A study on working condition and its impact on employee satisfaction

“A study on working condition and its impact on employee satisfaction at
Elstone tea estates limited, Kalpetta.”
Project Report
Submitted in partial fulfilment of the requirements
For the award of the degree of
MASTER OF BUSINESS ADMINISTRATION

DECLARATION
I hereby declare that the project report titled, “A Study on the working
condition and its impact on employee satisfaction at Elstone tea estates limited, Kalpetta”
submitted by me to the Department of Management Studies, University of *****, is based on
the project work undertaken by me, under the guidance of ************* in partial fulfilment
of the requirement for the award of the degree of M B A.
I also declare that this is my original work and has not been submitted for the award of
any other degree / diploma / fellowship or other titles of any other university /institute.
Place: Name : ****************
Date:

ACKNOWLEDGEMENT
I express my deep gratitude to our **********r, who gave me an opportunity to
undertake this study.
I express my heartiest thanks to Elstone tea estate for giving me the consent to do the
project in there esteemed organization.
Let me also thank ******** for his eminent guidance and extreme co-operation that
was helpful in the successful completion of the project.
I express my sincere gratitude to, ************, for giving me proper guidance in
completing this project.
I am grateful to all the faculty of *************, who made me capable to do this
research.Last but not least I wish to thank my parents, God and friends without whose blessings
and help my project would not have been just possible.

INTRODUCTION
General introduction
Scope of the study
Objective of the study
Research methodology
Limitation of the study

1.1 GENERAL INTRODUCTION
Minor project is conducted for the partial fulfilment of the requirement of the Master
of Business Administration (M B A) as per the university rule. Minor project is conducted to
get experience about the practical application of the management theory. It helps students to
improve their practical knowledge. The scope of this study covers how the organization is
working and analyses the employee satisfaction of the organization. Based on the data attempt
to make a SWOT analysis and recommend a solution for recovering the management problem
in that organization.
Human resource management (HRM) involves all management decisions & practices
that directly affect or influence the people, or human resources, who work for the organization.
HRM is concerned with the people dimension in management. Since every organisation is
made up of people, acquiring their services, developing their skills, motivating them to higher
levels of performance & ensuring that they continue to maintain their commitment to the
organisation are essential to achieving organisational objectives. This is true regardless of the
type of organisation- government, business, education, health, recreation, or social action.
Thus, HRM can be defined as a process of procuring, developing & maintaining competent
human resources in the organisation so that the goals of an organisation are achieved in an
effective & efficient manner. In short, HRM is an art of managing people at work in such a
manner that they give their best to the organisation for achieving its set goals.
Human Resource Management (HRM) is the function within an organization that
focuses on recruitment of, management of, and providing direction for the people who work
in the organization. Human Resource Management can also be performed by line managers.
Human Resource Management is the organizational function that deals with issues related to
people such as compensation, hiring, performance management, organization development,
safety, wellness, benefits, employee motivation, communication, administration, and training.

1.1.1 A BRIEF HISTORY OF HUMAN RESOURCE MANAGEMENT
The utilisation of people, at least in a rudimentary form, can be traced to ancient
times. Efforts to best use talents, even though informal in nature, were undertaken whenever
people came together in a community. The change has been that during the course of the past
century efforts to best manage human resources have become more formal & specialized. The
history of HRM can be characterized as moving through four broad phases, the craft system,
scientific management, the human relations approach, & the current organizational science-
human resource approach.
The Craft System:
From the earliest times in Egypt & Babylon, training in craft skills was organized to
maintain an adequate supply of craft workers. By the 13th century craft training became popular
in Western Europe. Craft guilds supervised quality & methods of production & regulated
conditions of employment for each occupation. The craft guilds were controlled by the master
crafts worker, & the recruit entered after a period of training as an apprentice. The craft system
was best suited to domestic industry, which the master operated on his own premises with his
assistants residing & working in the same house.
Scientific Management:
The Industrial Revolution & mass production emerged in the nineteenth & early twentieth
century’s and led to the deterioration of the craft guilds. The development of mass production
transformed the organization of work in two important ways. First, tasks were subdivided, into
very simple parts which could be performed by unskilled workers. Second, manufacturing
grew to such an extent that a large hierarchy of supervisors & managers became necessary.
Along with mass production came the assembly line & a scientific approach to an analysis of
work in terms of its constituent parts.
The basis of scientific management is that there is one best way to do a job. The best way
will be the most efficient & therefore the fastest & least expensive. The founder of this new

field of scientific management was an American mechanical engineer, Frederick W. Taylor
(1856-1915). Two of Taylor’s contemporaries, Frank Gilbreth (1868-1924) & his Spouse
Lillian Moeller Gilbreth (1878-1972), joined in becoming the proponents of scientific
management or industrial engineering.
In the decade after 1910, the principles of scientific management were applied on a
wholesale basis in the United States. Taylor & his disciples assumed that workers wanted to
be used efficiently & were motivated by money. This philosophy proved to be incorrect
because it ignored feelings & actual motivations. Workers were left dissatisfied with their jobs.
Union opposition grew as union organizers condemned Taylorism for depriving workers of a
voice in the conditions & functions of their work. One result was the emergence of welfare
secretaries as organizational employees to oversee programs for the welfare of the employees.
These programs included recreational facilities, employee assistance programs, & medical
programs. The welfare secretary position was the beginning of the professional personnel (now
human resource) function.
Human Relations:
The first important discovery in the social context of mass production resulted from the
famous experiments undertaken by U.S social scientists Elton Mayo (1880-1949) & Fritz
Roethlisberger (1898-1974) between 1924 & 1932 at Western Electric’s Hawthorne plant in
Chicago. Mayo & his colleagues sought to study the effects that changes in illumination would
have on productivity. The investigators chose two groups of employees working under similar
conditions. The level of illumination was varied for the test group but kept constant for the
control group. To Mayo’s surprise, the output of both groups rose. Even when the researchers
told the workers in one group that the light was going to be changed but then did not change
it, the workers expressed satisfaction & productivity continued to increase. Mayo saw that the
significant variable was not physical but psychological. The reason for the increase in
productivity was the workers attitudes toward their jobs & Western Electric. Because their
cooperation had been requested, the workers now felt themselves part of an important group
whose help & advice were being sought by the company.
The discovery of the Hawthorne effect led to further research on the social factors
associated with work. Results of these studies led to the human relations movement with

emphasis on the fact that employees need to be understood in order to be satisfied &
productive. However, the idea that good human relations in & of themselves will increase
productivity failed to be consistently supported, & many of the movement’s ideas were
abandoned.
Organisational Science:
Following the realization of the limitations of the human relations approach, academic
researchers from behavioural disciplines, such as psychology, political science, economics, &
sociology, began studying organizations. The organizational science approach focuses more
on the total organization & less on just the individual. HRM, as we currently know it, grew out
of the organizational science trend & combines learning from the previous movements with
current research in the behavioural sciences
1.1.2 OBJECTIVES OF HRM
The primary objective HRM is to ensure the availability of right people for right jobs so as the
organisational goals are achieved effectively. This primary objective can further be divided
into the following sub-objectives:
 To help the organisation to attain its goals effectively & efficiently by providing
competent & motivated employees.
 To utilize the available human resources effectively.
 To increase to the fullest the employee’s job satisfaction & self-actualisation.
 To develop & maintain the quality of work life (QWL) which makes employment in
the organisation a desirable personal & social situation.
 To help maintain ethical policies & behaviour inside & outside the organisation.
 To establish & maintain cordial relations between employees & management.
 To reconcile individual/group goals with organisational goals.

