Labour Welfare activities are now not exclusively within the jurisdiction of the employers, governments and trade unions.
Strictly not with a view to rendering welfare services to workers as defined in the industrial dictionary, a number of service organisations, national and international in character, have come forwarded to uplift the conditions of the toiling masses.
In India, Labour Welfare is a vast area of activities. Welfare in its comprehensive sense is very difficult for a country like ours to achieve. Problems are many to the acquisition of welfare facilities.
Problems and obstacles, however difficult they are, must have to be solved and overcome, to establish industrial democracy and industrial peace.
Labour welfare force, lower absenteeism and labour turnover. These results may not have been achieved if the benefits are extended in the form of cash wages, because it may be spent on drinking, gambling and extravaganza.
It seeks to promote a better understanding between the employer and the employees.
1. Meaning of Labour Welfare in India 2. Necessity of Labour Welfare in India 3. Organising Labour Welfare Activities 4. Chief Agencies 5. Theories.
Labour Welfare in India: Meaning, Necessity, Agencies and Theories
Labour Welfare in India – Meaning
Any attempt to increase the productivity of efficiency of labour can bear fruit only if the workers are given the right type of work environment and are provided with those basic amenities of life which have direct bearing on his physical efficiency. Thus, plans of labour welfare and industrial housing may be regarded as an important part of the schemes for raising efficiency of labour.
According to an I.L.O. Report, “workers’ welfare should be understood as meaning such services, facilities and amenities which may be established in, or in the vicinity of, an undertaking to enable the persons employed in them to perform their work in healthy, congenial surroundings and provided with amenities conducive to good health and high morale.”
Simply stated, labour welfare is concerned with improvement of the conditions in and around the work-place. Some of the facilities and services which fall within the purview of labour welfare are adequate canteens, recreational facilities, sanitary and medical facilities, arrangements for the accommodation of workers and for travel to and from the place of work.
Labour welfare schemas have the following benefits:
(i) Workers’ efficiency is considerably enhanced.
(ii) Workers begin to feel interested in their work when they find that they are being well looked after by their employers. Thus their morale is raised and industrial relations improve.
(iii) Labour turnover and absenteeism rates decline when the workers find the work-place congenial and the employer sympathetic towards them.
(iv) On humanitarian ground too, labour welfare is commendable, because it shows faith in the basic human values of life.
(v) From the social stand-point, labour welfare ensures healthier and more enlightened citizens.
Labour Welfare activities are now not exclusively within the jurisdiction of the employers, governments and trade unions. Strictly not with a view to rendering welfare services to workers as defined in the industrial dictionary, a number of service organisations, national and international in character, have come forwarded to uplift the conditions of the toiling masses. To educate them, to house them properly, to help them in medical facilities and health matters, the humanitarian institutions have been rendering no less service today in India.
In spite of all the efforts so far taken for the welfare of workers, it can be frankly admitted that there is yet enough scope and necessity for the welfare measures of the workers. Workers themselves have to press for their welfare on their unions as well as on the governments.
In India, Labour Welfare is a vast area of activities. Welfare in its comprehensive sense is very difficult for a country like ours to achieve. Problems are many to the acquisition of welfare facilities. Problems and obstacles, however difficult they are, must have to be solved and overcome, to establish industrial democracy and industrial peace.
As to the problems, housing poses a serious one. To this can be added the problem of accidents which must cover any programme of welfare to workers. Statutory measures for safety of workers have been undertaken and training in safety is also being imparted. Industrial legislations should be made more comprehensive in providing measures for safety and training in safety.
As to industrial housing problems, a national housing programme has been chalked out. Plantation Labour Housing Scheme, Slum Clearance Scheme, Land Acquisition and Development Schemes, Middle Income Group Housing Scheme, Rental Housing Schemes for State Government Employees, Social Housing Schemes – all are on the list of government activities.
Subsidised Industrial Housing Scheme, Low Income Group Housing Schemes are additions to the Housing Schemes already undertaken by the governments, both Central and State.
The Code of Efficiency for the welfare of workers, with various suggestions for improvement of industrial relations and higher productivity and imposition of obligations on the part of the management for securing better standards of living of the workers did not receive equal attention and respect from all the labour wings of the political parties.
