August

2016

(April 2016 - June 2016)

ISSUE 2

E-NEWSLETTER ISSUE-2

for private circulation

Contents I.

HR ARTICLES 1. CTC vs BTC – 2-4 2. Momentary unpleasantness Vs Bier Heartbreaks – 5-6

II. Recent Labour Law Judgments -7-12 III. Blog roll – 13-36 1. Five Dysfunctional Directives - We Can Live Without 2. Latest Trends to ensure Gender Equality at Workplace 3. Implication and Analysis of Recent Labour Court Order declaring IT Engineer as Workman 4. Changing Scenario About Role of IR Manager 5. 7 Steps To Planning A Great Presentation 6. Fraud Triangle - The 'why' behind workplace frauds. 7. 3 Tips For Every HR Manager 8. Practising Mindfulness at Work - Start Bursting Those Thought Baloons!

Wishing you happy reading.

HR Article

1. CTC Vs BTC The concept of showing the Salary of an employee in the form of CTC (Cost To Company) is a gimmick developed by (new generation) companies to attract employees. The CTC will include all costs – fixed and variable, historic and future or actual and anticipated- which are to be incurred due to employment of a person. Under the CTC concept even the expenses which are to be met after 5 years of employment are not spared but the projected sum is distributed evenly throughout right from the month one of service! An offer letter issued to an employee by a Multi National Company has the following salary components. FIXED SALARY Basic Salary House Rent Allowance Special Allowance Conveyance Allowance Meals coupon Washing Allowance City Compensatory Allowance REIMBURSEMENTS Books/Periodicals Education House Maintenance Allowance Uniform Allowance Telephone Medical Reimbursements BONUS Fixed and Productivity Bonus/ Variable Pay BENEFITS/ PERKS Leave Travel Allowance Internet Subsidised Food Electricity/Gas, Servant/Gardener Credit Cards Furnishings/Durables Holiday Facilities Medical Insurance RETIRALS Provident Fund Gratuity

HR Article

COST TO COMPANY The total amount mounts up very huge and one looking at is impressed by the OFFER given by the company. This is just to lure employees. With the exception of Fixed Salary, all other payments are reimbursements of actual amount spent. Most of them are payable yearly and leave travel concession is generally paid once in two years. Provision of subsidised food may be a requirement of the company entailed after any enactment like the Factories Act, 1948. In some cases bonus will never accrue although amount will be projected well at the time of preparation of offer letter. Later on the employee will be denied of the bonus quoting salary ceiling provisions in the Payment of Bonus Act. I have come across to find an employee whose expectation was that he would get the stated sum every month but was deprived of many reimbursements for want of adequate proof of having spent the amount claimed. Surprisingly, these companies do not pay any Dearness Allowance which will compensate the cost of living in real terms to a great extent. This is because the company cannot graph the cost of living on which the DA is structured. Similar are the cases of Employees Provident Fund contribution and the Gratuity. These are statutory obligations of the employer. Though EPF contribution takes place every month the gratuity payment takes place only once and that also after five years of service. When no one is certain that he will be in continuous service for five years with an employer the practice of showing gratuity in the salary cannot be encouraged. Moreover, gratuity is not payable to any employee during his service but it is payable only when he leaves due to any reason including death. The practice of including employer's contribution to EPF as part salary and then making a deduction of the amount from the salary shall be interpreted as recovering employer's contribution from the employee and can be challenged as ' an employer shall not deduct his own share of contribution from the salary of the employee'. Similarly an employer cannot realise any amount from the employee for payment of gratuity in future. In the conventional style of salary fixation, it is the Basic Salary which is decided first based on different scales of pay and considering the education and exposure the candidate possesses in the industry or relevant field. Then allowances like Dearness allowance, House Rent Allowance etc are declared as percentages of the fixed basic. Obviously, Dearness Allowance may also take the form of variable dearness allowance which is purely based on the cost of living index. The other benefits will be offered as 'stated in the standing orders of the organisation'. Normally an organisation will have certified standing orders of its own which will define the relationship between an employer and employee. The standing orders will speak about different benefits available to different categories of employees. As against the above practice, in the present system of HR Management, we decide what should be the CTC of an employee and then compartmentalise the entire thing into Basic salary, HRA etc. Care will be taken to put the minimum amount to Basic salary because we have understood that it is the Basic Salary on which we have to pay Provident Fund, Bonus, Gratuity etc and by keeping the same very low will only make our employer happy. Therefore, there may be washing allowance (which is not part of wages under ESI Act also) with a prominent figure than Basic Wages as if our employees spend more for washing rather than for food, shelter and other things. Another important aspect is that we will have a Special Allowance as part of salary and is paid to all the employees. This is the component of salary to which we dump all the remaining part of remuneration which is required to make the offer fancy and acceptable to the employee. We forget that Special Allowance paid to all employees irrespective of any special skill required to do a particular jobshould be treated as part of statutory salary on which Provident Fund should be paid. We also forget that if this is a part of salary as per settlement or forming part of contract of employment it should be considered as part of wages or salary for the purpose of gratuity calculation. Rulings are also available with regard to similar treatment of Special Allowance in connection with calculation of B o n u s , l a y o f f a n d r e t r e n c h m e n t c o m p e n s a t i o n s .

HR Article

When the employers think of cost to company, why don't we have a Benefit To Company (BTC) concept? The benefit that the company gets out of employment of each and every employee shall be worked out applying any theory like that used to measure the Marginal Productivity of Labour. Since transition of Personnel Management concepts to Human Resource Management, labour has been recognised as a capital gifted with rich resource.In this context it is not worth to relate the service of human capital to Cost to Company alone, rather the services rendered shall be measured in tune with Benefit To Company (BTC).It is true that fixation based on marginal productivity is relevant in functional areas like Sales and Marketing wherein the marginal revenue, the benefit to the company, by employing the marginal labour, can determine the salary. The psychology of mass retrenchment in reputed MNCs which lead thousands of skills unemployed in a single day tells us that those with negative or diminishing BTC have no room in an organisation. When performance is the yardstick for deciding whether or not one employee shall be shown the way out, the same shall also be the index for retention of employee. A good performer brings in many benefits which a bad performer doesn't. Imagine that the supply of labour is inelastic and there exits alternative employment. In such situation it will be the labour who fixes the benefits that the company gets by employing him! Retrenchment of employees for poor performance shall be justified provided all efforts using the highly sophisticated tools of the (modern) HR to rearrange and reallocate work have been bushed. But, ironically, many are routed out of the organisation without redistribution of functional areas just finding them unbeneficial to their respective job. Here the benefits play the lead role rather than the cost, the very end of which is in the hands of the employer with plenty of 'variables' hidden in the pay scale. Above all, the question commonly asked in a job interview that 'why should we appoint you?' has an implicit meaning 'what benefit the company gets out of employing the candidate'.

Madhu.T.K A Post Graduate in Commerce and Personnel management & Industrial Relations Gained exposure to Industrial Relations and Labour Law by working with certain multi Unionised establishments in Kerala.

