Hi ragul07,
Cheer up!!
There's nothing wrong in your code. I have tried your code ("LCD_Test.txt") with header file("delay.h") on MPLAB ver2.00. (Hope you have the definition of "DelayMs()" in your "delay.h" file, as I had to edit this file to add this function).
After compiling the code on MPLAB, downloaded it on PIC16F877A in ISIS as per your design. The PWM generated was OK while button(any) was pushed.
For your reference I have attached the image of ISIS runtime image.
However, I have a doubt regarding the Power supply you are providing across both the switches. Can you try using a simple power supply there(as shown in the attached image).
Secondly can you try your code on MPLAB.