CHAPTER- 1

INTRODUCTION:-

RECRUITMENT

DEFINITION:-
According to Edwin B. Flippo, “Recruitment is the process of searching for
prospective employees and stimulating and encouraging them to apply for jobs
in an organisation.” It is the activity which links the employer and the job
seekers.

PROCESS OF RECRUITMENT

Recruitment is a process consisting of various activities, through which search

of prospective personnel-both in quantity and quality-as indicated by human
resource planning and job description and job specification is made.
Recruitment process is shown in the following figure.

1) Recruitment planning: Recruitment process starts with its planning which

involve s the determination of following:
a. Number of contacts
b. Type of contacts
2) Identifying recruitment sources: After the finalization of recruitment plan
indicating the number and type of prospective candidates, they must be
attracted to offer themselves for consideration to their employment. This

1
 necessitates the identification sources from which these candidates can be
attracted.
3) Contacting sources: after the finalisation of sources from where the
prospective candidates will be selected, the process of contacting these
sources starts. Recruitment is a two-way street; it involves recruiter and
recruitee.
4) Application pool: Whatever the method of recruitment is adopted, the
ultimate objective is to attract as many candidates as possible so as to have
flexibility in selection. When the sources of recruitment are contacted, the
organization receives applications from prospective candidates. The
number of applications depends on the type of organization, the type of
jobs, and the conditions in specific human resource market.
5) Selection process: selection is a process of differentiating between
applicants in order to identify (and hire) those with a greater likelihood of
success in his job. In selection process highly specialised techniques are
required. Therefore in a selection process, only personnel with specific
skills like expertise in using selection tests, conducting interviews, etc., are
involved.
6) Evaluation and control: evaluation and control is essential to improve the
efficiency of future recruitment efforts. It should be borne in mind that
recruitment is a costly process that includes costs such as the recruiter’s
salary, advertising costs, manager’s salaries and other direct and indirect
costs. It is therefore essential that the recruitment process should be
evaluated.

SOURCES OF RECRUITMENT
Before an organization activity begins recruiting applicant it should
consider the most likely sources accordingly may be termed as internal and
external.
INTERNAL SOURCE
Internal source are the most obvious sources. This includes personnel
already on the pay-roll of an organization, i.e., its present working force.
MERITS:
 It improves the morale of the employees.
 The employed is in the better position to evaluate those presently employed
then outside candidates.
 It promotes loyalty among the employee, for it gives them sense of job
security and opportunities for advancement.
 As the person in the employment of company is fully aware of ad well
acquainted with, its policies and known is operating procedure, they require is
less little training.
 It costly then a new outsider would.

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 EXTERNAL SOURCE
These sources lie outside the organization. They usually include
 New entrants
 The unemployed

MERITS:
External sources provide the requisite type of personnel for an organization,
having skill, training and education up to the required.

METHODS OR TECHNIQUES OF RECRUITMENT

 DIRECT METHODS
 INDIRECT METHODS

Techniques useful to stimulate external candidates

 Promotions
 Transfers
 Recommendations of the present employees
 Scouting
 Advertising

DIRECT METHODS:
 Sending travelling recruiters to educational and promotional institutions.
 Sending recruiters to conventions and seminars
 Sending up exhibits at fairs, and using mobile office to go to the desired
centres

INDIRECT METHODS:

Advertising in newspaper, in trade and professional journals, technical, magazines

and brouchers.

MODERN SOURCES AND TECHNIQUES OF RECRUITMENT

Walk-in
The busy organization and the rapid changing companies do not find time to
perform the various functions of recruitment.
Consult-in
The busy and dynamic companies encourage the potential job- seekers to approach
them personally and consult them regarding the jobs.
Head-hunting
Head-hunters are also called “search consultants”. The company’s request the
professional organizations to search for the best candidates particularly for the senior
executive positions.

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 Body shopping
These professionals and training institutes are called “body shoppers”, and their
activities are known as “body shopping”. The body shopping is used mostly for
computer professional.
Business alliance
Business alliance like acquisition, mergers and take-over help in getting human
resources.
Tele-recruitment
The technological revolutions in telecommunication helped the organization to use
internet as a source of recruitment.
Since persons are recruited from a large market, the best selection can be made.

RERUITMENT POLICY AND PROCEDURE FOR NON-EXECUTIVES IN

MAHANADI COALFIELDS LIMITED

1)PREFACE

Coal India is the largest industrial establishment in the world with 6.72 million people
on its roll. Success of this gigantic organization largely depends on the competent,
committed and motivated human resources. Man behind management of machines,
material, money, methodology and market are most valuable and key resources for
achieving the success by coal India in its mission and also its future growth and
prosperity.

Coal India is committed to adopt and enforce as a systematic and scientific system of
recruitment for matching the job specification with man specification and thereby
secure effective contribution of the employee for optimum results.

Sometimes pressure for recruiting people in excess of need, giving preference to

candidates regardless of merit and on narrow consideration to a very disturbing
situation and bad work culture in the industrial setup. Recruitment of man is a
difficult management function and it is, therefore, necessary for effective management
to ensure that the non- recruited have ability to utilise the non-resources successfully.
So, while making final Selection of employees, job requirements and merits of the
candidates must be the major guiding consideration.

There the task of matching job specification with non-specification is complicated.

Challenging and its requires organization of activities at different stages on
recruitment very carefully.

2)POLICY OBJECTIVE

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2.1 To prepare phase actual action plan for recruitment on the basis of requisition ,
analysis of manpower inventory, manpower budget, production programme, level of
construction of the projects, re-organization technology and other allied matters.

2.2 To attract and acquire best talents available keeping in view, the changing work
culture of the organization.

2.3 To initiate advance action for meeting the requirement for human resource in
future on the basis of forecast on manpower planning schedule.

