Efficiency Loss Compensation

 

 

All possible efforts should be made to discourage overtime.

There is no Efficiency Loss Compensation for staff and drivers. However, Efficiency Loss Compensation will be paid to security Guards over and above 8 hrs of job and also Efficiency Loss Compensation shall be paid for working on off days.

Operators may only be allowed to work on Efficiency Loss Compensation to compensate the loss of hours on account of absence/leave or to increase the productivity over and above the level fixed by the time and motion study to have the optimum level of productivity.

The departmental head shall take decision, whom-so-ever he wants to allow to work on night duty.

Two separate lists will be prepared by him. The first copy of this is sent to Security Guard for checking and the second copy to be sent to HRM for calculation purpose.

During the Efficiency Loss Compensation period, HRM person, production supervisor, quality supervisor, one duty manager (not below Level VI) must be available. 20:1 Operator: Staff ratio has to be maintained.

Female operators can do Efficiency Loss Compensation only upto 07.30 p.m.

Efficiency Loss Compensation should be allowed for only those operators who are on regular basis. There should not be any Efficiency Loss Compensation for any other category.

An Efficiency Loss Compensation register shall be maintained as per the factory’s Act and the rules framed there under.

The payment of the Efficiency Loss Compensation shall be prepared on or before the 3rd of every month to be passed as per “AUTHORITY LIMITS” and Efficiency Loss Compensation payment shall be released by 07th of every month.

The calculation for the computation of Efficiency Loss Compensation payment shall be explained in person.

UNDER NO CIRCUMSTANCES THE NO. OF HOURS OF EFFICIENCY LOSS COMPENSATION SHOULD BE MORE THAN 50 IN A QUARTER FOR EACH OPERATOR.

The Efficiency Loss Compensation payment shall also attract the provisions of ESI Act.

ESI contribution on account of Efficiency Loss Compensation (employer /employee’s share) will be paid by the company.

 

The Efficiency Loss Compensation registers shall always be in the lock and key with the Head of the HRM Department.

Operator detained for extended night shift shall be entitled for dinner allowance of Rs.25/-. But this should be rare. If used frequently it will be considered as negative point.

 

 

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Get best matched jobs on your email. No registration needed
How the job analysis can best benefit to the company
How to identify and apply performance management to get the best output from it?