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Impact of Multinational Companies on Local Business

Impact of Multinational Companies on Local Business

As compared to other countries, India has a much greater need and importance for labor welfare work. The Indian worker, as compared with his counterpart in most European countries, is unhealthy and ill-fed. This had reduced his production potential, as compared to the productive capacity of western laborers. Hence he is in very great need of inexpensive nutritive food and facility in case of hospitalization. As compared to other countries, the percentage of educated workers is very low, most of them being illiterate. Consequently, they are not in a position to receive advanced industrial training, understand the problems in industries, fight for his justice, Understand their own interests and those of the nation as a whole. This can prove a source of harm not only to the workers but also to the country. Hence is labor welfare is required more in India than the other countries.


According to Dr. Broughton's, he divided works of labor welfare into two categories:-

  • Intramural.
  • Extramural.
  • According to Intramural, Scientific selection (The scientific selection of workers for the various jobs within the factory, Industrial training ( Training in various activities for different jobs in the factory), Atmosphere of the factory ( This is very important that the factory should be clean, whitewashing, proper ventilation, drinking water, bathrooms, laboratories, light, and air conditioning, etc), Prevention of accidents (Proper arrangements for protection from dangerous machines, extreme temperatures, fire fighting, etc.), Other facilities like canteen, provision of restrooms, refreshment, etc.
  • According to Extramural, Provision of education ( This includes adult education, social education, primary education, personality development classes, etc.) Arrangement of proper housing accommodation, Medical services( This includes rest, cure, paid leave, free treatment, subsidized medical aid, etc), One very important thing is the provision of inexpensive and nourishing food, Facilities of recreation (Clubs, gymnasia, cinema, radio, reading rooms, libraries, etc.)
  • Some other activities like social insurance schemes, provident fund benefits, pensions, the arrangement of cultural programs, schooling of children are also a part of labor welfare services.

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