CERTIFICATE

This is to certify that D. SAM JONAS has completed her/ his project, on ‘A
STUDY ON EMPLOYEE ABSENTEEISM’ under my guidance. It is his
own work fully and to the best of my knowledge and belief that it has not
been used for the award of any degrees in this university or anywhere else
and I am satisfied with her effort in this connection.

Head of Department Project guide

Date: Date:
 VIVA VOICE EXAMINATION

This is to certify that the report on ‘A STUDY ON EMPLOYEE

ABSENTEEISM’ submitted by D. SAM JONAS for partial fulfillment for
the Bachelor in Business Administration degree is a record of research work
done by his during the year 2016-2017

This study represents independent work on the part of the candidate.

Internal Examiner External Examiner

 DECLARATION

I hereby declare that the internship titled “A STUDY ON EMPLOYEE

ABSENTEEISM” is based on the original work carried out by me under the
guidance of Mr. BIJU VARUGHESE, HR manager, INDUS MOTOR CO.
Pvt. Ltd and Mrs. A.SERENA SUMAN, faculty guide at college, submitted
to Madras Christian College in partial fulfillment of the requirement of the
course of study.

D. SAM JONAS
 LIST OF CONTENTS

1. Executive summary 1

2. Introduction 2

3. Objectives of the Study 3

4. Review of literature 4-12

5. Research Methodology 13-14

6. Company Profile 15-19

7. Data Analysis and Interpretation 20-55

8. Findings 56

9. Suggestions 57

10. Conclusion 58

11. Bibliography 59
12.
Annexure 60-62
 LIST OF TABLES

Table No. Particulars Page No.

1. Gender of the employee 20

2. Age of the employee 22

3. Educational Qualification 24

4. Experience of the employee 26

5. Employee’s satisfaction in leave provided by the 28

company

6. Duration of the leave taken by the employee 30

7. Employees Reason for taking leave 32

8. Employees opinion regarding work environment 34

excellent

9. Employees opinion about the job enrichment 36

creates reduction in absenteeism

10. Employees opinion to reduce absenteeism 38

 Employee opinion on motivational factor for
11. 40
avoiding taking leave

12. Rating given by employees with respect to job 42

satisfaction.

Relationship with the superior

13. 44

Relationship with other employees

14. 46

Employee role in the company

15. 48

16. Type of work pressure employee facing in an 50

organization

17. Rating given by employees with regard to accidents 52

level

18. Satisfactory level about the salary package 54

 LIST OF CHARTS

Table No. Particulars Page No.

1. Gender of the employee 21

2. Age of the employee 23

3. Educational Qualification 25

4. Experience of the employee 27

5. Employee’s satisfaction in leave provided by the 29

company

6. Duration of the leave taken by the employee 31

7. Employees Reason for taking leave 33

8. Employees opinion regarding work environment 35

excellent

9. Employees opinion about the job enrichment 37

creates reduction in absenteeism

10. Employees opinion to reduce absenteeism 39

 Employee opinion on motivational factor for
11. 41
avoiding taking leave

12. Rating given by employees with respect to job 43

satisfaction.

Relationship with the superior

13. 45

Relationship with other employees

14. 47

Employee role in the company

15. 49

16. Type of work pressure employee facing in an 51

organization

17. Rating given by employees with regard to accidents 53

level

18. Satisfactory level about the salary package 55

 CHAPTER –I

EXECUTIVE SUMMARY
 EXECUTIVE SUMMARY:

The research is conducted on the topic ‘EMPLOYEE ABSENTEEISM’ at

My Tvs.

Absenteeism is the frequent or habitual absence from work and is seen as the
biggest cause of lost time and decreased productivity in organizations.
However, the Indus motors in Poonamallee, which employ 170 permanent
employees, is experiencing a high rate of absenteeism. The research problem
is that if sufficient attention is not paid to the high absenteeism rate, the
Indus motor will run the risk of losing valuable workers and customers;
hence it will threaten the company’s finances.

An extensive study of related literature on the topic was undertaken. A

multi-disciplinary approach was adopted, whereby literature from areas of
strategic management, human resource management, economics and
marketing were consulted.