Have carried out a number of Long Term Settlements at various organisations Have worked with Hindustan Engineering Products, ICFAI, CGH Earth, Asianet Satellite Communications and HBC Paints, in the role of IR and Personnel Manager Mentor and adviser to HR Executives all over India by contributions through CiteHR, a web based forum of HR professionals (www.citehr.com). Also a Senior member and Super Moderator of CireHR.com

HR Article

2. Momentary Unpleasantness Vs Bigger heartbreaks.... This happened around the year 1999- 2000. I was working in the corporate office of a PSU in Bangalore. A young man had come to meet me from KGF (Kolar Gold Fields) along with his uncle and a local political lightweight. Initially, there was some belligerence in their approach. However, from the moment of greeting them, I put the visitors at ease, smiling and encouraging them to speak. The youngster was mostly silent and a major part of the talking was done by the politician. They related the purpose of their visit thus:- The youngster's father was an employee of the company's KGF unit. He expired while in service a few years back. The boy had requested for employment under the scheme for 'compassionate employment' which is extended to any one of the family members of an employee dying while in service. It appears that the HR at the KGF unit had told the candidate that there were some pending cases which needed to be attended to first and that his case would be considered on a later date. Quite a few years had lapsed since then and nothing had happened, in spite of the family frequently following up the matter. Now, they were fed up and had come to the corporate office for resolving the matter. After listening to them patiently, I told the visitors that the department of public enterprises, Government of India had issued guidelines withdrawing the scheme of employment on 'compassionate grounds' and that the scheme was presently not in vogue. I checked the date of the death of the employee to find that the death had occurred after the discontinuation of the said scheme. When I explained the position to them, initially they were very upset, considering the number of wasted years during which period they were waiting in anticipation and had put in a lot of efforts on follow up. I empathised with the candidate and enquired about his qualification. On learning that it was certification from ITI (Industrial training institute), I asked him as to why he did not try for a job all this while when job opportunities were available in the nearby city of Bangalore. Even if he was waiting for the PSU job, experience in the intervening period would have been very valuable for molding him as a confident employee. After a fairly long conversation, the visitors appreciated my frankness and said that "at least now we know the actual position and can move on in life and look out for other job opportunities."They further said "Had this been told to us earlier, we could have avoided so many years of anxiety and heart burn" and left for KGF. The incident was indeed sad and painful. There are occasions when those of us working in administrative positions put off unpleasant actions or decisions in order to avoid momentary discomfort but this actually leads to more complicated situations and heartburns on a later date. Some managers also have the habit of evasiveness and avoid meeting people who come to them with grievances. When I was transferred as Head- HR of the company's Mysore unit, my personal secretary initially used to ask me "Sir, there is this employee who says he wants to meet you on some issue, shall I tell him you are busy and send him away? ". Later however, when he understood that my style of working was to invariably meet the employee, he began to only ask "Sir, would you like to meet him now or what other time or day would be convenient? " Evasiveness does not solve problems. On the other hand, open and free communication clears the air and misunderstanding; even if we cannot meet all the expectations of the employee.

HR Article

M.N.Rajeev

Profile of M.N.Rajeev Mr M.N.Rajeev, presently, Learning consultant & facilitator (Niche Learning Services), last served in the multinational Auto major Hyundai Motor India Ltd as HOD(Learning and Development and Contract management)for a period of 51/2 years. He has rich experience as a practicing HRDian in both the public and private sectors. He passed out from the reputed Madras School of Social work with personnel management specialization in the year 1980 and acquired LLB from Mysore University. Mr Rajeev is a passionate trainer and has been facilitating training programs in all the companies that he has worked and also for a few external companies. He started his career as a management trainee at Visvesvaraya Iron & steel Ltd Bhadravathi, a unit of the steel Authority of India Ltd. Subsequently he worked for the Raw materials Division of SAIL at Madyapradesh, Tamilnadu Telecommunications Ltd at Arakkonam, BEML Ltd at Bangalore& Mysore and at JSW Steel Bellary, in various capacities and departments of the HR function. In BEML Ltd he headed HR in the manufacturing divisions at Bangalore & Mysore and also functioned in a key role at the corporate office. At Hyundai Motor India Ltd he focused on the learning & development activities for enhancing effectiveness ofemployees in their current jobs and grooming them for future roles. Mr Rajeev has addressed professional bodies viz NHRD, Hosur chapter ISTD, Chennai chapter and NIPM chapters of Chennai & Mysore. He has also addressed management students of Alliance business academy, ICFAI, PES School of management, BharatiyaVidyaBhavanetcat Bangalore and taken classes for the Diploma in HRM evening college students of the Mysore University. His articles have been published in the Management section- "Avenues" of the leading newspaper Deccan Herald published from Bangalore. He writes blogs in prose - 'www.hrdian.blogspot.in' and in verse 'www.corporate poem.blogspot.in' His maiden book "Straight from the Heart- Thoughts and Experiences of an HR Professional” has been published in July 2015 by Cyberwit.net.

II. Recent Labour Law Judgements (In this section we attempt to compile and share some noteworthy Labour law judgments of previous quarter from various sources like indiankanoon.org, Labour Law Reporter (April 2016, May 2016 & June 2016,advocatekhoj.com)

1. July 2016 LLR 765 – KERALA HIGH COURT – Hon'ble Justice K. Harilal – W.P.(C)No.10689/2011(1), Dt:09.03.2016 – Regional Cancer Centre, Rep. by its Director Vs. EPF Appellate Tribunal & Ors. – EMPLOYEES' PROVIDENT FUNDS & MISCELLANEOUS PROVISIONS ACT, 1952 – Sections 7A, 7B, 7-I, 2(e) & (f) – Applicability of the Act – EPF Authority held the petitioner.establishment to remit contributions in respect of employees working the canteen – Review filed u/s 7B of the Act was dismissed – Appeal filed against the orders of both the lower authorities failed – Petitioner filed writ petition for protecting his cause – Held, premises of the canteen was given free of cost to third party who was running the canteen for convenience of the public at large coming to hospital by engaging at his own the required number of workers – Such workers were having no relationship of employer-employee with the petitioner as per provisions of Sections 2(e) & (f) of the Act – Petitioner produced sufficient documentary evidence which were not considered by the respondents – EPF Appellate Authority has miserably failed to consider those documents which were omitted by EPF Authority – Hence, impugned orders are quashed – EPF Authority is directed to pass a fresh order as provided under the provisions of law. 2. July 2016 LLR 757 – CALCUTTA HIGH COURT – Hon'ble Justice Shivakant Prasad – W.P.No.12404(W)2002, Dt:01.02.2016 – Indian Iron & Steel Company Ltd Vs. State of West Bengal & Ors. – RELATIONSHIP OF EMPLOYER-EMPLOYEE – When would not be in existence – Employees of IISCO Consumers Cooperative Stores, working in canteen of petitioner claimed to be employees of petitioner for entitling them to the benefits of regular employees of the petitioner company – The Tribunal passed Award in favour of the workmen – Management challenged the Award in writ petition – Held, the Stores is a separate entity, hence its employees are not entitled to be treated as employees of petitioner's company – Their rights and obligations can only be determined in terms of agreement with the Cooperative Society – Hence, Award passed by the Tribunal is set aside.

