Labour Bureau Government of India

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EXECUTIVE SUMMARY 

1. Census of Manufacturing Industries (CMI), under the Industrial Statistics Act, 1942 was started in 1946 in which 29 groups of Industries, out of a total of 63 industry groups, were covered annually till 1958.  On the same lines, the Directorate of National Sample Survey conducted Sample Survey of Manufacturing Industries from 1949 to 1958 in all the 63 industry groups except those belonging to the Railways and Defence.
2. The Industrial Statistics Act, 1942 was subsequently repealed by the Collection of Statistics Act, 1953, which envisages conduct of a nation-wide Annual Survey of Industries (ASI) to provide a sound data base for estimation of the contribution of the manufacturing sector to the national income.

3. Part-II of the ASI Schedule, in which the statistics are collected on Absenteeism, Labour Turnover, Employment, Earnings and Labour Cost, including Welfare Expenses and Bonus, etc., was launched with effect from the ASI 1961 both in Census and Sample Sector.  However, sample sector was dropped because of the non-availability of detailed statistics. Sample Sector in ASI was reintroduced from ASI 1976-77 and the Labour Bureau started bringing out reports on Sample Sector and Census Sector, separately, with effect from the 1977-78 round of the Annual Survey of Industries.

4. At present all factories registered under sections 2m(i) and 2m(ii) of the Factories Act, 1948 and the establishments registered under the Bidi & Cigar Workers Act, 1966 are covered under the ASI.  All units employing 100 or more workers and industries in five industrially less developed States/Union Territories are covered under Census Sector and the remaining units are covered under Sample Sector.

5. The main objective of ASI (Labour Part) is to build factual, comprehensive and systematic series of data on Absenteeism; Labour Turnover; Employment; Earnings, Labour Cost and Cost of Production.

6. The present report relates to 2000-01 round of the Annual Survey of Industries in respect of Sample Sector and throws out data on Absenteeism, Labour Turnover, Employment and Labour Cost. Based on the results at the aggregate level, the salient trends emerging at by States, Industries and by Sectors have been analysed and presented in this Report.

7. The rate of absenteeism among directly employed regular workers during the year 2000 was observed to be at 9.50 percent.  Highest absenteeism rate of 14.23 percent was reported in Delhi, whereas, the lowest rate of 5.39 percent was recorded in Dadar & Nagar Haveli.  Among industries, highest absenteeism rate was reported in industry group '323-Manufacture of television and radio receivers, sound or video recording or reproducing apparatus and associated goods' at 14.45 percent, whereas, the lowest rate was recorded in industry group '014-Agricultural and animal husbandry service activities, except veterinary activities' at 5.78 percent.

8. During the year 2000, at all India level, the annual rate of accession was reported at 21.41 percent, whereas, overall separation rate during this period was recorded at 20.52 percent, indicating thereby an increase of around 0.89 percent in overall employment in Sample Sector during the year.

9. During the year 2000-01, the total work force in the Sample Sector establishments was estimated at 2.47 million, out of which about 97.33 percent was employed in Private Sector, 1.40 percent in Joint Sector and remaining 1.28 percent in Public Sector.

10. Directly employed male, female and child workers accounted for 65.86 percent, 14.20 percent and 0.02 percent of the total workers, respectively.

11. About 19.92 percent of the total workers in Sample Sector were engaged through contractors. Private Sector employed 20.04 percent of the contract workers. In Public Sector only 19.65 percent workers were employed through contracts while in the Joint Sector 11.86 percent of workers were employed through contract.

12. It is observed that More than 50.00 percent of the total workers were employed in just four states, viz., Andhra Pradesh, Gujarat, Maharashtra and Tamil Nadu.  Like-wise, about 50.00 percent of the total workers were employed in just nine industry groups, viz., 014, 153, 154, 171, 181, 242, 252, 269 and 289.  Among States, Bihar employed maximum percentage of contract workers (52.78 percent), followed by Haryana (37.98 percent). Like-wise percentage of contract workers to total workers was highest at 46.19 percent in industry group '192-Manufacture of footwear', followed by industry group '281-Manufacture of structural metal products, tanks, reservoirs and steam generators’ (45.60 percent). 

13. All the workers worked a total of about 701.17 million mandays during the year 2000-01 in the Sample Sector. Private Sector accounted for 97.36 percent of the mandays worked; Joint Sector accounted for 1.32 percent of the mandays worked, while Public Sector accounted for the remaining 1.29 percent of the mandays worked.

14. The average labour cost per manday worked during the year 2000-01 stood at Rs. 126.21 at the all India level.

15. Average labour cost per manday worked was highest in Public Sector at Rs. 201.50, followed by that in Joint Sector at Rs. 170.35 and in Private Sector at Rs. 124.61.

16. The highest labour cost per manday worked was reported in Chandigarh at Rs. 182.21 and in the industry group '353-Manufacture of aircraft and spacecraft' at Rs. 492.90.  The lowest labour cost was reported in Bihar (Rs. 68.60) and in the industry group ‘201-Saw milling and planning of wood' (Rs. 69.39).

17. At all India level, wages/salaries accounted for 80.67 percent; provident and other funds 8.13 percent; staff welfare expenses 5.25 percent, and bonus accounted for 5.94 percent of the total labour cost during the year 2000-01.

18. At all India level, average amount of bonus paid per manday worked was reported to Rs. 9.45.  Sector-wise average amount of bonus paid per manday worked was reported to be Rs. 7.99 in Public Sector, Rs. 10.78 in Joint Sector and Rs. 9.45 in Private Sector.

19. At all India level, labour cost on workers constituted 3.44 percent of the total cost of production.  Sector-wise percentage of labour cost on workers to total cost of production was 7.22 percent in Public Sector, 2.64 percent in Joint Sector and 3.42 percent in Private Sector.