Social responsibility of business towards employees.
Employees form the base of any business unit. Without their whole hearted contribution a business unit cannot work with its full efficiency. Thus, it is the social responsibility of a business unit to take proper care of its employees. This includes:
1. Maintaining standard of living :
Remuneration i.e. salary/wages an employee earns reflects his standard of living. -» Based on company’s financial status it must provide a reasonable remuneration to the employees which can maintain their standard of living. For this the business over and above remuneration, need to provide incentives, bonus, etc. at pre¬decided intervals.
2. Provide proper work atmosphere and facilities:
- The business unit must provide positive work atmosphere that encourages growth of peer relationship and strong bonding towards company.
- Based on unit’s size it can provide canteen, transportation, clean and well ventilated environment, etc. to the employees.
- If possible a business unit should provide air-conditioning and separate arrangements for female employees.
3. Provide social security:
In addition to timely and reasonable salary, employees should be provided facilities like provident fund, pension, sick and casual leaves, medical and life insurance, etc.
4. Give recognition to employees (labour) union:
Employees form employee (labour) union to present their problems and demands in an organized way to the management. The management must provide recognition to such union. It should listen to union’s reasonable demands and fulfill them for maintaining motivation and moral of the employees.
5. Maintaining a compromising attitude by top management:
- Top management should have a flexible and compromising attitude for the betterment of the business unit.
- It should keep in mind that employees are an asset and they will work efficiently and remain motivated only if their reasonable demands are fulfilled and their genuine complains are solved.
- By maintaining a compromising attitude the business can let go its few incorrect or egoistic decisions or policies and compromise them for employees and business growth.
- A warm and cordial relation should be maintained with employees so that family like healthy atmosphere can be maintained in the company.
6. Motivation:
A business unit must create several opportunities through which it can constantly motivate its employees.
-> A unit can arrange competitions for best performance, arrange tours or dinners with employees, award them for their specific contribution in enhancing business, etc. The business unit also encourages its employees through increments, promotions, rewards, cash vouchers, travel vouchers, etc.
7. Other responsibilities:
Business unit should involve employees in decision making, inform them about company’s important decisions and plans, terms and conditions of work before appointing them, etc. The unit should also care for education and health of employee’s family, etc.
