Dear HR Fraternity,
My name is Rishi and I am working as HR executive in a firm, I have a querry regarding Bonus Act. Some companies gave 1 basic salary to their employees as Bonus whereas as per Act it should be 8.33% (min) of Rs 3500 or max 20% (Max) of Rs 3500 i.e ceiling limit as per the act. Then how should they feed the entries in Bonus register because the % that is coming is different for different employees if you give 1 basic salary as bonus and as far as my knowledge % cannot be different to different employees.
eg: Employee 1: Wage = 5626 for 1 month, Eligible Wage= Rs 3500 Bonus(8.33%)=292
But if you take 1 basic salary % coming out to be 13.40 % of Rs 3500
Employee 2: Wage= 5150 for 1 month, Eligible Wage= Rs 3500, Bonus(8.33%)= 292
But if you take 1 basic salary % coming out to be 12.25% of Rs 3500
Therefore for both the employees % is different.
Kindly help me out in this matter
Thanks and Regards
Rishi Raj Mishra
Posted 29th June 2015
My name is Rishi and I am working as HR executive in a firm, I have a querry regarding Bonus Act. Some companies gave 1 basic salary to their employees as Bonus whereas as per Act it should be 8.33% (min) of Rs 3500 or max 20% (Max) of Rs 3500 i.e ceiling limit as per the act. Then how should they feed the entries in Bonus register because the % that is coming is different for different employees if you give 1 basic salary as bonus and as far as my knowledge % cannot be different to different employees.
eg: Employee 1: Wage = 5626 for 1 month, Eligible Wage= Rs 3500 Bonus(8.33%)=292
But if you take 1 basic salary % coming out to be 13.40 % of Rs 3500
Employee 2: Wage= 5150 for 1 month, Eligible Wage= Rs 3500, Bonus(8.33%)= 292
But if you take 1 basic salary % coming out to be 12.25% of Rs 3500
Therefore for both the employees % is different.
Kindly help me out in this matter
Thanks and Regards
Rishi Raj Mishra
Posted 29th June 2015