-Benny John, Sr. Manager – HR, VKL Seasoning Pvt. Ltd. Keya Foods International Pvt. Ltd.

Recent Labour Law Judgements

3. July 2016 LLR 667 – DELHI HIGH COURT – Hon'ble Justice Ved Prakash Vaish – W.P.(C)3149/2002, Dt:10.05.2016 – Dashrath Singh Vs. Andhra Bank & Ors. – A. MORAL TURPITUDE – Scope of – An employee in a banking company dealing with general public commits physical assault to his superior officer, using unparliamentary language, tampered the service records – Such acts being contrary to justice, honesty, modesty or good morals, shocking to the moral sense of community, is to be covered under the term 'moral turpitude'. B. CONDUCTING OF ENQUIRY – When no need – An FIR was registered against the employee – He was held guilty by the criminal court – He was convicted to simple imprisonment for 8 months – His appeal and revision petition failed – On the basis of conviction order passed by the criminal court, he was issued show cause notice calling for his explanation – He was dismissed from service without conducting enquiry – He challenged the order of dismissal – Held, having regard to the fact of the case, there is no need to conduct enquiry as the factum of conviction is admitted. C. PUNISHMENT – Concept of double jeopardy – Scope of – After issuing charge-sheet, containing charges of physical assault to his superior officer, using unparliamentary language, tampering the service records, the employee was imposed punishment of stoppage of four annual increments with cumulative effect – In criminal case he was convicted for simple imprisonment of 6 months – Held, punishment of stoppage of increment on the basis of domestic enquiry and that of dismissal from service on the basis of conviction order would not amount to double jeopardy. 4. June

2016 II CLR 527 – IN THE HIGH COURT OF JUDICATURE AT MADRAS (Madurai Bench) – Reserved

on 06.01.2016 – Delivered on 12.01.2016 – W.P.A.(MD) No.122 of 2015 & M.P.(MD) Nos.1 & 2 of 2016 – PRESENT – Hon'ble Justices V. Ramasubramanian & N. Kirubakaran – General Secretary, Cethar Vessels Thozhilalar Sangam (Appellant) Vs. Cethar Ltd, rep. by this M.D. (Respondents ) – CONSTITUTION OF INDIA, 1950 – Article 226 – Lockout – Police protection sought to remove goods from factory premises – The appellant-trade union takes exception to the direction given to police to give protection to the Management, to remove materials from the premises during lockout period. The Court held that (i) when salary payable to the workers has not been paid, even for the period immediately preceding the date of the lockout, the Management cannot claim any absolute right to take away the goods (i) the Management was not entitled to the equitable relief under Article 226 of the Constitution of India (ii) the payment of wages of the workmen out of Rs.80,000/- deposited in the Court in view of the Court orders, would not even depend on the outcome of the industrial dispute as the same represents the wages for the period prior to the lockout (iv) the impugned order passed in writ petition of 2015 of leaned single judge is set aside with directions as mentioned

-Manoj P V, Regional HR and IR Manager –South, United Spirits Ltd, (A Diageo Group Company)

Recent Labour Law Judgements

5. June 2016 II CLR 289 – IN THE HIGHT COURT OF CHHATTISGARH – 04.01.2015 – W.P.L.No.42 of 2015 – PRESENT – Hon'ble Justice Sanjay K. Agarwal (Petitioners) Vs. Jitendra Kumar Shrivastava (Respondent) – PAYMENT OF GRATUITY ACT, 1972 – Section 4(6)(b) – Forfeiture of Gratuity – Whether conviction of a terminated employee for an offence involving moral turpitude, is a condition precedent for forfeiting the gratuity of the employee, in terms of Section 4(6)(b)(ii) of the Payment of Gratuity Act, 1972? The Court answered the question in the affirmative with these conclusions – (i) to invoke Section 4(6)(ii) of the Act, it is imperative that employee is terminated for proven misconduct and thereafter criminal prosecution is launched, which has ended into his conviction by the criminal court for an offence involving moral turpitude (ii) in the present case the respondent-workman was found guilty of the charges framed and on that basis his services were terminated. But no criminal prosecution was launched / initiated by the petitioner-bank for an offence involving moral turpitude, which is imperative condition precedent for forfeiture of the amount of gratuity. 6. June 2016 LLR 641 – HYDERABAD HIGH COURT – Hon'ble Justice N.R. Rao – W.P.No.4635/2015, Dt: 06.03.2015 – S.V. Hari Prasad Vs. Vice Chairman & MD, APSRTC & Ors. – MISCONDUCT – Order of suspension of petitioner-driver passed – For having consumed liquor on duty – As indicated by breath alcohol analyser – Small quantity of its presence in blood, is a serious misconduct – Corporation is fully justified in treating the conduct of its employees on duty, who are under influence of alcohol – Presence in the blood is a serious misconduct.

Sreevidya Rajeev Assistant Manager–HR, AVT McCormick Ingredients Pvt Ltd

Recent Labour Law Judgements

7. June 2016 LLR 580 – HIMACHAL PRADESH HIGH COURT – Hon'ble Justice Dharam Chand Chaudhary – C.W.P.No.4675 / 2015, Dt: 22.03.2016 – Manoj Kumar Vs. M/s. Sintex Industries Pvt Ltd – A. EMPLOYEREMPLOYEE RELATIONSHIP – When contractor is not a registered one – Employee not to be treated as an employee of the principal employer – To establish employer-employee relationship would include inter alia (i) who appoints the workman, (ii) who pays the salary (iii) who has the authority to dismiss (iv) who can take disciplinary action (v) whether there is continuity of service and (vi) extent of control and supervision. B. INDUSTRIAL DISPUTES ACT, 1947 – Section 25F – When the workman has no relationship of employer-employee with the principal employer, his plea that termination of his services by the principal employer is in violation of Section 25F of the Act, is not sustainable even when the contractor was not a registered one – Mere non-impleading the contractor as a party would not enable the workman to establish that he was employee of the principal employer. C. PRINCIPAL EMPLOYER – When depositing ESI contribution of the contractor's employees – Effect upon relationship of employeremployee – It is responsibility of the principal employer to ensure that workman is registered member under ESI Scheme and contributions are deposited subject to realization of the same from the contractor – The ESI Act does not prescribe that a contractor has to possess his own code number – Such a duty is not cast upon the contractor under the Act – Only on the basis of ESI card having address of the principal employer, employer-employee relationship would not come into existence. D. CONSTITUTION OF INDIA, 1950 – Article 226 – An Award passed by the Industrial Tribunal can only be interfered by the writ court in exercise of its writ jurisdiction if the same is illegal, irrational and suffers from procedural impropriety.

