amit_t Started The Discussion:
we have foll staff ,
ours is an trading organisation , only problem facing is bonus for diwali
salary scales are
some with 14000 monthy
guide how break up for these so that we have to pay minimum bonus
** also according to norms how much we have to pay bonus of each
thanks & regards
U can include Bonus (8.33%) of basic in your ctc while recruiting.this is the ommon method used by most of the organizations.
If u will go to bonus act,1965
The bonus percentage will be calculated through set -on & set off method.
Pls go through the payment of the bonus act for detail.
Dear all seniors,
i m working in small packaging company, i have to set up all HR- Department. in organisation grade & level & compensation policy are not preapared. as per designation the salary not decided properly And it is very difficult for me to prepared. plz help me.
Thanks & Regrads
it is not clear whether you ara talking of bonus under the Payment of Bonus Act 1965. It appears youare talking of bonus that is being paid on the occassion of Diwali which is like a customary bonus. There are two ways of lookinag at the problem.
1) if there is an agreement with the employees on the apyment of Diwali bonus, that agreement must have stipulated the items of salary which shall be taken into account for computing bonus. In that event you can follow the terms of agreement.
2) Secondly, in the absence of such an agreement, the custom can be relied. Find out what are the items of salry that are being considered for computing bonus since it's inception. Yiou can follow them.
However so far bonus under the Bonus Act is concerned, normally the following items of salary are included.
1) basic pay
3) Free food allowance or the value of free food suplied.
The following items of payments are normally excluded.
1) Any allowance which is for the time being paid(temporarily paid)
2)value of any housing accomodation, or any amenity as light etc, supplied.
3) Travelling concession
4) contributions to P.F and pension
5) retrench ment compensation
6) any bonus like incentive bonus etc.
7) any commission
8) any O.T wages
consultant in Hr and Labour Laws
1.As diwali bonus is the customary bonus it can be adjusted in the statutory bonus i.e. Minimum 8.33%.
2. Eligiblity for bonus is:
Basic Upto 10000
Min. 30 days working in a year.
For calculation 3500 is considered as Basic Amount.
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