1.1.3 FUNCTIONS
Functions performed by human resource management can be broadly classified
into two categories, they are as given bellow:
1. Managerial functions
 Planning: Planning is a predetermined course of actions. It is a process of determining
the organisational goals & formulation of policies and programmes for achieving them. Thus,
planning is future oriented concerned with clearly charting out the desired direction of business
activities in future. Forecasting is one of the important elements in the planning process. Other
functions of managers depend on planning function.
 Organising: Organising is a process by which the structure and allocation of jobs are
determined. Thus, organising involves giving each subordinate a specific task, establishing
departments, delegating authority to subordinates, establishing channels of authority and
communication, coordinating the work of subordinates, and so on.
 Staffing: This is a process by which managers select, train, promote and retire their
subordinates. This involves deciding what type of people should be hired, recruiting
prospective employees, selecting employees, setting performance standard, compensating
employees, evaluating performance, counselling employees, training and developing
employees.
 Directing/ leading: Directing is the process of activating group efforts to achieve the
desired goals. It includes activities like getting subordinates to get the job done, maintaining
morale, motivating subordinates etc. For achieving the goals of the organisation.
 Controlling: It is the process of setting standards for performance, checking to see how
actual performance compares with these set standards, and taking corrective actions as needed.
2. Operative Functions
These functions vary from department to department depending on the nature of the
department. Viewed from this standpoint, the operative functions of HRM relate to ensuring
right people for right jobs at right times. These functions include procurement, development,
compensation and maintenance functions of HRM, a brief description of these follows:

 Procurement: It involves procuring the right kind of people in appropriate number to be
placed in the organisation. It consists of activities such as manpower planning, recruitment,
selection, placement and induction or orientation of new employees.
 Development: This function involves activities meant to improve the knowledge,
Skills, aptitudes and values of employees so as to enable them to perform their jobs in a better
manner in future. These functions may comprise training to employees, executive training to
develop managers, organisation development to strike a better fit between organisational
climate/culture and employees.
 Compensation: Compensation function involves determination of wages and salaries
matching with contribution made by employees to organisational goals, in other words, this
function ensure equitable and fair remuneration for employees in the organisation. It consists
of activities such as job evaluation, wage and salary administration, bonus, incentives, etc.
 Maintenance: It is concerned with protecting and promoting employees while at
work. For this purpose, various benefits such as housing, medical, educational, transport
facilities, etc is provided to the employees. Several social security measures such as provident
fund, pension, gratuity, group insurance, etc are also arranged.
This study entitled “study on working condition and its impact on employee
satisfaction” was conducted in Elstone tea estates limited, Kalpetta to know the effectiveness
of the working condition & to know how it improves the employee’s performance. One of the
primary objectives of the management is to ensure prompt, efficient and courteous service to
the organisation. In any organisation it is essential that certain standards of personal conduct
and work performance be maintained. Most people prefer to work in an orderly environment
and will readily conform to reasonable rules of conduct and standards of performance as long
as they understand what is expected from them. Where problems with employee behaviour or
performance arise, a supervisor should seek to correct the problem with the least amount of
disruption to the work environment.
Working condition is the conditions in which an individual or staffworks, including but
not limited to such things as amenities, physical environment, stress and noise levels, degree
of safety or danger, and the like. Working conditions refers to the working environment and
all existing circumstances affecting labour in the workplace, including job hours, physical
aspects, legal rights and responsibilities. In the context of machines or equipments, working
condition means it is operational.

Employee satisfaction is the terminology used to describe whether employees are happy and
contented and fulfilling their desires and needs at work. Many measures purport that employee
satisfaction is a factor in employee motivation, employee goal achievement, and positive
employee morale in the workplace.
Factors contributing to employee satisfaction include treating employees with respect,
providing regular employee recognition, empowering employees, offering above industry-
average benefits and compensation, providing employee perks and company activities, and
positive management within a success framework of goals, measurements, and expectations.

1.2 SCOPE OF THE STUDY
The study is aim at finding out the current status of employee satisfaction in Elstone
tea estates limited, Kalpetta in relation to work condition with a view to understand the level
of satisfaction in the company. Most of the companies are not following the necessary status
that ensures safety in work place nowadays. The report attempts to address the various
conditional factors that will affect the satisfaction level of an employee in an organisation. This
study summarizes some of the descriptive information, as well as information from the
historical record. The proposed study will examine the importance of health, safety and
incentive schemes prevailing in Elstone tea estates limited, Kalpetta.
 The study gives a detailed view on the positive and negative aspects of the welfare
measures provided by the company.
 The report gives detailed information of the industrial and company profile which can
be used as a data bank for further researches.

1.3 OBJECTIVES OF THE STUDY
The objectives of the study are to:
1.3.1 Primary objective
The primary objective of this study is to find out the working condition and its impact
on employee satisfaction in Elstone tea estates limited, Kalpetta.
1.3.2 Secondary objective
 To assess the relationship between working condition and employee satisfaction.
 To study the safety, health, welfare, compensation and incentive schemes that is being
implemented in Elstone tea estates limited, Kalpetta.
 To find out whether it increase the morale and working efficiency of the employees.
 To find out the level of satisfaction of employees in canteen, transport, medical
facilities etc…
 To identify major areas of dissatisfaction and provide valuable suggestions.

1.4 RESEARCH METHODOLOGY
Research in common parlance refers to a search of knowledge. Once can also define
research as a scientific and systematic search for pertinent information on a specific topic. In
fact, research is an art of scientific investigation.
Objectives of research
The purpose of research is to discover answers to questions through the application of
scientific procedures. The main aim of research is to find out the truth which is hidden and
which has not been discovered as yet.
Objectives are:
 To gain familiarity with a phenomenon or to achieve new insights into it.
 To portray accurately the characteristics of a particular individual, situation or a group.
 To determine the frequency with which something occurs or with which something occurs
or with which it is associated with something else.
 To test a hypothesis of a causal relationship between variables.
Research methodology is a way to systematically solve the research problem. It may
be understood as a science of studying how research is done scientifically. To study the various
steps that is generally adopted by a researcher in studying his research problem along with the
logic behind them.
1.4.1 STATEMENT OF THE PROBLEM
Study is focussing on the “Working condition and its impact on employee satisfaction
at Elstone tea estates limited, Kalpetta”.
1.4.2 TYPE OF RESEARCH
The type of research used is descriptive. Descriptive research includes surveys and fact
finding enquiries of different kinds. The major purpose of descriptive research is description
of the state of affairs as it exists at present.

1.4.3 RESEARCH DESIGN
Decisions regarding what, where, when, how much, by what means concerning an
inquiry or a research study constitute a research design. A research design is the arrangement
of conditions for collection and analysis of data in a manner that aims to combine relevance to
the research purpose with economy in procedure. In simple it is a frame work of plan for a
study that guides the collection and analysis of data.
The study will be conducted on the working condition and its impact on employee
satisfaction at Tea Company. For this the employees’ opinion will be collected and this will
cover their experience on the working condition at Kalpetta estate.
1.4.4 POPULATION SIZE
Population consists of all items in any field of inquiry. In this case population includes
entire employees of estate. There are about 55 employees and the sample is selected from this
population.
1.4.5 SAMPLE SIZE
The sample size should be large enough to give the confidence interval of desired width.
Sample size should not be small as it may not serve the objectives and if it is too large it incurs
huge cost and waste of resources. While determining the size of the sample the researcher
should keep in view the nature of study, type of sampling, number of classes proposed and the
standard of accuracy and acceptable confidence level. The sample size taken for this study is
50.
It is calculated using the following:
Z2 x (p) x (1 – p)
SS = _____________
C2
SS = Sample Size.
Z = Z-value (e.g., 1.96 for a 95 percent confidence level).
P = Percentage of population picking a choice.

C = Confidence interval, expressed as decimal (e.g., .04 = +/- 4 percentage points)
SS
New SS = _________________
( 1 + ( SS – 1 ))
Pop
600
11.890
= 50

1.4.6 DATA COLLECTION
Data collection is prime importance in research work. While deciding about the method
of data collection to be used for the study, the researcher should keep in mind 2 types of data
viz., primary and secondary data.
PRIMARY DATA
The primary data are those which are collected a fresh and for the first time and thus
happen to be original on character. For this study primary data has been collected through a
structured questionnaire.
Questionnaire: Questionnaire consists of a number of a questions printed in a definite form.
In this method of data collection questionnaire is given to the persons and they are asked to
answer those. The questionnaire may be directly given to respondents who are expected to read
and understand the questions and write down the reply in the space meant for it. The
respondents are asked to answer the questions independently.
SECONDARY DATA
The secondary data are those data which have already been collected. The relevant
information for this study has been collected from secondary sources. They are:
1. Websites
2. Manual of the company
3. Brochures
4. Books
5. Journals
6. Reports

1.4.7 HYPOTHESIS
Hypothesis is usually considered as the principal instrument in research. Its main
function is to suggest new experiments and observations. A hypothesis may be defined as a
proposition or a set of proposition set forth as an explanation for the occurrence of some
specified group of phenomena either asserted merely as a provisional conjecture to guide some
investigation or accepted as highly probable in the light of established facts.
Null Hypothesis & Alternative Hypothesis
Both the hypothesis is chosen before the sample is drawn. Alternate hypothesis is
usually the one which one wishes to prove and the null hypothesis is the one which one wishes
to disapprove. Thus, a null hypothesis represents the hypothesis we are trying to reject, and
alternative hypothesis represents all other possibilities. Null hypothesis should always be
specific hypothesis i.e. it should not state about or approximately a certain value.
In this study the hypothesis used are as follows:
Null hypothesis : Employee satisfaction is independent on working condition.
Alternative hypothesis : Employee satisfaction is dependent on working condition.
1.4.8 TOOL FOR ANALYSIS:
Chi-square test
The chi-square test is an important test amongst the several tests of significance
developed by statisticians. It is a statistical measure used in the context of sampling analysis
for comparing a variance to a theoretical variance. The test is in fact, a technique through the
use of which it is possible for all researchers to
 Test the goodness of fit.
 Test the significance of association between two attributes and
 Test the homogeneity or the significance of population variance.

