are monitored are
well below the MINAS and other pollution standards. The
logons area has become natural habitat for the migratory
birds during winter season and can excel as any picnic
resort.

Quality Control
Being an ISO: 9002 Unit, IFFCO Aonla lays much
emphasis on customer satisfaction through quality
objectives. To meet its quality objective, a full-fledged
laboratory has been established to monitor quality of
production process at various stages round the clock and
as well as the inputs and final product Urea.

Community Development
IFFCO being an institution is committed to work for
the improvement of the socio economic conditions of rural
population around the plant. Aonla Unit has adopted
several villages under its village development scheme .Hand
pumps, road construction, school building and other
amenities have been provided in the surrounding villages.
Medical camps, free distribution of medicines, polio and
diphtheria vaccines, family planning and social marketing
are the few activities undertaken in these villages. Subah
Ladies Club of township also plays active part in social

welfare by running an education center for the education of

poor children.

Human Resource Development

Employee development leads to the organizational
development. IFFCO has grasped this fundamental truth.
A fully functional Training and Development Section has
been created to provide learning avenues to the employees.
Most of the employees are recruited as trainees and then
required to undergo extensive off-the job and on -the job
training in various disciplines. Other managerial and
developmental training is also arranged in -house as well
as at the other prestigious institutions. The developmental
activities do not end with employees but extended to the
families also.

Fire and Safety

Safety and fire prevention bring the primary factor of
well being of an organization. Therefore a well equipped fire
and safety section has been established in addition to
various in built safety features of the plants and their
technology. Fire and Safety section has been provided with
sophisticated and modern facilities like fire fighting tenders
, rapid intervention vehicle , fire proof clothing , personal
protective equipments , explosive meters, safety belts, air
breathing apparatus , etc.
To inculcate safety habit in each of the employee, various
safety seminars, training and competitions are organized
from time to time. A detailed on -site emergency plan has
been developed and practiced at regular intervals to
maintain preparedness to meet any eventuality.

MOTTO OF IFFCO
1.

EXCELLENCE IN ENERGY CONSERVATION.

2.

COMMITMENT TO BETTER ENVIRONMENT.

3.OVERALL COMMUNITY AND RURAL DEVELOPMENT.

MAJOR AWARDS RECEIVED

KALOL
Seven Awards for overall, performance from FAI.

 Two Awards for Industrial safety from GOI.

Award for Technical Innovation from FAI.
Two Raj Bhasha Shields for performing Hindi.
Award for Safety From National safety Council,
Chicago.
Indo German Greentech Environment Excellence
Award.

PHULPUR
Four Awards for Productivity from NPC.
Six National Safety Awards from GOI.
Two awards for Overall Performance from FAI.
Two awards for Technical innovation from FAI.
Three National Energy Conservation Awards.
Three Awards for best Environment Protection from
FAI.
Best Environment Excellence
German Greentech Foundation.

Award

Best technical Paper award by FAI.

KANDLA

from

Indo-

 Twelve safety Award from National Safety Council,

Bombay GOI.
Twenty three Safety Awards from Gujrat Safety
Council, Barada.
Nineteen Awards for Safety from National Safety
Council, USA.
Letter of Appreciation
Conservation.

from

CEB

for

Energy

Raj Bhasha Award for Promoting Hindi.

Six Awards for Overall Performance from FAI.

OTHERS
Three awards for Best Display in FAI Exhibitions.
Two awards for Highly Commendable Accounts.
Award in
Planning.

Appreciation

of

Awards for Best House Journal.

Initiative

in

Family

NOTABLE ACHIEVEMENTS OF IFFCO,AONL

Aonla Project Mechanical completion
within 36 months from zero date.

achieved

Commissioning of Ammonia Plant within 36 days

from the process feed cut-in into primary reformer.
Commencement of commercial production in just 42
month from Zero date inspite of delay in supply of
natural gas by M/s GAIL and C02 compressors by
M/s BHEL.
Implementation of Aonla Project has been taken as
modal for future projects by Govt. of India.
IFFCO has bagged two prestigious National AwardsOne for best project implementation. (Second prize) by
Ministry of Program Implementation, Govt. of India
and other for technical film new horizons- Aonla
project (Second prize) byFAI.