8. June 2016 LLR 561 – SUPREME COURT OF INDIA – Hon'ble Justices V. Gopala Gowda & Amitava Roy – C.A.No.1020/2011, Dt: 13.04.2016 – Rajkumar Vs. Director of Education & Ors. – A. INDUSTRIAL DISPUTES ACT, 1947 – Section 25F(c) read with Rule 75 of the Industrial Disputes Rules, 1957 – Necessity of Form-P to the Government – Notice u/s 25F(c) read with Rule 76(a) is mandatory , to be compli9ed within 3 days from the date the notice is given to the workman – Retrenchment of a workman would be illegal in case of non-compliance of provisions of Section 25F(c) & Rule 76(a) of the Act & Rules, attracting reinstatement with wages. B. RELIEF TO A WORKMAN – When his termination is set aside from noncompliance of mandatory provisions of the Industrial Disputes Act & Rules – Reinstatement with full back-wages with consequential benefits would follow. C. DELHI SCHOLL EDUCATION ACT, 1973 – Section 8(2) – Necessity for approval of Director of Education for termination of an employee of a private aided school is imperative – Section 9(2) of the Act is a substantive right provided for safeguarding the conditions of services of an employee to avoid arbitrary or unreasonable termination of services of an employee – Non-compliance of Section 8(2) is illegal. D. INCOME TAX ACT – Section 89 – Taxation of backwages – Granted to the appellant employee – Entire amount being paid towards back-wages must be spread over the period from retrenchment to final decision of the Court for providing benefit of Section 89 of the Act to the employee.

-Martin Jacob, Manager – HR, Olam Agro India Private Limited

Recent Labour Law Judgements

9. May 2016 II CLR 233 – IN THE HIGH COURT OF RAJASTHAN (JAIPUR BENCH) – 30.07.2015 – D.B.C.S.A. (W) No.65 of 2007 – PRESENT Hon'ble Justices Ajit Singh & Anupinder Singh Grewal – Anil Steel & Industries Ltd (Appellant) Vs. Judge, Labour Court-II & Ors. (Respondents) – INDUSTRIAL DISPUTES ACT, 1947 – Section 10 – Dismissal from Service – The appellant-management challenges order of dismissal of its writ petition by learned single judge, upholding the award passed by labour court, directing reinstatement of respondents Nos. 2&3, the helper & operator. The Court held that (i) there is no merit in the contention that both the workmen were punished, as they were President & Secretary of the Union (ii) both the workmen participated in the strike which was declared illegal (iii) learned single judge failed to consider serious nature of their misconducts while dismissing the writ petition file by the management (iv) the labour court while considering similarity of punishment against respondents along with other laborers, utterly failed to look into gravity of their misconducts of insulting and intimidating the higher officers (v) the labour court as well as the learned single judge, were guided by misplaced sympathy, rather than any relevant factors (vi) the impugned award, which is wrongly upheld by the learned single judge are set aside. 10. May

2016 LLR 456 - DELHI HIGH COURT - Hon'ble Justice I.S. Mehta - W.P. (C) No.5325/2004,

Dt:21.03.2016 - Kanhaya Lal Vs. Management of Swantantra Bharat Mill - A. TRANSFER – Of an employee – Is an incident of service – Option of selecting name of the transferee-employee always rests with the employer unless there exists a specific cause to believe than the action taken was mala fide. B. TRANSFER – Of an employee from one machine to another as per condition of employment – Does not amount to change in conditions of service – Workman was transferred from winding department to double winding department without notice u/s 9A of the Industrial Disputes Act – Workman was not imparted training for operating the double winding machine – Workman refused to perform the assigned job – Workman has not pointed out any change in conditions of his service since the transfer was within the same premises only from one machine to another – Hence, no such notice was required. C. TRANSFER – Of an employee – When not mala fide – Admission of the workman that he was given printed attendance card of badliwala – He neither made any compliant nor raised any industrial dispute for removal of his designation as badliwala or to make him permanent – He was never refused duties – He was having no knowledge that he would be given duty in only one particular department – Held, such admission leaves no doubt that transfer was not mala fide. D. TRANSFER – Of an employee from one machine to another – Non-compliance by workman – No relief can be granted since transfer order is arising from the due course of this service condition. E. TRANSFER – Selection of transferee employee keeping in view his suitability at the transferred place always rests with the employer – It cannot be presumed that the management is under any legal obligation to transfer the same set of employees to transferred place.

Libin Varghese Manager – HR, Jupiter Leys

Recent Labour Law Judgements

Workman can raise dispute before the Court where the decision to terminate the service of workman is taken even if the termination is effected in a place having different jurisdiction. Supreme Court Civil Appeal No. 1409 of 2016 – Decided on 16.06.2016 Nandram (Appellant)

Vs

M/s. Garware Polyster Ltd. (Respondent)

Company having Head Office at Aurangabad and units at different places appointed a Workman initially at Aurangabad unit. Later he was promoted to one higher post to another and continued to work in the initial place of appointment. Later he was transferred to another unit in Gujarat and subsequently to another unit in Pondicherry. After completion of nearly four years of service in Pondicherry, the workman was terminated on account of the closure of the unit at Pondicherry. Decision to close the Pondicherry unit was taken at the Head Office of the company at Aurangabad. The workman moved the Labour Court at Aurangabad against the termination. Company contended that the Labour Court at Aurangabad having no jurisdiction at Pondicherry cannot decide the matter as the termination took place at Pondicherry. However, the Labour Court over ruled the contentions of the company and decided the matter in favour of the workman. Aggrieved by the decision, company approached the Industrial Court at Aurangabad in revision. Industrial Court decided the matter in favour of the company and set aside the order of Labour Court on finding that the termination of workman took place at Pondicherry and the Aurangabad Labour Court have no territorial jurisdiction to entertain the complaint of the workman. Workman approached the High Court of Judicature of Bomaby at Aurangabad against the order of the Industrial Court. High Court affirmed the order of the Industrial Court stating that in the instant case, Labour Court at Aurangabad has no jurisdiction to adjudicate the matter of termination taken place at Pondicherry. Workman approached the Supreme Court in Civil Appeal against the order of the High Court. On the facts of the case Supreme Court found that the workman was employed by the company in Aurangabad and was transferred to Pondicherry unit. The decision to close the unit was taken at Aurangabad. The workman was terminated consequent to the decision to close the unit which was taken at Aurangabad. Supreme Court held that since the decision to terminate the service of the workman was taken at Aurangabad, cause of action has partly arisen at Aurangabad. Upon the facts of the case, both the Labour Court at Pondicherry under whose jurisdiction the termination took place and the Labour Court at Aurangabad under whose jurisdiction the decision to terminate the workman was taken will have jurisdiction to decide upon the matter. Supreme Court restored the order of the Labour Court, Aurangabad and set aside the order passed by Industrial Court and the High Court.

Siju Jose T. Sr. Manager – HRD, Oil Palm India Limited

III. Blog Roll Articles shared by HR Connect members on group blog: hrconnectnewsletter.blogspot.com

1.

Five Dysfunctional Directives - We Can Live Without

"Mindful awareness of our programmed social patterns can free us to grow." All of us “normal” human beings seem to acquire a few key social priorities very early in life. Some of them are positive for our own mental health, and well-being – eufunctional – and some are dysfunctional. These dysfunctional imperatives, or directives, seem to be standardized across all cultures, learn to weaken their hold on us. People who are very highly evolved might even free themselves of these primal reflexes almost completely. The “Big Five” Directives The five “biggies” – the major dysfunctional directives – that we can outgrow and learn to live without are: 1. Look good. 2. Play safe. 3. Don't be wrong. 4. CYA (we all know what that means). 5. Get one up when you can.

