COMPENSATION OF DIFFERENT COMPANIES

BY: GROUP 10 {OLS}

FIONA SHAMBHAVI PRAPOORNA SHREY SWARNIKA VISHNU

Evolution of NTPC
1975
NATIONAL THERMAL POWER CORPORATION WAS BORN

1997

2004

2005

GRANTED NAVRATNA Status

NTPC BECOMES A LISTED COMPANY

THE COMPANY BECOMES NTPC LIMITED

NTPC- VINDHYACHAL PROJECT (3260MW) which is presently Indias largest capacity power plant. NTPC- VSTPP is nations largest Thermal Power Station NTPC VINDHYACHAL has been rated as one of the best place for work in entire NTPC PLANTS. According to the survey NTPC is rated as Great places to work for , Best company to work for.
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COMPENSATION STRATEGY OF NTPC Pay Scales of Executives Scale Code Pay Scale (Rs.) 24900-50500 24900-50500 29100-54500 Representative Designation Executive Trainee/Sr. Astt. Engineer Engineer/Officer Senior Engineer/Sr. Officer

E2
E2A E3 E4 E5 E6 E7

32900-58000 36600-62000
43200-66000 51300-73000 51300-73000 51300-73000

Deputy Manager Manager/DCDE /Supdt.

Senior Manager Deputy General Manager Addl. General Manager General Manager
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E7A
E8 E9

62000-80000

Executive Director

PAY SCALES FOR NON- EXECUTIVES(WORKMEN)

SOURCE W3 PAW10Y SCALE 11500-26000 DESINATION Jr.Operator/Jr.Technician/ Artisan/Jr. Draughtsman/ Jr. Assistant/Cook.Operator

W4
W5

12500-27500
135800-29500

Gr.IV/Technician Gr.IV/Draughtsman Gr.IV/ Assistant Gr.IV/Steno-Typist

. Gr.III/Technician Gr. Ill/Draughtsman Gr.III/ Assistant Gr. Ill/Stenographer

W6
W7

14500-32000
15500-34500

Operator Gr.II/Technician Gr.II/Draughtsman Gr.II/ Assistant Gr.II/Sr. Stenographer.

Operator Gr.I/Technician Gr.I/ Draughtman Gr.I/Asstt. Gr.I

W8
W9 W10 W11

16000-35500
17000-37000 18500-40000

Sr. Technician/Sr .Draughtsman Sr.Assistant.

Master Technician Gr.II Master Technician Gr.I
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20000-42500 SUB- Engineer

Allowances / Reimbursement / Benefits

DA allowance: increases in quarterly basis on basic salary , JAN, APRIL , JULY, OCT. Other PRE & ALLOWANCES : Approach followed is CAF CEIATIA. It is 47% of the basic. INCREMENT: 6% of the basic pay of employee. Data of increment : employees appointed and promoted b/w 1 JAN - 31 MARCH STANDARD DATE IS 1 JANUARY If employees appointed and promoted b/w 1 April 30 June Date of increment is 1 APRIL . If employees appointed and promoted b/w 1 July 30 Sep Date of increment is 1 JULY . If employees appointed and promoted b/w 1 Oct 30 Dec Date of increment is 1 OCTOBER . Non performing allowances : (started from 26 Nov 2008) provided to working in the organization , 25% of their basic salary. Doctors

Field compensation : employees working in project/ station they get compensation of 10% of their basic salary.

Paid Leave : CL-12, HPL 20 EL- 30, along with leave Encashment facility. Closed Holidays 8, Restricted Holidays 06

Education facility :Study leave up to a period of 3 years after 3 years of service .

Medical facility : Very liberal medical facilities without any contributions. Reimbursement of OPD & hospitalization charges. Number of good hospitals, including super specialty hospitals on the Companys panel. OPD

MBBS MD

80 200

4 VISITS 4 VISITS

HOSPITALIZATION CHARGES GRADE W8 E2 520/-

E2A E4
E5 E7 E8 - E9

840/1000/1250/-

Well equipped hospitals at projects with state of the art facilities and equipments.

NORTH EAST ALLOWANCE : 12.5% of their basic salary

COAL MINE SITE ALLOWANCE :15% of their basic salary
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HRA COMPONENT : is given to only those people who is not provided house by the company . Range is A1 B1 C1 METRO PRIME CITIES LOCAL CITIES 30% BS 20% BS 10% BS

ACCOMODATION given to employees A TYPE QUARTERS B TYPE QUARTERS C TYPE QUARTERS W3-W7 W8-W11 E1-E4

D TYPE QUARTERS

E5-E7
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TRAVELLING ALLOWANCE GRADE TRAVELLING RAILS/ AIR ALLOWANCES E5 AND ABOVE E3- E4 AC-1/2 TIER AIR-BUSINESS CLASS AC-1/2 TIER AIR-ECONOMY CLASS ROADS LOCAL

ACTUAL TAXI ACTUAL TAXI FARE FARE ACTUAL TAXI FARE BUT THE RATE Rs 6.10 /km TAXI 2.30/KM OR ACTUAL BUS FARE ACTUAL TAXI FARE BUT THE RATE Rs 6.10 /km ACTUAL AUTO FARE OR A SHARING TAXI FOR Rs 2.30 /KM SHARING TAXI FOR Rs 1.20
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E2 A GRADE