Chi-square as a non parametric test
Chi-square is an important non-parametric test and as such no rigid assumptions are
necessary in respect of the type of population. As a non parametric test, chi- square can be
used :
1. As a test of goodness of fit.
2. As a test of independence.
As a test of goodness of fit, chi-square test enables us to see how well does the assumed
theoretical distribution such as binomial distribution, Poisson distribution or normal
distribution. Fit to the observed data. If the calculated value of chi-square is less than the
table value at a certain level of significance, the fit is considered to be a good one which
means that the divergence between the observed and expected frequencies is attributable
to fluctuations of sampling. But if the calculated value of the chi-square is greater than the
table value, the fit is not considered to be a good one.
As a test of independence, chi-square test enables us to explain whether or not two
attributes are associated. If the calculated value of chi-square is less than the table value at
a certain level of significance for given degrees of freedom, we conclude that null
hypothesis stands which means that the two attributes are independent or not associated.
But if the calculated value of the chi-square is greater than the table value, our inference
then would be that null hypothesis does not hold good which means the two attributes are
associated and the association is not because of some chance factor but it exists in reality.
x2
= ∑ (Oij-Eij) 2
/Eij

Where
Oij= observed frequency of the cell in ith row and jth column.
Eij= expected frequency of the cell in ith row and jth column.
Conditions for the application of chi-square test
The following conditions should be satisfied before chi-square test can be applied:
 Observations recorded and used are collected on a random basis.
 All the items in the sample must be independent.
 No group should contain very few items, less than 10. In case where the
frequencies are less than 10, regrouping is done by combining the frequencies of
adjoining groups so that the new frequencies become greater than 10. Some
statisticians. Take this number as 5, but 10 is regarded as better by most of the
statisticians.
 The overall number of items must also be reasonably large. It should normally be
at least 50, howsoever small the number of groups may be.
 The constraints must be linear. Constraints which involve linear equations in the
cell frequencies of a contingency table are known as linear constraints.

1.5 LIMITATIONS OF THE STUDY
 This data can be changed according to each period.
 The information is collected through primary and secondary data.
 It does not reveal all the information about Elstone tea estate, kalpetta.
 Source of data is collected from books in different authors.
 The findings are based on the data furnished by the employees.
 Some of the respondents appeared uninterested in filling up the questionnaire.
 The interaction with the employees is mainly during their work hours and so it can also
influence the process.

CHAPTER 2
PROFILES
INDUSTRY PROFILE
COMPANY PROFILE

2.1 INDUSTRYPROFILE
The industry places an important role in the economy of the country. India is one of the
leading tea growing countries in the world. The tea production in India is estimated to be 621
million Kgs. And is targeted to reach 760 million Kg by 2000 A.D.
Currently very few factories are manufacturing instant tea in India with foreign
technology with the entire production are marked for exports.
Tea is an important beverage. Drinking tea in fact has become a part of men is cultural
heritage and an expression of social living. More people drink tea than any other beverage. Tea
is cultivated in 38 countries which include Japan, India, Kenya, Turkey, Russia, Indonesia,
China etc… The native place of tea is said to be South-East Asia (China).
The word “Tea is derived from T’s from the “Annoy” language. It was in late 1610 that
the Dutch traders introduced tea to Europe and from 1664 onwards, it become a popular drink
in England. In South India, Dr. Christie who experimented in Nilgiri’s in the year 1852 and it
was in 1859 that planting tea started in Nilgiris.
Tea is said to be a native of South East Asia. It was known to the Chinas as early as
2737 B.C. Till fourth century A.D. It was used as medicine in China and it was only after the
seventh century that teas become a common beverage in China.
In South India tea is grown in an area of 4.82 Lakh hectors spread mainly over Assam, West
Bengal, Tamilnadu and Kerala. Besides these states Tripura, Karnataka, Himachal Pradesh
also grows tea on a limited scale. Manipur, Sikkim, Arunachal Pradesh and Orissa are some of
the non-traditional tea growing areas which have taken up tea cultivation.
The phenomenon growth in tea productivity of over 60% in the last two decades
suggests dynamism unknown in other core in agricultural and industrial sector and what is
more, is what tea is on the threshold of yet another major breakthrough in productivity.
India is said to be the largest producer, consumer and exporter of tea in the world. India
produces 30% of world production exported 180 million kg. out of its produce of nearly 758
million kgs in 1993. Tea is said to earn 7% of total foreign exchange. Tea is said to be the most
Important labor intensive crop and thus provide employment to over a million workers both

men and women. While women are mainly engaged in plucking the leaves, men do the pruning
of the tea bushes looking after their growth, loading and unloading and processing of tea in the
factory. Tea has helped in rural development to a large extent as it provides employment to
women and men in rural area. It also plays a role in conserving soil and maintains the ecological
equilibrium. From the government point of view it provides income to the central and state
governments through taxes over all we can say that tea is the largest consumed beverage in the
country. It is estimated that 70% of the countries of the population comes in contact with tea
in one way or another including tea drinking. Thus rendering tea is playing a key role in India’s
economy and society both directly and indirectly.
Tea is made from the leaves of an evergreen plant, which belongs to the Camellia
specious. There are two broad classifications in regard to tea. That is, Green tea or Chinese tea
and black tea; as the names goes Green tea or Chinese tea is mainly consumed in the far
East(China, Japan) etc. however, it is Black tea that India specializes. Its scientific name is
“Camellia Sinensis” and it originated in China, Tibet and Northern India. The tea plant has
thick leaves, dark green in color, and a strong thick stem. The tea flowers bloom in white or
pink and have a delicate fragrance. There are about 200 different species of the tea plant around
the world. The tea plant needs a hot, moist climate. It grows in temperatures ranging from 10
to 30 degrees centigrade, in areas with an average yearly rainfall of 2000 mm and at a ground
level of between 600 to 2000 meters above sea level. A carefully chosen source plant can be
used for creating new tea seedlings. The soft seedlings develop in a nursery for ten months,
which protects them from difficult weather conditions. After they have strengthened, the tea
plants continue to develop in open fields that are sheltered by the shade of wide trees.
2.1.1 History of tea in India
Tea is cultivated widely both in North and South India. In South India it was Dr. Christy
who experimented in the Nilgiris in the year in 1852 and it was in 1859 that tea planting
actually started in Nilgiris.
The Indian Tea Industry in 1994 saw a fall in both price realization and experts. The
average price at which tea was sold both in the domestic and foreign market was at last 10 to
15% lower than plain and medium varieties. But it was only in early 1995 that an improvement
in price earnings and demand seemed likely after a long stretch of nearly 18 months.

Presently in India tea is green in an area of 482 lakh hectors. Spread mainly over Assam,
West-Bengal Tamilnadu and Kerala.
The phenomenon of growth in the tea productivity of over 60% in the last two decades
suggests dynamism unknown in other core in agricultural and industrial sectors.
With firming up of tea price at the Kolkata auction in February 05, tea stocks have
come in the line light. The announcement by Dr. AsimdasGapa, West-Bengal finance Minister
regarding the reduction of proposed tax rate rote on tea in the VAT regime, to 4% rather than
12.5% as decided earlier, has added new flavour.
Tea is said to be the most important labor intensive crop and thus provide employment
to over a million workers both men and women while women workers are mainly engaged in
plucking the leaves and men do plucking of tea business looking after their growth and
processing of tea in the factory. Tea helped rural development to a large extent as it provides
employment opportunities to women and others in rural area. Tea provides income to central
and state government through tax. Tea has been one of India’s fortes in exports for decades,
for a century while has generally not had a global presence in most other industries.
The history of beginning of tea industry in India is a copious one. The arrival of the
British East India Company to East and further their spread of trade in oriental fashion saw a
fresh beginning of Indian business with overseas. The country was witnessing a remarkable
breakaway from the opulent style of Mughals, to the westernized style of British. Mint was
taking shape; cloth trade was taking shape, as well as trade in spices. As a result, tea, a vital
portion of English way of living was making its way to India through ship trips. Tea was such
a lucrative industry, that it has a long illustrious history of beginning in British occupied India.
Tea was imported to India in the early years of the 17th century; but it was only in the 19th
century that it gained a strong foothold as an established industry. History of beginning of tea
industry unfolds the fact that it was in 1664, the first shipment of tea, two pounds and two
ounces, arrived in England and was given to Charles II (1630-1685). This proved a harbinger
of the growth of a great trade commodity first with China and then later with India. In 1678,
the first substantial shipment of tea arrived in Britain. By 1710, British trade with the Chinese
at Canton assumed a stable source of tea for future export.
When considering the degree of withers to be taken, two factors which have an important
bearing on the subject must take into account. They are;