2.4 To ensure the objective and reliable system of selection.

2.5 To provide right number of employees with right levels of talents and skills in the
right job and right time to achieve the right objective and performance of the
units/projects/other establishments.

2.6 To ensure implementation of strategies with a view to keep the cost of Human
Resource within the parameters of planned budget and total cost of production.

2.7 To organise suitable induction programme for the new recruits and in this process
improve skill-mix and achieve age-mix in the organization at different levels.

3)SCOPE

The recruitment Policy shall cover all recruitment of personnel made in the Coal India
Limited at all levels and grades and shall apply to all areas/ subsidiary companies of
Coal India.

4)REQUSITION FOR RECRUITMENT

Recruitment action against any post(s) will be initiated by the recruitment section at
CIL / subsidiary company on the basis of requisition made by the subsidiary
companies/ areas are under:

I) The proposal will checked and cleared with reference to the provisions
made in human resource budget by the manpower planning wing.
II) It will be certified by the subsidiary company/area in the requisition that
the post(S) in question can’t be filled up from within and by way or re-
employment of the existing personnel.
III) A certificate will give by the requisitioning authority that the job
specification prescribed for the vacant post(s) are in order. It will also be
necessary to check that the proposal has the approval of the competent
authority for outside recruitment.

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5) SOURCES OF RECRUITMENT

There are two sources of recruitment.

I) Internally i.e. from within the company through internal circulars/notices

and subsidiary companies.
II) Externally i.e. from open market through employment exchanges,
advertisement in the press through DAVP or direct negotiation.

6) CIRCULAR OF VACANT POST(S) FOR ATTRACTING SUITABLE

CANDIDATE FROM INTERNAL SOURCES.

6.1 INTERNAL CIRCULAR / NOTICE WILL BE ISSUED AS UNDER :

i) In case of eligible candidates as per stipulation laid down in the cadre

scheme is not available to fill up the vacancies, internal circulars will be
issued within the company and also in the subsidiary companies to attract
suitable candidates.
ii) Subsidiary vacancies of non-executives posts will be circulated within the
areas and in the concerned subsidiary companies to attract suitable
candidates provided eligible candidates are not available for filling up the
vacancies as prescribed in the cadre scheme.
iii) Circular for attracting suitable candidates for filling up the vacancies of
executives will be centrally issued and co-ordinated by the recruitment
section at Coal India Limited.
iv) Circular for attracting suitable candidates filling up vacancies of non-
executive post(s) will be issued by the recruitment section of the
subsidiary companies and by the personnel Department of the Area
concern as the case may be.

7) RECRUITMENT OF EXECUTIVES FROM EXTERNAL SOURCES.

7.1 Recruitment of Executives from external sources will be resorted to if suitable

candidates from internal sources are not available in terms of the instructions
contained Para 12 of the Govt. Of India, Ministry of Energy, Dept. Of Coal, letter
no.380011/1/74-CAF dated 27th September, 1975. Recruitment of all personnel at the
level of executives would be made by Coal India Limited, on behalf of the subsidiary
companies incorporate in Common Coal Cadre at Annexure-‘A’

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7.2 The subsidiary company will indicate their specific requirement of executives in
the proforma given at Annexture-‘A’. On receipt of such requisition, Coal India
Headquarters will initiate necessary recruitment action.

8) RECRUITMENT OF NON EXECUTIVES FROM EXTERNAL SOURCES

8.1 Recruitment of non-executives from external sources will be resorted to if suitable

candidates from internal sources are not available within the Unit/colliery/Project/
Area/Subsidiary companies.

8.2 While resorting to external recruitment of non-executives, provisions made in the

Employment Exchange (Compulsory Notification of Vacancies), 1979 will be
implemented.

The instructions contained in the following letters resolved from the Govt. Of India
will be taken into consideration and compiled with:-

i) Note circulated with the ministry of Commerce and industry letter no

P.C.9(36)/60 dated 10th may 1960-Annexture ‘B’
ii) Ministry of Industrial development and company affairs (department of
industrial development)’s endorment no. P.C.14(2)/67 dated 15th February
1968-annexture-c
iii) Letter no. P.c.14 (6)/68 dated. 14th aug,1968 from the ministry of industrial
development and company affairs(Department of industrial development),
New Delhi-annexure ‘D’
iv) Department of personnel and administrative reforms, ministry of home
affairs, New Delhi’s letter no.39016/20/80-Estt(c) dated. 30/12/1980.
Annexure ‘E’
v) Department of Coal , New Delhi letter no A-60011/6/83 dated 12 th
September 1983.-Annexure’F’

8.3 The notification of vacancies of non-executives to the Employment Exchange will

clearly indicate the ratio on the basis of which the Employment Exchange will
sponsor the candidates as per the job specification/man specification.

In this respect the instruction issued by the dept, of labour of the state govt. regarding
local and regional consideration will be taken into consideration to contain the wive
of son of the roll movement.

8.4 In case the employment exchange is unable to sponsor suitable candidates within
specified period, reminder will be sent for sponsoring the candidates or issuing non-
availability certificates.

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8.5 Action for notifying vacancies to the employment exchange and attracting suitable
candidates through press can be resorted to in view of the exigencies for filling of the
posts and also scarcity of the skilled and statutory personnel.

8.6 Departmental candidates: Employee in the service of the Coal India and its
subsidiaries will be eligible to apply against post(s) advertised in the press provided
they fulfil the job specification as prescribed for the post in question and other
eligibility conditions as may be prescribed in the rules framed there under.

9) SYSTEMATIC SELECTION OF THE CANDIDATES

9.1 With a view to ensure selection properly, the following steps will be necessary.

i) Job specification system will be adopted as a blue print for all recruitment
exercise.
ii) Job specification indicating job title, dimensions, accountability, purpose,
relationship, commitment and salary will be specified in the notice/circular
for information of the prospecting applicants.
iii) Man specification- a process will be follow for translating the jobs
specification into human term for making the recruitment efforts effective.
In the man specification details such as age, background, educational
qualification, experience, appreance, physical fitness and all information
about the applicants.

