Dear Seniors,
I request all of you to please advise on the applicability of this act for new establishments. I also need clarification on whether employees of a contractor in the construction field are exempted under this act.
Thank you in advance.
Best Regards
From India, Bengaluru
Acknowledge(0)
Amend(0)
1I request all of you to please advise on the applicability of this act for new establishments. I also need clarification on whether employees of a contractor in the construction field are exempted under this act.
Thank you in advance.
Best Regards
From India, Bengaluru
Acknowledge(0)Amend(0)
An establishment will get infancy protection from the application of the Payment of Bonus Act for a maximum period of five years or until the year in which the establishment makes profits, whichever comes earlier. That means if the establishment makes a profit in the first year itself, then it should pay a bonus from that first year itself. Once the Act becomes applicable to a company, it should continue to pay a bonus even if it suffers a loss in the subsequent years.
Payment of the bonus of contract workers is not your responsibility, but the contractor should pay it.
From India, Kannur
Acknowledge(0)Amend(0)
Payment of the bonus of contract workers is not your responsibility, but the contractor should pay it.
From India, Kannur
Acknowledge(0)Amend(0)
Firstly, many thanks to you for the quick response.
Our firm is a labor contractor in the construction field. Here, we have regular employees and laborers through non-registered subcontractors (frequent in and out) as well.
My query is whether a labor contractor, as an employer, is on the exempted employers' list of the BONUS Act. In fact, we do not have any contract employees.
Somewhere I read, "Employees of a contractor in the construction field are exempted from the bonus act." Is this true?
From India, Bengaluru
Acknowledge(0)Amend(0)
Our firm is a labor contractor in the construction field. Here, we have regular employees and laborers through non-registered subcontractors (frequent in and out) as well.
My query is whether a labor contractor, as an employer, is on the exempted employers' list of the BONUS Act. In fact, we do not have any contract employees.
Somewhere I read, "Employees of a contractor in the construction field are exempted from the bonus act." Is this true?
From India, Bengaluru
Acknowledge(0)Amend(0)
It is true that as per Section 32, certain employees are not covered by the Payment of Bonus Act. Sub-Clause (vi) of Section 32 mandated that employees of contractors engaged in building construction are not under the purview of the Act. However, this provision has been removed by an amendment. Unfortunately, the notification is not available with me right now. I am trying to obtain it, and once I do, I will share it with everyone.
From India, Kannur
Acknowledge(0)Amend(0)
From India, Kannur
Acknowledge(0)Amend(0)
Please be informed that through The Payment of Bonus (Amendment) Act, 2007, the section (clause (vi) of section 32) which provided that nothing in the Act will apply to employees of a contractor employed in building operations has been removed. Please find the attachment.
From India, Kannur
Acknowledge(0)Amend(0)
From India, Kannur
Acknowledge(0)Amend(0)
whether an employee is eligible for payment of bonus for the last year i.e. for the year 2015-16 as arrear, if he was not paid by the office? please help me to find the answer.
From India, Bengaluru
Acknowledge(0)Amend(0)
From India, Bengaluru
Acknowledge(0)Amend(0)
Please tell me if this Bonus Act applies on MSME’s into retail businesses.
From India, Delhi
Acknowledge(0)Amend(0)
From India, Delhi
Acknowledge(0)Amend(0)
The act applies to all establishments irrespective of their size of capital investment or turnover. In the case of establishments other than factories, the act applies only if they have 20 or more employees. Therefore, the criterion is not investment but the number of employees.
From India, Kannur
Acknowledge(0)Amend(0)
From India, Kannur
Acknowledge(0)Amend(0)Looking for something specific? - Join & Be Part Of Our Community and get connected with the right people who can help. Our AI-powered platform provides real-time fact-checking, peer-reviewed insights, and a vast historical knowledge base to support your search.