ASCI, Hyderabad have adopted implementation of

Aonla project as a model case study for there general
management level courses.

The consumption of energy per tonne of Urea

produced at Aonla has been record lowest in Indian
fertilizer industries.
The project was implemented with a saving of Rs. 30
Crore from the original estimate of Rs.696 Crore.

Doordarshan, Lucknow and Delhi in its National

Network presented the story of the Aonla project

highlighting project completion and its other social

activities.
Development of 50 meter inside green belt around the
factory to keep the environment cleans.
National Energy Conservation Award 1995 (first
prize) in the Fertilizer Sector by Ministry of Power,
Govt. of India.
Certificate of Merit from NPC for performance in the
year 1993-1994.

PROBLEMS OF THE ORGANISATION

IFFCO Aonla Unit is a natural gas based fertilizer plant
set up on Hazeera Beejpur Jagdishpur (HBJ) Pipeline.
This pipeline is running through four states and has
become very old there by posing a threat for the IFFCO
Aonla Unit.

The IFFCO Phulpur Unit is a non- gas based plant

running on Naphtha and Coal. The problem faced by it is
that the cost of Naphtha is very high thus increasing the
cost of production.

The IFFCO Aonla Unit is a subsidized organization but

the Government of India is trying to finish this subsidy as
soon as possible.

The Aonla Unit is also facing a problem of shortage of

gas; therefore, the cost of production is growing higher.

PERSONAL DEPARTMENT
The Personal Department is The Heart Of Any
Organisation, Which Act A Source Of Inspiration and
guidance in evolving personnel policies and frame rules
and regulation for grown and development of employee and

to sens their deep commitment and sens of belonging to

the organisation. one of major factor contributing to the
need for a personal department in the fire place in the
complexity and sophistication of most personnel /human
resource activities.

The primary functions

deparment are:

of

the

personnel

1) Organisational planning and development.

2) Staffing and development.
3) Training and development.
4) Compensation, Wages and Salary administration.
5) Motivation and incentives.
6) Employee services and benefits.
7)Employee records.
8) Labour and IR.
9) Personnel Research and personnel audit.
10) It is responsible for initiating and evolving sound
personal policies, procedures and practices.
11) It is responsible for laying uniform service conditions
for all the employees.
12) It hold periodic meetings and discussions with
representative of all recognized unions for resolving issues
of company wise nature and inter in to agreement in
respect of wages and allowances and allied matters.

Organizations Structure of P&A Deptt.

Executive Director

(Head Office)
J G M (P&A)
Chief Manager
Senior Manager
Deputy Manager
Senior Personnel/Senior Administrative Officer
Personnel Officer/Administrative Officer
Jr. Personnel Officer/Jr. Administrative Officer
Sr. Assistant
Jr. Assistant

Various section under personnel Department at

IFFCO

HRD CELL
The cells have been created at divisional levels to ensure
effective implementation of HRD plan with special
emphasis on Identification of development needs and
preparing manpower for future needs.
It carries out following activities:

a) Recruitment: For recruitment and selection both

internal as well as external sources are used.

b) Internal recruitment: Lower grade employees are

promoted to higher grades according to the eligibility
criterion.

c) External Sources: No agencies are hired. Vacancies

are notified in employment Exchange, advertisement in
News paper in also given. Usually, external recruitment is
resorted only when internal sources dry up.

2) Selection: After screening of application suitable

applications are called for psychological, personality
physical tests and interview. Selection is done by a
selection committee. It consists of Head of concerned
Department, Specialist and member from Personal
Department.

3) Training: Most of the employees are recruited as

trainees and then required to undergo extensive off the job
and on the job training in various disciplines.

Posting and Transfers:

Regardless of the post to which an employee is initially

appointed and the station where he is posted. IFFCO
reserves the right to transfer him from one post to another
equivalent post and from one station to another, anywhere
in India or abroad.

Promotion:
IFFCO has a fixed and written promotion policy which is
based on both seniority and merit. Usally it is based on
both qualification as well as cadre.

Termination :
An employees service may be terminated at any time on
one months (but not less than 30 days) notice on either
side or by the emp1oye

Industrial Relation :
The organization has set up healthy traditions in
encouraging and fostering cordial and, harmonious
industrial relations in dealing with employees.