Labour Welfare in India – Necessity
The necessity of labour welfare work in India can easily be realized if we look into the working conditions of the labour class in Indian industries. India, an industrially backward country, is in its developing stage. The place of labour in industries in India is not recognised. The principles of personnel management and industrial relations have not been developed in India except in few big industrial units. Commodity concept of labour still prevails in the country.
Thus the scope of labour management relations has not been much widened in India, while in Western countries, the labour is regarded as the Partner in the affairs of the industry. The attitude of employers is sympathetic to workers in western countries and they provide various welfare facilities as a measure to improve industrial relations and better working conditions.
The working conditions in Indian industries are not satisfactory. The workers have to work for long hours under unhealthy surrounding, and have no means to remove the drudgery of their lives. They become easy victims of drink, gambling and other vices, in the uncongenial environment of urban industrial life. A contented, stable and efficient labour force cannot be built up without an improvement in the conditions of their life and work in industrial centres.
The workers in India are poorer than the workers in other western countries and as such they cannot be expected to spend anything for their own welfare. Our labourers, being illiterate and generally blamed for being irresponsible and lazy, require a lot of inducements and better working conditions. It is axiomatic that in all pursuits a high standard of efficiency can be expected only from persons who are physically fit and free from all worries and that is from persons who are properly housed, fed and clothed.
Industrial harmony can only be maintained when the workers feel that they are adequately remunerated for the work and are treated fairly by the employer. Much of the irritation and frictions which embitter industrial relations is due to the feeling that they are not being received by the employer properly. If the labourers are properly behaved and certain amenities are supplied, they feel satisfied and find no scope for resentment against employers.
The money spent on labour welfare work by the employer is bound to react directly or indirectly to their own benefits and to the direct benefit of the employees. If work conditions are improved it will certainly improve the health and efficiency of the workers and which, in turn, increase the production and the productivity of workers. The employer may contribute something towards the amenities of the workers to which the employees spend nothing in India because of their poor financial conditions.
Labour welfare force, lower absenteeism and labour turnover. These results may not have been achieved if the benefits are extended in the form of cash wages, because it may be spent on drinking, gambling and extravaganza. It seeks to promote a better understanding between the employer and the employees.
The inefficiency and bad habits of Indian workers are not so much due to his own character but it is the result of the environment which must be improved to make them good citizens. It can, thus, be said that if suitable welfare activities are undertaken in this country, there is no doubt that Indian labourers cannot remain inefficient than the average worker in the west.
Labour Welfare in India – Organising Labour Welfare Activities
The importance of labour welfare activities in India has been recognized very recently by various agencies – the employers, the trade unions and the government though the progress in this direction is very slow. We shall discuss hereunder the various activities organised by the various agencies in India.
The labour welfare activities are organised in India by:
(1) The Central Government,
(2) The State Governments,
(3) The Employers,
(4) The Trade Unions, and
(5) Other Agencies.
(1) Labour Welfare Activities Organised by the Government of India:
Till the Second World War, the Government of India did very little in the field of labour welfare. It was during the Second World War that the Government of India, for the first time, launched schemes for labour welfare in their ordinance, ammunition and other war industries to increase the productivity of the workers and to keep up their morale.
With the achievement of Independence and emergence of India as a republic, wedded to the idea of a welfare state and to a socialistic pattern of society, efforts in this direction were intensified. Since then, various legislations were passed bringing the matters connected with workers, more and more welfare measures within the purview of these legislations. A few legislations are given below:
(a) Factories Act 1948:
Prior to Factories Act 1948, various minimum standards as regards lighting, ventilation, fencing of machines, control of temperature, safety provisions etc., were laid down in Factories Acts. In the latest Factories Act 1948, various welfare measures to be undertaken by the employers have been laid down.
The statutory welfare measures in India may broadly be classified under two heads:
(i) Those which are to be provided irrespective of the size of the establishment or the number of workers employed therein such facilities are washing place, storing and drying of clothing’s, drinking water, latrines and urinals, sitting facilities for occasional rests where workers are obliged to work standing
(ii) Those which are to be provided subject to employment of certain specified number of persons. Under this category, the facilities provided for are—(a) First-aid boxes or cup boards – one for every 150 workers and ambulance facility, if there are more than 500 workers; (b) canteens, if there are more than 250 workers; (c) shelters, rest room and lunch rooms, if more than 150 workers are employed; (d) crèche, if 30 or more women employees are employed; (e) welfare officer, if more than 500 or more workers are employed.
