While declaring the Bonus for the employee for the particular financial (Ex.2009-10), the act says that the employees working not less that 30 days in that particular financial year will be eligible for Bonus. If in that particular year the Resigned and Left Service employee who serves more than 30 days are eligible or not ?
In accordance with the provisions of Section 2(13) of the Payment of Bonus Act, 1965 any person other than an apprentice employed on a salary or wage not exceeding Rs.10,000 (by notification dated 15th Nov. 2007) per mensem in any industry to do any skilled or unskilled, manual, supervisory, managerial, administrative, technical or clerical work for hire or reward whether the terms of employment be express or implied is eligible for bonus. Further, in accordance with the provisions of Section 8 of the Payment of Bonus Act, 1965 every employee of an establishment covered under the Act is entitled to bonus from his employer in an accounting year provided he has worked in that establishment for not less than thirty working days in the year on a salary less than Rs.10,000 per month.
Hence the left and resigned employees who served more than 30 days are entitled to bonus.
In case the employees have their Basic+DA less than or equal to Rs.10000 and have also worked for more than 30 days in a financial year then you will have to give them bonus for that financial year even if they now cease to be employees of your organization.
The rationale is that those who have ceased to be your employees now, were employees of your organization for a part of that financial year for which they are entitled to claim bonus. You cannot deny them bonus as they are statutorily eligible to receive the same.
In case of employees receiving more than 10000/-, you need to check up with their offer/appointment letter containing the terms of payment.
yes , that employee is entitile to get the bonus. but for calculation purpose you need total of basic + Da which you earned during the year ( In your case 262 days) . if the annual basic + DA is 57534/- (As you mentiond here) then the bonus amount woul be Rs. 4793/-
The basic was about Rs. 40k PM in the executive cadre in a private construction firm In the salary revision letter in Jun 2008, a payment under BONUS was 1 month's gross salary (Rs. 88k) (as per company policy is also mentioned). The bonus for 2008-09 (payable in FY 2009-10 was not paid. No revision took place until June 2010 after that. Further for 2009-10 payable in FY 2010-11 may also not be paid. In that case, it is the liability of the company to pay the amount as it was shown as a fixed payment and committed byy the company. This claim falls under what category?
M frind has now left the company and working elsewhere. Can this amount be claimed? If yes how to proceed? Please advice.