:?: Whether the Bonus wage/salary limit has increased to Rs.10000/per month from the existing Rs.3500/pm. :?: Whether section 12 of the act has changed or the calculations are based at Rs.2500/pm
From India, Pune
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1From India, Pune
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Yes, the bonus wage/salary limit has increased to Rs. 10,000 per month from the existing Rs. 3,500 per month. Section 12 of the act has changed; the calculations are based on Rs. 3,500 per month from the existing Rs. 2,500 per month.
From India, New+Delhi
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From India, New+Delhi
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Dear Jose,
I had also posted the same query. The confusion arises from the fact that the applicability date has not been announced yet. Therefore, it is uncertain whether the calculation should be based on 2500 or 3500.
If you come to know the right answer, please inform me as well.
Regards,
Shilpi
From India, New Delhi
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I had also posted the same query. The confusion arises from the fact that the applicability date has not been announced yet. Therefore, it is uncertain whether the calculation should be based on 2500 or 3500.
If you come to know the right answer, please inform me as well.
Regards,
Shilpi
From India, New Delhi
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Dear Shilpy and Jose,
This is the latest news I have. According to this, I have come to know that this will be applicable from April 2006 to March 2007, for which we are ready to pay.
Centre approves amendment in Bonus Act
Tuesday, October 30, 2007 10:59 [IST]
New Delhi: The Centre has promulgated an ordinance approving changes in the Payment of Bonus Act, which would make workers drawing up to Rs 10,000 monthly salary eligible for an annual bonus.
President Pratibha Devisingh Patil promulgated the Payment of Bonus (Amendment) Ordinance of 2007 on October 27, an official release said here today.
Hitherto, only those having a monthly salary of up to Rs 3,500 were eligible to claim a bonus.
The Cabinet on October one had approved the amendment to Section 12 of the Act "to raise the eligibility limit for the payment of bonus from the salary or wage of Rs 3,500 to Rs 10,000 per month".
The decision would benefit seven per cent of the total workforce in the country working in the organized sector.
The payout proposal is broadly in line with the recommendations of the 41st session of the Indian Labour Conference (ILC) held in April this year, and is the result of a long-pending demand of the trade unions, particularly by the CPI (M)-affiliated Centre for Indian Trade Unions (CITU).
Source: PTI
From India, New+Delhi
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This is the latest news I have. According to this, I have come to know that this will be applicable from April 2006 to March 2007, for which we are ready to pay.
Centre approves amendment in Bonus Act
Tuesday, October 30, 2007 10:59 [IST]
New Delhi: The Centre has promulgated an ordinance approving changes in the Payment of Bonus Act, which would make workers drawing up to Rs 10,000 monthly salary eligible for an annual bonus.
President Pratibha Devisingh Patil promulgated the Payment of Bonus (Amendment) Ordinance of 2007 on October 27, an official release said here today.
Hitherto, only those having a monthly salary of up to Rs 3,500 were eligible to claim a bonus.
The Cabinet on October one had approved the amendment to Section 12 of the Act "to raise the eligibility limit for the payment of bonus from the salary or wage of Rs 3,500 to Rs 10,000 per month".
The decision would benefit seven per cent of the total workforce in the country working in the organized sector.
The payout proposal is broadly in line with the recommendations of the 41st session of the Indian Labour Conference (ILC) held in April this year, and is the result of a long-pending demand of the trade unions, particularly by the CPI (M)-affiliated Centre for Indian Trade Unions (CITU).
Source: PTI
From India, New+Delhi
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Dear Friend,
Kindly click on the following link. It will provide you with the required information: https://www.citehr.com/download-list...yment+of+Bonus
Please let me know if this information was useful. If not, I can try to find more information to share.
Regards,
Mohamed Sardhar
91 93831 93832
From India, Coimbatore
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Kindly click on the following link. It will provide you with the required information: https://www.citehr.com/download-list...yment+of+Bonus
Please let me know if this information was useful. If not, I can try to find more information to share.
Regards,
Mohamed Sardhar
91 93831 93832
From India, Coimbatore
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Dear Sardhar, Stop this same practice everytime. this has no use and and no connection with this topic.
From India, New+Delhi
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From India, New+Delhi
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Dear Shilpy,
You are always welcome. If you need official information about this to show your seniors, you can use the following link: http://pib.nic.in/release/release.asp?relid=32264. Now I think this topic should end.
From India, New+Delhi
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You are always welcome. If you need official information about this to show your seniors, you can use the following link: http://pib.nic.in/release/release.asp?relid=32264. Now I think this topic should end.
From India, New+Delhi
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Dear Mr. Bhatt,
Thank you so much for the criticism. I am happy that I am criticized. Thank you, Ms. Shilpi, for the same thought. Let me know on what basis the same has no relevance to the topic.