The State Governments have been empowered under the Act to make rules requiring the representative or workers in any factory to be associated with the management in regard to the welfare arrangement for the workers and to prescribe the duties, responsibilities, qualifications and conditions of service of labour officers.
Provisions for welfare of workers also exist in the Indian Dock Laborers Act 1934, the Miner Act of 1952, the Plantation Labour Act of 1951, the Merchant Shipping Act of 1958, the Motor Transport Workers Act of 1961, the Bidi and Cigar Workers Conditions of Employment Act 1966, the Contract Labour (Regulation and Abolition) Act of 1970.
(b) Labour Welfare Funds:
The Government of India, established Labour Welfare Funds in Government industrial undertakings. As early as in 1946, the Government initiated an experimental scheme to finance welfare activities in Government owned and controlled undertakings excluding the undertakings under the control of Railway Board and major ports. These funds were contributory in character and are built from contributions of workers, Government grants and receipts from various other sources like film show, fines, profits from canteens etc.
Initially the scheme was meant for a period of four years only. In view of the keen interest of the workers, the scheme was extended with a condition there would be a Welfare Fund Committees consisting of representatives of employees and Government to administer the funds. Funds are in operation, at present, in 269 industrial establishments on voluntary basis.
(c) Labour Welfare Fund in Mines:
For the welfare of the mine workers, welfare funds have been set up in coal, mica, iron-ore, limestone and dolomite mines. Various acts were passed for this purpose. The main acts are—(i) Coal Mines labour Welfare Fund Act 1947, (ii) The Mica Mines Labour Welfare Fund Act 1946, (iii) Limestone and Dolomite Labour Welfare Act 1972, (iv) the Iron-ore, Manganese-ore and Chrome-ore Labour Welfare Fund Act 1976.
The finances for the funds are raised through the levy of cession the production and export. The welfare activities covered under these fund Acts are housing, public health, sanitation, medical, education and recreational facilities for workers and their dependents. It also covers provision of accident and other benefits.
(d) Welfare Activities in Railways and Ports:
Railways and major ports of Bombay, Calcutta, Cochin, Kandla, Madras, Marmugao, Vishakhapatnam and other ports in India have provided various welfare measures for their workers. These facilities include well-equipped hospitals and dispensaries, canteens, recreation, education facilities by running their own schools, housing, co-operative societies, and fair price shops etc.,
Railways maintain a Staff Benefit Fund which provides for financial assistance in times of emergencies. A welfare fund has also been established at Madras port for the assistance of workers in distress. A tripartite National Welfare Board for Seamen has also been established.
The Government has started a scheme namely The Dock- workers (Safety, Health & Welfare) Scheme 1986 for the welfare of dock workers. Under this scheme, workers are provided housing, medical, recreation facilities.
(e) Other Welfare Activities:
(i) The Government of India has set up a Central Board for Workers Education, consisting of representatives of Central and State Governments, organisations of employers and workers and educationists. It established 43 regional centres and 18 sub-regional centres throughout the country covering important industrial centres. It has published a number of booklets in English and other regional languages. It also provides grants-in-aid to trade unions and institutions for workers’ education.
(ii) Various schemes for grant of National Safety Awards to factories covered by the Factories Act 1948 and ports have been instituted for good safety records. Four such schemes are in operation, each having 15 awards for good safety records. Each scheme consists of each prize and certificates of merit. A National Safety Council was set up in 1960. Its main function is to conduct seminar, organise film shows in factories and distribute posters on the subject of safety.
(iii) Shram Vir Awards have been instituted for workers in recognition of meritorious performance such as suggestions leading to higher productivity or economy or greater efficiency.
(iv) The Equal Remuneration Act was amended in 1987 providing equal pay for equal work for woman and child labour. The Act also provide for various welfare facilities to woman and child workers.
(2) Labour Welfare Activities by State Governments:
State Governments have also been playing an important role in providing the welfare activities to labour in their states, mainly since Independence. States of Maharashtra, Uttar Pradesh and West Bengal are the leading states in organising various welfare activities.
In 1939, Bombay Government organised for the first time in the state the Model Welfare Centres. At present there are four types of centres, categorized on the basis of labour welfare activities undertaken by them. In 1953, the Government passed the Labour Welfare Fund Act and transferred all welfare activities to the Bombay Labour Welfare ‘Board constituted under the act having representatives of employers, independent persons and women.
