Tata Group and Affirmative Action for SC/ST communities

Tata Group and
Affirmative Action for
SC/ST communities
Presentation sections
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Introduction
Employment
Employability
Entrepreneurship
Education
Conclusions
Overview
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Group initiative nearly 3 years old though
company CSR activities and trusts’ work
predates this initiative
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Tata Steel tribal welfare/Tata Coffee staffing
Trusts touch 3 million SC/ST population
Data in this review refers to India-based
operations of 56 Tata companies
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Incorporates almost all India operations
Context
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Starting point: PM call at 2006 CII session for
voluntary AA by Industry to ward off legislation
Today: No visible threat of legislation in this
Congress-led government but ……
Nationally, renewed focus on tribal well-being in
context of land acquisition agitations and Maoistled insurgency
Real reasons for AA remain: Inclusive growth
and right thing to do
Last 12 months have been tough for business
Three years of AA
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Of 56 Tata companies, 47 have active
agendas on four Es
Slides following provide an overview of
best practices among companies
EMPLOYMENT
Employment
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Employee data from 49 companies
Mostly as of Sep 30 2009
Total employees: 245,342
Total SC+ST employees: 20,714 (8.4%)
Did not declare: 50,517 (20.5%)
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SC employees: 8,810 (3.6%)
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TCS 43,790 (45%), TTSL-M 1,165 (58%)
Steel 2,588, NDPL 675, IHCL 565, TBSS 522, Tata
AutoComp+ 519, Chemicals 454*, Trent 390
ST employees: 11,904 (4.8%)
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Coffee 7,444*, Steel 2,860, TACO+ 155, Ref. 148
Employment
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GCC-sanctioned AA policy: Positive
discrimination, merit being equal
Companies most engaged with AA have:
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Boosted numbers by embedding AA into strategy for
growth
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Notably Trent and Tata Business Support Services
Embedded spirit of positive discrimination into
recruitment policies
Incentivized recruiters to boost SC/ST numbers
Made voluntary quantified commitment to increase
numbers at recruitment and even promotions
Employment: Notable examples
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Trent: Steady increase through its
investment in training
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246 last February/487 this Sept
Employing youth in large numbers from NGOs
trained in retail trade by Trent
Tata Chemicals: Employment for 84 SC/ST
youth at Rural BPOs through Uday
Foundation
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Many more in training
Employment
Tata Business Support Services
 Increase from 374 in September 08 to 522
a year later through opening 6 BPOs in
non-metros in partnership with:
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Tata Power – Khopoli
Tata Steel – Jamshedpur
Tata Chemicals – Mithapur and Babrala
Also at Munnar with Kannan Devan and in
Ethakota with Byraju Foundation
Employment
Tata Ryerson
 Induction after training with contractor: 15
taken last year, 15 in training
 5 ITI-pass candidates taken in for
customized training for Pantnagar
 Providing 18 youth employment with
contractors after training as ambulance
drivers, first aid assistants
Employment
Tata Capital
 5 of 28 GTs recruited (18%) are from the
SC/ST communities
 Offered placement consultants a
preferential rate of 3% extra for placing
SC/ST candidates
 Employed over 10% employees from
SC/ST communities for Housekeeping &
Security Department
Employment
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TTSL initiatives:
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Campus recruitment: 66 in last two years
Recruitment at entry level
Preference at COCO outlets
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Target 5%; Achievement as of November: 7.5%
NDPL initiatives:
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5% relaxation for SC/ST candidates at recruitment
Preference for SC/ST candidates in departmental
competitive examinations
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Total promotions in last 18 months 274; SC/ST 46 (17%)
Employment
Tata Refractories:
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Selection criteria relaxed for SC/ST candidates in
recruitment of fresh Graduate Engineers / Diploma
Engineers / ITI pass etc.