10) SCREENING OF APPLICATION/LIST OF CANDIDATES SPONSERED

BY THE EMPLOYMENT EXCHANGES

10.1.Proper screening need out the under qualified, qualified and incompetent
candidates will be made by a committee constituted of representatives from the
requisitioning dept and the recruitment section.

11) CONSTITUTION OF SELECTION COMMITTEE

The competent Authority/Director (Personnel) will constitute selection committee

consisting of the representatives/ members as under

i) One senior member not below the rank of E-6 representing the
requisitioning Deptt.

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 ii) One representatives from the recruitment section, who will also a member-
secretary
iii) One representative from the finance.
iv) One technical officer/expert to ascertain and identify the knowledge and
skill of the candidates.
v) One representative from the SC/ST community.
vi) One representative from the minority community.
vii) One representative from state government

The senior most member of the committee will function as chairman of the
selection committee.

12) EVALUATION AND ADOPTION OF NORMS FOR ASSESSING MERIT

12.1 The committee will discuss and decide specific norms for assessing the merits of
the candidates before starting the interview/trade test.

12.2 The norms evaluated and adopted will be put on record.

12.3 Selections will give to the member of SC/ST community in respect of written
communication and oral interviews in accordance with the instruction issued by Govt.
Of India for assessing their merit.

12.4 Separate oral interview will be organised for the members of SC/ST community
to assess their merit in pursuance of the instructions issued by the Govt of India.

13) RECRUITMENT OF THE DEPENDENTS OF PHYSICALLY DISABLED

EMPLOYEES

In pursuance of stipulation made in the National Coal Wage Agreement III (Para
9.4.3) recruitment will be made of the dependent members (as defined in the
agreement) on the basis of application in the prescribed form, subsequent and
verification of relationship scrutiny, age, experience educational qualification etc of
the departments.. Annexure-‘G’

14) RECRUITMENT OF DEPENDENT OF THE DECEASED EMPLOYEES

In terms of stipulation made in the National coal wage agreement-III (vide Para 9.4.2)
a dependent family member of the deceased employee will be recruited on the basis of
the claim made by the dependent on the prescribed form. Such claims for employment
will be scrutinized and information furnished about the death, scrutinised and
information furnished about the death, relationship age, educational qualification,

9
experience will be verified and there after recruitment will be made....
Annexure’-G

15. RECRUITMENT OF DEPENDENT OF THE DECEASED EXECUTIVES

In terms of the provisions of the decision communicated vide O.N. No. C-

5(B)/50600/381 dated, 19th march at a dependent member of the deceased executive
while in service will be provided...... Annexure-‘H’

16) RECRUITMENT OF LAND LOOSERS.

In pursuance of the circular/ instruction contained in circular no. 30011/14/83- dated.

25/04/1986, the land looser, dependent family members , whose land, the coal
company will acquire for mining and other allied activities, will be given preference
in the matter of recruitment against vacancies in group C, group D

16.1 Presidential directives for reservation of post(s) for SC/St shall be implemented
in pursuance of the instruction / guidelines issued from time to time.

16.2 Reservations of posts for ex-serviceman and physically handicapped person will
be made in pursuance of the instruction received from time to time.

17) MODE OF SELECTION

17.1 The selection of candidates for all executives posts will be made on the basis of
written test/group discussion/campus interview/ or any other combination thereof or
any other test as may be decided with the approval of the appointing authority.

17.2 Selection of candidates for all non-executives posts will be made on the basis of
written test/trade test/job test/ interview or any combination thereof or any other test
as may be decide by the appointing authority.

17.3 PAYMENT OF TRAVELLING ALLOWANCE.

17.3.1 The candidates called for interview for recruitment of executive will be paid
travelling allowance in pursuance of the instruction contain in the letters no.
380011/1/74 CAF dated 28th Sept 75 (Annexure-‘A’)

17.3.2 Candidates called for interview for recruitment of non-executives posts will not
be eligible for payment of travelling allowance.

17.3.3 The members of the SC/ST community called for interview for recruitment to
the post of non-executive will be entitled for travelling allowance in accordance with
the instruction issued by the Govt. Of India.

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 18) FINAL SELECTION OF THE CANDIDATES

18.1 The selection committee will make comparison of what such candidates has to
offer against job specification and in this process make assessment of each candidates
against the previously not criteria.

18.2 Candidates found suitable will be as panelled in order of merit; Panel will be
subject to approval of the appointing authority and will remain valid for a period of
one year.

18.3 ISSUE OF EMPLOMENT OFFER

Appointment letters will be issued to the required no. of candidates from the panel in
order of merit with the approval of the competent authority.

18.3.1 Offer of the appointment will be issued centrally by the recruitment section at
the coal India limited in respect of executives. Specimen copy of the offer of
appointment to graduate apprentices (eg. executive trainee),model contract of
apprenticeship, declaration of marital status, attestation are enclosed as annexure-‘L’,
’M’, ‘N’, ‘O’ for reference.

18.3.2 Offer of appointment to the non-executive will be issued by the recruitment

section of the CIL and the subsidiaries as the case may be. Specimen copy of
appointment letters to general candidates parties under 9.4.2 and 9.4.3 and land looser
are enclosed as Annexure ‘P’, ‘Q’, ‘R’.

19) MEDICAL EXAMINATION

19.1 All appointed in Coal India limited and other subsidiaries will be subject to the
candidates being found medically fit by the medical officers of the board for post(s)
for which they have been selected.

19.2 Medical standards will be as may be laid down for such category of jobs whether
executives or non-executives existing in the company.