The main functions of IR section are

as follows:
1) Compliance of statutory provisions.
2) Dealing with unions.
3) Participate Dispute.

 Welfare:
This sections deals with various welfare activities. (Like
sport and cultural programmed for employees, Canteen
facility etc.)

Time office:
Keep track of employee attendance. Employees are given
electronic cards which are to be electronically punched at
the time of entering or leaving the office.

Provident fund :
IFFCO has its Own Board of Employees Provident fund as
per EPF and misc. Provisions . Act, 1952 and PF benefits
shall be as IFFCO EPF rules.

Retirement:
Retirement and super annotation shall be at the age of 58
years.

Various Section Under Administration

Department:
Estate Office:
Takes care of sanitation of plant and township, allotment of
houses, shops etc. Administration department also take
care of indirect facilities like medical , HBL, libraries etc.

Horticulture:
Looks after the plantation in the whole IFFCO Unit
including township.

Guest house:

Proper maintenance of guest house is required for

accommodation facility to people like contractors , trainees
etc.

Sanitation:
Takes care of sanitation of plant and township.

Transport:
Takes care of proper running of transport facility provided
to the employees.

General Administration:
It takes care of other things such as furniture and
fixtures, stationery, stock and non stock items.

Hospital:
Attention is paid by Administration department for proper
running of hospital, responsible for appointment of doctors
and hiring specialists.

Employee Welfare
After employees have been hired, trained and
remunerated, they need to be, retained and maintained to
serve the organization better. Welfare facilities are designed
to care of the well-being of the employees.

Welfare means faring or doing well. It is a comprehensive

term , and refers to the physical, mental , moral and
emotional Well- being. . Of an individual. Labor welfare,
also referred to as betterment work for employees; relates
to taking care of the well-being of workers by employees ,
Trade unions and governmental and non-govt. agencies.
Labor welfare as a term which is understood to include
such services, facilities and amenities as may be
established in or in the vicinity of undertakings to enable
the persons employed in them to perform their work in
healthy, congenial surroundings and provide them to
perform their work in healthy, congenial surroundings and
provide them with amentias conductive to good health and
high morale. Labour welfare has too aspects-negative and
positive on the negative side, labour welfare is concerned
with contracting the beneficial effects of the large-scale
industrial system of production (especially capitalistic) so
far as India is concerned-on the personal / family and
social life of the worker, On its positive side, it deals with
the provisions of opportunities for the worker and his/her
family for a good life as understood in its most
comprehensive sense.

MERITS OF WELFARE MEASURES

Labour welfare is justified for several reasons:

The industrial worker is indeed a soldier safe
guarding the social and economic factors of the
industrial economy, and his/he actions and
interactions within the industrial frame work will
have great impact and influence on industrial
development.

Welfare facilities help motivate and retain employees

removes dissatisfaction and help in developing loyalty
in workers towards the organization.

Welfare may not directly increase productivity, but it

may add to general feedings of satisfaction with the
company and cut down labour turnover.

Welfare may help minimize social evils (such as

alcoholism, gambling, drug addiction and the like). A
worker is likely to fall a victim to any of these if
he/she is dissatisfied or frustrated. Welfare facilities
tend to make the worker happy, cheerful and
confident looking.

TYPES OF WELFARE ACTIVITIES

The meaning of labour welfare may be made more
clear by listing the activities and facilities which are
referred to as welfare measures.
A comprehensive list of welfare activities is given by Morty
in his monumental work of labour welfare he divide welfare
measures into two broad groups, namely
1. Welfare measures inside the work place; and
2. Welfare measures outside the work place. Each group
include several activities.

1. Welfare Measures inside the work

place
a) Conditions of the Work Environment
b) Conveniences
c) Workers Health Services
d) Women and Child Welfare
e) Workers Recreation
f) Employment Follow-up
g) Economic Services
h) Labour- Management Participation
i) Workers Education

2. Welfare Measures Outside the Work

Place
a) Housing: bachelors quarters;
according to types and rooms.

family

residences

b) Water, Sanitation, Waste disposal. .

c) Roads, lighting, parks, recreation, Playgrounds.
d) Schools: nursery, primary, secondary and high school.
e) Markets, Co-operatives, consumer and credit societies.
f) Bank.
g) Transport .
h) Communication: post, telegraph and telephone.
i)Health and medical services: dispensary ,emergency
ward, out patient and in-patient care, visiting; family
planning.

j) Recreation: games; clubs; craft centres; cultural

programmes, that is, music clubs; intrest and hobby
circles; reading room and library; open air theatre;
swimming pool; athletics, gymnasia.
k) Watch and ward; security.
l) Community leadership development: council of elders;
committee of representatives; administrative of community
services and problem; child, youth and womens clubs.