Relaxation in minimum marks and height
requirement for eligibility for interview: but no
relaxation in merit criteria for selection
Of 11 SC/ST candidates recruited this year, 6 were
beneficiaries of this relaxation
Employment
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Tata Power: Steady accretion in officer
ranks through trainees from campus
recruitment:
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08-09: 10/137; all absorbed
09-10: 11/144
Tata Motors: 30 trainees from Sakwar
training school employed with dealers
Titan: Tie-up with CAP Foundation to train
youth: first batch joined this year
Employment
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TTML: Sharp jump in SC/ST candidates
recruited:
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Tinplate: 31 hires in 2008-09; 6 SC/ST
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2008-09: 19/287 – 6.6%
April 09 – Sept 09: 17/82 – 21%
20% of all hires against SC/ST share of 8%
TCE: 700 trainees from campuses for FY 10 of
which 40 SC/ST
Tata Sky: 23 candidates recruited either on rolls
or in third party from ITIs
Employment
Challenges
 More companies weaving AA into growth
strategy
 Implementing spirit of positive
discrimination
 Incentivizing recruitment
 Addressing asymmetry of information
through website
EMPLOYABILITY
Employability
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Partnering ITIs to make them Centres of
Excellence (Illustrative list):
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Tata Motors – Nine – 2 Pune, Jamshedpur, Lucknow,
Karnataka, 2 Uttarakhand, (Already
operational) Delhi & Gujarat (Under consideration)
Tata International – Tonkhurd, MP, near Dewas
Tata Power -- Two, in Thane & Mulund
NDPL- Dr CV Raman ITI in Delhi
Tata Chemicals – Dwarka
Indian Hotels – Three ongoing -- in Delhi, Sindhudurg
& Hassan; three on the anvil
Tata Steel – Gopalpur and two others proposed
Tata Metaliks – Rangamati and Jhargram
Employability
Tata Refractories
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Self Employment Skill Development Institute
(SESDI) set up April 09 (Cost Rs. 1.6 Cr) for
vocational training in in-demand trades like
Masonry, Carpentry, Bar Bending, Plumbing,
House Wiring & Motor Rewinding, Welding, TV &
Electronics repairing, Mobile repairing etc.
Residential course – entirely free
95 trained till date, 47 SC/ST
Employability
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Tata Steel:
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6-month course for entry into trade apprentice
schemes in various companies
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6-month scheme for coaching for competitive
exams
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260 trained since 2001, 103 placed in Steel, Motors etc
42 trained in two batches; 5 Govt jobs, 5 contractual
1 year course for community health providers
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212 women trained since 2004; 50 employed
10 best CHP trainees trained for one year more to become
Operation Theatre assistants
Employability
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Tata Steel:
Nurses training at XITE to prepare for
admission into nursing
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Vocational training in six trades
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Started 08; 24 coached, 20 selected
Started 2001; 325 trained
Vocational training in 4 trades at
Greenfield project sites in Kalinganagar
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Also at Chhatisgarh and Manoharpur
Employability
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JUSCO: Training school drop-outs in
association with CAP Foundation for
careers in five trades: IT-enabled services,
Hospitality Management, Customer
Relations and Sales, Automobile
Maintenance and White Goods Services
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Total trainees 823; SC/ST 221 (26%)
Eight batches completed till date
Employability
Tinplate vocational training initiatives:
 11 students in CNC at RD Tata Institute
 16 students in plumbing at Sarojini
Technical Institute
 One year training for 181 ITI candidates
 Midwifery training for tribal women
 Training for tribal women at Salboni
Village
Employability
Tata Sponge
 Training for Fitter, Welder, Mechanical &
wiremen trade for 7 SC/ST students
 6-month tailoring classes
 Sponsorship for two-year course in
Electrician trade for 4 ST students at three
nearby ITIs
Employability
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Trent:
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One-year diploma customized course in retail
management for graduates at Mumbai
University (Garware Institute)
Ist batch; 67/18 SC-ST, all employed
 2nd batch; 60/ 10 SC-ST, all employed
 3rd batch: 25/7 SC-ST
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Pact with 6 major NGOs --Don Bosco,
Kherwadi Social Welfare Association, Dr.
Reddy’s Foundation, Yuva Pratisthan,
Aarambh and Kotak Labs -- to train 200
underprivileged youth in Retail Operations
Employability
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Tata Chemicals:
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Babrala unit recognised as ‘training provider’
by DGET; has trained 236 youth in 5 trades
Training 550 SC/ST youth to man rural BPO
expansion in Mithapur & Babrala
Tata Projects: Training to create welders
and fitters: 261 trained in last three years
Tata Communications: Skill training in ITrelated fields for 105 SC/ST youth
Employability
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Telcon: Coaching classes for competitive
exams
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85 trained in three batches since 2007
Also: Setting up 3 training schools for
operators and mechanics at units
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Tata Motors: Mechanic Motor Vehicle
Trade Course at Sakwar, Thane
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50% reservation for SC/ST candidates
Batch of around 15 each year
Tata International: Over 200 SC/ST trade
apprentices in last two years
Employability
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TCS: 57 trained in three batches in Skill
Development Programme in partnership
with CII in Kolkata
Indian Hotels: Taj-Pratham tie-up for Hotel
Operations Training Center set up in Khultabad,
near Aurangabad (SC/ST pop. 35%)
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160 youth to be trained per year, currently 40 youth
in training
One batch of 20 students has passed out and is
placed in various western region Taj hotels
Rallis: Training youth to join rural BPOs
Employability
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Advinus: To address quality gap, has
started a Finishing School for life sciences
graduates. 25 students (5 SC) being
trained for 6 months.