The nature of the research dictated quantitative methodologies for a better

understanding of the research problem that was identified. In addition, a
sample size of N=75 was identified to complete the quantitative research
questionnaires, choosing participants that manifested certain characteristics
in which the researcher was interested.

1
 CHAPTER- II

INTRODUCTION
 INTRODUCTION

Absenteeism has a disruptive effect even upon smooth running organizations

for others the damage is greater, perhaps fatal when people are missing from
work either production is reduced or the quality of the production declines.

The problem has been so severe that some organizations over hire with
redundant labor have a form production from absenteeism.

Employees who do come to work have to pick up the slack and supervisors
are pressed into service. The problem becomes more severe and unexcused
when absenteeism and tardiness encourages other employees to emulate their
missing workers.

It may be a question of equity for them. In previous years school system and
the teachers provide recognition for the students with perfect attendance
records, stars pasted by students names on posted attendance sheets many
as quaint view today perfect attendance.

Other abuses of the working time to do appear in the typical set of

organizational statistics. It is one thing to arrive at work on time to be ready
for their work. The difference is lost production. Extended breaks and long
lunch periods are the other examples.
If we perform own computations we would be surprised by the magnitude
of lost production time and its cost to our organization. Absenteeism
and tardiness often mean that employees would rather be doing something
else than working. Their jobs lack importance.

2
 CHAPTER-III

OBJECTIVES OF THE
STUDY
 OBJECTIVES OF THE STUDY:

PRIMARY OBJECTIVE:
 To assess the level of Absenteeism in Indus Motor co.
pvt.ltd

SECONDARY OBJECTIVES:
 To identify the factors causing Absenteeism.
 To study the current level of Absenteeism.
 To compare the frequency of absenteeism of the employees
during the past year and the present year.
 To suggest measures to control absenteeism.

3
 CHAPTER-IV

REVIEW
OF
LITERATURE
 ABSENTEEISM
CONCEPT OF ABSENTEEISM:

It refers to workers absence from their regular task when he/she is

normally schedule to work.

According to Webster dictionary “Absenteeism is the practice or habit

of being an absentee and an absentee is one who habitually stays away from
work.’’

According to Labor Bureau of Shimla:- Absenteeism is the total man

shifts lost because of absence as percentage of total number of the man shifts
scheduled to work.

In other words, it signifies the absence of an employee from work

when he is scheduled to be at work. Any employee may stay away work if
/she has taken leave. Thus absence may be authorized, willful or caused
by circumstances beyond one’s control.

Maybe even worse than absenteeism, it is obvious that people

such as malingerers and those unwilling to play their part in the workplace
can also have a decidedly negative impact.

Such team members need individual attention from frontline supervisors and
management.

4
Indeed, as prevention is better than cure, when such a problem occurs, it is
always important review recruitment procedures to identify how such
individuals came to be employed in first place.

For any business owner or manager, to cure excessive absenteeism, it is

essential to find and eliminate the causes of discontent among the team
members.

If they, find their supervisor or job is unpleasant – really unpleasant – they

look for legitimate excuses to stay home and find them with things such as
upset stomachs or splitting headaches.

Any effective absent control program has to locate the cause of discontent
and modify those causes or eliminate them entirely, In other words, if we
deal with the real reasons , team members stay home , it can become
unnecessary for them to stay away.

Any investigation into absenteeism needs to look at the real reasons

for it.
Sometimes team members call in sick when they really do not want to go to
work. They would not call you up and say. “I’ am not coming today
because supervisor abuses me”.

5
here are few essential questions to consider at the outset if you want
to make a measurable improvement to your absenteeism figures.

Why is your present absenteeism policy ineffective?

Where and when is excessive absenteeism occurring ?

In many cases, under-trained supervisors could be a contributing factor.

What are the real causes for the absence?

It commonly expected that low pay , poor benefits and high workloads will
be the major causes.

However, in numerous employee surveys generally has been defined as a

symptom of low job satisfaction, sub-standard working. Conditions and
consistent negative and unfair treatment received by first-line supervisors.

How much formal training have your supervisors received on absenteeism

containment and reduction? If your answer is none or very little , maybe you
have found the solution.

As with every other element within your organization, you cannot ask a
person to do a job he or she has never been trained to do.

