We have following queries:
1. The basis of bonus is 8.33% of Basic Salary max 20% of Basic ?
2. At present our company pays bonus equivalent to one months gross salary at the time of diwali and any person leaves the company before the diwali; the amount of bonus lapsed or not payable.
3. Can we add a proportionate part of bonus as part of CTC.
3. To exercise the legal compliance as well as the non payment of bonus for the leaving before diwali, can we exercise the following :
A. Payment of bonus with minium % @ 8.33 of Basic and be part in the CTC and rest amount of gross salary can be payable as an incentive and this can be lapse if such employee leaves before diwali.
Please guide in this regard.
From India, Jaipur
341. The basis of bonus is 8.33% of Basic Salary max 20% of Basic ?
2. At present our company pays bonus equivalent to one months gross salary at the time of diwali and any person leaves the company before the diwali; the amount of bonus lapsed or not payable.
3. Can we add a proportionate part of bonus as part of CTC.
3. To exercise the legal compliance as well as the non payment of bonus for the leaving before diwali, can we exercise the following :
A. Payment of bonus with minium % @ 8.33 of Basic and be part in the CTC and rest amount of gross salary can be payable as an incentive and this can be lapse if such employee leaves before diwali.
Please guide in this regard.
From India, Jaipur
Hi Anurag,
Yes minimum bonus paid is 8.33% of earned ( Basic+DA), over and above 8.33% generally considered as EX-Gratia amount.
If the employee has worked in previous financial year for which bonus is declared , then he / she is eligible to receive the minimum bonus. Company can pay only 8.33% which is minimum due to be paid even if company pays bonus to existing employees at say 18% or 20%.Over and above 8.33% is at the company's discrition whether to pay or not to pay.
Generaly bonus is paid on earned ( Basic +Da), so according to me bonus can not be part of CTC. Performance linked Incentive instead can be part of CTC based on certain criteria ( fulfilling of certain % of target, KRA etc in given year )
Cheers,
Harshad
From India, Mumbai
Yes minimum bonus paid is 8.33% of earned ( Basic+DA), over and above 8.33% generally considered as EX-Gratia amount.
If the employee has worked in previous financial year for which bonus is declared , then he / she is eligible to receive the minimum bonus. Company can pay only 8.33% which is minimum due to be paid even if company pays bonus to existing employees at say 18% or 20%.Over and above 8.33% is at the company's discrition whether to pay or not to pay.
Generaly bonus is paid on earned ( Basic +Da), so according to me bonus can not be part of CTC. Performance linked Incentive instead can be part of CTC based on certain criteria ( fulfilling of certain % of target, KRA etc in given year )
Cheers,
Harshad
From India, Mumbai
1. Yes minimum 8.33% and Max.20% as per Bonus act. Calcuation on Basic MaxRs.10,000. Bonus Rs.3500/-payabel as per act.
2. minimum 30 days to be required to work and bonus is payable.Cumpulsary. Can be paid at the time of Diwali.
3. Yes Bonus,Gratuity,LTA/LTC,PF contribution are part of CTC
From India, Ahmadabad
2. minimum 30 days to be required to work and bonus is payable.Cumpulsary. Can be paid at the time of Diwali.
3. Yes Bonus,Gratuity,LTA/LTC,PF contribution are part of CTC
From India, Ahmadabad
Hi, Shubha,
Declaration of Bonus and % of bonus depends upon the company. Some comapnies may give flat say 20% bonus, or it can be also be calculated on set on and set off basis of profit earned. there are some defined procedure to be followed for calculation of set on and set off basis and register to be maintained.
Regards,
Harshad
From India, Mumbai
Declaration of Bonus and % of bonus depends upon the company. Some comapnies may give flat say 20% bonus, or it can be also be calculated on set on and set off basis of profit earned. there are some defined procedure to be followed for calculation of set on and set off basis and register to be maintained.
Regards,
Harshad
From India, Mumbai
Hi Freinds,
one of freind is facing problem,her Boss is asking her to give resign immediatly otherwise he will terminate her.IS THIS RIGHT/JUSTIFICATION with her,i want to help her.any body help me by Law.
Regards,
Mona
From India, Raipur
one of freind is facing problem,her Boss is asking her to give resign immediatly otherwise he will terminate her.IS THIS RIGHT/JUSTIFICATION with her,i want to help her.any body help me by Law.
Regards,
Mona
From India, Raipur
If she is working with a company then definitely they can not do so. If her boss is forcing her to file the resignation, please tell her not to do so and file a complaint to concerned labour office.
Ravi Gupta
From India, New Delhi
Ravi Gupta
From India, New Delhi
i think if management is asking for resignation because of any misconduct or any such issues than even HR department cant help employee.
From India, Vadodara
From India, Vadodara
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