The standard of leaf
The proportion of ground dust to be added for reconditioning, or briefly the rate of
reconditioning.
The standard of leaf
For obvious reasons, the coarser the standard of leaf and the tougher its texture the
greater the workload imposed on the ctc rollers and on the drive motors. Consequently, the
coarser the leaf the softer the withers that must be taken in order to sustain enough moisture in
it to adequately lubricate and cool the rollers, which have harder and more heat-producing
work to do.
The rate of reconditioning
The dry, milled dust added to the freshly withered leaf for reconditioning absorbs a
quantity of moisture from it, lowers the overall moisture content of the aggregate passing
through the ctc’s and increases the frictional load. To compensate for this it becomes necessary
to take softer withers in relation to the percentage of reconditioning material added –the greater
the rate of reconditioning, the softer the withers required.
2.2 COMPANYPROFILE

Elstone tea estate consists of mainly 3 divisions, Perindotty division, Elstone division
Kalpetta (having tea plantations of more than 85 years old. Some field of Perunthatta division
were planted china jute tea plants are supposed to be the pioneer plantation of tea in Wayanad
district which are more than 100 years old.
It was founded by British company during 1880 and later owned by Ms. Pierce Leslie
and Cottel, which was a group company owing Elstone estate, Chembra peak estate and Variad
coffee estate. By cornering the stock exchange share the whole group was taken over by a
Marviarie company based at Bangalore and in 1978 . At present the estate is manufacturing
with 6 lakh kilogram of CTC tea per Annum and the tea are sold through auctions at Kochi
and Kannur and also a minor percentage is sold through private sale in Wayanad, Kannur,
Kasargode and Palakkad district. They will introduce their teas in the open market of Kerala
and other state in packets of 100 gm, 250 gm, 500 gm and 1 kilogram in the brand name of
Elstone tea.
Every organization focused on maximum profit at minimum cost. The Elstone estate
has some future plans for achieving their strategic goal;
 Lower production cost, so profit increase.
 Improving efficiency of workers.
 Creating good refreshment condition.
In Elstone estate quality standards are assessed by the management team and
implemented in the production process of the plant in the form of mechanical and
manufacturing requirement.
2.2.1 OBJECTIVES OF THE COMPANY

1. Their efforts are committed towards fulfilling their quality requirements of the
customer expectations and needs.
2. Enhancing the awareness of employees towards quality through systematic training,
development and motivation.
3. To continuously plan its future operations for sustained growth and stability for
meeting the needs of the country.
4. To focus on cost reduction and technology up gradation in order to became competitive
in each lines of business.
Vision
The company has recorded steady growth in its productivity as well as quality
and its profitability. Quality leading to customer satisfaction shall be their top
priority.
Mission
Mission of the organization is to assure and safeguard the interest of nominal
consumer of this firm. The firm provides the quality product to the customers and
people of nearby areas at reasonable price. The company is striving towards creating
quality with satisfaction.
2.2.2 THE CTC PRODUCTION UNIT
The researcher during his study has studied the procedure involved in production CTC tea.
The unit for producing the CTC tea is situated in Elstone division. The manufacturing unit
employs around 80 workers. Here there are three shifts, namely morning, noon and nightshifts.
The factory is in charge of a factory manager, assistant manager and assistant factory officers
to supervise the work.
The manufacturing area is divided into various like the rolling section, fermenting
section and sorting section. The rolling section in the factory consists of machines like
shredders, rotor vane and CTC cutter. The rolling section makes the leaves ready for
Fermentation. Fermentation section comes next. This consists of fermenting drums. Here the

process fermentation is done. After this the fermented leaves are taken drying. In the drying
section consists of dryers. Next is the sorting section, here the dust is sorted into various grades
with the help of sorters like trinic sorter and pen vault sorter having machines of different sizes.
The last Section is the packing section where the leaves are packed in gunny bags for take to
the auction centre.
In addition to all these there is an electrical section, maintenance section and
reconditioning room in the factory. These sections are in charge of a supervisor.
The production unit in Elstone division is efficient and activities are carried on
very smoothly. The workers in this unit seem to be very co-operative regarding their job.
Moreover machines in this unit are very well maintained, giving a view that this factory is an
ideal work place producing high quality of dust.
Tea production process
It consists of five principal operations. They are as follows;
 Withering
This is the first step in the processing procedure. It is believed that nearly 30% of
the weight of the fresh leaf consists of water. To remove this moisture, the leaf is spread
thinly over the withering racks arranged one above the other horizontally and kept
therefore 12 to 18 hours. Sometimes heated air is forced over these racks if the
atmosphere around is humid. This is done until the leaves become dry and soft ready
for rolling. This withering process is done with the help of withering truffs.
 Rolling
Rolling gives the characteristics twist to the leaf breaks the leaf sell and exposes
the natural juice to the air for fermentation to set in. this process eventually gives tea
its flavour. This process is done in a CTC factory with the help of a shredder, rotor
vane and CTC cutter.
 Fermentation
After rolling the leaves are passed for fermentation the tannin in the tea is partially
oxidized and the leaf changed color and turns bright coppery red. When it is ready for
the final stage namely drying and firing. To undertake this process it is the fermenting
drums which are used.

 Drying (firing)
In the drying process the leaves are put on a conveyor belt and slowly passed
through an even at a very high temperature. The process is done nearly for 8 to 10
minutes at 300 degree centigrade. This is the most critical stage in the tea production
process. Careful regulation of the temperature is essential; as excessive heat will scorch
the leaves while lack if it will result in improper drying. After this, the tea that results
is normal black tea. In the CTC factory two types of dryers namely the Fluid Bud
Dryers (FBD) and Vibrating Fluid Bud Dryers (VFBD) is used. VFBD being advanced
one.
 Sorting(grading)
As the leaves come out of the dryer’s large and small, broken and Un broken leaves
may be there. So in order to remove this fibres etc this is passed through the jumbo
fibre extractor then passed on to sorters mainly trinics sorter and pen valt sorter having
meshes in different sizes.
Through the automatic vibration, the leaves are sorted and graded under colorful names
such as;
 Broken Orange Pekoe (BOP)
 Broken Orange Pekoe Flowery (BOPF)
 Flowery Orange Pekoe (FOP)
 Fanning Dust
 Fine Dust
 Red Dust (RD)
 Pekoe Dust (PD)
 Super Red Dust (SRD)
 Super Fine Dust (SFD)
 Golden Dust (GD)
 Packing
This is the last stage after production. The tea dust is then packed in jute bags
containing light polythene bags. So the tea does not lose their flavor. Bags are then
marked according to the type of tea they contain and send to Calcutta and Cochin the
two main auction centres in India.
2.2.3 Organizational structure

Board of director
General manager
Assistant section officer
Section officer
Field officer Factory officer
Supervisor
Employees

CHAPTER 3
REVIEW OF LITERATURE
THEORETICAL REVIEW
3.1 THEORETICAL PERSPECTIVE

3.1.1 EMPLOYEE SATISFACTION
Employee satisfaction is the terminology used to describe whether employees are
happy and contented and fulfilling their desires and needs at work. Many measures purport
that employee satisfaction is a factor in employee motivation, employee goal achievement, and
positive employee morale in the workplace.
At its most general level of conceptualization, job satisfaction is simply how content
an individual is with his or her job. At the more specific levels of conceptualization used by
academic researchers and human resources professionals, job satisfaction has varying
definitions. Affective job satisfaction is usually defined as a one-dimensional subjective
construct representing an overall emotional feeling individuals have about their job as a
whole Hence, affective job satisfaction for individuals reflects the degree of pleasure or
happiness their job in general induces. Cognitive job satisfaction is usually defined as being a
more objective and logical evaluation of various facets of a job. As such, cognitive job
satisfaction can be one-dimensional if it comprises evaluation of just one aspect of a job, such
as pay or maternity leave, or multidimensional if two or more facets of a job are simultaneously
evaluated. Cognitive job satisfaction does not assess the degree of pleasure or happiness that
arises from specific job facets, but rather gauges the extent to which those job facets are judged
by the job holder to be satisfactory in comparison with objectives they themselves set or with
other jobs. While cognitive job satisfaction might help to bring about affective job satisfaction,
the two constructs are distinct, not necessarily directly related, and have different antecedents
and consequences
Employee satisfaction, while generally a positive in your organization, can also be a
downer if mediocre employees stay because they are satisfied with your work environment.
Factors contributing to employee satisfaction include treating employees with respect,
providing regular employee recognition, empowering employees, offering above industry-
average benefits and compensation, providing employee perks and company activities, and
positive management within a success framework of goals, measurements, and expectations.
Employee satisfaction is often measured by anonymous employee satisfaction surveys
administered periodically that gauge employee satisfaction. (I do not support these.) Employee
satisfaction is looked at in areas such as:

 management,
 understanding of mission and vision,
 empowerment,
 teamwork,
 communication, and
 Co-worker interaction.
A second method used to measure employee satisfaction is meeting with small groups of
employees and asking the same questions verbally. Depending on the culture of the company,
either method can contribute knowledge about employee satisfaction to managers and
employees. Exit are another way to assess employee satisfaction in that satisfied employees
rarely leave companies.
High employee satisfaction levels can reduce turnover and attrition rate in the industries
People are the key to success in the new economy. Companies are attaching greater
importance to human performance today than ever before. And while corporations have
presumably always valued their employees, in today’s fast moving new economy. People have
gained even greater stature and are now seen as possibly the most important factor in a
company’s success or failure.
Companies are giving due importance to recognize and the extraordinary efforts related
to retain the people in the industry. Some are making efforts to attract and retain top talent,
represent fundamental shifts in employer-employee relationships. And nowhere has this been
truer than in the high-tech sector, with its insatiable demand for knowledge workers.
But the focus on human performance now stretches across all industries and all levels.
From the front lines of customer service to the highest executive ranks. Almost industries are
putting their best efforts to the keep employees happy and engaged.
3.1.2 IMPORTANCE OF EMPLOYEE SATISFACTION

 Tracking the attitudes and opinions of employees can identify problems areas and
solutions related to management and leadership, corporate policy, recruitme nt,
benefits, diversity, training and professional development.
 A comprehensive employee satisfaction study can be the key to a more a motivated and
loyal work force.
 The first step is to understand exactly which issues have the greatest impact on
employee satisfaction.
 The findings of the employee satisfaction survey will tell you exactly how much more
important one issue is over another.
 In analysing the data, we can define and refine issues that need addressed, such as
overall job satisfaction, professional fulfilment, employee motivation and commitment,
likelihood to stay with the organisation, pay level, corporate goals and objectives.
 Survey result can be segmented by employee position, length of employment, full time
vs. part time.
3.1.3 FACTORS AFFECTING EMPLOYEE SATISFACTION
 Achievement
 Recognition
 Work itself
 Responsibility
 Advancement
 Personal growth
 Company policy and administration
 Supervision
 Relationship with supervisor
 Work conditions
 Salary
 Relationship with peers
 Personal life
 Relationship with subordinates
 Status
 Security

The conditions in which an individual or staff works, including but not limited to such
things as amenities, physical environment, stress and noise levels, degree of safety or danger,
and the like.
3.1.4 MODELS OF EMPLOYEE SATISFACTION
Affect theory
Edwin A. Locke’s Range of Affect Theory (1976) is arguably the most famous job satisfaction
model. The main premise of this theory is that satisfaction is determined by a discrepancy
between what one wants in a job and what one has in a job. Further, the theory states that how
much one values a given facet of work (e.g. the degree of autonomy in a position) moderates
how satisfied/dissatisfied one becomes when expectations are/aren’t met. When a person
values a particular facet of a job, his satisfaction is more greatly impacted both positively (when
expectations are met) and negatively (when expectations are not met), compared to one who
doesn’t value that facet. To illustrate, if Employee A values autonomy in the workplace and
Employee B is indifferent about autonomy, then Employee A would be more satisfied in a
position that offers a high degree of autonomy and less satisfied in a position with little or no
autonomy compared to Employee B. This theory also states that too much of a particular facet
will produce stronger feelings of dissatisfaction the more a worker values that facet.
Dispositional theory
Another well-known job satisfaction theory is the Dispositional Theory. It is a very general
theory that suggests that people have innate dispositions that cause them to have tendencies
toward a certain level of satisfaction, regardless of one’s job. This approach became a notable
explanation of job satisfaction in light of evidence that job satisfaction tends to be stable over
time and across careers and jobs. Research also indicates that identical twins have similar levels
of job satisfaction.
A significant model that narrowed the scope of the Dispositional Theory was the Core
Selfaluations Model, proposed by Timothy A. Judge, Edwin A. Locke, and Cathy C. Durham
in1997. Judge et al. argued that there are four Core Self-evaluations that determine one’s
Disposition towards job satisfaction: self-esteem, general self-efficacy, locus of control,
and neuroticism. This model states that higher levels of self-esteem (the value one places on
his/her self) and general self-efficacy (the belief in one’s own competence) lead to higher work
satisfaction. Having an internal locus of control (believing one has control over herhis own

life, as opposed to outside forces having control) leads to higher job satisfaction. Finally, lower
levels of neuroticism lead to higher job satisfaction.
Opponent process theory
According to opponent process theory, emotional events, such as criticisms or rewards, elicits
two sets of processes. Primary processes give way to emotions that are steady with the event
in question. Events that seem negative in manner will give rise to the feelings of stress or
anxiety. Events that are positive give rise to the feeling of content or relaxation. The other
process is the opponent process, which induces feelings that contradict the feelings in the
primary processes. Events that are negative give rise to feelings of relaxation while events that
are positive give rise to feelings of anxiety. A variety of explanations have been suggested to
explain the uniformity of mood or satisfaction. This theory shows that if you try to enhance
the mood of individual it will more likely fail in doing so. The opponent process theory was
formulated to explain these patterns of observations.
Equity theory
Equity Theory shows how a person views fairness in regard to social relationships. During a
social exchange, a person identifies the amount of input gained from a relationship compared
to the output, as well as how much effort another persons puts forth Equity Theory suggests
that if an individual thinks there is an inequality between two social groups or individuals, the
person is likely to be distressed because the ratio between the input and the output are not
equal.
For example, consider two employees who work the same job and receive the same benefits.
If one individual gets a pay raise for doing the same or less work than the other, then the less
benefited individual will become distressed in his workplace. If, on the other hand, one
individual gets a pay raise and new responsibilities, then the feeling of inequality is reduced..
Discrepancy theory
The concept of discrepancy theory explains the ultimate source of anxiety and dejection. An
individual, who has not fulfilled his responsibility feels the sense of anxiety and regret for not
performing well, they will also feel dejection due to not being able to achieve their hopes and

aspirations. According to this theory, all individuals will learn what their obligations and
responsibilities for a particular function, over a time period, and if they fail to fulfill those
obligations then they are punished. Over time, these duties and obligations consolidate to form
an abstracted set of principles, designated as a self-guide. Agitation and anxiety are the main
responses when an individual fails to achieve the obligation or responsibility. This theory also
explains that if achievement of the obligations is obtained then the reward can be praise,
approval, or love. These achievements and aspirations also form an abstracted set of principles,
referred to as the ideal self guide. When the individual fails to obtain these rewards, they begin
to have feelings of dejection, disappointment, or even depression.
Two-factor theory (motivator-hygiene theory)
Frederick Herzberg’s Two-factor theory (also known as Motivator Hygiene Theory) attempts
to explain satisfaction and motivation in the workplace. This theory states that satisfaction and
dissatisfaction are driven by different factors – motivation and hygiene factors, respectively.
An employee’s motivation to work is continually related to job satisfaction of a subordinate.
Motivation can be seen as an inner force that drives individuals to attain personal and
organizational goals (Hokinson, Porter, & Wrench, p. 133). Motivating factors are those
aspects of the job that make people want to perform, and provide people with satisfaction, for
example achievement in work, recognition, promotion opportunities. These motivating factors
are considered to be intrinsic to the job, or the work carried out Hygiene factors include aspects
of the working environment such as pay, company policies, supervisory practices, and other
working conditions.
While Hertzberg's model has stimulated much research, researchers have been unable to
reliably empirically prove the model, with Hickman & Oldham suggesting that Hertzberg's
original formulation of the model may have been a methodological artefact Furthermore, the
theory does not consider individual differences, conversely predicting all employees will react
in an identical manner to changes in motivating/hygiene factors. Finally, the model has been
criticised in that it does not specify how motivating/hygiene factors are to be measured.
3.1.5 INDIVIDUAL FACTORS AFFECTING JOB SATISFACTION
Individual factors
Emotion