Welfare facilities may also be categorized

a) Intra-moral
b) Extra-moral.

Welfare Facilities by the government

With a view to making it mandatory for employers, to
provide certain welfare facilities for We their employees, the
government of India has enacted several laws from time to
time. These laws are the factories Act, 1948; the Plantation labour Act, 1951;
the Bidi and Cigar Workers (Conditions of Employment)
Act,1996; and the Contact Labour (Regulation and
Abolition) Act, 1970. Another significant step taken by the
central government has been to constitute welfare funds for
the benefit of the employees. These funds have been
established in coal, mica, iron-ore, limestone, and dolomite
mines. The welfare activities covered by these funds
include housing, medical, educational and recreational
facilities for and their dependents.

Welfare activities may also be defined as:

1) Statutory Provisions;
These are mandated by the factories Act, 1948; The Mines
Act, 1952; The plantation Labour Act, 1951 and same
other acts of all there, the factories act is significant.

2) Non statutory Provisions:

Non statutory benefits, also called voluntary benefits
include loans for house building, education of children
leave travel concession, fair price shops, loans for
purchasing personal conveyance and a host of other
facilities
The Indian factories Act, 1948 is a comprehensive
place of legislation covering all the aspects regarding the
factories Under the rule making power practically all the
states have framed their rules and regulations there by
ensuring maximum advantages.
The act was first conceived in 1881 When a legislation
was enacted to protect children and to provide health and
safety measures Later, hours of work were sought to be
regulated and were therefore, incorporated in the Act in
1911. The Act was amended and enlarged in 1934 following
the recommendations of the Royal Commission of labour A
more comprehensive legislation to regulate working
conditions replaced the Act in 1948.

CHAPTER V Of FACTORIES ACT

Welfare
(Sections 42 + 052)
Chapter V of the Act contains provisions for welfare
measures for the workers. The whole of the chapter
containing a sections to the long desired provisions of
uniform standard of welfare order for industrial labour.
a) Washing facilities (S.42)
b) Facilities for storing and dry clothing (S.43)
c) Sitting facilities for occasional rest for workers who are
obliged to work standing (s.44)

d) First aid appliances (like first aid owes or cupboards) one

for every 150 workers and ambulance facilities, if there are
more than 500 workers (S.45)
e) Canteens if employing more man 250 workers (S.46).
f) Shelters, rest rooms and lunch rooms, if employing over
150 workers (S.47) .
g) Crche if employing more man 30 women (S.48).
h) Welfare officer, if employing 500 or more workers (S.49).

1. Conditions of the work Environment:

a) Safety:
For the purpose of neighborhood safety and safety of the
plant there are mainly three types of securities at IFFCO.

I. CISF( Central industrial Security force): appointed by

Govt.
II. IFFCO security.
III. Security on contract basis
To take care of the cleanliness of the work place there is a
separate sanitation department (under Administration
Department).

The various other functions such as

House keeping: up-keeping of premises- Compound
b)

Wall, Lawns, gardens and saffron, passages; With-washing.

Etc. are taken care by Estate office and Horticulture
Department Separately according to the nature of the job.

c)

Sanitation and a cleanliness:

At IFFCO proper attention is paid to the Workshop

(room) sanitation and cleanness. Proper attention is
paid accusation of dust (and refuse) and is removed
daily by sweeping or by other effective means.

Ventilation:
At IFFCO there is Provision for adequate yentilation
by circulation of fresh air.

Elimination of dust, fumes, smoke and

gases:

 At IFFCO effective measures are adopted to clean the

dust and fume from the workroom. The fumes are
discharged at a height of 96 meters and the content
of NH3 and Urea in it is a low as 6 ppm.

Humidity:
At IFFCO the humidity of the air is not artificially
increased during the manufacturing process.

Overcoming:
At IFFCO there is 15 cubic meter space for every
worker thus no overcrowding.

