2. TALKING POINTS
An Industry Perspective
A Guard’s Perspective
Hospitality Industry Perspective
A Suggested Road Map
3. AN INDUSTRY PERSPECTIVE
The workforce of the private security industry is likely to touch 1.20
crores by 2020-22 (Source – Chairman CAPSI); quantity vs quality?
Cheap vs skilled labour
GDP growth indicators show that in face of failed monsoons and
slack in manufacturing sector, the service sector has been driving the
economy since 2013-14; though it has not translated into any
structured improvement in regulation of PS industry
The industry is mostly male dominated with women only constituting
single digit contribution (Definite data not available)
The large pool of un-employed educated youth is not attracted to the
job profile due to lack of structured growth opportunities; invariably
last option for the less educated
Being a non core operation in most industries, the qualitative
improvement is biased towards the productive roles
Lack of parity in minimum wage structure in all urban agglomerations
The current work force figures do not account for security personnel
at functional and managerial levels on permanent rolls of industrial
sector. In hospitality sector it is 40-50% in comparison with numbers
of contract security.
4. The minimum qualifications to become a Security Guard under the
PSAR Act are not commensurate to security needs of most industries
The private security industry at the national level may outnumber
local police force (PMF); should play an effective role in crime
prevention and upping the deterrence levels- albeit, authentic
estimates are NOT available about the number of private security
firms (un-organized), number of personnel engaged by such firms
and the proportionate share of various players in this field; tangible
contribution to securing smart cities or assisting in smart policing is
doubtful.
Is the controlling authority nominated under the PSAR Act equipped
to effectively monitor the licensing norms?
The security guards are visibly industry orphans who are neither a
direct liability of the principle employer nor the security agency who
employs them
A driver of a CIT agency ran away with Rs 22 crores from the cash
van in his charge in Delhi; was apprehended after few hours – a
case study for lack of application in executing the heist. (Crime
techniques are inversely higher than the capability of the protecting
force )
AN INDUSTRY PERSPECTIVE
5. Barring exceptions(Mumbai) there is negligible (less than 1%)
representation of private security guards in central or state trade
unions
Minimum wages notification is the salary trigger; unfortunately many
states are inordinately late in revising the min wages or the hikes are
abysmal; other labour intensive state industries dictate the minimum
wages
PSUs also tend to cling to the minimum rule though they pay more
than the private sector
In order to safeguard the interests of ex-servicemen; the mean age
of guards in PSU is high and denies higher wage jobs to younger
aspirants
The professionals skills are inversely proportional to the crime rates
and techniques
Lack of training and tools to manage irate mobs which pose a
viable threat
There is lack of self regulation on recruitment, training; consequently
bears on performance, even large players have not been able to
perform consistently on the deliverables
AN INDUSTRY PERSPECTIVE
6. A CONTRACT GUARD’S PERSPECTIVE
Social security, professional hierarchy and promotion opportunities of
personnel engaged by private security agencies is LOW compared
with other labour grades – technical, skilled, PSU, Govt
Lack of uniformity in working hours vis-a-vis remuneration, legitimate
allowances, leaves, security of employment.
Lack of awareness about their legitimate dues and rights under
various labour laws and social security laws applicable to them
Level of collective consciousness and role modeling is low in
comparison to uniformed forces; workforce lacks confidence
They are expected to perform policing roles and duties with some
challenges, but comparing their roles with Police, CPOs or defence
personnel is neither justified nor viable.
Earnings are spent on conveyance, accommodation, ration, medical
expenses and remittance, after which they are left with nothing
much to improve their social status or care for their children’s
education and family health. ( Lack of ESI cover in rural areas)
7. A CONTRACT GUARD’S PERSPECTIVE
Uniform and gear is not work-fit, which they have to pay for through monthly
wages, leads to worn out uniform at work as they avoid extra expenses on
new uniform
Conditions at work dictate turnover at most times
Majority are migrant labour with no local family compulsions, insist on
working 30 days to increase the salary payout which has a negative impact
on performance
Working hours are long with a monotonous profile, leads to lack of interest
and low physical fitness
Negative bio-cycle effects due to 15 days/ one month of night duties
Original documents including Govt IDs are held with the PSA
Have never been provided with leave travel concession by the PSA; once in
2 years/ every year?