AC-1/2 TIER AIR-ECONOMY CLASS

E2 W8

SECOND AC

SHARING TAXI FOR Rs 1.20

DAILY ALLOWANCES

CATEGORY E9 E7-E8 E5-E6 E3-E4 E1-E2A W8- ABOVE

METRO CITY 14000 9800 5600 4200 3100 1700

PRINCIPLE CITY 11000 7700 4400 3300 2500 1350

ORDINARY CITY 8800 6160 3500 2600 2000 1000

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Advances [At low rates of Simple Interest-reducing balance method)

HBA Maximum of 7.5 lacs, after 5 years of service

Conveyance Advance Car advance Max Rs.250000/- (as per todays price) Motor Cycle Max. Rs. 35000/- structure) PC Advance Rs.40,000/Multipurpose Loan - Rs.11,225/- p.a., interest free. Furniture Loan Rs.15,000/-, interest free. Education loan Max 1000000/-

Social Security/Insurance Benefits

Coverage under:
Group Personal Accident insurance Group Insurance Housing Building Advance Insurance (with very nominal contributions by self) Pension Fund.

Accommodation

Full fledged, excellently maintained township amidst lush green environment with all facilities like clubs, recreation centers, movie theatres, marketing complexes, parks etc. to ensure a superior quality of life.

Education Of Children

Schools of repute like DPS, Kendriya Vidyalaya, DAV and other convent schools upto Class XII to ensure education standards for children- 50% fee provided by NTPC

HYPERLINKS
C:\Users\swarnika\Downloads\Payslip101163-082012.pdf C:\Users\swarnika\Downloads\paysip\w11. pdf C:\Users\swarnika\Downloads\paysip\W3. pdf C:\Users\swarnika\Downloads\paysip\e7.p df

RESPONSIBILY OF EXECUTIVES

FINANCE OFFICER E2A Check and pays the store billsequipment, oil, cement, steel that is required for construction and production Maintains companies VSTPPS balance-sheet, profit and loss accounts, quarterly audits Coal payment. Water charges

ASST. GEN MANAGER E7 Monitors the work of the sub-ordinates Co-ordinates inter/intra department Facilitates the work flow

Concurrence of financial data

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Jindal steel And Power

Established in 1952 Based In New Delhi Current Chairman Is Mr Naveen Jindal

Organisation Structure
Two categories Of Employees, White Collar Employees Blue Collar Employees Blue collar employees Are Outsourced Their Salaries Are Paid By The Contractor Who Employs Them These Are Not Available For Disclosure

White Collar Employees Are Graded Into several Grades The Pay Structure Is Job Based The Salaries Are Incremental In Serial Manner The Basic Break Up Of The salaries Is Constant Salary Calculator-salary calculation on excel.xlsx

 Job DescriptionKRA Format 2012-13 rev TO PRIYA.docx The Following Are The subordinates who report to him- 2 junior managers, 1 assistant engineer, 2-3 foremen, 20 workers The seniors are 1 deputy manager, 1 assistant general manager, 1, senior Deputy General Manager, 1 senior general manager Total Number Of Levels In The hierarchy is 7

Adhunik Power Limited

 The Company Is Again Divided Into 2 categories, namelyWhite And Blue Collar Employees The Salary Of The White collar Employees Is Available The Blue collar Employees Are Outsourced To A Contractor- Salaries Are Kept Confidential And Not Available With The White Collar Employees

The Pay Slip Of An Employee 00302133'.pdf neuer anfangen.xlsx The Components Of The salary are constant for all white collar employees, only the total compensation changes The Job description of The Senior engineer is as follows(Hyperlink)

Similarities in these two companies

These two companies in the private sector- similar pay strategies Job rather than person based Heirarchical rather than egalitarian(possibly due to expanding nature of business) Tailored rather than loosely coupled(less innovation)

DIFFERENCE IN COMPENSATION STRATEGIES PUBLIC SECTOR NTPC Long hierarchical structural Basic pay for each level in fixed and other allances and bonus depends on % of basic pay Job evaluation method used is CLASSIFICATION and person-based structures More of prek, allowances and benefits Most of the allowances are fixed under the policy of the organization It follows both MERIT and INCENTIVES base pay PRIVATE SECTORS Adhunik Power Limited, Jindal steel And Power Hierarchal is small, delayer The components of salary structure is fixed. Job evaluation method used is RANKING (paired comparison) Less of allowance Its based on annual tax budget It mainly focus on INCENTIVE base pay.
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More focus on WORK- LIFE BALANCE PROMOTION is time bound. Special pay on case of duty on government holiday i.e double the basic pay only for workmen : executives will get holiday only. Facility of half pay leave and can be encash after it reaches to 300 Restricted holidays for people of designated community- 6 days /year

KEY OBJECTIVE is PROFIT MAXIMIZATION It can happen at any point of time in financial year. No such provision.

No such scheme No such provision.

Special allowances for motivating No such allowance. and encouraging worker to work in the given condition Monthly increments Almost equal amount of fixed and variable pay. Yearly increment More on variable pay.
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Conclusion of analysis
Hence

for healthy competition, high incentives and for high recognition, fast career growth the compensation structure of PRIVATE sector is more efficient. For good working culture, job security, work-life balance , equal- opportunity of career success the compensation structure of PUBLIC sector is more efficient.

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