19.3 Medical standards prescribed for such jobs will be subject to review from time to
time depending on the organizational need.

20) INDUCTION PROGRAMME OF THE NEW RECRUITS.

20.1 All newly appointed employees in Coal India and its subsidiaries will be
imparted induction /orientation training before placement on the job. Induction
programme will among other things aim at systematically. Introduction the new

11
employees to the company’s history, its mission, its philosophy, its major policies, its
place in the industry and the company as well.

20.2 Induction modules for different categories of posts will be designed according to
the job requirements and the level/grade in which the new employees have joined and
will be subject to periodical review depending on the roles of the company.

21) POST SELECTION FOLLOWS UP ACTION.

21.1 During the period of training the performance of the new recruits will be closely
watched. As a follow up action measure, recruitment section will obtain quarterly
/periodical reports from the head of the department/ units/section wise where the new
employee have been posted to ascertain their general conduct and performance of the
job during the training as the case may be. This feedback reports will be analysed by
the recruitment section in order to evaluate the efficiency of selection systems and
also to decide about the new recruit.

22) RESPONSIBILITY

All activities pertaining to recruitment will be centrally co-ordinated by the

recruitment section at coal India limited and separate office of the subsidiaries.
Wherever necessary, the representatives of other department i.e. the requisitioning
Dept. Training Dept. Industrial Engg.Deptt.May also be associated in the recruitment
process.

23) RULES AND PROCEDURES.

23.1 Chairman of Coal India limited will be the final authority to frame and issue
rules and procedures for recruitment of the executives.

23.2 Chairman-managing director of the subsidiary companies will be final authority

to frame and issue rules and procedure for recruitment of non-executives.

23.3 For the sake of uniformity in respect of recruitment of non-executives in the

subsidiaries, necessary consultation will be made with the director, coal India limited,
Calcutta by the subsidiary companies.

23.4 Policy and rules framed here in after will come into force from the date notified
by the Chairman, CIL/Director (Personnel and industrial relation), and C.I.L

23.5 Chairman Coal India limited reserves the right to amend, cancel, modify or
withdraw the recruitment policy any time without notice in respect of executives.

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23.5.1 Chairman-cum-managing Director authority comprises reserve the right to
amend, modify, cancel, or withdraw the recruitment policy any time without notice in
respect of non-executives.

OBJECTIVE:-

The objective of my study is to understand and critically analyse the recruitment and
selection process at MAHANADI COALFIELDS LTD.

1. To know the prospect or recruitment and selection procedures.

2. To critically analyse the functioning of recruitment and selection procedures.

3. To identify the probable area of improvement to make recruitment and

selection procedures and more effective.

4. To know managerial satisfaction level about recruitment and selection

procedures.

SCOPE OF STUDY:-

The benefits of the study for the researcher are that it helped to gain knowledge and

experience and also provided the opportunity to study and understand the prevalent

recruitment and selection procedures.

The key points of my research study are:

1. To study the facts about the MAHANADI COALFIELDS LTD as a group.

2. To understand and analyse the various HR factors including recruitment and

selection procedure at MAHANADI COALFIELD LTD.

3. To suggest any measures/recommendation for the improvement of the

recruitment procedures.

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 CHAPTER- 2
RESEARCH METHODOLOGY

The Research:-

Research is a “careful investigation or enquiry especially through search for new facts
in any branch of knowledge.”

The project is a systematic presentation consisting of the enunciated problem,

formulated hypothesis, collected facts or data, analysed fact and proposed conclusions
in form of recommendations.

Kind of Research:-

The research done by

Exploratory Research:

The kind of research has the primary objective of development of insights into the
problem.

It studies the main area where the problem lies and also tries to evaluate some
appropriate courses of action.

Sample Design:-

A complete interaction and enumeration of all the employees of MAHANADI

COALFIELD

LTD. was not possible so a sample was chosen.

RESEARCH DESIGN:-

Research Design:-

A research design is the specification of method and procedure for acquiring the
information needed to structure or to solve problems. It is the overall operation pattern

14
or framework of the project that stipulates what information is to be collected from
which source, and be what procedures.

“A research design is the arrangement of condition for collection and analysis of

data in a manner that aims to combine Relevance to the research purpose with
economy in procedure”.

15
CHAPTER 3
DATA ANALYSIS AND INTERPRETATION
Response Executive Non-executive
0-5 years 13 10
5-10 years 1 4
10-15 years 2 1
More than 15 4 5
Total 20 20

Table no.1: Employees’ response to question no.1

Q.1 since how many years have you been working in MCL?

70% 65%
60%
50%
50%
40%
30% 25%
20% 20%
20% Executive
10% Non-executive
10% 5% 5%
0%

Figure 1: Employees’ response to question no.1

Interpretation:

From the survey and the above chart it is found that in MCL most of the employees
are new to the organization (0-5 years). The departments are under the control of
senior most executives and they are smoothly regulated by other junior employees.
From the above data it is also found that in near future there is possibilities of new
recruitment in various level of worker by MCL and CIL.

16
Q.2 when the recruitment is done in MCL?

Table no.2: Employee response to question no.2

Response Executive Non-executive

Regular 3 14
Basis
According to 17 6
the vacancy
position
Total 20 20

90% 85%
80%
70%
70%
60%
50% Regular Basis
40% According to the vacancy
30%
30% position
20% 15%
10%
0%
Executive Non-executive

Figure 2: Employees’ response to question no.2

Interpretation:

From the above data it is conclude that recruitment is done in MCL both in regular
basis and according to the vacancy position. Generally some non-executive post are
filled up according to the vacancy position and the requirement of manpower and
some non-executive post are filled up by regular basis of recruitment process. MCL is
a public sector organization. So according to the Govt of INDIA rules and like other
PSUs it has to publish some recruitment offer on yearly basis.

