Understanding BPO Bonus Practices: What Percentage Do Companies Really Offer?

Hi Everyone,

Please suggest on the industry (BPO) practices of bonus percentage that is given yearly. The Bonus Act stipulates 8.33% of annual Basic+DA. However, I would like to know the best industry practices. Please note that I am not referring to retention bonuses/Variable pay but rather the mandatory bonus as per the bonus act.

Thanks,
Pranathi

Hi Pranathi,

Just take month-wise Basic + D.A., then calculate the total amount, and after that, calculate 8.33%.

Regards, Kabali.R

Minimum bonus amount is $3,500 or 8.33%.
Maximum bonus amount is $10,000 or 20%.
Any amount exceeding 20% is considered Ex gratia.

Regards,
Kabali R.

Hi Kabali,

Yes, this has been our company's practice for years. My query was about the best practices in the industry. How much percentage is paid by other BPOs?

Thanks, Pranathi