Dear Seniors
Please hep me out. If any employee which basic salary is above 10000/- can we give him bonus. And if we give him ex-gratia is ex gratia mandatory or we can avoid ex gratia.
thanks
Amit Sharma
From India, Delhi
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2Please hep me out. If any employee which basic salary is above 10000/- can we give him bonus. And if we give him ex-gratia is ex gratia mandatory or we can avoid ex gratia.
thanks
Amit Sharma
From India, Delhi
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Dear Amit,
If any employee basic salary is above 10,000 then No employer is liable to pay bonus. Even Employee can't file any legal dispute case against Company too.
Generally to Motivate employees & better Industrial environment companies pay them in the ex-Gratia term. But statutorily No employer bound to give Bonus above basic 10,000.
For any further query you can discus.
Ratikanta Rath
From India, Durgapur
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If any employee basic salary is above 10,000 then No employer is liable to pay bonus. Even Employee can't file any legal dispute case against Company too.
Generally to Motivate employees & better Industrial environment companies pay them in the ex-Gratia term. But statutorily No employer bound to give Bonus above basic 10,000.
For any further query you can discus.
Ratikanta Rath
From India, Durgapur
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Yes, U can give bonus though Basic is > 10000 & Ex-gratia is not mandatory. It is purely the discretion of the management to pay exgratia. Normally when an amount is paid to the employees who are not coverable under the Payment of Bonus Act and when some amount is given in excess to the ceiling prescribed under the Act (Bonus earnings restricted to Rs.3500/- per month), it will be termed as Exgratia in the bilateral/tripartite settlements.
Normally exgratia is the amount paid to the employees in recognition of their cooperation and contribution. The employees have no right to demand exgratia unless it is contemplated in a settlement between the employer and employee.
From India, Mumbai
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Normally exgratia is the amount paid to the employees in recognition of their cooperation and contribution. The employees have no right to demand exgratia unless it is contemplated in a settlement between the employer and employee.
From India, Mumbai
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(Fact Check Failed/Partial)-The response provided is mostly accurate. Ex-gratia is not mandatory, and it is at the discretion of the management. Ex-gratia can be given in recognition of cooperation and contribution. However, there is a minor error in stating that ex-gratia is for employees not covered under the Payment of Bonus Act, as ex-gratia can be given to any employee.
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Even paying the Ex-gratia you should be very careful. Bonus is a statutory obligation hence whether your company is running with profits or losses you should pay a minimum bonus but not in the case of ex-gratia. Unfortunately there is a critical word in english "Practice" this place a vital role hence when you are paying the ex-gratia you should take an undertaking from each employee that they should not quote this as a precedent and demand next year also.
If the company is in profits they will be paying the ex-gratia but like the bonus there is no obligation for exgratia.
Regards - kamesh
From India, Hyderabad
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If the company is in profits they will be paying the ex-gratia but like the bonus there is no obligation for exgratia.
Regards - kamesh
From India, Hyderabad
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(Fact Check Failed/Partial)-The information provided in the user reply is partially correct. Bonus is a statutory obligation based on the Payment of Bonus Act, regardless of the company's profitability. Ex-gratia, on the other hand, is a voluntary payment. Employees should not be made to sign a declaration regarding ex-gratia.
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Hi,
can anyone advice me?
1. Im a HR professional working with a company in kerala. my monthly gross is Rs. 15000/-. My company employs only 6 employees. i want to know will there be deductions like esi and pf in my salary.
2. when i move from this job will the new employer ask me previous esi or pf form what will i do then, which document can i produce to state that i was not eligible for esi or pf?
From India, Kochi
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can anyone advice me?
1. Im a HR professional working with a company in kerala. my monthly gross is Rs. 15000/-. My company employs only 6 employees. i want to know will there be deductions like esi and pf in my salary.
2. when i move from this job will the new employer ask me previous esi or pf form what will i do then, which document can i produce to state that i was not eligible for esi or pf?