A welfare fund consisting of unutilized fines and unpaid wages, donations etc., was set up. Labour Welfare Board maintains a number of labour welfare centres catering to the various welfare activities for workers and their families. The State Government also set up an Institute for Training Labour Welfare Officers for the factories in the State.
(ii) Uttar Pradesh:
In 1937, the Government created a new Department or Labour under a commissioner of labour. The department has organised Labour welfare centres in almost all big industrial towns. The regular centres are divided into four categories on the basis of the activities undertaken by them. Nearly all basic welfare facilities like hospitals and dispensaries, library and reading rooms, sewing classes, maternity centres, crèches, door and outdoor games etc., are provided by these centres.
There are 73 labour welfare centres working in the state. The U.P. Government framed Factories Welfare Officers’ Rules. According to these rules, every factory employing 500 workers or more will have to appoint a Labour Welfare Officer and factories employing 2,500 workers or more will have to appoint an additional welfare officer.
There are also Labour Welfare Advisory Committees, one for the whole state, 19 in districts to advise the Government in organising labour welfare activities. The Government passed V.P. Welfare Fund Act 1956 to provide funds for welfare activities.
(iii) West Bengal:
The Government started labour welfare centres at different places and the various activities undertaken by these centres are publicity, library, reading rooms, radio, sports, dispensary etc. Each centre is under the charge of a labour welfare worker assisted by a labour welfare assistant and lady welfare worker.
Other State Governments. The Governments of other states have also started labour welfare centres catering to almost all the labour welfare facilities. The states have also undertaken the projects of housing for laborers in the state.
(3) Labour Welfare Activities by Employers:
At present, the welfare activities are being brought more and more under the legislation rather than being left to the good sense of the employers. The Government has made certain facilities obligatory on the part of employees under legislations. The employers have limited financial resources and moreover, their attitude towards labour is apathetic.
They consider the expenditure on labour welfare activities as waste of money rather than an investment. Even so, some enlightened employers, on their own initiative, have been doing a bit in the direction of welfare. They have provided medical aids, hospital and dispensary facilities, canteens, fair price shops, co-operative societies, recreation club etc.
These facilities are apart from their liability under various central or state legislations. The Delhi Cloth and General Mills have an Employees Benefit Fund Trust managed by a board of trustees. This fund is financed by the contribution of a fixed percentage of the amount distributed, schemes out of this fund such as voluntary health insurance scheme, gratuity and old age pension scheme, the provident fund and daughter’s marriage allowance schemes. It provides financial assistance to workers in emergency.
Various other enlightened employers like the Tata Iron and Steel Co. (TISCO), Mafatlals, JKs, Hindustan Lever, Godrej, Larson and Toubro, Pfizer, Sandoz, Siemens, Philips, Bajaj, Century Rayon’s, Birla’s and many other private sector concerns and concerns like Indian Aluminum Company, Hindustan Aeronautics, Steel Authority of India Ltd. (SAIL), Air India, Hindustan Machines Tools (IIMT), Indian Telephone Industries etc., and many other in public sector have undertaken welfare activities.
These employers in public and private sectors have, made provisions for educational facilities for workers and their children, medical facilities for workers and their families, transport facilities from residence to factory and back, recreational facilities, housing facilities and facility of consumers’ cooperative societies.
Some new trends are visible in the field of labour welfare work taken up by the employer which may be summarized as below:
(i) The programme for family planning is being accorded top priority by many, employers.
(ii) More stress is being given on the supply of nutritive food to the employees at subsidized rate.
(iii) Emphasis is now being laid for the supply of goods and services at the subsidized rates or opening of the co-operative stores and fair price shops.
The welfare facilities provided by employers are not satisfactory. The Labour Investigation Committee has quoted the views of Dr. B.R. Seth who observes, “The vast majority of industrialists in India still regard welfare work as a barren liability rather than a wise investment.”
(4) Labour Welfare Activities by Trade Unions:
The welfare work undertaken by the trade union agency are negligible because of lack of organisation and financial stringency. Only a few unions like the Ahmedabad Textile Labour Association, the Mazdoor Sabha of Kanpur, Indore Mill Mazdoor Sangh and Bank Employees Association have devoted themselves to welfare work. The Ahmedabad Textile Labour Association spends nearly 70% of its income on welfare activities.