Mjunction: Ejunction – to spread computer
and internet literacy
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13 batches since March 07
580 trained, including 81 SC/ST youth
14% SC/ST against target of 25%
Employability
Challenges
 Increase SC/ST numbers within vocational
training programmes
 Scale up – numbers and trades
 Synergise company initiatives
 Aggregate numbers and spend
 Monitor and improve placement
ENTREPRENEURSHIP
Entrepreneurship:
Notable examples
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NDPL :
 Sustained effort to develop vendors
from Dalit Vyapar Association
4
vendors included in vendors’ list
 Of 4, one showed interest and met
basic requirements and has been
given order
 Training
 34
neighbourhood electricians
trained over two years
Entrepreneurship
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Tata Communications: 183 trained in
entrepreneurship in partnership with EDI,
Ahmedabad
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Batches of 30 each in courses held in Mumbai,
Pune, Ahmedabad, Nashik, Surat & Lonavla
Of 161 candidates who have completed
training, 58 have already started their own
ventures
Among candidates in first three modules,
~60% are already entrepreneurs
Entrepreneurship
Tata Chemicals
 224 SC candidates trained in year-long
training in Rural Entrepreneurship
Development Programme on trades like
creating leather and Rexene bags, making
soft toys, paper items and lamination
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100 trained in making Rexene bags; 50 created
cluster fund from stipend to create TCSRD-REDP’s
first business enterprise named “Dr.Bhimrao
Ambedkar Cluster” and got its first order for 1700
school bags
Entrepreneurship
Tata Sponge
 2 SC/ST entrepreneurs nurtured through
contracts since April 07
Both partnerships – one with 4 ST members and
other with 2 SC members
 Now getting orders from other industrial units
 1 more entrepreneur being developed
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SHG for farming with power tiller
SHG for supplying notebooks
Training for income-generating schemes in
pisciculture, soap-making etc
Entrepreneurship
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TTSL: Objective: 200 SC/ST PCO owners per
year, starting 2008
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Status: 317 given in 2008-09; 83 in 2009-10 till now
Tata International: Support for 120 women
SHGs for training on SOW (Stitch on
Wood)/Leather Articles and Leather Footwear
Components to make them self employed
TTML: 18 youth provided with PCO booths
Voltas: 7 SC/ST youth trained as entrepreneurs
in house-keeping/gardening
Entrepreneurship
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Tinplate: Two ex-employees made into
vendors; Trust set up to create ST makers
of brick from fly ash
Tata Power: Contracts to ST contractors in
Maithon
Tata Ryerson: Two SC/ST candidates
engaged as suppliers for packaging and
other miscellaneous jobs
EDUCATION
Education: FAEA scholarships
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150 scholarships from 32 Group
companies for college-level scholarships
administered by Foundation for Academic
Access and Excellence (FAEA)
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10 each: TTSL, NDPL, TACO+, Tata Tea
5 each: Tata Power, TCS, Tata Sky, Tata
Projects and TAL
Started with 100 last year; increased to 150
this year when corpus was found in surplus
Education
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34 companies have 2,000+ scholarships
for SC/ST students at school/college level
Tata Steel: Scholarships for ~600 SC/ST
students in 4 categories
Also
 100% scholarship for SC/ST employees’
children studying in in IIT
 Trainees in Archery and other sports
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Tata Motors: 150+ scholarships
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Most in new scheme, Vidyadhanam, in Pune
Education
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NDPL initiatives
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Scholarships of Rs 25,000 p.a. for students of
Delhi College of Engineering
Scholarships for Rs 2,600 p.a. for students at
four ITIs
Supporting 150+ SC/ST students in
government schools with books, career
counselling etc
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Of 2008-09 batch nobody failed; 30% got >70 %
Education
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Tata Chemicals: 100 scholarships for SC
girls from villages around Mithapur for
courses in SNDT University, Mumbai
TTSL: Several initiatives including:
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6 scholarships of Rs 75,000 per annum for
students at Symbiosis Institute of Telecom
Management
1 scholarship of Rs 25,000 pa for student at
National Law College, Bhopal
Education
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Tata Sponge: Several initiatives including:
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Sponsorship of fees for teachers taking
special classes for SC/ST students
Support for students studying engineering,
computer science
TTSL (M): 8 scholarships worth Rs.10,000
per SC/ST student of B.E. (Electronics &
Telecommunication) course
Conclusion: Way ahead
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Greater need for appreciating why AA
needs to be done in companies’ own longterm interest of sustained (inclusive)
growth
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Alternative: Legislation for reservations in
private sector
More CEOs need to take leadership role;
more HR departments to “own” AA
Conclusion: Way ahead
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Incorporation into company strategies
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Alignment/incorporation into TBEM
Evolve system of recognition for
companies demonstrating leadership
Greater traction by companies in
translating the GCC’s AA Policy into actual
practices in recruitment and in appointing
vendors/suppliers
Conclusion: Way ahead
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Leverage Chairman’s views on voluntary
commitment to sourcing certain
percentage of products and services from
SC/ST-owned companies, on lines of US
AA practices
Overall: Robust start within Group but
long way to go