Salaries are always distributed after 10th of the month, sometimes after 20th
of the month
Payment of bonus and gratuity is not commensurate to service
Availability of medical cover is not commensurate to expenses, medical
exigencies are ignored to save costs leading to lack in performance
8. Roles of security guard:
Basic -Access control at all entry/ exits, frisking and managing entry points, visitor
management, managing key control, parking management, perimeter sanctity, receiving
material, assist in fire and life safety, lead first response in emergent situations, pick up
drop escort duties
Desirable – handling guest complaints, report writing, main building and core security
rounds, self defence, administering first aid to staff and guests, CCTV operations,
checking of fire detection and suppression equipment, valet parking, manning technology
tools – (XBS, UVSS, explosive detectors) and night club operations
Protection against an organized assault does not exist in view of lack of cognizable
form of defence against fire arms; rely solely on law and order to respond
Loss prevention is a larger role than asset protection; prevent losses inflicted
through theft, fraud and negligence by employees, requires a higher IQ level and
tenacity to enquire
Need to hire private security guards
Non core operation, at floor level, outsourcing is preferred
Reduce on roll numbers, reduce liability of leaves and gratuity, guards are available at
minimum wages
Variable demand in case of forced attrition or low business, non performers can be
discarded
Contract guarding available for longer shifts
Need for specialized/ additional resources is event based and infrequent; reduce
HOSPITALITY INDUSTRY PERSPECTIVE
9. Hidden costs
Professional or material differentiation with on roll employees is not practiced
PF and ESI payouts are more or less even with on roll employees
Meals and facilities cost is same as for on roll employees but is not factored in
budgeting
Final payout to PSA including service tax plus service charges (25%); in some
A and B tier cities is higher than on roll guards
Re- training the guards and valets is a considerable expense in time and
resources
Uniform of contract guards is mostly unsuitable and over emphasizes the
agency signature
Communication skills and soft skills are mostly poor to below average;
much needed skills in commercial and retail sectors
Statutory compliances of PSAs are delayed , in-transparent. Invariably
monthly billing is delayed and irregular in submission
On site supervision is not consistent; role of field officers and their
competence is limited
HOSPITALITY INDUSTRY PERSPECTIVE
10. During contract negotiations, PSA insist on higher service
charge margins but rarely argue about facilities for guards
Salary disbursal is not uniform, 26 day and 30 day formats on
ERP which deny equitable payments to Guards
Accommodation with basic amenities outside the place of
employment are mostly chargeable without any subsidy
Background verification is most neglected portion of personal
documentation; invariably delayed as the guards force is mostly
migratory
Guards have to rely on PSA with centralized PF contributions
for withdraw the funds and account transfer
Major workforce from MP, Bihar, Chattisgarh and North East;
leads to major voids in manning during mass leave in festive
season for which the PSAs have little recourse presently
HOSPITALITY INDUSTRY PERSPECTIVE
11. A SUGGESTED ROADMAP
State level Statutory Boards in addition and above the controlling authority
specified by PSAR Act to streamline
recruitment
training and skill development
salary fixation & revisions,
allowances
special benefits
certification
compliance regulation
A working example exists in Mumbai through the Security Guard Board for
Brihan Mumbai and Thane
Charter for the statutory board – Recruitment and Operations
Manage a standard personal documentation format which is bio-metric and
available online
Grading and notification of specialized skills in the workforce inter-alia only
registered guards and professionals can be hired by PSUs, BFSI and private
industry sectors
Validate credentials and assess standards of arms license applicants, thereby
enable employability as armed guards- BFSI and cash services, personnel
security
12. A SUGGESTED ROADMAP- STATE LEVEL STATUTORY BOARD
Recruitment and Training
Auditing and grading the PSA operation in manning and cash services to
maintain initial and concurrent standards
Grading entails industry specific skills training of guards, application tests
and distribution for industry sectors through classification- NOS/ SSSDC
norms
Skills training accreditation
Talent management for promotion enablement and intra-industry transfer
Arms License
Examine necessity of fire-arms license for specific sites and allot
licenses to employ trained resources who hold a valid arms license and
conduct regular firing practice
Regulate interstate transfer of registered armed guards
Conduct test on firing skills of the license holders and serviceability of
weapons
Penal Powers
Based on audits on performance and deliverables
Penal deductions, revocation of license
13. A SUGGESTED ROADMAP - STATUTORY COMPLAINCES
Online validation of PF accounts through UAN has improved
contribution; PSAs should enable online registration of all
accounts so that all enrolled personnel can monitor their
accounts. It should be linked to AADHAR for simplicity in
identification. A easily understood and accessible human
resource information system for employees of each PSA
ESI cover is not uniform in most states, medical insurance
should be made compulsory as most guard force is migratory
and stay away from families. Legislation to make contribution
by both set of employers.
Minimum wages act, contract labour act and shops and
establishment act should be merged to formulate a single
labour act which clarifies all areas of doubt and obviates legal
subterfuge
Is there is need to adopt a hourly rate which overrides the riddle
of 8 and 12 hours/ extra hours payment?
14. Turnover of resources through mutual consent of principle employer
after completing a specific period say one year
Annual training certification and classification at PSA training centre
Legislation to introduce compulsory participation of women in PS
industry, might promote family life
Availability of lady guards during zero shift is a challenge though
women employees are at work in other floor areas
The concept of a mutual aid association is under discussion but at a
nascent stage without any pragmatic steps to rehearse for emergent
situations; it should be added to the PS charter for smart policing
PS industry should proactively undertake background verification of
other outsourced services employed by industrial sector in tandem
with local police for smart policing- States Police should consider
outsourcing
A SUGGESTED ROADMAP