I always believe in the following: Teach a person how to fish instead of giving a fish, so that he gets fish for his lifetime. Giving direct answers to any query makes the person lazy and also his knowledge level might be limited to ask only queries. If you give him the link, he will put his effort into getting the answer and also will get more information.
Criticism makes a man perfect.
From India, Coimbatore
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Thank you so much for the criticism. I am happy that I am criticized. Thank you, Ms. Shilpi, for the same thought. Let me know on what basis the same has no relevance to the topic.
I always believe in the following: Teach a person how to fish instead of giving a fish, so that he gets fish for his lifetime. Giving direct answers to any query makes the person lazy and also his knowledge level might be limited to ask only queries. If you give him the link, he will put his effort into getting the answer and also will get more information.
Criticism makes a man perfect.
From India, Coimbatore
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AMENDMENT TO THE PAYMENT OF BONUS ACT, 1965
14:45 IST
The Cabinet in its meeting held on October 1, 2007, has approved the Amendments to the Payment of Bonus Act, 1965, which are as follows:
i) Amendment to Section 2(13): To raise the eligibility limit for payment of bonus from the salary or wage of to Rs. 10,000 per month.
ii) Amendment to Section 12: To raise the ceiling for calculation purposes from the salary or wage of to per month, and;
iii) Deletion of Section 32(vi): To cover the employees employed through contractors on building operations.
SH/CS
http://pib.nic.in/release/release.asp?relid=31572
From India, Coimbatore
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14:45 IST
The Cabinet in its meeting held on October 1, 2007, has approved the Amendments to the Payment of Bonus Act, 1965, which are as follows:
i) Amendment to Section 2(13): To raise the eligibility limit for payment of bonus from the salary or wage of to Rs. 10,000 per month.
ii) Amendment to Section 12: To raise the ceiling for calculation purposes from the salary or wage of to per month, and;
iii) Deletion of Section 32(vi): To cover the employees employed through contractors on building operations.
SH/CS
http://pib.nic.in/release/release.asp?relid=31572
From India, Coimbatore
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Dear Mr. SARDHAR,
I appreciate your view, and that's true. When I opened your link, it led to PowerPoint, PDF, and Word files, but there was no document clarifying the latest amendment. In the attachment I posted today, you can see the ordinance's effectiveness.
If you feel hurt, I apologize for the same. My intention was not to do so.
Thanks
From India, New+Delhi
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I appreciate your view, and that's true. When I opened your link, it led to PowerPoint, PDF, and Word files, but there was no document clarifying the latest amendment. In the attachment I posted today, you can see the ordinance's effectiveness.
If you feel hurt, I apologize for the same. My intention was not to do so.
Thanks
From India, New+Delhi
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Dear Friends,
It has been published in Dainik Bhaskar dated 30.10.2007 on page No. 4 that the President of India has approved an amendment to the Bonus Act of 1965. The limit for the calculation of bonus has been increased by Rs. 1000/- from Rs. 2500/- to Rs. 3500/-. Employees of Public and Private Sectors drawing a salary up to Rs. 10000/- per month will be eligible to receive a bonus. This amendment will be effective from 01 April 2006.
This is for your information.
With due regards,
Sudhir Kumar Moudgal
Email: sudhirkrmoudgal@yahoo.com
Mobile No.: 9891992792
From India, Delhi
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It has been published in Dainik Bhaskar dated 30.10.2007 on page No. 4 that the President of India has approved an amendment to the Bonus Act of 1965. The limit for the calculation of bonus has been increased by Rs. 1000/- from Rs. 2500/- to Rs. 3500/-. Employees of Public and Private Sectors drawing a salary up to Rs. 10000/- per month will be eligible to receive a bonus. This amendment will be effective from 01 April 2006.
This is for your information.
With due regards,
Sudhir Kumar Moudgal
Email: sudhirkrmoudgal@yahoo.com
Mobile No.: 9891992792
From India, Delhi
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Dear all according to the circular it is with retrospective effect from 1st april 2006. regards jaychandran
From India, Panvel
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From India, Panvel
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Dear All,
Thanks for the clarifications provided by all of you. Problem solved.
Sardhar - It's not criticism from any one of us, and I do appreciate that you teach us how to fish. Along with the fish, we get many other useful things. If you fish and give us, we won't be able to acquire those as well as the skill of fishing. So, thanks a lot.
It's only that in this case, the amendments in the link are known to all of us. The confusion stemmed from something else, which was the latest announcement and had not been posted yet.
So please keep on teaching fishing and smile! 😃😃😃
Regards,
Shilpi
From India, New Delhi
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Thanks for the clarifications provided by all of you. Problem solved.