Let's consider them one at a time.

Blog Roll

Dysfunctional Directive #1: Look Good. This directive arises from the basic human need to be approved, accepted, and validated by others. The stronger the directive, the more one feels compelled to restrict or limit his or her behavior so as to avoid the disapproval of others. In some cases, it might present as a preoccupation with physical appearance; imitating the style of dress and manners of one's chosen peer group; being at the right places with the right people; conforming to peer-group practices; and even subordinating one's needs and interests to those of others. Psychologist Abraham Maslow spoke of “resistance to enculturation,” by which he meant the freedom to make our judgments and choices without being enslaved to cultural norms, habits, patterns, and unwritten rules. We all face the challenge, in our personal lives, of balancing individuality, freedom, and self-expression with the necessity of getting along in the various worlds we occupy.

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Dysfunctional Directive #2: Play Safe. This directive arises from the basic human need to protect our ego, or self-identity from feelings of failure. We tend to avoid situations in which we might not “perform” as well as others, and steer clear of activities that might betray our incompetence. We may avoid activities and behaviors we consider outside of our comfort zone, or our zone of competence, such as singing, dancing, drawing, building things, cooking, or any of a number of skillful pursuits. Idea people, inventors, and innovators often pay a high price for violating the tribal norms of the cultures they inhabit. We all have good ideas and novel approaches from time to time. We need to learn to nurture and develop them until they're ready for critical scrutiny, and not kill them off immediately because we think somebody might disapprove, disagree, or laugh at them. Dysfunctional Directive #3: Don't Be Wrong. Since our early childhood , and particularly in our school years, getting the “right answer” becomes a marker of achievement, success, and approval. It pervades the entire childhood experience of education and development. No wonder most of us have hang-ups about making mistakes, being misinformed or uninformed, and trying to be “savvy.” People afflicted with the need to be right – or the compulsion to avoid being seen as wrong – may have experienced relentless criticism in their early lives, and typically very little praise. For them, the experience of being wrong brings with it a kind of psychic pain, associated with self-disapproval. So, they often go to great lengths not to admit to themselves or others, that their view or interpretation might be flawed or ill-informed. They might resort to near-comical strategies, such as rationalizing; splitting hairs about facts or evidence; obfuscating the subject; changing the basic point of the argument; or escaping from the debate without allowing a conclusion. The mind-opening discovery that being “right” or “wrong” about a particular question, controversy, or issue has nothing to do with one's worth as a person can be tremendously liberating. If two people disagree diametrically about a matter that can be settled by evidence, the one whose belief is disconfirmed does not become a bad person for being “wrong.” And the one whose view is supported by the evidence does not become a good person. There is no battle to be won – only a “truth” to be sought. Alignment with the evidence is simply a factual matter, not a personal triumph or failure. Dysfunctional Directive #4: CYA. In the world of work, the term “CYA” – shorthand for “cover your ass,” (or, alternatively, “cover your assets”) – means don't get blamed for anything that goes wrong. Blame, shame, and guilt are part of all cultures, some more than others. A person who is exceptionally fearful of getting blamed – again, possibly as a result of constant criticism or condemnation in early life – tends to react anxiously and defensively when things go wrong. They're usually quick to disavow blame, or rationalize away their own mistakes, or even point the accusing finger at others. In the extreme, they might even lie to avoid the anticipated psychic pain they attach to being accused.

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In organizations, particularly bureaucracies, the CYA directive is typically collective, presenting as a general collusion for mediocrity. Formal procedures, review processes, signature cycles, written justifications, and various disclaimers serve the purpose of syndicating responsibility to the organization in general. One of the crippling syndromes of any bureaucracy is the lack of individual accountability: nobody has to swing for his or her mistakes. To individuals or groups afflicted by the CYA directive, not being wrong is more important than being right. Dysfunctional Directive #5: Get One Up When You Can. One-upping is one of the most common social dynamics in all cultures. It means taking advantage of a situation in which someone has mistakenly said or done something to make himself look incompetent or ineffective, and “rubbing it in.” Here's a scenario: your friend has locked her keys in the car, and had to call a road service to come and open the door. Which of the following two things are you most likely to say? Option 1: “I'm sorry to hear that. I know how frustrating that can be.” Option 2: “Didn't you keep a spare key hidden somewhere on the car, or nearby?” Option 1 is the compassionate, empathetic reply. Option 2 is the “gotcha.” “Gotcha” people typically follow an unconscious directive that says: Whenever you can catch someone in an embarrassing situation, and there's no risk to your own ego, zing them with a put-down of some type. It comes for free, and – presumably – there's no harm done. Humorist Jules Pfeiffer referred to these episodes as “life's little murders.” One-uppers tend to come in two varieties, the cautious ones and the aggressive ones. The cautious ones usually strike only when the situation presents them with a sure thing. They don't have to create the situation or set it up in any way; it comes for free. You admit you've been gaining weight? He or she starts telling you all about how to lose weight. The aggressive one-upper, on the other hand, actively looks for – or creates – opportunities to act and feel superior. You just shared your experience with a great Japanese restaurant, and he tells you about the best one in town. You show her your new condo, and she tells you how you've got it decorated all wrong. But for most of us, that occasional little opportunity is often just too inviting to pass up. A quick one-liner, a roll of the eyes, a condescending gaze – we love 'em. Some little imp inside us specializes in what the Germans call schadenfreude – enjoyment of another's misfortune. Can We Live Without the Dysfunctional Directives?

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Letting go of any or all of the Big-Five directives requires finding, inside ourselves, a greater sense of self-love and self-confidence ; the courage to embrace being human; a preference for kindness and generosity over competitiveness; and a realization that we can shape the situations we find ourselves in. The first step in this journey is coming to a mindful awareness of these reflexes and impulses within ourselves. Following from that, we need a continuous, patient, gentle, and self-loving attention to doing things right, as our inner observer helps us know what is right for us. About The Author: Dr. Karl Albrecht is an executive management consultant, coach, futurist, lecturer, and author of more than 20 books on professional achievement, organizational performance, and business strategy. He is listed as one of the Top 100 Thought Leaders in business on the topic of leadership.

More about the Author: http://KarlAlbrecht.com Source & Detailed Reading:https://www.psychologytoday.com/blog/brainsnacks/201606/fivedysfunctional-directives-we-can-live-without

Shared by - Anish Aravind, SS Consulting, Principal Consultant (Co-Founder)

Anish Aravind SS Consulting, Principal Consultant (Co-Founder)

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2. Latest Trends to ensure Gender Equality at Workplace Number of women CEOs from the Fortune Lists has been increasing from 2012–2014, but ironically women's labor force participation rate decreased from 52.4% to 49.6% between 1995 and 2015 globally.[1] Demands for Gender Equality is increasingly prevalent in business these days and many MNC's have already rolled out policies in this regard to maximum ensure gender equality at work place. Proper awareness and acknowledging of various factors, that hinders this equality in our workplace is another step that can be taken towards eliminating them. The attempt here is to highlight some of those factors. Also included is what many MNC's are doing differently (source: Times of India) First among such factors is - Glass Ceiling. The Federal Glass Ceiling Commission defines the glass ceiling as "the unseen, yet unbreachable barrier that keeps minorities and women from rising to the upper rungs of the corporate ladder, regardless of their qualifications or achievements." Discussions about the existence and non existence of glass ceiling is on air since the 70's. These discussions have led to many model employer amend their employee policies emphasizing gender equality at work. Next factor is - Gender Pay Gap[3] The European Commission defines the gender pay gap as the average difference between men's and women's aggregate hourly earnings. The wage gap is due to a variety of causes, such as differences in education choices, differences in preferred job and industry, differences in the types of positions held by men and women, differences in the type of jobs men typically go into as opposed to women (especially highly paid high risk jobs), differences in amount of work experience, difference in length of the work week, and breaks in employment.