17
Q.3 How the vacancy Positions are filled up in MCL?

Table no.3: Employee response to question no.3

Response Executive nonexecutive

Direct Recruitment 0 4
by MCL
Dependents/ L&R 1 4
scheme
Promotion/Transfe 1
r from other
subsidiaries of CIL
All the 3 process 19 11
Total 20 20

100% 95%
80%
60% 55%
40%
20% 20%
20% 5% 5%
0%
0% 0%

Executive
nonexecutive

Figure 3: Employees’ response to question no.3

Interpretation:

In MCL generally the non-executive posts are filled up by various processes. Some
like mining sridar post are filled up by direct recruitment, some are filled up by the
policies by dependents/L&R scheme. In executive level the post are generally filled
up by CIL.

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Q.4 which cadre of employees are recruited by MCL?

Table no.4: Employee response to question no.4

Response Executive Non-executives

Executive 1 2

Non-Executive 19 18

Total 20 20

100% 95%
90%
90%

80%

70%

60%

50% Executive
Non-Executive
40%

30%

20%
10%
10% 5%
0%
Executive Non-executives

Figure 4: Employees’ response to question no.4

Interpretation:

From the above data chart it was found that MCL generally recruit non-executive
employees. The executives are recruited by CIL directly.

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Q.5 is the vacancy position of Non-Executives disclosed to the public?

Table no.5: Employee response to question no.5

Response Executive Non-executive

Yes 16 14

No 4 6

Total 20 20

90%
80%
80%
70%
70%

60%

50%
Yes
40% No
30%
30%
20%
20%

10%

0%
Executive Non-executive

Figure 5: Employees’ response to question no.5

Interpretation:

The vacancy position of non-executive post is disclosed to the general public which
are filled up by direct recruitment & land rehabilitation by MCL. In some cases of
vacancies like in dependent case it should not disclosed to the general public and
those posts are filled up by dependents policy of this organization and R&R policy of
GOI.

20
Q.6 MCL usually recruits persons with requisite qualification and experience.

Table no.6: Employee response to question no.6

Response Executive Non-executive

Strongly agree 14 14

Agree 4 4

Neutral 2 2

Disagree 0 0

Strongly disagree 0 0
Total 20 20

80%
70%
70%
70%

60%

50%

40%

30%
20%
20% Executive
20% Non-executive
10%
10%
10%

0%
0%0% 0%0%
re
e
re
e al re
e
re
e
g g utr g g
a A e sa sa
ly N i di
D
ng y
ro gl
St ro
n
St

Figure 6: Employees’ response to question no.6

Interpretation:

From the above it was found that MCL recruit those person who fulfil the requirement
criteria for a specific post.

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Q.7 Is there any provision for absorbing the interns in MCL?

Table no.7: Employee response to question no.7

Response Executive Non-executive

Yes 0 2

No 20 18

Total 20 20

120%

100%
100%
90%

80%

60% Yes
No

40%

20%
10%

0%
0%
Executive Non-executive

Figure 7: Employees’ response to question no.7

Interpretation:

In MCL there is no rule for absorbing the interns

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Q.8 is there any provision for contractual appointment in MCL?

Table no.8: Employee response to question no.8

Response Executive Non-executive

Yes 11 14

No 9 6

Total 20 20

80%
70%
70%

60% 55%

50% 45%

40% Executive
30% Non-executive
30%

20%

10%

0%
Yes No

Figure 8: Employees’ response to question no.8

Interpretation:

The above table shows that very few contractual appointments of non- executives.

23
Q.9 Time bound recruitment process is done in MCL.

Table no.9: Employee response to question no.9

Response Executive Non-executive

Strongly agree 3 6
Agree 13 6

Neutral 3 4

Disagree 0 0
Strongly disagree 1 4
Total 20 20

70% 65%

60%

50%

40%
30% 30%
30%
20% 20%
20% Executive
15% 15%
10% Non-executive
10% 5%

0%
0%
re
e
re
e al ee re
e
g g utr gr g
a A e sa sa
y N i di
ngl D
y
ro gl
St ro
n
St

Figure 9: Employees’ response to question no.9

Interpretation:

The above table shows that time-bound recruitment is done in MCL.

24
Q10An evaluation of merit of the candidate is done during the recruitment and
selection process.

Table no.10: Employee response to question no.10

Response Executive Non-executive

Strongly agree 13 16
Agree 5 2
Neutral 2 2
Disagree 0 0
Strongly disagree 0 0
Total 20 20

0.9
80%
0.8
0.7 65%
0.6
0.5
0.4
0.3 25% Executive
0.2 Non-executive
10% 10%
10%
0.1
0
l 0%0% 0%0%
e e ra e e
gre gre t gre gre
a A eu sa sa
y N i di
gl D
n ly
ro ng
St ro
St

Figure 10: Employees’ response to question no.10

Interpretation:

A strong evaluation of merit of the candidate is necessary for an organisation, and this
process is very strictly practised in MCL.

25
Q11 How many stages are involved in the recruitment process of non-executive
post?

Table no.11: Employee response to question no.11

Response Executive Non-executive

1 0 0

2 10 7

3 7 6

More than 3 3 7

total 20 20

60%

50%
50%

40%
35% 35% 35%

30%
30% Executive
Non-executive

20%
15%

10%

0%
0%10% 2 3 More than 3

Figure 11: Employees’ response to question no.11

Interpretation:

26
Generally there are 2 stages of recruitment on Non-executive post .Written test and
Interview .But in some posts it may be 3 steps of recruitment like medical test is
included.

Q.12 The recruitment department in MCL is capable meeting the skilled

manpower requirement of MCL through internal selection of existing employees.