Lighting:
At IFFCO there is sufficient and suitable lighting
artificial or natural provided and maintained at every
part of a factory.

d)

Control of effluents:

IFFCO understand its responsibility forwards the

environment. The effluent from various plants undergoes
extensive treatment in Effluent Treatment Plant (etv) and
this water is then used for irrigation.

e)

Sitting arrangement:

At IFFCO there is suitable arrangement for sitting and

proper attention is paid to the convenience and comfort of
workers , there are shelters restrooms and lunchrooms for
the same purpose.
(f)

Work mens Safety measures:

 At IFFCO there is proper maintenance of machines

and tools used.
To provide protection against dangerous fumes and
gases (Which can be used up to 35 minutes) workers
are provided with breathing apparatus, safety helmet,
earplugs or muffs , Goggles, Dust mask, hand gloves
to avoid any sort of inhalation. Further there is a
huge vacuum cleaner and high rotation fans to
remove accumulated from workshop or from clothes
of workers respectively.
For the employee working in Ammonia
Ammonia Suit is provided to product them.

Plant,

Detectors are there in the plant to detect leakage of

Ammonia and Hydrogen.
Pressure relive Valves are there to excess pressure if
any machinery.
All electric equipments are earned to prevent any
shock.
IFFCO has trained male workers for examination of
the machinerys Further employees are not allowed to
wear loose clothing and are instructed to wear shoes
while working.
IFFCO employees no young person work as
dangerous machines unless he is fully trained or
under adequate supervision, there is no women
worker in plants.
In IFFCO proper attention is paid to fencing of
machines:
There is a safeguard (Pu11 guards, coupling guards
etc.) On every moving part of a prime mover, every
part of electric generator or motors, rotators
converter, every dangerous part of any other
machinery.

(g)

Information or Communication:

There are amble notice Board , Posters, Pictures, Slogans

for proving information throughout the plant and in
township as well.
There is also communication facility via communication
channels (inside plants & control rooms) through which
workers and engineers can communicate with each other
easily when required.
(h)Working

hours:

In IFFCO the working hours (in general shifts) are from

8:15 to 17:30, the lunch time is from 12:30 to 13 :00 On
Saturdays the working hours are from 8 :15 to 12:30 only.
Thus no worker works more than 48 hours in a week.

Shifts:
In IFFCO there are four shifts in which workers are
working the timing of the shifts are as follows;

Shift A 06:00 to 14:00

Shift B 14:00 to 22:00
Shift C 22:00 to 06:00
Shift G (General) 08 :15 to 17 : 30

 In IFFCO there is provision for intervals for rest of

about 30 minutes they can also take, occasional
break if required.

Extra wages for Overtime: In IFFCO workers are

paid for overtime at twice the existing rate of wages. The

officers are given compensatory off for working overtime.

ii) Conveniences urinals and lavatories:

Sufficient

lavatories and urinal accommodation

(Separate for male and female workers) of prescribed
type and conveniently situated and accessible to
workers at all time while they are at factory.

There are bathrooms, waste disposal baskets, spittoons,

washbasins in a sufficient number at convenient places
and are maintained in a clean and hygienic condition.
b) Drinking Water: there are sufficient number of water
coolers in the plant situated at convenient places.
c) Canteen : In IFFCO the canteen is established near the
main gate of the factory. It provide tea, snacks and meals
at very reasonable rates to the employees.
d) There are shelters, cloak rooms, rest rooms, reading
rooms. There is library (both at the plant and in the
township) for the employees.
Worker like urinals, rest rooms etc. in the plant as there
are no Women worker in the plant.
e) Employment follow up: in IFFCO progress of the
employee Problems with regard to workload, Supervisors
and colleagues in Taken care by P & A Department via
grievance handling etc.

f) Economic Services : In IFFCO there ,are suitable,

welfare schemes regarding health insurance, rewards and
incentives, and gratuity and pension, workmens
compensation for injury, family assistance in times of need,
profit and bonus sharing schemes etc.
g) Labour - management participation : The
participative management is encouraged by formation and
working of various committees like workers committees,
safety committee, canteen committee etc.
h) Workers Education: in IFFCO stress is given to
enhance the workers education this is done via reading
room library, social education, seminars, factory news
review, magazines etc.
i) Washing facility : In IFFCO there is adequate and
suitable facilities for washing for the use of the workers
employed there in. They are kept clean and hygienic.
j) Fire and Safety: A well equipped, fire , and safety
section has been in addition to various built in safety
features of plan and technology.
To include safety habit in each employee various safety
seminars, training and competitions are organized from
time to time.