Sardhar - It's not criticism from any one of us, and I do appreciate that you teach us how to fish. Along with the fish, we get many other useful things. If you fish and give us, we won't be able to acquire those as well as the skill of fishing. So, thanks a lot.
It's only that in this case, the amendments in the link are known to all of us. The confusion stemmed from something else, which was the latest announcement and had not been posted yet.
So please keep on teaching fishing and smile! 😃😃😃
Regards,
Shilpi
From India, New Delhi
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Dear Sardharji, Your comments are value added You may way of giving answers are very good and covering the same topic in different angles. Continue the same. Ashok Hwashin
From India, Madras
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From India, Madras
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Well said Mr.Sardhar, Thank you very much for posting such a useful link. All my doubts regarding bonus are cleared now. Thank u once again...keep posting... regards Veerendra
From United States
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From United States
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Please guide me about employees engaged on Contract basis in a Central Govt. of India Enterprise drawing salary below 10000 p.m. are eligible to get bonus as per latest amendment. Regards Arindam
From India, Jalandhar
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From India, Jalandhar
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Please guide me about employees engaged on a contract basis in a Central Government of India enterprise drawing a salary below 10000 p.m. Are they eligible to receive a bonus as per the latest amendment of the act?
Regards,
Arindam
From India, Jalandhar
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Regards,
Arindam
From India, Jalandhar
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Please guide me about employees engaged on Contract basis in a Central Govt. of India Enterprise drawing salary below 10000 p.m. are eligible to get bonus as per latest amendment. Regards Arindam
From India, Jalandhar
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From India, Jalandhar
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Salary and wages are defined as under in the Payment of Bonus Act:
"Salary or wage" means all remuneration (other than remuneration in respect of overtime work) capable of being expressed in terms of money, which would, if the terms of employment, express or implied, were fulfilled, be payable to an employee in respect of his employment or of work done in such employment. It includes dearness allowance (that is, all cash payments, by whatever name called, paid to an employee, on account of a rise in the cost of living) but does not include:
(i) any other allowance to which the employee is entitled at the time;
(ii) the value of any house accommodation or supply of light, water, medical attendance, or other amenity, or any service, or any concessional supply of food grain or other articles;
(iii) any traveling concession;
(iv) any bonus, including incentive, production, and attendance bonus;
(v) any contribution paid or payable by the employer to any pension fund or provident fund or for the benefit of the employee under any law for the time being in force;
(vi) any retrenchment compensation, gratuity, retirement benefit payable to the employee, or any ex-gratia payment made to him;
(vii) any commission payable to the employee.
Explanation: Where an employee is given, in lieu of the whole or part of the salary or wage payable to him, a free food allowance or free food by his employer, such food allowance or the value of such food shall, for the purpose of this clause, be deemed to form part of the salary or wage of such employee.
In our company, we have the following parameters under which the salary is paid. Kindly advise on which parameters should be considered for arriving at the eligibility for Bonus (i.e., the limit of Rs. 10,000 per month)?
1. Basic
2. Dearness Allowance
3. Special Allowance (percentage of Basic)
4. House Rent Allowance (percentage of Basic)
5. Conveyance (fixed)
Thank you in anticipation.
Regards,
Tejas
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"Salary or wage" means all remuneration (other than remuneration in respect of overtime work) capable of being expressed in terms of money, which would, if the terms of employment, express or implied, were fulfilled, be payable to an employee in respect of his employment or of work done in such employment. It includes dearness allowance (that is, all cash payments, by whatever name called, paid to an employee, on account of a rise in the cost of living) but does not include:
(i) any other allowance to which the employee is entitled at the time;
(ii) the value of any house accommodation or supply of light, water, medical attendance, or other amenity, or any service, or any concessional supply of food grain or other articles;
(iii) any traveling concession;
(iv) any bonus, including incentive, production, and attendance bonus;
(v) any contribution paid or payable by the employer to any pension fund or provident fund or for the benefit of the employee under any law for the time being in force;
(vi) any retrenchment compensation, gratuity, retirement benefit payable to the employee, or any ex-gratia payment made to him;
(vii) any commission payable to the employee.
Explanation: Where an employee is given, in lieu of the whole or part of the salary or wage payable to him, a free food allowance or free food by his employer, such food allowance or the value of such food shall, for the purpose of this clause, be deemed to form part of the salary or wage of such employee.
In our company, we have the following parameters under which the salary is paid. Kindly advise on which parameters should be considered for arriving at the eligibility for Bonus (i.e., the limit of Rs. 10,000 per month)?
1. Basic
2. Dearness Allowance
3. Special Allowance (percentage of Basic)
4. House Rent Allowance (percentage of Basic)
5. Conveyance (fixed)
Thank you in anticipation.
Regards,
Tejas
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