Mood and emotions form the affective element of job satisfaction. Moods tend to be
longer lasting but often weaker states of uncertain origin, while emotions are often more
intense, short-lived and have a clear object or cause.
Some research suggests moods are related to overall job satisfaction. Positive and
negative emotions were also found to be significantly related to overall job satisfaction.
Frequency of experiencing net positive emotion will be a better predictor of overall job
satisfaction than will intensity of positive emotion when it is experienced.
Emotion work (or emotion management) refers to various types of efforts to manage
emotional states and displays. Emotion management includes all of the conscious and
unconscious efforts to increase, maintain, or decrease one or more components of an
emotion. Although early studies of the consequences of emotional work emphasized its
harmful effects on workers, studies of workers in a variety of occupations suggest that
the consequences of emotional work are not uniformly negative.[26]
It was found that suppression of unpleasant emotions decreases job satisfaction and the
amplification of pleasant emotions increases job satisfaction.
The understanding of how emotion regulation relates to job satisfaction concerns two
models:
1. Emotional dissonance. Emotional dissonance is a state of discrepancy between
public displays of emotions and internal experiences of emotions, that often
follows the process of emotion regulation. Emotional dissonance is associated
with high emotional exhaustion, low organizational commitment, and low job
satisfaction.
2. Social interaction model. Taking the social interaction perspective, workers’
emotion regulation might beget responses from others during interpersonal
encounters that subsequently impact their own job satisfaction. For example: The
accumulation of favourable responses to displays of pleasant emotions might
positively affect job satisfaction.

CHAPTER 4
DATA ANALYSIS and
INTERPRETATION
DATA ANALYSIS AND INTERPRETATION
 TESTING OF HYPOTHESIS
4.1 DATA ANALYSIS AND INTERPRETATION
4.1.1 Table indicating that work schedule improve employee productivity
Satisfactory level No. of respondents Percentages
Strongly Agree 16 32
Agree 4 8

Neutral 10 20
Disagree 18 36
Strongly Disagree 2 4
Total 50 100
4.1.1 Chartindicating that work schedule improve employee productivity
Interpretation
The table and chart indicates whether the work schedule improves the productivity of
employees. 4 of the respondents agree with the statement and 16 of them strongly agree with
the same and 10 have neutral opinion. 18 of the respondents disagree and 2 of them strongly
disagree with the statement so from this we can conclude that most of the respondents disagree
that the work schedule improves the productivity.
4.1.2 Table indicating that employees agreeing that individual initiative are
encouraged in the company
Agree 20 40
32
8
20
36
4
0
5
10
15
20
25
30
35
40
Strongly Agree Agree Neutral Disagree Strongly Disagree
PERCENTAGEOFRESPONDS
LEVEL OF RESPONDS

Neutral 10 20
Disagree 5 10
Total 50 100
4.1.2 Chart indicating that individual initiative is encouraged in the
company
Interpretation
The table and chart shown above indicates whether theindividual initiative is encouraged in
the company. 20 of the respondents agree with the statement and 12 of them strongly agree
with the same and 10 have neutral opinion. 5 of the respondents disagree and 3 of them strongly
disagree with the statement so from this we can conclude that most of the respondentsagree
that the individual initiative is encouraged in the company.
4.1.3 Table indicating that opinion regarding the health condition is in tune
with workers nature of work.
Agree 10 20
24
40
20
10
6
0
5
10
15
20
25
30
35
40
45
LEVEL OF RESPONDS

Neutral 13 26
Disagree 13 26
Total 50 100
4.1.3 Chart indicating that opinion regarding the health condition is in
tune with workers nature of work.
Interpretation
The table and chart shown above indicates whether work condition is in tune with the nature
of work. 10 of the respondents agree with the statement and 10 of them strongly agree with the
same and 13 have neutral opinion. 13 of the respondents disagree and 4 of them strongly
disagree with the statement so from this we can conclude that most of the respondents disagree
and have neutral opinion that work condition is in tune with the nature of work.
4.1.4 Table indicating that the canteenfacility is advantage for the
workers.
Agree 19 38
20 20
26 26
8
0
5
10
15
20
25
30
LEVEL OF RESPONDS

Neutral 10 20
Disagree 10 20
Total 50 100
4.1.4 Chart indicating that the canteen facility is advantage for the
workers.
Interpretation
The table and chart shown above indicates whether canteen facility is advantage for the
workers. 19 of the respondents agree with the statement and 11 of them strongly agree with
the same and 10 have neutral opinion. 10 of the respondents disagree and none of them strongly
disagree with the statement so from this we can conclude that most of the respondents agrees
that the canteen facility is advantage for the workers.
4.1.5 Table indicating that employees satisfied with the toilet facilities in
the company.
22
38
20 20
0
0
5
10
15
20
25
30
35
40
LEVEL OF RESPONDS

Agree 12 24
Neutral 12 24
Disagree 8 16
Total 50 100
4.1.5 Chart indicating that employees satisfied with the toilet facilities in
the company
Interpretation
The table and chart shown above indicates that toilet facility is advantage for the workers. 12
of the respondents agree with the statement and 14 of them strongly agree with the same and
12 have neutral opinion. 8 of the respondents disagree and 4 of them strongly disagree with
the statement so from this we can conclude that most of the respondents strongly agrees that
the toilet facility is advantage for the workers.
4.1.6 Table indicating that the workers get immediate first aid and during
the time of illness.
Strongly Agree 9 18
Agree 19 38
28
24 24
16
8
0
5
10
15
20
25
30
LEVEL OF RESPONDS

Neutral 14 28
Disagree 5 10
Total 50 100
4.1.6 Chart indicating that the workers get immediate first aid and during
the time of illness.
Interpretation
The table and chart shown above indicates that employees get immediate first aid during the
time of illness. 19 of the respondents agree with the statement and 9 of them strongly agree
with the same and 14 have neutral opinion. 5 of the respondents disagree and 3 of them strongly
disagree with the statement so from this we can conclude that most of the respondentsagrees
that they get immediate first aid during the time of illness.
4.1.7 Table indicating that the opinion regarding with the organisation
promote team work.
Agree 16 32
Neutral 11 22
18
38
28
10
6
0
5
10
15
20
25
30
35
40
LEVEL OF RESPONDS

Disagree 7 14
Total 50 100
4.1.7 Chart indicating that the opinion regarding with the organisation
promote team work.
Interpretation
The table and chart shown above indicates that the organisation promote team work.16 of the
respondents agree with the statement and 14 of them strongly agree with the same and 11 have
neutral opinion. 7 of the respondents disagree and 2 of them strongly disagree with the
statement so from this we can conclude that most of the respondentsagrees that the organisation
promote team work.
4.1.8 Table indicating that opinion regarding the bonus received
Strongly Agree 5 10
Agree 15 30
Neutral 15 30
Disagree 15 30
28
32
22
14
4
0
5
10
15
20
25
30
35
LEVEL OF RESPONDS

Total 50 100
4.1.8 Chart indicating that opinion regarding the bonus received
Interpretation
The table and chart shown above indicates that the bonus received by the employees.15 of the
respondents agrees with the statement and 5 of them strongly agree with the same and 15 have
neutral opinion. 15 of the respondents disagree and none of them strongly disagree with the
statement so from this we can conclude that most of the respondents have equally agree and
disagree that the bonus received from the company is effective.
4.1.9 Table indicating that employee satisfaction level with regards to the
salary
Agree 11 22
Neutral 10 20
Disagree 8 16
10
30 30 30
0
0
5
10
15
20
25
30
35
percentageofresponds
level of responds

Total 50 100
4.1.9 Chart indicating that employee satisfaction level with regards to the
salary
Interpretation
The table and chart shown above indicates that the salary received by the employees.11 of the
respondents agrees with the statement and 21 of them strongly agree with the same and 10
have neutral opinion. 8 of the respondents disagree and none of them strongly disagree with
the statement so from this we can conclude that most of the respondents have strongly agree
that the organisation gives a good salary.
4.1.10 Table indicating that opinion regarding the timely salary revision
helps to cope up with changing social needs
Agree 15 30
Neutral 11 22
Disagree 9 18
42
22 20
16
0
0
10
20
30
40
50
level of responds

Total 50 100
4.1.10 Chart indicating that opinion regarding the timely salary revision
helps to cope up with changing social needs
Interpretation
The table and chart shown above indicates that the timely salary revision helps the employees
to cope up with changing social needs. Most of them agree this statement.15 of them agree this
and 13 of them strongly agree this.
4.1.11 Table indicating that opinion regarding re creationalfacilities that is
being provided by the company
Strongly Agree 9 18
Agree 16 32
Neutral 8 16
Disagree 12 24
26
30
22
18
4
0
5
10
15
20
25
30
35
level of responds