6
Many human resources specialists have found that repetitive, boring jobs
coupled with uncaring supervisors and/or physically unpleasant workplace
are likely to let workers to make up excuses for not coming to work. One
way to determine the causes of absenteeism is to question your
supervisors about excessive absenteeism, including what causes it and how
to reduce it.

Of course, if your supervisors have made no efforts to get to know the team
members in their respective departments, they may not be able to provide
reasons.

However, just the act of questioning may get the ball rolling and signal to
your supervisors and their involvement is important.

Once a manager find the real reasons for absenteeism there is another
important step. Through open communication, you need to change the team
member’s way to reacting and responding to discontent.

Other problems will no doubt arise in the future. If the way responding has
not been reviewed then the same cycle is likely to start all over again.
So often absenteeism problems can be sheeted back to the supervisor level
and to unsatisfactory working conditions. Without improvement in these
areas, you expect your high rate of absenteeism to continue.

7
 MEASUREMENT OF ABSENTEEISM:

For calculating the rate of absenteeism we require the number of people

scheduled to work and number of people actually present.

No. of man days lost

Absence Rate = X 100
No. of man days planned to work

For Example:
a) Average number of employees in work force : 100
b) Number of available work days during period : 20
c) Total number of available days (an x b) : 2,000
d) Total number of lost days to absences during the period : 93
e) Absenteeism percent (d [divided by] c) x 100 : 4.65%
Since absenteeism is a major barometer of employee morale, absenteeism
above 5 percent has to be considered as very serious (across most industries
3 percent is considered standard).

8
CAUSES OF ABSENTEEISM:
The Royal Commission labor observed that high absenteeism among Indian
labor is due to rural orientation and their frequent urge for rural exodus.
According “In modern industrial establishment the incidence of industrial
fatigue, mal nutrition and bad working conditions aggravate that feeling for
change among industrial worker and some time impel them to visit their
village home frequently for rest and relaxation”.

The general cause of absenteeism may be summarized as below:

1) MALADUSTMENT WITH FACTORY:

In factory the workers find caught within factory walls, he is bewildered

by heavy traffic, by strangers speaking different and subjected to strict
discipline and is ordered by complete strangers to do things which he cannot
understand. As a result he is under constant strain, which cause him serious
distress and impairs his efficiency. All these factors tend to persuade him to
maintain his contacts with village.

2) SOCIAL AND RELIGIOUS CEREMONIES:

Social and religious ceremonies divert workers from workers to social
activities. In large number of cases incidents of absenteeism due to religious
ceremonies is more than due to any other reason.

9
3) HOUSING CONDITIONS:
Workers also experience housing difficulties. Around 95% of housing
occupied by industrial workers in India is unsatisfactory for healthful
habitations. This leads to loss the interest in work.

4) INDUSTRIAL FATIGUE:
Low wages compel a worker to seek some part time job to earn
some side income. This often result inconstant fatigue, which compels to
remain absent for next day.

5) UNHEALTHY WORKING CONDITION:

Irrigating and intolerable working conditions exist in a factory. Heat,
moisture, noise, vibration, bad lighting, dust fumes and overcrowding all
these affect the workers health causing him to remain absent from work a
long time.

6) ABSENCE OF ADEQUATE WELFARE ACTIVITIES:

High rate of absenteeism is also due to lack of adequate welfare
facilities welfare activities include clean drinking water, canteen, room
shelter, rest rooms, washing and bathing facilities, first aid appliances
etc.,.

10
7) ALCOHOLISM:
Some of the habitual drunkards spend whole of their salary during
first week of each month for drinking purpose. Therefore 2 or 3weeks
after getting their salary absent themselves from their work.

8) INDEBTNESS:
All those workers who undergo financial hardships usually barrow
money lenders at interest rate which are very high, which often cumulates
to more than 11-12 times their actual salaries.

To avoid the money lenders they usually absent themselves from

work because they are unable they are unable to return the money in
stipulated time.

9) IMPROVER & UNREALISTIC PERSONAL POLICIES:

Due to favoritism and nepotism which are in the industry the workers
generally become frustrated. This also results in low efficiency, low
productivity, unfavorable relationship between employee and
supervisor, which in turn leads to long period of absenteeism.

