Principles of labour welfare programme

[rms]

Explain the principles of labour welfare programme inHRM

[nbm]

Following are generally given as the principles to be followed in setting up a labour welfare programme:
1. The programme should satisfy real needs of the workers—This means that the manager must first determine what the employees' real needs are. Extreme care and serious research should go into the decision of whether or not to offer a particular employee service. More evidence is required than a mere unfounded bias of the manager. In one case, a company manager who felt that his employees needed a sports programme budget money, purchased facilities, and hired a company athletic director. But when the whistle was blown to play ball, nobody wanted to play.
2. The programme should be such as can be handled best by a group approach — For example, life insurance purchased as a group can be obtained at a significantly lower price than same insurance purchased by the individual. But it is argued that depending upon the differences in sex, age, marital status, number of children, type of job and the income level of employees there are large differences in their choice of a particular benefit. As a result, it is suggested that a package total value of benefits should be determined and the selection of the mix of benefits should be left to the choice of each individual employee. This is known as the 'cafeteria approach'. Such an approach individualises the benefit system though it may be difficult to operate and administer.
3. The employer should not assume a benevolent posture - We have seen in the section on leadership how modern orgainsations, based on classical principles, foster dependency in employees which is incongruent with the needs of a mature personality. The paternalistic and benevolent approach has fallen in disrepute as a result of the employee's desire to gain maturity and adulthood.
4. The cost of the programme should be calculable and its financing established on a sound basis—There are several employee services such as pension, provident fund, insurance, etc., which are not cheap to administer. The cost of such benefits can hardly be termed a fringe. It is, therefore, essential that before conceding any such service over the collective bargaining table sound actuarial estimates of its cost are made and adequate provisions for financing it are established.
5. The management should ensurejjo-operation and active participation of unions and workers in formulating and implementing the programme.
6. There should be periodical assessment or evaluation of the programme and necessary timely improvement on the basis of feedback.

[jamestaylo]

The basic principles of New Labour existed in the post-war socialist revisionism of Labor hire scheme attempting to reform the welfare state through a tax credit scheme for poorer.. thanks