Total 50 100
4.1.11 Chartindicating that opinion regarding re creationalfacilities that is
being provided by the company
Interpretation
The table and chart shown above indicates that the employees have enjoying the re creational
facilities provided by the company. 16 of the respondents agree with the statement and 18 of
them strongly agree with the same and 8 have neutral opinion. 12 of the respondents disagree
and 5 of them strongly disagree with the statement
4.1.12 Table indicating that the help from supervisors helps to resolve
employee’s problems in work
Agree 10 20
Neutral 14 28
Disagree 6 12
18
32
16
24
10
0
5
10
15
20
25
30
35
level of responds

Total 50 100
4.1.12 Chart indicating that the help from supervisors helps to resolve
employee’s problems in work
Interpretation
The table and chart shown above indicates that the help from supervisors helps to resolve the
problem. 10 of the respondents agree with the statement and 20 of them strongly agree with
the same and 14 have neutral opinion. 6 of the respondents disagree and none of them strongly
disagree with the statement
4.1.13 Table indicating that employees are getting subsidies from the
canteen
Agree 12 24
Neutral 18 36
Disagree 10 20
40
20
28
12
0
0
5
10
15
20
25
30
35
40
45
level of responds

Total 50 100
4.1.13 Chart indicating that employees are getting subsidies from the
canteen
Interpretation
The table and chart shown above indicates that the employees are getting subsidies from the
canteen. 12 of the respondents agree with the statement and 10 of them strongly agree with the
same and 18 have neutral opinion. 10 of the respondents disagree and none of them strongly
disagree with the statement so from this we can conclude that most of the respondents have
neutral opinion about the subsidies getting from the canteen.
4.1.14 Table indicating that opinion regarding the employees are happy
about their nature of work
Agree 16 32
Neutral 11 22
20
24
36
20
0
0
5
10
15
20
25
30
35
40
level of responds

Disagree 7 14
Total 50 100
4.1.14 Chart indicating that opinion regarding the employees is happy
about their nature of work
Interpretation
The table and chart shown above indicates that the employees are happy about their nature of
work. 16 of the respondents agree with the statement and 13 of them strongly agree with the
same and 11 have neutral opinion. 7 of the respondents disagree and 3 of them strongly
disagree with the statement
4.1.15 Table indicating that opinion regarding the workers can do their
work effectively
Agree 14 28
Neutral 10 20
26
32
22
14
6
0
5
10
15
20
25
30
35
level of responds

Disagree 6 12
Total 50 100
4.1.15 Chart indicating that opinion regarding the workers can do their
work effectively
Interpretation
The table and chart shown above indicates that the employees can do their work effectively.
14 of the respondents agree with the statement and 20 of them strongly agree with the same
and 10 have neutral opinion. 6 of the respondents disagree and none of them strongly disagree
with the statement
4.1.16 Table indicating that the welfare activities help to attract and retain
good workers
Agree 18 36
Neutral 19 38
Disagree 0 0
40
28
20
12
0
0
5
10
15
20
25
30
35
40
45
level of responds

Total 50 100
4.1.16 Chartindicating that the welfare activities help to attract and retain
good workers
Interpretation
The table and chart shown above indicates that the welfare activities are attract and retain good
workers. 18 of the respondents agree with the statement and 13 of them strongly agree with
the same and 19 have neutral opinion. none of the respondents disagree and none of them
strongly disagree with the statement
26
36 38
0 0
0
5
10
15
20
25
30
35
40
level of responds

4.1.17 Table indicating that the welfare activities help to fulfil social
responsibility
Agree 10 20
Neutral 10 20
Disagree 15 30
Total 50 100
4.1.17 Chart indicating that the welfare activities help to fulfil social
responsibility
Interpretation
The table and chart shown above indicates that the welfare activities are help to fulfil social
responsibility. 10 of the respondents agree with the statement and 15 of them strongly agree
with the same and 10 have neutral opinion. 15 of the respondents disagree and none of them
strongly disagree with the statement
30
20 20
30
0
0
5
10
15
20
25
30
35
level of responds

4.1.18 Table indicating that the permanent workers are provided
accommodation by the company
Agree 10 20
Neutral 11 22
Disagree 10 20
Total 50 100
4.1.18 Chart indicating that the permanent workers are provided
accommodation by the company
Interpretation
The table and chart shown above indicates that permanent workers are provided
accommodation. 10 of the respondents agree with the statement and 17 of them strongly agree
with the same and 11 have neutral opinion. 10 of the respondents disagree and 2 of them
strongly disagree with the statement so from this we can conclude that most of the respondents
are strongly agree this.
34
20
22
20
4
0
5
10
15
20
25
30
35
40
level of responds

4.1.19 Table indicating that the trade unions are helpful for the workers
Agree 10 20
Neutral 1 2
Disagree 10 20
Total 50 100
4.1.19 Chart indicating that the trade unions are helpful for the workers
Interpretation
The table and chart shown above indicates that permanent workers are provided
accommodation. 10 of the respondents agree with the statement and 17 of them strongly agree
with the same and 11 have neutral opinion. 10 of the respondents disagree and 2 of them
strongly disagree with the statement so from this we can conclude that most of the respondents
are strongly agree this.
42
20
2
20
16
0
5
10
15
20
25
30
35
40
45
level of responds

4.1.20 Table indicating that the training programs provided by the
company helps to develop employees work more
Strongly Agree 4 8
Agree 14 28
Neutral 20 40
Disagree 10 20
Total 50 100
4.1.20 Chart indicating that the training programs provided by the
company helps to develop employees work more
Interpretation
The table and chart shown above indicates that training programs provided by the company.
14 of the respondents agree with the statement and 4 of them strongly agree with the same and
8
28
40
20
4
0
5
10
15
20
25
30
35
40
45

20 have neutral opinion. 10 of the respondents disagree and 2 of them strongly disagree with
the statement so from this we can conclude that most of the respondents have neutral opinion
about this.
4.2 TESTING OF HYPOTHESIS
The chi-square test is an important test amongst the several tests of significance
developed by statisticians. It is a statistical measure used in the context of sampling analysis
for comparing a variance to a theoretical variance. The test is in fact, a technique through the
use of which it is possible for all researchers to
 Test the goodness of fit.
 Test the significance of association between two attributes and
 Test the homogeneity or the significance of population variance.
Null hypothesis : Employee satisfaction is independent of working condition.
Alternative hypothesis : Employee satisfaction is dependent on working condition.

INFRA STRUCTURE
Observed frequency table
Employee satisfaction
workingcondition
Canteen facilities
High Moderate Low Total
30 10 10 50
Toilet facilities 26 12 12 50
Total 56 22 22 100
workingcondition
Canteen facilities
28 11 11 50
Toilet facilities 28 11 11 50
Total 56 22 22 100

Expected frequency table
4.2.1 Chi-square table indicating that infra structure
O E O-E (O-E)2 (O-E)2/E
30 28 2 4 0.14
10 11 -1 1 0.09
10 11 -1 1 0.09
26 28 -2 4 0.14
12 11 1 1 0.09
12 11 1 1 0.09
Total 0.64
Degree of freedom = (r-1) (c-1)
= (2-1) (3-1)
= 2
Level of significance is 5% and table value is 5.99
Therefore the calculated value of chi-square is less than the table value so we accept the null
hypothesis.

MOTIVATION
workingcondition
Individual initiative
32 10 8 50
Training programs 18 20 12 50
Total 50 30 20 100

workingcondition
Individual initiative
25 15 10 50
Training programs 25 15 10 50
Total 50 30 20 100
4.2.2 Chi-square table indicating the motivation
O E O-E (O-E)2 (O-E)2/E
32 25 7 49 1.96
10 15 -5 25 1.66
8 10 -2 4 0.4
18 25 -7 49 1.96
20 15 5 25 1.66
12 10 2 4 0.4
Total 8.04

= (2-1) (3-1)
= 2
Level of significance is 5% and table value is 5.99.
Therefore the calculated value of chi-square is greater than the table value so we reject the
null hypothesis.
EMPLOYEE WELFARE

workingcondition
Subsidy from canteen
22 18 10 50
House for permanent workers 27 11 12 50
Total 49 29 22 100
workingcondition
Subsidy from canteen
24.5 14.5 11 50
House for permanent workers 24.5 14.5 11 50
Total 49 29 22 100
4.2.3 Chi-square table indicating employee welfare
O E O-E (O-E)2 (O-E)2/E
22 24.5 -2.5 6.25 0.25
18 14.5 3.5 12.25 0.84

10 11 -1 1 0.09
27 24.5 2.5 6.25 0.25
11 14.5 -3.5 12.25 0.84
12 11 1 1 0.09
Total 2.36
= (2-1) (3-1)
= 2
hypothesis.
AID AND LEISURE

workingcondition
First aid
28 14 8 50
Re -creational facility 25 8 17 50
Total 53 22 25 100
workingcondition
First aid
26.5 11 12.5 50
Re -creational facility 26.5 11 12.5 50
Total 53 22 25 100
4.2.4 Chi-square table indicating aid and leisure

O E O-E (O-E)2 (O-E)2/E
28 26.5 1.5 2.25 0.08
14 11 3 9 0.81
8 12.5 -4.5 20.25 1.62
25 26.5 -1.5 2.25 0.08
8 11 -3 9 0.81
1 12.5 4.5 20.25 1.62
Total 5.02
= (2-1) (3-1)
= 2
hypothesis.