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Latest trend Policies against Mansplaining & Tone Policing @ Workplace[2] Mansplaining "Mansplaining" is a portmanteau of "man" and "explaining," used largely to describe the act of men "teaching women" — often about things directly related to women's experience without any recognition of (or interest in) the woman's actual knowledge of the topic or subject expertise Tone Policing Telling a person to calm down instead of responding to their concerns. Tone policing works mostly by derailing a discussion by critiquing the emotionality of the message than message itself. Tone policing suggests that people distance themselves from their own emotions of anger, frustration, or fear in order to be heard.

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US-based Vox Media was the first company to have outlined in its code of conduct unwanted behaviour such as mansplaining, micro-aggressions or subtle putdowns, and even tone policing. Rolled out late last year, its code of conduct in the context of mansplaining says: "Remember that your colleagues may have expertise you are unaware of and listen at least as much as you speak." The code adds that micro-aggressions and tone policing, which have a negative impact on victims, also have no place on the teams. Various studies, including that by Brigham Young University and Princeton researchers in 2012, show that men dominated professional meetings, giving women a voice share of only 25%. Behaviours such as mansplaining and micro-aggression, whether intentional or not, result in a climate of exclusion and a reduced contributory role by women in decision making, thus mitigating the benefits of gender diversity at the workplace. While India Inc has recognized the value of gender diversity, as in most companies across the world, Indian companies appear to have not defined and specifically banned mansplaining via a policy document. However, through other means such as defining inclusiveness as a corporate value, encouraging active listening and via sensitization programmes, a few companies are ensuring that their women employees are equally heard. "By doing simple things, we subtly encourage the right behaviour. For example, we do not close any 'All Minds meetings' (our open house meetings), unless there are a few questions from the lady minds," says Parthasarathy NS, executive director & COO at Mindtree. Adopting appropriate core values also helps mitigate gender bias. At the Mahindra Group, 'Dignity of the individual' is one of its core values, which results in an inclusive culture. 'Collaboration' (which is reflected by teaming, active listening and inclusivity) is one of the key values at Mindtree. "Listening to employees and team members is a key competency that is a prerequisite in several companies. It is just not listening but active listening and empathy that is sought to be encouraged and assessment of such behaviour is done via performance appraisal and feedback process," says M P Sriram, partner at professional consultancy Aventus Partners. Listening to others without deeply held biases and prejudices is actively encouraged at the Mahindra Group and is a leadership criterion. At Citigroup, leadership standards include interpersonal sensitivity and respect. Both these organizations deploy 360-degree feedback to ascertain compliance with such behavioural criteria.

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"One of the key characteristics of a Mahindra leader is being 'Mindful' where listening is a key behaviour that employees are required to manifest. To develop on this, we have a key strategic initiative called 'Reflective Conversations', which fosters powerful thinking through practice of the key skills of active listening," explains Prince Augustin, executive VP, Group Human Capital and Leadership Development, Mahindra & Mahindra. Sensitization programmes have also helped companies create an inclusive working environment. Says Anuranjita Kumar, chief human resources officer, Citigroup (South Asia), "We conduct a sensitization program, 'Respect at Work', which highlights the importance of according respect for all colleagues to allow them to voice their opinions in a non-judgemental environment. The programme brings about an awareness of unconscious biases in regards to gender, cultural background and sexual orientation, and how manifestations of these biases can be prevented in one's own behaviour."

Adds Farah Nathan-Menzies, head, diversity & inclusion at Godrej Industries, "We understand that women often face prejudices and biases in the workplace that prevent them from advancing in their careers. To build awareness on these issues, we run sensitization workshops for our team members."

In the end the ultimate deciding factor in leveling out any inequality starts and ends with every employee once everyone value mutual respect beyond gender differences

Sources: 1. jcombopiano (2012-11-27). http://www.catalyst.org/knowledge/fortune-500-ceopositions-held-women .Retrieved 2016-05-03. 2. The Times of India (22-05-22)."Listen as much as you speak, cos tell managers". 3. https://en.wikipedia.org/wiki/Gender_pay_gap

Shared by - Benny KJ, +Benny Kuruthukulangara Sr. General Manager - HRD, VKL Seasoning Pvt Ltd.

K.J BENNY A Post Graduate in HRM from Sacred Heart College (Chennai 1993), a seasoned HR professional & practises BPHR with VKL KEYA's prime business of Seasoning & Flavours as GM-HR.

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3. Implication and Analysis of Recent Labour Court Order declaring IT Engineer as Workman

Brief of the Case: Mr K Ramesha was working as Senior Service Programmer in HCL Technology at Bangalore since 20-Aug-2009. His service was confirmed by the company on February 26, 2010. His performance was appreciated in 2010 and revised his salary. COURSE OF ACTION On January 22, 2013, his services were terminated on the ground that his performance was not satisfactory and he had not shown any improvement despite counselling. COURT PROCEEDINGS Mr Ramesha has challenged his dismissal before the Labour Court Chennai demanding dismissal order be set aside. MANAGEMENT STAND The management had argued that Ramesha was a supervisor and, therefore, had been exempted from the definition of the term workman. COURT OBSERVATION 1. The Company has not produced any evidence to show that failure to improve performance or failure to measure up to the expectations or standing orders of the company would amount to an act of misconduct." 2. The company apparently did not ask him for an explanation. It did not serve a charge sheet or conduct an enquiry. 3. It cannot be denied that the job of an engineer in a software company involves skills and technical knowledge. Therefore, it can be concluded that the job of a software engineer can be termed as skilled or a technical one,". 4. "Any person doing a skilled job is a workman under the definition of that term. So the court concluded that the Ramesha is a workman,". 5. In Clause 6 of the appointment order, it is stated that the service of an employee can be terminated by giving 30 days' notice or by payment of a month's salary in lieu of notice without assigning any reasons. But the appointment order does not contain any provision to show that failure to improve performance would result in dismissal of an employee.