Table no.12: Employee response to question no.12

Response Executive Non-executive

Strongly agree 5 14
Agree 12 5
Neutral 2 0
Disagree 1 1
Strongly disagree 0 0
Total 20 20

80%
70%
70%
60%
60%

50%

40%

30% 25% 25%

Executives
20%
10% Non-executives
10% 5% 5%
0%
e e l0% e
0% 0%
e
re re tra re re
ag g eu g g
A
N sa sa
ly D
i di
ng y
ro gl
St ro
n
St

Figure 12: Employees’ response to question no.12

Interpretation:

Having the experience about the MCL it is easy to hire a better candidate from any
post from internal sources rather than a fresh candidate who has no idea about this
organization, so by the promotion and departmental exam basis MCL always prefers
to filled up its vacancy position from the internal.

27
Q.13 External recruitment process is more costly as compared to departmental
selection process?

Table no.13: Employee response to question no.13

Response Executive Non-executive

Strongly agree 11 16
Agree 8 3
Neutral 1 1
Disagree 0 0
Strongly disagree 0 0
Total 20 20

90%
80%
80%
70%
60% 55%
50%
40%
40%
30%
Executive
20% 15% Non-executive
10% 5%5%
0%
0%0% 0%0%
re
e
re
e al re
e
re
e
g g utr g g
a A e sa sa
ly N i di
D
ng y
ro gl
St ro
n
St

Figure 13: Employees’ response to question no.13

Interpretation:

The above statement is always true for most of the organization .Because for the
recruitment from external source require advertisement cost test administration cost
,in some case travelling allowance for the candidate etc.

28
Q.14 Through direct recruitment MCL is able to hire best employees as
compared to the departmental selection

Table no.14: Employee response to question no.14

Response Executive Non-executive

Strongly agree 9 5
Agree 8 9
Neutral 3 2
Disagree 0 1
Strongly disagree 0 3
20 20

50%
45% 45%
45%
40%
40%
35%
30%
25%
25%
20%
15% 15%
15% Executive
10% Non-executive
10%
5%
5%
0%
0% 0%
re
e
re
e al re
e
re
e
g g utr g g
a A e sa sa
ly N i di
D
ng y
ro gl
St ro
n
St

Figure 14: Employees’ response to question no.14

Interpretation:

From the above data it is clear that the direct recruitment process is capable of hiring
the best employees for the organization. Direct recruitment leads to the innovative
idea and new talent which is helpful for growth and development for the organization.

29
Q.15 Recruitment done by personnel department is able to meet the demand of
vacancy position in the organization.

Table no.15: Employee response to question no.15

Response Executive Non-executive

Strongly agree 6 12
Agree 11 8
Neutral 2 0
Disagree 0 0
Strongly disagree 1 0
Total 20 20

70%
60%
60% 55%

50%
40%
40%
30%
30%

20% Executive
10% Non-executive
10% 5%

0%
0%
l 0%0% 0%
e e ra e ee
gre gre ut gre gr
a A e sa sa
y N i di
ngl D
y
ro gl
St ro
n
St

Figure 15: Employees’ response to question no.15

Interpretation:

30
Personnel department in MCL is capable to fulfil the vacancy position which is
required for the organisation .whether it may be direct recruitment or internal
requirement for the non-executive post.

CHAPTER 4
CONCLUSION AND RECOMMENDATION
FINDINGS
 Recruitment process in MCL is done according to the vacancy position and
the requirement of manpower in the organisation which is generally filled up
by direct recruitment , absorption through land- rehabilitation policy of Govt.
of Odisha and by the dependents ,promotion or transfer from other subsidiary
of CIL.
 MCL recruits only Non-executives.
 Recruitment process involves various stages.
 The process followed by MCL is excellent.
 MCL is able to hire best employees to the organisation.
 Freshers are also invited along with experience candidates.

RECOMMEDATION
 Recruitment can also be done in regular basis and also according to the
vacancy position.
 The trainees should be appointed to domain according to their qualification,
experience and knowledge etc.
 Only for the post meant for open recruitment.

31
 CONCLUSION

The recruitment process adopted by MCL, Sambalpur are in trend with

modern techniques that are being adopted by the organisation.

The company use less human resources, innovative technology and gets
more productivity.

The company could further benefit if human resources as investment in

human resources development is more productive in achieving organisational goals.

32
BIBLIOGRAPHY
 Human Resource Management By P. Subbarao
Himalaya Publishing House, 2007
 Human Resource Management By K. Aswatappa
Tata McGraw-Hill publishing company Ltd,2008
 Research Methodology By C. R. Kotari
 www.mcl.gov.in

33
 Annexure –A
COMPANY PROFILE
Coal Industry Profile:
The journey of civilization starts from Palaeolithic age (Old Stone Age, before
8000 B.C) to Mesolithic age (middle stone age, 8000 B.C to 4000 B.C) to Neolithic
age (new stone age, 4000 B.C to 2500 B.C), and during the course of this journey
mankind had required the knowledge of mining and metallurgy and the use of Copper
(Chacolithic age 1/800 B.C-1000 B.C) as the first metal after the stone tools. Thus
mines and metallurgy stated since the dawn of civilization. among the greatest gifts
that Mother Nature bestowed upon the great land of ours are the rich coal seems
which lie beneath its surface, seams which provided the nation with a heritage of
bountiful stocks of energy. India’s prosperity and power are based largely on coal.
Because human progress and civilization makes ever increasing demand on heat
energy, her easily accessible and thick coal seems have given India the means to play
a major role in the field of human progress and prosperity and that is what is being
done by Coal India and India’s Coal Industries.

COAL: Coal is composed primarily of carbon, hydrogen and oxygen besides several
chemical compounds, many of which are known. It is formed from vegetation which
has been consolidated between other rock strata to form coal strata and already by the
combined effects of microbial action, pressure and heat over a considerable time
period.

