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Kishore Kumar Sethi (Self-Employed)     04 August 2009

Bonus

The employer has been making Bonus payments to all staff irrespective of the wages/salary being earned.  When I left the company, for the year the employer is declining the bonus payments saying that the salary was above bonus limit.  Salary was Rs. 24,000.00 per month.  Is it a law that any such payments made in the previous years can not be terminated and the employee is to be paid and this payment can not be discontinued.  It was bonus register the employee was signing and in fact bonus payment only and not ex-gratia payment.



Learning

 1 Replies

mahesh pandey (Vice President)     10 August 2009

mr. sethi,

u'll not be entitled 4 bonus under the payment of bonus act, 1965. Now if ur company has any better scheme than what is there under the payment of bonus act  then it may continue irrespective of salary cap, otherwise all payments made or disburshed over bonus act will be considered as Exgratia payment.

 


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