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COURT ORDER The Hon'ble Additional Labour Court presiding officer S.Nambirajan has set aside the dismissal of K. Ramesha. The court ordered the company to reinstate Ramesha with continuity of service and pay full back wages and all other benefits from the date of dismissal till the date of reinstatement. IMPLICATION ON IT INDUSTRY The order sets a legal precedent and will send alarm bells ringing in the IT hothouses that have tough appraisal standards for employees and regularly weed out "non-performers". LEGAL STATUS & CASE LAWS Definition The Industrial Disputes Act, 1947, defines a workman as "any person (including an apprentice) employed in any industry to do any manual, unskilled, skilled, technical, operational, clerical or supervisory work for hire or reward, whether the terms of employment be express or implied, and for the purposes of any proceeding under this act in relation to an industrial dispute, includes any such person who has been dismissed, discharged or retrenched in connection with, or as a consequence of, that dispute, or whose dismissal, discharge or retrenchment has led to that dispute." But it also carries a proviso that says the definition of a workman does not cover a person employed in a supervisory capacity who "draws wages exceeding Rs.1'600/- per mensem (month) [Now it is Rs.10,000/- p.m.] or exercises, either by the nature of the duties attached to the office or by reason of the powers vested in him, functions mainly of a managerial nature". OBSERVATION The Labour Court does not appear to have considered HCL's argument that Ramesha was engaged in a managerial capacity and also not considered some of the important case laws of higher courts. Sources: http://www.bariengineers.in/analysis-of-labour-court-order-declared-it-engineer-as-aworkman/ Shared by - Benny John, Senior Manager - HR, VKL Seasoning Pvt Ltd

-Benny John, Sr. Manager – HR, VKL Seasoning Pvt. Ltd. / Keya Foods International Pvt. Ltd.

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4. Changing Scenario About Role of IR Manager

Industrial Relations being collectivist and pluralist in its outlook is fully responsible for maintaining a healthy relationship between individual workers, employees and plays a critical role in settlement of various disputes within an organization. An IR manager plays the role of directive leaders and ensures that all the rules and regulations of the employer are strictly followed. According to Lester, "Industrial relations involve attempts at arriving at solutions between the conflicting objectives and values; between the profit motive and social gain; between discipline and freedom; between authority and industrial democracy; between bargaining and co-operation and between conflicting interests of the individual, the group and the community.” Role of IR manager in any establishment If we see the existing IR challenges in India, that can be elaborated like as under: Suppose a fatal happened in any factory and the worker is contract labour. Now the contractor ran away as soon as this incident occurred, as an IR manager what would you do? You will find there is no provision for compensation by employer for death of contact labor inside factory premises in Contract Labour (Regulation and Abolition) act 1970. Still you have to do something. So an IR manager has to be prepared for these type of scenarios .Let us explore some challenges in brief.

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Labour is a subject in the concurrent list of the Indian Constitution where both centre and state can amend and frame the labour laws. As a result, labour law varies from state to state and thus it becomes difficult for IR managers to follow the laws strictly.

. In this cut throat competition, dependence on contract labours is increasing at phenomenal rate. There are not that many amendments in Contract Labour (Regulation and Abolition) act 1970, which could really cover all the dynamism of Contract Labour issues. As a result, IR managers are found with albatross around their neck. .

The roles of the unions are defined, but their responsibilities are not mentioned.

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A 'protected workman' is defined, but there are no such provisions for factory managers.

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Productivity & Flexibility are not mentioned anywhere in ID Act 1948, so it becomes difficult to retrench any worker or take any steps against him even though he is not working as per expectations.

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There is a lot of misconceptions regarding 'collective bargaining' issue if it is fundamental right or not.

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Difference in wages of the regular employees and contract labours is a major issue of concern and is one of the main causes for several disputes because many times it has been seen that there is no difference in nature of the job between regular employee and contract labour.

So, in race of earning profit many organizations have introduced the concept of contract labour in practice , which is the most critical issue as far as the applicability of labour laws are concerned. Many cases(contract labour issues) either it is B.H.E.L Workers Association ,Hardwar v Union of India (AIR 1985 SC409) or Gammon India Limited v Union of India (AIR 1967 SC691), one can find the difference in opinions regarding implementation of labour laws. Every judgement has its own opinion towards the applicability of labour laws. Not only contract labour issues, an IR manager have to be very cautious while dealing with issues regarding trade unions, collective bargaining, compensations and different issues in factory. How to face these challenges 1. To deal with Trade Unions, Contractors, labours , IR managers should minimize the use of jargons and they should try to communicate in simple language and if possible try to communicate in local language to avoid any confusion. 2. Review different labour laws, civil laws and consult with the company's legal representative to assure if the company is in compliance with all of these regulations. 3 .Always try to listen closely to the employee's concern. It is not always necessary to give judgement or suggestions and to enforce certain policies, which are not in law. 4. Sometimes to settle down dispute, An IR manager can take the decision on the basis of their intuition.

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5. Job rotation policy or transfer of the workers are the another way to settle down the dispute among the workers or employees. 6. They should not try to check the workmen to form unions or groups, which may lead to aggression among them. So, it can be easily understood that the IR issues are very critical and it depends upon managers to make it simple. Source: https://www.linkedin.com/pulse/20140617173104-219635416-role-of-irmanager-changing-scenario Shared by: Haridas P A, +haridas pa AB Mauri India Pvt Ltd, Manager HR & Admin

Haridas P A Mauri India Pvt Ltd, Manager HR & Admin

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5. 7 Steps To Planning A Great Presentation Imagine you have just been asked to give a highly complex presentation to the Board of Directors. One of the biggest mistakes you can make at this point is to start thinking about what you will say. Instead focus on planning.

So how might start the planning? Here is a simple but effective 7 step process. Step 1: Develop Objectives Before you do anything get clear on your objectives for the presentation. Possible objectives might be: o To inform the Board of the current financial position and future forecast o To secure the funding for a new computer system o To get buy-in to a new performance management system o To secure support for an increase in staff numbers Take the time to get clear on your objectives from the presentation.

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Step 2: Assess Your Audience Whenever you are assessing your audience, try to step into their shoes as the recipient of the presentation. Think about: o The level of knowledge they have about the topic o The level of resistance you are likely to encounter o The perceptions or views they might have about you or your team o Any insights that you have gained from others about the style or type of presentation they respond well to Step 3: Brainstorm Ideas A brainstorm is quite simply a dump of ideas on what you could cover. Remember the first step is to get all possible ideas down. It is not about evaluating at this stage. Keep brainstorming until you run dry on ideas. Step 4: Identify Common Themes It is likely that when brainstorming, you will have come up with similar things that you can group into an overall theme. For example, if it is a financial performance presentation you might have included budgeting, forecasting, treasury and working capital that you put under a theme called financial management. Alternatively if it is a human resources presentation you might have included recruitment, selection, retention and personal development that you capture under a theme called talent management. Step 5: Produce An Outline Structure On one piece of paper sketch out the theme on each slide and the two or three messages you want to get across. Step 6: Prepare The Presentation Materials The key things to be aware of in preparing your presentation materials are: o The appropriate number of slides- my rule of thumb is 5-7 maximum for a 10 minute presentation o How much text to include- in my experience bullet points are best o Use animation only if it adds something o How you will deal with numbers- an excel spreadsheet is not appropriate so you need to think of alternatives if it is numbers based presentation

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Step 7: Practise Practise Practise Running through your presentation at least twice is an essential part of your planning. Don't neglect it as it will serve you well when it comes to the real thing Finally, remember that most of us are not that enthusiastic about presenting and thorough planning can make all the difference. Link to article: http://departament-offinance.info/7-steps-to-planning-a-greatpresentation/ Shared by: Philip Koshy, Giridhar Eye Institute, Manager - Human Resources

Philip Koshy Giridhar Eye Institute, Manager - Human Resources

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6.

