Dear respected seniors, Please solve my problem related to number of working days in a year. As form C of Bonus act is having a column of Number of working days in a year, what entry shall be made in this column whether 365 or 306( after deducting of sunday and national and public festival holidays. my company used to calculate salary dividing the salary by 30 or 31 (as the case) and multiplied it with number working days of employee.
Also my company remain closed on sunday and all national and festival holidays. So the confusion is whether how to calculate bonus of employees number of actual days working by employee/365*84000 or number of actual days working by employee/306*84000 then calculate 8.33% of the resultant amount. Please give your views
From India, Indore
Also my company remain closed on sunday and all national and festival holidays. So the confusion is whether how to calculate bonus of employees number of actual days working by employee/365*84000 or number of actual days working by employee/306*84000 then calculate 8.33% of the resultant amount. Please give your views
From India, Indore
Dear Sunny,
I think that your confusion is at first because of your premise as if only with reference to the particulars prescribed in the Form-C register you are going to compute the amount of bonus. It is actually not so because Form-C is the document only showing the net amount of bonus paid to the employees after deductions as per sec.17 and 18 of the PB Act,1965.
Second,because of your inadequate interpretation of the meaning of the phrase " working days". Literally, the phrase "working days" would mean with reference to the establishment the no. of the actual days the establishment was kept open for work and as regards the employees the no of days on which each employee was present for work. But, interpretation of the phrase for the purpose of bonus should be made only as per sec.14 of the Act which explains the computation of the no. of working days for the purpose of reduction in bonus mentioned in sec.13 of the Act. Sec.14 mandates the inclusion of certain days of absence in the no of working days which are (1) the days of lay-off (2) the days of paid leave (3) the days of absence due to temporary disablement caused by any employment accident and (4) maternity leave.
From India, Salem
6016I think that your confusion is at first because of your premise as if only with reference to the particulars prescribed in the Form-C register you are going to compute the amount of bonus. It is actually not so because Form-C is the document only showing the net amount of bonus paid to the employees after deductions as per sec.17 and 18 of the PB Act,1965.
Second,because of your inadequate interpretation of the meaning of the phrase " working days". Literally, the phrase "working days" would mean with reference to the establishment the no. of the actual days the establishment was kept open for work and as regards the employees the no of days on which each employee was present for work. But, interpretation of the phrase for the purpose of bonus should be made only as per sec.14 of the Act which explains the computation of the no. of working days for the purpose of reduction in bonus mentioned in sec.13 of the Act. Sec.14 mandates the inclusion of certain days of absence in the no of working days which are (1) the days of lay-off (2) the days of paid leave (3) the days of absence due to temporary disablement caused by any employment accident and (4) maternity leave.
From India, Salem
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BONUS FORM-C.xls
Bonus Act-FORM-D.doc