Hi
our factory registered under Karnataka factories & boilers as a separate division under the parent company located in other state. Parent company has got multiple businesses and the Profit & Loss account maintained for each business division separately and it has mentioned in parent company's cumulative balance sheet.
Since Karnataka unit is under loss and we have paid minimum statutory bonus of 8.33% on MW applicable to workers.
Bonus computed based on bonus act 1965- ( allocable or available surplus).
my question is - overall, as a group company, if it is profitable- do we need to pay more bonus on available surplus to loss making
unit though the P&L account for the sub division shows it is under loss in overall company balance sheet.
legality of restricting 8.33% bonus is justifiable on account of losses incurred to particular sub division- Looking for your expert advice
regards
Shaju
Bangalore
From India, Bangalore
4our factory registered under Karnataka factories & boilers as a separate division under the parent company located in other state. Parent company has got multiple businesses and the Profit & Loss account maintained for each business division separately and it has mentioned in parent company's cumulative balance sheet.
Since Karnataka unit is under loss and we have paid minimum statutory bonus of 8.33% on MW applicable to workers.
Bonus computed based on bonus act 1965- ( allocable or available surplus).
my question is - overall, as a group company, if it is profitable- do we need to pay more bonus on available surplus to loss making
unit though the P&L account for the sub division shows it is under loss in overall company balance sheet.
legality of restricting 8.33% bonus is justifiable on account of losses incurred to particular sub division- Looking for your expert advice
regards
Shaju
Bangalore
From India, Bangalore
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