Labour welfare activities generally provided by these trade unions are libraries and reading room, educational institution including day and night schools, cultural and social centres, gymnasia etc. The Mill Mazdoor Sabha, Indore has started a Labour Welfare Centre which is working in three sections as BAL Mandir, Kanya Mandir and Mahila Mandir.
The Union for Sugar workers (HMS) in Maharashtra has taken initiative in starting a well-equipped hospital for the welfare of workers. HMS and INTUC in collaboration with the International Confederation of Free Trade Unions (ICFTU) have envisaged a plan to provide employment opportunities for unemployed.
The Assam Chai Karmachari Sangh (affiliated to INTUC) provide a number of facilities to plantation works as well as for community at large. The Bidi Workers’ union in Kerala runs a cooperative society for bidi workers. Thus, many leading trade unions and central organisations of trade unions have undertaken a number of welfare activities in various fields.
However in general, trade unions’ role in welfare work is not encouraging. They could not take much interest in welfare activities because lack of proper leadership, mutual rivalries and shortage of funds.
(5) Labour Welfare Work by Other Agencies:
Apart from the agencies closely associated with the industries (Government, Central and States, employers and trade unions) several other agencies have also done, commendable work in the field of labour welfare.
Such agencies are:
(a) Social Service Agencies:
Several social service agencies such as Bombay Social Service League started by the Servants of India Society and similar leagues in Madras and Bengal the Shiv Seva Society, the Bombay Presidency Women’s Council, the Maternity and Infant Welfare Association, the Y.M.CA., The Depressed Classes Mission Society and many other missionary societies play an important role in organising the welfare work, both by helping employers and labour in their welfare activities and by independent efforts. These agencies have provided various welfare activities, like education, indoor and outdoor games, establishment of co-operative societies, night schools and libraries etc.
A few municipalities and municipal corporations have also taken special welfare measures such as cooperative credit societies, maternities and nursery schools, adult schools, crèches, etc. These progressive municipalities, are also in Bombay, Calcutta, Delhi, Kanpur, Madras, Ajmer etc.
Labour Welfare in India – Chief Agencies: Central Government, State Government, Employer’s or their Organisation and Statutory Welfare Funds
One of the most important reasons for the low efficiency of labour in India can be found in the miserable conditions under which workers are compelled to work in factories. Equally, or perhaps more, miserably are the conditions at those places where the workers live in most of the industrial centres of the country.
Numerous references to these conditions have been made by almost all committees which have reported on labour. Following these references, and the formation of a national government in the country, the welfare work for labour has received some impetus.
At present, the chief agencies of labour welfare are:
(a) Central Government,
(b) State Government,
(c) Employers, or their organizations,
(d) Worker’s Organisation, and
(e) Statutory Welfare Funds.
(a) The Government of India started taking active interest in labour welfare only during the Second World War, when it directed its attention mainly to the workers in the ordinance depots and ammunition factories to keep up their morale and increase their productivity. After independence, however, the Government has tried to ensure some standard of welfare in industry, mainly through legislation as it is wedded to the ideal of a Welfare State and socialist pattern of society.
The institution of labour welfare funds in coal and mica mines and provident funds in many industries, the initiation of social security and industrial housing schemes and the radical revision of the law regulating conditions of work are notable steps in this direction.
The Factories Act of 1948, for example, regulates the age of employment and hours of work and provides for safety and protection, the maintenance of adequate arrangements concerning health, hygiene and environment and the appointment of labour welfare officers (in factories employing more than 500 workers).
The Act covers all factories run with power employing more than 10 persons, and run without power employing more than 20 persons. Similarly, legislation has been enacted with regard to mines (Indian Mines Act of 1952) and plantations (Plantations Labour Act of 1950).
The scheme for the creation of labour welfare funds in government-owned undertakings (except those controlled by the Railway Board and major port authorities) was started on an experimental basis in 1946. Such ‘funds’ are contributory in character and are built up from the contributions of the workers, receipts from fines, rebates from contractors, profits of the canteens and cinema shows, etc. and grants from the Government.
During 1963, a statutory fund was set up for financing welfare facilities for labour employed in the iron-ore mining industry under the Iron Ore Mines Labour Welfare Cess Act, 1961, through cess on iron-ore production. During the year 1964-65, 174 Funds were in operation. The workers’ contribution amounted to Rs.2,99,346 and the Government’s contribution Rs.1,79,459.