Labour Welfare Officer: Schedule of the act provides

that in Every factory where in 500 or more workers are
ordinarily employed, The employer shall appoint at least
one welfare officer. The officer is expected to act as an
advisor, counselor, mediator and Liaoning.
Officer between the management and the
Specifically his/her duties include the following:

labour

For the same purpose IFFCO has appointed a welfare

officer Mr. Jeetendra Bhardwaj who acts as an advisor,

counselor, mediator and Liaoning Officer between the

management and the lobour.
1. Supervision of safety, healthy and welfare programmes
(i) Like housing, recreation and sanitation services.
(ii)Working of joints committees.
(iii)Grant of leave with wages.
(iv)Redressed of workers grievances.
2. Counseling workers in
(i) Personal and family problems.
(ii)Adjustment to their work environment.
(iii)Understanding their rights and privileges.

3. Advising management in matters of

(i)Formulating welfare policies.
(ii)Apprenticeship training programmers.
(iii)Complying with statutory obligation to workers.
(iv) Developing fringe benefits.
(v) Workers education.
4. Liaoning with workers so that they may
(i)Appreciate the need for harmonious industrial relations
in the plant;
(ii)Resolve disputes, If any;
(iii)Understand the limitations under which they operate.
(iv) Interpret company policies correctly.

5. Liaoning with the management so as to apprise the

latter about workers viewpoints on organizational matters.

IFFCO TOWNSHIP

 IFFCO township spread over an area of 500 acres

having 1085 houses In situated on Bareilly Aonla
road in front of factory.
It provides all modern facilities, amenities and recreational
aspects to all the employees residing in the township.
The township is well maintained with palanned row of
houses, lush green lawns, trees parks and wide roads. It
has its own shopping Center, hospital, recreation club,
cable T V community centre, open air theatre, swimming
pool, stadium, temple and school(one central school and
play school) for the children of the employees.

Waste disposal: The effluent from various plants

undergo
Extensive treatment in lagoons from where they are used
for irrigation of the green belt.
The logons area has become natural habitat for the
migratory birds During winter season and excel as any
picnic resort.

Community

Development:

IFFCO being an
institution is Committed to work for the improvement of the
socio economic conditions of rural population around the
plant.
Aonla unit has adopted several villages under its village
Development scheme.
Hand pumps, road construction, school building amenities
have been provided in the surrounding villages. Medical
camps, Free distribution of medicines, polio and diphmeria
vaccines, Family planning and social marketing are the few
activities undertaken in these village.

 Subah ladies club of township also plays an active

role in Social welfare by running an education centre
for poor people.

Farmers service centre has been established in village

sainda near Aonla unit which provide fertilizers,
pesticides and seeds to the farmers.

For

the same
Reproductive

purpose

project

Strengthen

Health and family Planning Services in Alampur

Zafrabad Block of Bareilly District is being
implemented by IFFCO Jan Kalyan Samiti. It is
funded by USAID - India and IFFCO Aonla named
SIFPSA.

SIFPSA
(States Innovation in Family Planning Services Project
Agency, India)
To assesses efficiencies of services of reproductive and
child
Health and primary health care being provided by this
project in a Population of 1 ,70, 000.
65 Community based education and distribution workers
who are either from the same or nearly by village are
provided:
A. Preventive, primitive,
methods of fly planning.

rehabilitative

services

B. Education and Counseling.

C. Clinical Services like tubectomy, deliveries etc.

and

D. Free pies, iron and folic acid tablets are also given.
Under this project problems of primary healthcare, family
planning, Material health etc, are solved up to a great
extent.

IFFCO Conveyance Advance Rules

Loan has been granted to the employes of IFFCO after
confirmation. The condition for the same are as follow:

Amount
of
Advance

Entitleme
-nt

Motor
Cars

Motor cycle/

Actual
cost
are 90% cost
of
maruti
800
cc
(ordinary)whi
chever is less
limited to Rs.
1,80,000.

