Dear Senior
I have a doubt regarding the payment of bonus
my company declared bonus to employees at the rate of 18% but management decided to pay 8.33% to resigned employees. is it a correct practice??
please advice me on this regards
With regards
Sree
From India, Calicut
10I have a doubt regarding the payment of bonus
my company declared bonus to employees at the rate of 18% but management decided to pay 8.33% to resigned employees. is it a correct practice??
please advice me on this regards
With regards
Sree
From India, Calicut
Percentage of bonus payment under Payment of Bonus Act should be uniform for current and ex employees. Certainly differentiating between the two is not a right practice. regards, Kamal
From India, Pune
From India, Pune
Hello,
Payment of Bonus Act requires that anyone (eligible to be covered unde the act) ought to be in employment at least for 30 days during the year for which Bonus is declared.
To that extent, the law does NOT differentiate between the ex-employee and an employee on rolls when the Bonus is declared. In your case if the ex-employees who have been paid less Bonus than the one declared for the company, either your company is under wrong advice or is blatantly committing an illegality!
Before you take up the matter at any forum, just ensure:
1) That the affected employees were eligible emloyees under the act,
2) That these employees have in fact put in service in excess of 30 days during the year for which Bonus is declared. If they were on rolls during that year then there is no way they can be deenied Bonus, at least on pro-rata to the period of their employment during that year.
Is your issue clarified?
Regards
samvedan
September 16, 2011
---------------------
From India, Pune
Payment of Bonus Act requires that anyone (eligible to be covered unde the act) ought to be in employment at least for 30 days during the year for which Bonus is declared.
To that extent, the law does NOT differentiate between the ex-employee and an employee on rolls when the Bonus is declared. In your case if the ex-employees who have been paid less Bonus than the one declared for the company, either your company is under wrong advice or is blatantly committing an illegality!
Before you take up the matter at any forum, just ensure:
1) That the affected employees were eligible emloyees under the act,
2) That these employees have in fact put in service in excess of 30 days during the year for which Bonus is declared. If they were on rolls during that year then there is no way they can be deenied Bonus, at least on pro-rata to the period of their employment during that year.
Is your issue clarified?
Regards
samvedan
September 16, 2011
---------------------
From India, Pune
Dear friend
It is necessary to find out whether the ex employee is coming under the purview of the bonus act by salary ceiling
If his salary is more than the ceiling amount he is not eligible for demanding the bonus.
regards
alphonse
From India, Madras
It is necessary to find out whether the ex employee is coming under the purview of the bonus act by salary ceiling
If his salary is more than the ceiling amount he is not eligible for demanding the bonus.
regards
alphonse
From India, Madras
Dear Friend,
According payment of Bonus Act only eligible employees ( who completed service more than 30 days ) can claim bonus. However management can not consider those who cross ceiling limit. Also as per act minimum 8.33% is the right for right employees. If your ex- employees claims that they received less bonus as compared to current employees then I request them to first check whether they fulfill all conditions or not like termination , discontinuation from the services , proper relieving etc.
Regds
Santosh K
From India, Pune
According payment of Bonus Act only eligible employees ( who completed service more than 30 days ) can claim bonus. However management can not consider those who cross ceiling limit. Also as per act minimum 8.33% is the right for right employees. If your ex- employees claims that they received less bonus as compared to current employees then I request them to first check whether they fulfill all conditions or not like termination , discontinuation from the services , proper relieving etc.
Regds
Santosh K
From India, Pune
Dear Friends
The Bonus is to be paid within 8 months from the close of the accounting year.
it is being paid for the previous year.
Bonus for the accounting year is generally declared later on.
Mean while , there might be some employees who have retired before they could be paid bonus for thy period they were eligible . In my considered view such employees are called ex-employees .Any amount not paid during their service period is called unpaid acumulations if they are not paid within next period of two years .
Thanks and regards
RLDhingra ,Advocate
Labour Law Consultant, Delhi
9818309937/E mail:rld_498Rediffmail.com
From India, Delhi
The Bonus is to be paid within 8 months from the close of the accounting year.
it is being paid for the previous year.
Bonus for the accounting year is generally declared later on.
Mean while , there might be some employees who have retired before they could be paid bonus for thy period they were eligible . In my considered view such employees are called ex-employees .Any amount not paid during their service period is called unpaid acumulations if they are not paid within next period of two years .
Thanks and regards
RLDhingra ,Advocate
Labour Law Consultant, Delhi
9818309937/E mail:rld_498Rediffmail.com
From India, Delhi
under the Bonus act 1961, There is no differenciation between current & ex-employee. bonus % is decleard by the company after calculating relocation of surplus. as per the bbonus act if employee is completing 30 days he is eligible for bonus.
if management is making defferenciation between current & ex-employee that will become wrong practice.
reg.
Lakhan
From India, Mumbai
if management is making defferenciation between current & ex-employee that will become wrong practice.
reg.
Lakhan
From India, Mumbai
Dear Sree,
Bonus is to be paid at equal rate to all eligible employees, no matter current or ex-employee. If any ex-employee does not fall within the definition of "employee" undert the Act, then management may decide to pay or not to pay bonus at all.
Regards,
Lokender Kumar
Manesar, Gurgaon
From India, Gurgaon
Bonus is to be paid at equal rate to all eligible employees, no matter current or ex-employee. If any ex-employee does not fall within the definition of "employee" undert the Act, then management may decide to pay or not to pay bonus at all.
Regards,
Lokender Kumar
Manesar, Gurgaon
From India, Gurgaon
Dear friends, There is no such type of rules to provide bonus of maximum percentage. If a company decide to pay more than minimum rate of interest i,e 8.33%, so there is no objection. But it should not less than 8.33%.
From India, Suri
From India, Suri
under the Bonus act 1961, There is no differenciation & definition between current & ex-employee. bonus % is decleard by the company after calculating relocation of surplus. as per the bbonus act if employee is completing 30 days he is eligible for bonus.
if management is making defferenciation between current & ex-employee that will become wrong practice.
reg.
Lakhan
From India, Mumbai
if management is making defferenciation between current & ex-employee that will become wrong practice.
reg.
Lakhan
From India, Mumbai
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