AMENDMENT TO THE PAYMENT OF BONUS ACT, 1965
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 Rs.3500/- to Rs.10,000 per month.
ii) Amendment to section 12: To raise the ceiling for calculation purpose from the salary or wage of Rs.2500/- to Rs.3500/- per month,
The Minimum Rates of salaty / wages under the Minimum Wages Act, applicable to different 'Schedule Employments' are much more than Rs. 3500/= Per month. Does it mean that Bonus is NOT payable even on the "Minimum wage Rates' ? iIf yes, Is it logical ?