(b) Besides the Central Government, the State Governments have also been devoting themselves to labour welfare by opening welfare centres for workers to provide recreational, educational and cultural facilities to workmen and their families. Some States are also running Health Centres, Family Planning Clinics and Centres, Workers’ Education Centre, Training Classes in Crafts for Women, etc.
(c) The employers are now becoming conscious of the importance of labour welfare work in industry. The Factories Act, 1948, makes it obligatory on the part of factory owners to provide the basic minimum of amenities to the workers so that conditions in the work-place become humanly tolerable.
That provision had to be made in the Act for arrangements regarding drinking water for the workers, canteens, lavatories, etc. indicates that all employers were not providing even these amenities to the workers before the enactment of legislation. The position has somewhat improved as is indicated by the report of the activities of the employers’ associations published in the Indian Labour Year Book every year.
For example, it has been reported that the members of the Mill-Owners’ Associations of Bombay and Ahmedabad have grain shops, canteens, crèches, dispensaries and ambulance rooms for workers. Besides, schools are also run by many of them. The same is reported about the jute mills of West Bengal. Most of the employers in the other industries and plantations run hospitals, dispensaries, schools and training classes for the benefit of their workers and their families.
(d) Welfare work on a considerable scale is undertaken only by a few workers’ organisation. Among the workers’ unions, the Textile Labour Association of Ahmedabad has a record of commendable welfare work among its members to its credit. The ATLA maintains one Allopathic and two Ayurvedic dispensaries and a 24 bed Maternity Home.
It also organizes a number of educational, social and cultural activities for the benefit of its member-workers. Besides, it maintains 27 cultural centres and 66 reading rooms, most of them in the midst of workers’ chawls. Two nursery schools are also run by the Association and arrangements are made to provide vocational training to the workers and their womenfolk.
(e) At present, statutory welfare funds are in operation in coal and mica mines. The Coal Mines Labour Welfare Fund has completed twenty years of existence. During this period, a wide variety of welfare activities has been organized out of it.
These include medical facilities, central hospitals, regional hospitals, facilities for T.B. patients, anti-malaria operations and recreational and educational facilities. Similar facilities are being provided out of the Mica Mines Labour Fund constituted under the Mica Mines Labour Welfare Fund Act, 1946.
In spite of all that is being done under the heads mentioned above, there is no room for complacency as yet. Much has to be done to make conditions of work and living more agreeable for the large mass of workers who have to be entrusted with the task of rapid industrial development through increase in productivity.
On their part, the workers must exert some pressure on their unions to undertake welfare activities on the model of the ATLA rather than squander away their resources in petty politics.
Labour Welfare in India – 8 Important Theories
The various theory to labour welfare are as follows:
1. Functional Theory:
This theory assumes that employee welfare is a part of the personnel/HR function of the organization. In this regard, organizations depute a labour welfare officer or manager to manage the welfare activities in the organization.
2. Social Theory:
This theory assumes that organizations take benefits, resources and raw materials from the society for producing their products and services and by providing labour welfare activities in their organization and outside the organization (Extra Mural Activities) they are showing their concern for the development and wellbeing of the society.
3. Policing Theory:
This theory assumes that organizations provide ample opportunities for owners and managers of capital to exploit workers in unfair ways like by compelling employees with long working hours, by paying low wages, by not improving the quality of life at the workplace. The statutory norms and legislations provided by the state with respect to welfare activities acts as a stringent measure to prevent these unfair activities towards the workforce.
4. Religion Theory:
From the investment perspective, the religion theory implies that by committing towards welfare activities the management could reap the benefits of employee loyalty and trust in the near future. On the other hand, from the atonement perspective the religion theory implicates that it is the moral responsibility of the management to be concerned for the wellbeing of the employees.
5. Philanthropic Theory:
This concept mainly proposes that labour welfare should provide good working conditions, rest rooms, drinking water facilities, common rooms, canteens etc. that would contribute to improve the standard of living and wellbeing of the employees in the organization.
6. Paternalistic Theory:
According to this theory, the social responsibility and the responsibility of an employer of an organization with respect to the employee welfare is conceived as a “paternalistic duty or responsibility” towards the society and the employees who are being employed in the organization.
7. Placating Theory:
Placating theory considers that labour welfare initiatives taken by an organization are like appeasement and its works for the management particularly when the workers are organized and violent in terms of charting their demands from the management.
8. Public Relations Theory:
This concept assumes that labour welfare can create a good corporate image and enhance the employability brand of the organization.