10) INADEQUATE LEAVE FACILITIES:

Negligence on part of the employee to provide leave facility compel the
worker to fall back on ESI leave. They are entitled to 50 days leave on
half on pay. Instead of going without pay the worker avail themselves
of ESI facility.

11
EFFECTS OF ABSENTEEISM ON INDUSTRIAL PROGRESS:

It is quite evident from the above figures that absenteeism is a common

feature of industrial labor in India. It hinders industrial growth and its
effect in two fold.
1) LOSS TO WORKER:
Firstly due to the habit of being absenting frequently worker’s
income is reduced to large extent. It is because there is a general principle
of “no work – no pay”. Thus the time lost in terms of absenteeism is a loss
of income workers.

2) LOSS TO EMPLOYEES:
On the other hand, the employer has to suffer a greater loss due to
absentees. It disturbs the efficiency and discipline of industries production
is reduced. In order to meet the emergency and strikes, an occasions, those
workers are employed who present themselves at factory gates. During
strikes they are adjusted in place of absent workers. Their adjustment
brings serious complications because such workers do not generally prove
themselves up to work. Higher absenteeism is an evil both for workers and
the employees and ultimately it adversely affects the production of
industries.

12
 CHAPTER-V

RESEARCH
METHODOLOGY
 RESEARCH METHODOLOGY

Research methodology is a way to systematically solve the research

problem. It deals with the objective of a research study, the method of the
defining the type of the data collected, method used for data collecting and
analyzing the data etc. The methodology includes collection of primary and
secondary data.

TYPES OF RESEARCH:
DESCRIPTIVE RESEARCH:
The study follows descriptive research method. Descriptive studies aims
at portraying accurately the characteristics of particular group or situation.
Descriptive research is concerned with describing the characteristics of a
particular individual or a group. Here the researcher attempts to present the
existing facts by collecting data.

RESEARCH DESIGN:
A research design is a basis of framework, which provides guidelines for
the rest of research process. It is the map of blueprint according to which,
the research is to be conducted. The research design specifies the method of
study. Research design is prepared after formulating the research problem.

FIELD OF THE STUDY:

The study was conducted at INDUS MOTOR Co. Pvt. Ltd.

13
SAMPLING METHOD:
The researcher has used convenience method.

SAMPLING UNIT:
The sampling unit of the research is the employees working in INDUS
MOTOR Co. Pvt. Ltd.

SOURCES OF DATA:
PRIMARY DATA:
Questionnaire was used for collecting the primary data.

SECONDARY DATA:
Secondary data were collected from the newspapers, journals,
websites, and from library books.

SAMPLE SIZE:
Sample size taken for this study is 75.

TOOL USED FOR THE STUDY:

Percentage analysis method:

No. of respondents
Formula for percentage analysis method = X 100

Total no. of respondents

14
 CHAPTER-VI

COMPANY PROFILE
 COMPANY PROFILE:

55

CHAPTER-VIII

FINDINGS
 FINDINGS

56

CHAPTER-IX

SUGGESTIONS
 SUGGESTIONS

 The management must intervene in the day to day activities of the

employees. They should provide full-fledged support, guidance and
encouragement.
 Overloaded workaholic environment must be avoided, as it may create
a lot of stress-related problems. Employees must be encouraged for
their creativity and innovative outlook towards their job assigned.

 Welfare measures of the employees should be improved so as to make

the employees feel more satisfied and contended. A satisfied
employee will be more committed to the organization.

 The employees should either be provided with transportation facility

so that they would have ample time for recreation in substitute for the
time they spend in travelling.

 The management should adopt job enrichment even more better to

reduce absenteeism and also Indus motors should make use of an
automated tracking system, which will allow absenteeism
figures to be accurately and effectively monitored.

