One of our permanent employees left the organization in Nov 2018. The company has declared a 1/2-month CTC as a bonus for Diwali 2019. Now, this employee who left the company is asking for the bonus. Should we pay him the bonus or not because he left the company in Nov 2018 itself? We have paid him his dues in full and final settlement, including Gratuity and Leave encashment. Please advise.
From India, Hyderabad
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3From India, Hyderabad
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The statutory bonus at 8.33% of the salary earned for the period from 1st April 2018 until leaving the company should be paid as a bonus to the employee who left the service, provided that during this period he has worked for 30 days.
From India, Kannur
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From India, Kannur
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As per bonus act 1965 The employee who have completed 30 days in a year those employees are eligible for bonus. As per my knowledge bonus amount did not show in full and final settlement.
From India, Hyderabad
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From India, Hyderabad
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As rightly discussed above, if a person worked for a minimum period of 30 days in any financial year, he will automatically be paid a bonus as may be decided by the company, subject to loss of pay deductions if any. It does not matter whether the person is continuing or has left the organization; if one is eligible as per the Bonus Act, he has to be paid.
From India, Visakhapatnam
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From India, Visakhapatnam
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Full n final settlement.doc
Full & Final Payment.xls