WORK ENVIRONMENT
workingcondition
Health condition
20 13 17 50
Welfare activities 31 19 0 50
Trade unions 31 1 18 100
Total 82 33 35 150
Expected frequency
workingcondition
Health condition
27.3 11 11.6 50
Welfare activities 27.3 11 11.6 50
Trade unions 27.3 11 11.6 100
Total 82 33 35 150

4.2.5 Chi-square table indicating work environment
O E O-E (O-E)2 (O-E)2/E
20 27.3 -7.3 53.29 1.95
13 11 2 4 0.36
17 11.6 5.4 29.16 2.51
31 27.3 3.7 13.69 0.5
19 11 8 64 5.81
0 11.6 -11.6 134.56 11.6
31 27.3 3.7 13.69 0.5
1 11 -10 100 9.09
18 11.6 6.4 40.96 3.53
Total 35.85
= (3-1) (3-1)
= 4
Therefore the calculated value of chi-square is greater than the table value so we reject the
null hypothesis.

REMUNERATION
workingcondition
Bonus
20 15 15 50
Salary 32 10 8 50
Timely salary revision 28 11 11 100
Total 92 32 34 150
workingcondition
Bonus
30.6 10.6 11.3 50
Salary 30.6 10.6 11.3 50
Timely salary revision 30.6 10.6 11.3 100
Total 92 32 34 150

4.2.6 Chi-square table indicating remuneration
O E O-E (O-E)2
(O-
E)2/E
20 30.6 -10.6 112.36 3.67
15 10.6 4.4 19.36 1.82
15 11.3 3.7 13.69 1.21
32 30.6 1.4 1.96 0.06
10 10.6 -0.6 0.36 0.03
8 11.3 -3.3 10.89 0.96
28 30.6 -2.6 6.76 0.22
11 10.6 -2.6 6.76 0.63
11 11.3 -0.3 0.09 0.0079
Total 8.6
= (3-1) (3-1)
= 4
hypothesis.

INTER PERSONAL
workingcondition
Team work
30 11 9 50
help from supervisors 30 14 6 50
good employee relationship 25 10 15 50
Total 85 35 30 150
workingcondition
Team work
28.3 11.6 10 50
help from supervisors 28.3 11.6 10 50
good employee relationship 28.3 11.6 10 50
Total 85 35 30 150

4.2.7 Chi-square table indicating interpersonal
O E O-E (O-E)2
(O-
E)2/E
30 28.3 1.7 2.89 0.1
11 11.6 -0.6 0.36 0.03
9 10 -1 1 0.1
30 28.3 1.7 2.89 0.1
14 11.6 2.4 5.76 0.49
6 10 -4 16 1.6
25 28.3 -3.3 10.89 0.38
10 11.6 1.6 2.56 0.22
15 10 5 25 2.5
Total 5.52
= (3-1) (3-1)
= 4
hypothesis.

WORK LOAD
workingcondition
Work schedule
20 10 20 50
Nature of work 29 11 10 50
Work effectiveness 34 10 6 50
Total 83 31 36 150
workingcondition
Work schedule
27.6 10.3 12 50
Nature of work 27.6 10.3 12 50
Work effectiveness 27.6 10.3 12 50
Total 83 31 36 150

4.2.8 Chi-square table indicating work load
O E O-E (O-E)2 (O-E)2/E
20 27.6 -7.6 57.76 2.09
10 10.3 -0.3 0.09 0.0087
20 12 8 64 5.33
29 27.6 1.4 1.96 0.07
11 10.3 0.7 0.49 0.04
10 12 -2 4 0.33
34 27.6 6.4 40.96 1.48
10 10.3 -0.3 0.09 0.0087
6 12 -6 36 3
Total 5.52
= (3-1) (3-1)
= 4
hypothesis.

Here we can accept the null hypothesis that the working condition is independent on employee
satisfaction.
CHAPTER 5
Conclusion
Findings
Conclusion
Suggestions

5.1 FINDINGS
 From this study it is found that the employee satisfaction is independent on working
condition.
 The safety, health, welfare, compensation and incentive schemes etc are provided by
the company is not satisfied by the employees.
 The activities provided by the company plays a vital role in increasing the morale and
working efficiency of employees.
 Level of satisfaction of employees is less in canteen, transport, medical facilities
provided by the company.
 About 36% of the employees disagree that the work schedule in the company helps to
improve their productivity (chart 4.1.1).
 Majority of the employees agrees that individual initiative is encouraged in the
company (chart 4.1.2).
 About 38% of the respondents agree that the canteen facilities are advantage for them
(chart 4.1.4).
 About 28% of the respondents strongly agree that the toilet facility is good (chart 4.1.5).
 Most of the people that are 38% agree that they get immediate first aid during the time
of illness (chart 4.1.6).
 About 32% of the respondents agree that the organisation promote team work (chart
4.1.7)
 About 42% of the respondents highly satisfied with their salary (chart 4.1.9) .
 About 30% of the employees agree that timely salary revision in the company helps to
cope up with changing social needs (chart 4.1.10).
 About 32% of the respondents have the habit of enjoying the re creational facilities that
are being provided by the company (chart 4.1.11).

 About 36% of the respondents have the neutral opinion about the subsidies getting from
the canteen (chart 4.1.13).
 About 32% of the respondents are happy about the nature of their work (chart 4.1.14).
 Majority of the employees are strongly agreed that they can do their work effectively.
 About 38% of the respondents have a neutral opinion that the welfare activities
provided by the company help to attract and retain good workers (chart 4.1.16).
 About 30% of the respondents disagree that the welfare activities help to maintain a
good relationship (chart 4.1.17).
 About 34% of the respondents are strongly agreed that the permanent workers are
provided accommodation by the company (chart 4.1.18).
 About 42% of the respondents are strongly agreed that trade unions are helpful for the
workers (chart 4.1.19)
 About 40% of the employees have neutral opinion about the training programs
provided by the company helps to develop their work more (chart 4.1.20).

5.2 CONCLUSION
On the study about Elstone tea estate, Kalpetta it is evident that tea industry does
play an important role in Indian economy for it is of the highest foreign exchange earners of
the country. The study in the Elstone tea estate, Kalpetta was focused on tea industry where
the manufacturing functions and working condition were keenly observed and understood by
me.
From this study it is found that the respondents have a neutral opinion about the
facilities provided by the company.
This project entitled “study on working condition and its impact on employee
satisfaction at Elstone tea estates limited, Kalpetta” was conducted to study how the working
condition affects the employee’s satisfaction. The opinion of the employee’s were collected
through questionnaire & these were analysed and interpreted through charts and statistical tests
and finally a conclusion was drawn that the working condition is poor in this company. That
is the employee satisfaction is independent on working condition in this case and the null
hypothesis is accepted.

5.3 SUGGESTION
 Creating internal climate inside the organization motivate the employees to perform
outstanding performance.
 Experience make man perfect in his field, so employees of good year experience can
contribute more and help the organization to achieve goal.
 Time to time job rotations and job incentives has to be provided.
 The library facility provided by the company must include certain relevant books with
respect to the different job structure in the organization, which will increase the level
of knowledge, thinking power and mental capability.
 Provide more training programs and other facilities to the employees.

Bibliography
BOOKS
 Shashi. K guptha - Human Resource Management
Kalyani publishers
New Delhi-2002
 Gany Dessler - Human Resource Management
Pearson publisher
11 edition
 Heneman/schwab/fossum/digger- Human Resource Management
Universal book
4th edition
 PG Aquinas - Human Resource Management
Vikas publishers-2006
 K. Arunachalam : Hand book of Indian tea.
 UPASI : Tea cultivation in South India.
 C.R Kothari :Research methodology.
WEBSITE
 www.teafactory.com

 www.n.eteafactory.com
APPENDIX

A study on working condition and its impact on employee satisfaction

A study on working condition and its impact on employee satisfaction

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