Non payment of bonus act Non payment of bonus act

6 months ago

i am have been working in the Pvt. Ltd company for 15 years. Our company do not pay statutory bonus. Can u let me if we are really eligible for bonus as per bonus act. Our company follows Shop and Establishment act Mumbai. Its a BPO company.

Kishan Dutt Kalaskar

Responded 6 months ago

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A.Dear Sir,
You may approach the following authority and other concerned authorities.

Please approach the following authority or similar authority in a state

The Office Commissioner of Labour

Section 12 in The Industrial Disputes Act, 1947
12. Duties of conciliation officers.- (relevant section 12(2) of ID Act)

(1) Where any industrial dispute exists or is apprehended, the conciliation officer may, or where the dispute relates to a public utility service and a notice under section 22 has been given, shall hold conciliation proceedings in the prescribed manner.

(2) The conciliation officer shall, for the purpose of bringing about a settlement of the dispute, without delay, investigate the dispute and all matters affecting the merits and the right settlement thereof and may do all such things as he thinks fit for the purpose of inducing the parties to come to a fair and amicable settlement of the dispute.

(3) If a settlement of the dispute or of any of the matters in dispute is arrived at in the course of the conciliation proceedings the conciliationofficer shall send a report thereof to the appropriate Government 1 or an officer authorised in this behalf by the appropriate Government] together with a memorandum of the settlement signed by the parties to the dispute.

(4) If no such settlement is arrived at, the conciliation officer shall, as soon as practicable after the close of the investigation, send to the appropriate Government a full report setting forth the steps taken by him for ascertaining the facts and circumstances relating to the dispute and for bringing about a settlement thereof, together with a full statement of such facts and circumstances, and the reasons on account of which, in his opinion, a settlement could not be arrived at.

(5) If, on a consideration of the report referred to in sub- section (4), the appropriate Government is satisfied that there is a case for reference to a Board, 2 Labour Court, Tribunal or National Tribunal,] it may make such reference. Where the appropriate Government does not make such a reference it shall record and communicate to the parties concerned its reasons therefor.

(6) A report under this section shall be submitted within fourteen days of the commencement of the conciliation proceedings or within such shorter period as may be fixed by the appropriate Government: 3 Provided that, 4 subject to the approval of the conciliation officer,] the time for the submission of the report may be extended by such period as may be agreed upon in writing by all the parties to the dispute.]

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Anik

Responded 6 months ago

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A.Dear Client
As per the Payment of Bonus Act, 1965, an employee is eligible to receive a bonus if they have worked for at least 30 working days in that financial year. The act applies to establishments employing 20 or more persons. The bonus amount payable to an eligible employee is determined based on the salary or wage of the employee and the profits of the establishment. The minimum bonus payable under the Act is 8.33% of the salary, subject to a maximum of 20% of the salary. The Act also mandates the payment of minimum and maximum bonus amounts regardless of the establishment's profit or loss.Therefore, if your company falls within the purview of the Payment of Bonus Act and meets the eligibility criteria, it is required to pay statutory bonus to its employees as per the provisions of the Act.
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Legal Counsel Vidhikarya

Responded 6 months ago

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A.Dear Client,
Payment of Bonus Act, 1965”, read with “Payment of Bonus Rules, 1975, applies to every factory and establishment employing not less than 20 persons on any day during the accounting year. A statutory bonus is an annual or monthly incentive given to employees who receive less than ₹21,000 a month. It is a way of sharing the company's profits with their employees. Any employee who is receiving a salary or wage not exceeding Rs. 21,000/- (Twenty-One Thousand) per month is eligible to be paid a bonus. Under Sec.8 of the Payment of Bonus Act, 1965, every employee irrespective of his/her engagement in any work whether skilled, unskilled, managerial, supervisory etc. shall be entitled to be paid by his employer in an accounting year, bonus, in accordance with the provisions of this Act, provided he has worked in the establishment for not less than thirty working days in that year. Under Sec.10 of the Act, every employer shall be bound to pay to every employee in respect of the accounting year commencing on any day in the year 1979 and in respect of every subsequent accounting year, a minimum bonus which shall be 8.33 percent of the salary or wage earned by the employee during the accounting year or one hundred rupees, whichever is higher, whether or not the employer has any allocable surplus in the accounting year: As per Sec.11(1) of the said Act, where in respect of any accounting year referred to in section 10, the allocable surplus exceeds the amount of minimum bonus payable to the employees under that section, the employer shall, in lieu of such minimum bonus, be bound to pay to every employee in respect of that accounting year bonus which shall be an amount in proportion to the salary or wage earned by the employee during the accounting year subject to a maximum of 20 % of such salary or wage. After the amendment of the Act in 2015, the ceiling amount on which the bonus payable is calculated is Rs. 7,000 per month, earlier this amount was Rs 3,000. Therefore, if the employee receives a Gross Salary of Rs 21,000 per month, the employee is eligible to receive a bonus. For bonus calculation, only the employee’s Salary/Wages and Dearness allowance is considered. The computation of gross profits derived by an employer from an establishment in respect of the accounting year is prescribed under Sec.4 of the Act read with the First Schedule in respect of the banking company and the Second Schedule in respect of other establishments. The Central Government is the appropriate authority in respect of the industries /establishments for which it is appropriate Government under the Industrial Disputes Act, 1947. Since your establishment comes under the purview of the respective State Shops and Establishment Act, you may escalate your grievance before the State Labour Commissioner, Joint Labour Commissioner, Asst. Labour Commissioner for a resolution in the matter.
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