From India, Kochi
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(Fact Check Failed/Partial)-The user's reply contains incorrect information. ESI and PF deductions are mandatory for employees with a monthly salary below the specified threshold, regardless of the number of employees in the company. When joining a new employer, previous PF details can be transferred using the UAN and Form 13.
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Dear Renu,
For your first query, Since as u are saying only 6 employee are working in your company so company will not deduct Epf & Esi from your salary. As you are aware for getting EPF Code(20) no. of employee required. & ESI Code(10) no. of employee required.
For your Second query No employer will ask for any previous Employer EPF Detail.
Ratikanta Rath
From India, Durgapur
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For your first query, Since as u are saying only 6 employee are working in your company so company will not deduct Epf & Esi from your salary. As you are aware for getting EPF Code(20) no. of employee required. & ESI Code(10) no. of employee required.
For your Second query No employer will ask for any previous Employer EPF Detail.
Ratikanta Rath
From India, Durgapur
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(Fact Check Failed/Partial)-[The user reply contains inaccurate information regarding EPF and ESI deductions and employer requests for previous EPF details. The original post did not mention these specific details.]
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Even if they ask also you tell the fact. Nowadays every employer is enquiring about the previous company and also enquiring with the previous employer.
ESI & PF are the statutory obligations & any employer will invite problems untils unless they are not covered. One advise is either you have to keep to your monthly pay slip or request the management to deposit your salary in to bank directly so that you have a proof.
Regards - kamesh
From India, Hyderabad
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ESI & PF are the statutory obligations & any employer will invite problems untils unless they are not covered. One advise is either you have to keep to your monthly pay slip or request the management to deposit your salary in to bank directly so that you have a proof.
Regards - kamesh
From India, Hyderabad
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(Fact Check Failed/Partial)-The user reply contains inaccurate information regarding the original post about bonus and ex-gratia. It mixes up topics like ESI, PF, and pay slips, which are not directly related to the questions asked by the original poster.
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Dear Seniors
Myself Subhajit, Asst. Manager HR in our companies.
Please help me out.
Recently we pay the bonus one employee who’s his Basic Salary is 10, 000 /- p/m. And we are give him the bonus Rs.10, 000 /- , and no pay ex gratia. Is it right or wrong?
Thanks,
Subhajit Bhowmick
From India, Calcutta
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Myself Subhajit, Asst. Manager HR in our companies.
Please help me out.
Recently we pay the bonus one employee who’s his Basic Salary is 10, 000 /- p/m. And we are give him the bonus Rs.10, 000 /- , and no pay ex gratia. Is it right or wrong?
Thanks,
Subhajit Bhowmick
From India, Calcutta
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(Fact Check Failed/Partial)-The user reply is incorrect. According to the Payment of Bonus Act, 1965 in India, an employee with a basic salary above Rs. 10,000 is eligible for a bonus. Ex-gratia is discretionary, not mandatory.
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Dear Subhajit, If for 1 month then As Per Bonus act in C register u have to show Rs./-3500 for statutory Purpose and rest amount 6500 show in ex-Gratia head. Ratikanta Rath
From India, Durgapur
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From India, Durgapur
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(Fact Check Failed/Partial)-The user reply contains inaccuracies. As per the Payment of Bonus Act, 1965, bonus calculation is subject to certain conditions and limits, not based on a fixed amount like Rs. 3500. Ex-gratia is discretionary, not mandatory.
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Statutory liablity for payment of bonus is rs. 10000/- (basic+da) exgartia payment is sole liablity of employer. sumit
From India, Ghaziabad
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From India, Ghaziabad
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(Fact Check Failed/Partial)-[response] Based on the latest laws, an employee with a basic salary above Rs. 21,000 is eligible for bonus. Ex-gratia is at the discretion of the employer.
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(Fact Check Failed/Partial)-The user's reply contains inaccuracies. Employees with a basic salary above Rs. 10,000 are eligible for bonus as per the Payment of Bonus Act, regardless of whether they can file a legal dispute. Ex-gratia is discretionary, but bonus is mandatory.