57

CHAPTER-X

CONCLUSION
 CONCLUSION

To conclude, employee’s dissatisfaction towards job & welfare

measures, hectic work schedules, stress, health problems are some of the
major causes of absenteeism. This can be reduced by management by
implementing various employee satisfactory changes in the organization.
People are the major assets of any organization and taking care of their
welfare and satisfaction is their duty as a whole apart from earning profit.
As work environment is becoming more challenging of managing and
bringing in changes at the same pace so as to survive in this competitive
scenario. The investigation into the high absenteeism rate was the main
research objective. An extensive literature review revealed that absenteeism
is a disruptive event which causes extensive loss of productivity to an
organization.
Quantitative research methodology were utilized. Quantitative research data
involved the completion of questionnaires by a sample group of N=75.

SPSS statistics software was utilized to analyze and interpret the data
collected, which clearly indicated that managers were overworked
and that absenteeism being effectively dealt with. Managers are
continually searching for better ways in which to handle the absenteeism of
their workers.
The findings of this research revealed that the two most important factors
regarding the improvement of attendance rates at the Indus motors are the
introduction of an absence management and monitoring system, as well as
improving communication between managers and workers.

58

CHAPTER-XI
 BIBLIOGRAPHY

BIBLIOGRAPHY:

 K.ASWATHAPPA, Human resource and personnel management,

Tata Mc Graw Hill, 2003.
  REDDY P.N and GULSHAN S.S Principles of Business
Organisational Management.

 Attacking Absenteeism by LYNN TYLCZAK.

 The Management of Absenteeism by S.K. BHATIA

WEBSITIES

http:/www.unilecindia.com
http:/www.tau.ac.il
http:/etd.unisa.ac.za/ETD-db
www.trainningspooting.com
www.indusmotors.com
www.google.com

59

CHAPTER-XII
 ANNEXURE

QUESTIONNARIE:

I. PERSONAL DETAILS:
1.1. Name of the employee:
1.2. Age of the employee
a) Below 20yrs b) 21-25yrs
c) 25-30yrs d) Above 30yrs
1.3. Gender of the employee
a) Male b) Female
1.4. Educational Qualification of the employee
a) SSLC/HSC b) UG/PG
c) Professional studies d) others
1.5. Additional training provided to the employee
a) Good b) Bad
1.6. Experience of the employee in Indus motors
a) 1 year b) 3 yrs
c) 5 yrs d) Above 5yrs

II. General Details:

2.1. Employees opinion about the company
a) Excellent b) Good
c) Satisfactory d) Below Satisfactory
2.2. Employees satisfaction level about the relationship with superior
a) Excellent b) Good
c) Satisfactory d) Below Satisfactory

60
2. 3. Relationship with other employees
a) Excellent b) Good
c) Satisfactory d) Below Satisfactory
2.4. About Employees role in the company
a) Higher level b) Middle level
c) Lower level d) None of the above
2.5. The level of accidents may happen during working hours?
a) No chance b) 1-2%
c) Above 3% d) Above 5%
2.6. Type of work pressure employees facing in an organization.
a) Forced to do work b) Improper environment
c) Strict Supervision
2.7. Satisfactory level about the present salary package
a) Highly satisfied b) Satisfied
c) Neutral d) Dissatisfied
2.8. Employee service satisfaction level (HRD)
a) Excellent b) Good
c) Satisfactory d) Below Satisfactory
2.9. Is the company providing adequate number of leave to the employee
when they ask?
a) Yes b) No
2.10. If you take more leave than the leave availed by the company
Will it affects Salary and incentive?
a) Yes c) No

2.11. Duration of leave taken by the employee in a month

a) 1 Day b)612-3 Days
c) 4-5 Days d) More than 5 days
2.12. Workers opinion the effect of absenteeism
a) Cause work stress b) Delayed work performance
c) Lead to over time d) Less turn over
2.13. Employees reason for leave
a) Sickness b) Lack of interest in job
c) Poor working conditions d) Long working hours

2.14. Employees opinion regarding work environment excellent

a) Good b) Fair c) poor

2.15. Workers opinion about the job enrichment creates reduction in

absenteeism
a) Strongly agree b) Agree
c) Disagree e) Strongly Disagree
2.16. Workers opinion to reduce absenteeism
a) Adapting job rotation b) Job enrichment
c) Co-ordination with co-workers d) Efficient superior

2.17. Employee opinion on the motivational factor avoiding taking leave

a) Good employee relations b) Work environment
c) Recognition of the work d) Incentives and Bonus based on
. performance

62