Employee Resigned and Didn't Work During Notice Period: Is He Still Eligible for a Bonus?

Hi All,

One of our employees had resigned from the job, and we stopped him from coming to the office. We paid him 2 months' salary as the notice period.

I have a question regarding his eligibility for the statutory bonus, as there was no contribution from his service to the company during those 2 months.

Regards

Whether he contributes to the company or not, you need to pay salary and bonus for the period he worked in your company. In a financial year, if he worked more than 30 days, he is eligible for a minimum bonus of 8.33%.

Dear Munir,

The only option to avoid payment of a bonus will be eligibility criteria. If a person has earned a gross salary of more than 21,000/-, then you may exclude payment of the bonus for the same associate.

Hi Muniraju,

I suggest that you calculate the bonus based on his attendance. The two months' salary amount is paid only in lieu of his/her notice period. [Simple Logic: If you are not going to pay other Statutory Payments like PF & ESI for these two months' salary amount, why are you worrying about the Bonus?]

Thank you.

Your details are incomplete. What was his date of joining? How long did he work? Nobody pays attention to the notice period for a very new employee. Bonuses are not payable on the notice salary.

Regards,

Bharat Gera

HR Consultant

9322404765

No need to pay a bonus during the notice period.

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Hi,

I hope this email finds you well. I wanted to bring to your attention that there is no requirement to pay a bonus during the notice period.

If you have any questions or need further clarification, please let me know.

Thank you.

Dear fellow,

First of all, his eligibility for a bonus under the Act has to be checked. Assuming that he is eligible, in my view, no bonus is payable on the notice period. Statutory bonus is payable on wages earned for having worked by attending duties. The notice pay is a contractual obligation and cannot be equated with days worked.

Regards,
Vinayak Nagarkar
HR Consultant

What was his date of joining? How long did he work? Nobody pays attention to the notice period for a very new employee. Has he worked for at least the minimum number of working days (180 to 240 working days) as per the management decision? If so, he should be paid a bonus, which may be paid later along with the rest of the employees.

If an employee is working during the notice period and earns a salary, then the bonus is payable subject to eligibility.

Warm Regards,

Bharat Gera
HR Consultant