Fraud Triangle - The 'why' behind workplace frauds.

The term fraud triangle was first coined by American sociologist Donald R. Cressey who worked extensively in the fields of criminology and white-collar crime. The Fraud triangle is a theoretical framework designed to explain the reasoning behind a worker's decision to commit a workplace fraud. There are three elements, sides to triangle, categorized by the effect on the individual, In order for fraud to occur, all three elements have to be present. They are:

Step 1 – The opportunity to commit fraud – Opportunity is the first side of the fraud triangle. This is when there is a situation that would allow a person to do something wrong. These are the weaknesses and lack of procedures in the system usually. An instance where someone could get their hands on money and get it out the door. For example, having the accountant signing checks. with no monthly reconciling of bank accounts or internal audits. In this stage the worker sees a clear course of action by which they can abuse their position to solve their own perceived, but not shareable financial problem in a way that it is unlikely to be discovered

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Step 2 – The pressure on the individual – When great pressure is brought to bear, people will do things you would have never thought possible. This is the motivation behind the crime and can be either personal financial pressure, such as debt problems, or workplace debt problems, such as a shortfall in revenue. The pressure is seen by the individual as unsolvable by orthodox, legal, sanctioned routes and not shareable with others who may be able to offer assistance. A common example of a perceived not shareable financial problem is gambling debt. Maintenance of a lifestyle is another common example. Step 3 – The ability rationalize the crime – is the final stage in the fraud triangle. This is a cognitive stage and requires the employee to convince oneself to justify the planned crime in a way that is acceptable to his or her internal moral conscience. Rationalizations are often based on external factors, such as a need to take care of a family, or a dishonest employer which is seen to minimize or mitigate the harm done by their activity. How can you stop the three sides of the fraud triangle from forming into a disaster? 1. Build a culture that is "Zero Tolerance" towards fraudulent activities. It will target the rationalization part of the triangle 2. Setting up proper procedures and internal controls. This helps to narrow down the opportunity side of triangle. 3. Eliminate lousy environment and keep them engaged. This help to discourage the motivation part of the triangle. Sources: http://www.hrzone.com/hr-glossary/what-is-the-fraud-triangle Shared by - Maneesh M S, +Maneesh Muralidharanpillai, Appollo Tyres Limited

Maneesh M S Appollo Tyres Limited

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7.

3 Tips For Every HR Manager

Raj Raghavan, Amazon India's HR Head reveals 3 tips that every manager should keep in mind It goes without saying that the Human Resources department is sacrosanct for any organisation to prosper. The reason being that the kind of people you bring on board make or break a organisation's future. This is where the Human Resources steps in. It's incredibly important for any organization to not only hire the best set of people possible for the job but also retain them and ensure they don't leave the organisation unhappy for some other opportunity. But, it's not as easy as it sounds. Many a times a lot goes wrong either in the hiring stage itself or late when it comes to retaining an employee. Most often than not, it is due to miscommunication either on the part of HR Managers or unhappy employees. But, a good HR Manager not only knows how to handle crisis situations like these, but also strive to find a balance between the needs of the employee and that of the company. To give a better idea, Raj Raghavan, Director and Country Human Resources Head, Amazon India , who's been with the company for five years and has a team of HR Managers working under him, has three tips that he believes will help every HR Manager help the employee and the organisation: 1. A good HR Manager has a point of view: Regardless of which side you are on, the only way you can best put it across is you have a point of view. There is no other way to earn people's respect. 2. To be a good HR Manager, you should also be credible : Employees need a reason to trust what you say or follow your decisions. If you don't have credibility, you have nothing. ' 3. No one can be a good HR Manager unless they are curious or keep learning: This comes from personal experience. It doesn't matter how long you've worked for or how much experience you have- the important thing to remember is that you never stop learning. Not in 5 years or 10. So, my advice would be to always be curious, eager to learn and humble. Source: http://www.businessinsider.in/Raj-Raghavan-Amazon-Indias-HR-Head-reveals-3-tipsthat-every-manager-should-keep-in-mind/articleshow/52551930.cms Shared by : Sindhu Riju, CGH Earth Group of Hotels, Manager-HR and IR

Sindhu Riju CGH Earth Group of Hotels, Manager-HR and IR

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8. Practising Mindfulness at Work - Start Bursting Those Thought Baloons!

Have you ever been to a situation where you reached office, opens your inbox and find that the pile of your pending jobs have just gone few more centimeters up (few feet high will be very much of an exaggeration). Suddenly you feel mix of despair and boredom and makes you drag yourself to end of day somehow without actually doing anything to bring down the pile?

See if you can identify with any of below standard responses. A) Never (Do actually such stuff happen?) B) Yes, Occasionally. (Say 1 or 2 days in 3-4 month period) C) Yes, quite often

Response Interpretations: A) Liar Liar B) Pretty Natural, don't bother C) If it's not other personal issues contributing to your workplace lethargy, and if you aren't totally dissatisfied with your current workplace and is desperately looking for a change, then read along. It might be time to practice mindfulness at the workplace.

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The Thought Baloons Practicing mindfulness can be helpful to counter workload related stress, lethargy and boredom at work, and to make everyday more enjoyable and lively is to practice mindfulness.

Like with any other practice, this demands dedication and commitment to bring out benefits.

How to be mindful?

1. Start bursting your thought baloons There is a little voice inside our head, or the 'inner speech'. It plays a key role in human consciousness. This can manifest as thought generation (this is particularly helpful) and mind wandering (gotcha). First and the biggest step is to be aware of this mind wandering, about that little person who keeps chatting sitting inside your head. Instead of letting that voice distract you, get a tight hold of it. Keep wandering within limits Start pricking those unnecessary thought baloons and make it a habit.

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2. Slow down and Practice being "in the moment". Avoid rushing to things and deliberately slow yourself down for better clarity and awareness. Instead of mentally rehearsing or planning the next hour's or next days agenda, instead of plan about your meeting with your boss, be in the moment, pay all your attention to the work you are doing. Pay attention to subtle details of it and finish it off with perfection. Being in the moment means being mindfully aware of what is going on right here and now. 3. Engage in active listening and avoid unnecessary chatter Talking consumes energy. Period. Avoid unnecessary talks to the extent possible. Practice active listening and DO listen more than you speak.

There are many hurdles at every work place that is beyond control, but by better utilizing the assets available at your disposal, you can better manage your office ambiance. There is a 10 minute TED talk by Matt Killingsworth worth listening. Link:https://www.ted.com/talks/matt_killingsworth_want_to_be_happier_stay_in_ the_moment?language=en Image Credits:Pixabay.com Sony Paul Peter, +Sony Palachodan, Olam Agro India Private Limited.

Sony Paul Peter For HR Connect Newsletter Team

Thank you

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