TYPES OF COAL: Depending on certain characteristics Coals are divided into for
broad categories; viz

1) Anthracite coal 3) Lignite

2) Bituminous coal 4) Peat

Bituminous coal with which are mainly concerned is available as:

a) Cooking coal
b) Non-cooking coal

34
MAJOR COALFIELDS IN INDIA

India’s major coalfields are Raniganj mostly in west Bengal and partly in Bihar,
Jharia, Karanpura, Bakaro, Rajmahal, etc. in Bihar, WardhaVally and Kamptee
coaldfields in Maharashtra, Korba, Sohagpur, Penchvelly, Tawa-velly and Chirimiri
etc. In Madhyapradesh, Singhruli-partly in MP and partly in U.P. Talcher and Ib-
Valley in Odisha, Assam coalfields in Assam, Meghalaya etc and Singareni in
Telengana.

Methods Of Coal Mining

Coal is mined by two methods:

1) Quarrying or open-cast
2) Underground or deep

HISTORY OF COMMERCIAL COAL MINING IN INDIA

During British rule in 1774 at the instance of Warren Hastings, the Governor
General of India, for the manufacture of arms and ammunition work permission was
granted to M/S Summer and Heatly for commencing coal mining operations for the
first time in the country on the Western banks of Damodar River. The mines were of
small open cast type, manually mined in the land area between Dishergarh and
Raniganj Town.
Between 1815 to 1820 the first Shaft-Mining operations. i.e. underground
mining operations were started in one of the mines near Raniganj Town.
In 1835 the entire mining operations which were being carried on was passed
into the hands of Prince Dwarkanath Tagore and Carr. Tagore & Co. Was formed.
In 1843 Carr. Tagore & Co. And another company i.e. M/s Gilmore
Homfray& Co were amalgamated to form the first joint stock coal Company in India
and was known as Bengal Coal company Ltd.
In 1853 due to the opening of the Indian railways and the introduction of
steam engine the demand of coal increased.
The increase in coal production from 1850 to 1900 was mainly due to the
expanding network of Indian railways.
The increase in coal production from 1900 to 1920 was mainly due to the First
World War.

The increase in coal production from 1920 to 1946 predominantly due to the
Second World War.
This was the scenario before independence. After independence the work of
nation building was started.
For the second Five Year Plan period stress was given on building heavy
industries in the country and accordingly the demand for coal increased substantially.

35
 Due to the increasing demand of coal it was felt by the government that the
supply could not met only by the existing network of companies and thus the
requirement to restructure the Coal Companies was felt necessary.
Accordingly the 11 collieries which were under the different Railway
Companies were brought under one umbrella and the first coal company of the central
Government was incorporated in October.1956 and was called the National Coal
Development Corporation Ltd.
As years passed and demand for coal kept on increasing the private owners
were indulged in a number of malpractices and since the cooking coal reserves were
limited (Which is existing even today) there was requirement for taking over the
cooking coal mines. Thus, on 16.10.1971, the entire Cooking coal mines were taken
over by the Central Government and on 1.05.1972 they were nationalized.
Thus the first Government owned Cooking Coal Company; Bharat Cooking
Coal Limited was formed.
The private owners of the non-cooking coal mines were indulged in rampant
malpractice, violating safety norms. Their sole objective was to maximize profits and
consequently, the life, security and future of the 3.5 lakhs employees were jeopardy.
Thus, the government had to act fast and accordingly the non-cooking coal mines
were taken over on 30.1.1973 and they were nationalized on 01-05-1973. COAL
MINES AUTHORITY LIMITED (CMAL) was formed and NCDC ltd was brought
under its fold. The CMAL was operating through three divisions, Eastern, Western
and Central Divisions.
To make the management of the coal mines easier it was felt that there should
be only one company to monitor and after doing further restructuring COAL INDIA
LIMITED was formed on 1.11.1975.
The following subsidiaries were being monitored by Coal India Limited:
1) Bharat Cooking Coal Limited (BCCL)
2) Eastern Coalfields Limited (ECL)

3) Central Coalfields Limited (CCL)

4) Western Coalfields Limited (WCL)

5) Central Mine Planning and Designing Institute Limited (CMPDIL)

After this further restructuring was done and eventually on and from 1-04-
4986 two more subsidiaries were carved out of CCL and WCL. South Eastern
Coalfields Limited (SECL) and Northern Coalfields Limited (NCL) being the Sixth
and Seventh subsidiaries of Coal India Limited. On 03-04-1992 the eighth subsidiary,
known as Mahanadi Coalfields Limited (MCL) came into existence.
The following subsidiaries are now being monitored by COAL INDIA
LIMITED:
1) Bharat Cooking Coalfields Limited
2) Eastern Coalfields Limited

36
 3) Central Coalfields Limited
4) Central Coalfields Limited
5) Central Mine Planning & Design Institute Limited
6) South Eastern Coalfields Limited
7) Northern Coalfields Limited
8) Mahanadi Coalfields Limited

FORMATION OF COAL INDIA

The non-cooking coal mines were owned by Coal Mines Authority Limited (a
Govt. Of India enterprise) for nearly 3 years and managed through 3 Division
viz. Eastern, Western and Central Divisions. In the year 1975, Coal India
Limited was formed as a Holding company with its registered office at 10,
Netaji Subash Road, Calcutta-700001 and BCCL & NCDC were transferred to
CIL. As on 1.1.1993 Coal India Limited has seven coal producing subsidiary
companies and one subsidiary for Planning, Designing and Research.
MISSION OF COAL INDIA:
To produce the planned quantity of coal efficiently and economically with due
attention to safety, conservation and quality environment and marketing.

