Hi,
Thanks for the info but I got this off the net:
Govt to discuss linking bonus with profit
New Delhi, Nov 27 (PTI) The Government today said it will discuss with managements the proposals of trade unions to link the payment of bonus with profitability of companies rather than fixing a ceiling on this beneift.
"If there is a possibility to link bonus with profitability, we will discuss it with managements," Labour Minister Oscar Fernandes said in Rajya Sabha replying to a debate on the Payment of Bonus (Amendment) Bill, 2007 which was passed by the House.
The Bill, which replaces the ordinance brought by government in October for raising the limit of monthly salary of industrial workers to be eligible for annual bonus to Rs 10,000 from Rs 3,500 earlier, has already been passed by the Lok Sabha.
Responding to a demand by members, Fernandes said his Ministry would facilitate a meeting between those working in private schools and nursing homes with their managements so that these sectors were also covered under the Bonus Act.
He said the ceiling of Rs.10,000 was well above Rs.7,500 recommended by the Labour Commission which was achieved after the Government intervened for a consensus between the workers and the managements.
The Bill also proposes to extend the bonus benefits to all construction workers employed by builders or contractors, even if they have worked for a month. However, they would get bonus proportionately, if they worked for less than a year.
Through the Bill, the calculation limit of salary for bonus has also been raised from Rs 2,500 to Rs 3,500 per month.
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Chanchal