Rs. 40,000 for

motor cycle &
Rs. 30,000 for
scooter or 24
months
basic
pay
or
anticipated cost
of motor cycle &
scooter
whichever
is
least.

scooter

Employees in Employees
grade
G1 grade L1
and above
above

equal 72
Period of 108
monthly
monthly
Recovery
installments.

Auto
Bicycle
Vehicle
(moped)
of
less
than 1 HP
Rs. 20,000
or
10
months
basic pay or
anticipated
cost of auto
vehicle
(moped),
whichever is
least.

Rs. 3,000 or
actual cost of
the
bicycle
whichever
is
least.

in Employees
Employees in
and in grade N grade N and
and above
above

equal 60
equal 30
equal
monthly
monthly
installments.
installments installments.
.

House Building Loan

(HBL)
1. The advance is granted to employees of IFFCO who have
regularly been appointed to the service of IFFCO and have
completed three Years of service.
2. HBL may be granted for:
a) Purchase of Plot / Land.
b) To buy Flats.
c) For construction of house.
d) For maintenance.
3. The maximum amount of loan granted should not
exceed Rs. 5,00,000.
4. The quantum of loan will be such that carry home pay
after Deduction of loan installation shall not be less than
50% of Gross Salary or Rs.4000 (Whoever is less).

Medical Benefits

1) An employee of IFFCO is in respect of any ailment,

disease, injury or disability, befalling him or any dependent

number of his family be eligible for reimbursement or
medical expenses, subject to such Limits :i) Fees paid by him to an Authorized Medical Attendant for
Consolation (at his clinic or at employees residence).
ii) Fees paid to injection, dressings or minor surgery.
iii) The cost of medicines or Pharmaceuticals necessary for
treatment .
iv) The fees paid for pathological,
radiological or other examination.

bacteriological,

2). The reimbursement shall not exceed the annual ceiling

as under.
Number of family members Ceiling for routine medical
(Including the employee Treatment (per annum)
himself)

For 2 family members.

Rs. 2250/-

For 3 family members above

Rs. 4500/-

Transport
IFFCO provides Transport facilities to all its employees to
move from one place to another so that they can work more
efficiently.
There are three categories of Vehicles:
a) Buses.

b) Light Vehicle.
c) IFFCO Vehicle.
1) Buses : A total number of buses is 13 (on contract
basis). Out of which 12 buses are used to carry main and
material from IFFCO Township to Bareilly and Vice Versa.

These buses are use for three purposes:

a) Shift
b) Marketing
c) Schools buses
Out of 13 buses one bus is used for traveling between
township to Delhi and Vice-versa (This bus runs on
alternate days i.e. on Monday, Wednesday & Friday.

2) IFFCO Vehicle
IFFCO also Owns a certain numbers of Vehicle itself. These
are as Follows :

Swaraj Mazda
Truck

-2

-1

Minibus - 1
IFFCO company cars are allotted to JGM and above grade.

CONCLUSION
Employee welfare is a systematic and objective way of
increasing the efficiency and effectiveness of the
employees.
In IFFCO proper attention and care has been taken for the
welfare of employees and employees here are very satisfied.
It is probably because of this reason that IFFCO has
emerged as a pioneer organizations the field of Cooperatives and is the leading producer of fertilizers.
The welfare measures at IFFCO whether inside the work
place or outside the work place, extra or in intra mural
welfare facilities are in compliance with the Factories Act.
IFFCO has been doing a great job in recognizing the unique
place of the worker in the society and doing good for
him/her in retaining and Motivating employees.

In short IFFCO has been providing its employees

the circle of care as shown below:

Early recognition

Avoidance of

and treatment of

Stigma and

illness,

Discrimination,

Medical Care,

Full Social

Psychological

Participation,

Support,

Human Rights

Hospitalization.
Social support,
care,
Education,

Skills

for

Crisis support,

Vocational Support,
Support,

Financial

Day care,

networking with

Long-term care.

Families.

BIBILOGRAPHY

C.B.GUPTA
(Human Resource Management)
V.S.P RAO
(Human Resource Management)

 P.C. TRIPATHI
(Personnel Management)
ANNUAL REPORT OF IFFCO
www.iffco.nic.in
SERVICES RULES OF IFCO