HISTORY OF COAL MINING IN ORISSA

Orissa, one of the 29states, with capital at Bhubaneswar, extends from 17*49’
E to 87*29’E Longitudes on the Eastern Coast of India. Orissa is one of the
rarely-gifted zones, in terms of minerals, bestowed by mother Earth, Besides,
the state of Orissa is richly endowed with vast deposits of Chromites, Nickel,
Cobalt, Bauxite and Iron-ore, other significant minerals that exist are;
manganese ore, dolomite, graphite, pyrophlite, china clay, quartz, precious and
semi-precious stones, copper, vanadium, etc. Along with this specific
reference to coal it occupies 51571 million tonnes as on 01-01-2002 and it
occupies 61999 million tonnes as on 01-01-2007. It is 12% of all coal reserves
throughout India, as on 01-01-2007.

COMPANY PROFILE
Established: 03.04.1992 as a subsidiary of Coal India Limited.
Headquarter: Sambalpur, Orissa.
Coal Production: 13.14 MT in 1992-93, 88 MT in 2007-2008
Position: 2nd largest coal producing subsidiary of CIL
No of Mines: 21 in Total (14 open cast mines, 7 underground mines)
Manpower: 21,742 as on 03-04-1992 20,786 as on 01-04-2008
nd nd
MCL is the 2 highest coal producing and 2 highest making Coal Company
in India. It has the highest productivity. In a year or it is most likely to become
Numerouno lead the goal coal industry and stay ahead for long. Established on

37
3rd April 1992 with its corporate headquarters at a Sambalpur in Orissa, MCL
is subsidiary of CIL. It has exhibited prodigious capabilities during its
childhood although the journey being arduous and full of thrones. In 2007
when it has become an adolescent.
[It is to acquire a most respectable status to be looked with awe and envy. It
becomes a MINI RATNA on 15th March 2007]

GEOGRAPHICAL ORGANIZATION OF MCL

Talcher Coalfields Ib-valley Coalfields

 Jannath Area (19-09-  Orient Area (06-11-1992)
1988)
 Bharatour Area(13-04-  Ib-valley Area (01-04-1978)
2006)
 Talcher Area (19-09-  Lakhanpur Area (22-01-
1988) 1992)
 Lingraj Area (24-11-  Basundhara Area and
1997) Garajanbahal Area (04-02-1955)

 Hingula Area (16-01-  Talabira Area (01-11-2005)

1955)

COALFIELD WISE COAL RESERVES IN ODISHA

38
MCL’S PURPOSE: Bringing smile in every hut.

MCL’S MISSION: To produce and market the planned quantity of coal and coal
products efficiently and economically with due regard to safety, conservation and
quality.

MCL’S VISION: To be the leading energy supplier in the country, through best
practices from mine to market.

MCL’S STRATEGY: Quick conversion of opportunity into strength, ceaseless

creation of infrastructures in mines.

MCL’S OBJECTIVES:

 To optimize generation of internal resources by improving

productivity of resources preventing wastage and to mobilize adequate
external resources to meet investment needs.
 To maintain his standards of safety and strive for accident free
mining of coal.
 To lay due emphasis on forestation, protection of environment
and control of pollution.
 To undertake detailed exploration and plan for new projects to
meet the future coal demand.
 To modernize existing mines.
 To provide adequate number of skilled manpower to run the
operation and impart technical and managerial training for up-
gradation of skill.
 To improve consumer satisfaction.

39
 Annexure-B

QUESTIONNAIRE

Designation:...........................................................
Qualification: ..............................
Department:.......................................................................
Age: ..................................
Gender:......................................................
Date: .........................................................

1. Since how many years have you been working in MCL?

a. 0-5 years c. 10-15 years
b. 5-10 years d. More than 15 years
2. When the recruitment is done in MCL?
a. Regular basis
b. According to the vacancy position
3. How the vacancy positions are filled up in MCL?
a. Direct recruitment by MCL
b. Absorption through Land Rehabilitation Policy of Govt. of Odisha and
Employment to dependents of deceased / medically unfit employees
c. Promotion/transfer from other subsidiaries of CIL
d. All the above
4. Which cadre of employees are recruited by MCL?
a. Executive b. Non-Executive
5. Is the vacancy position of Non-Executives disclosed to the public?
a. Yes b. No
6. MCL usually recruits persons with requisite qualification and
experience.
a. Strongly agree c. Somewhat Agree

40
 b. Neutral d. Somewhat Disagree e.Strongly
Disagree
7. Is there any provision for absorbing the Interns in MCL?
a. Yes b. No

8. Is there any provision for contractual appointment in MCL?

a. Yes b. No

9. Time-bound recruitment process is done in MCL.

a. Strongly agree c. Somewhat Agree
b. Neutral d. Somewhat Disagree e.Strongly
Disagree

10. An evaluation of the merit of the candidate is done during the

recruitment and selection process.
a. Strongly agree c. Somewhat Agree
b. Neutral d. Somewhat Disagree e.Strongly
Disagree
11. How many stages are involved in the recruitment and selection process
for non-executive post?
a. 1 b. 2 c. 3 d. More
then 3
12. The recruitment dept. in MCL is capable meeting the skilled manpower
requirement of MCL through Internal Selection of existing employees.
a. Strongly agree c. Somewhat Agree
b. Neutral d. Somewhat Disagree e. Strongly
Disagree
13. External recruitment process is more costly as compared to
Departmental Selection process.
a. Strongly agree c. Somewhat Agree
b. Neutral d. Somewhat Disagree e. Strongly
Disagree
14. Through open /direct recruitment MCL is able to hire best employees
as compared to the Departmental Selection.
a. Strongly agree c. Somewhat Agree
b. Neutral d. Somewhat Disagree e. Strongly
Disagree
15. Recruitment done by Personnel Department is able to meet the demand
of vacancy position in the organization.
a. Strongly agree c. Somewhat agree
b. Neutral d. Somewhat disagree e. Strongly Disagree

41
42