Bonus

Ask the Community
1

Dear All,

Greetings !

If any worker / employee leaves the job after 3 months of joining, then what if he is eligible for bonus after working 3 months, or after the probation period of 6 months is clear, he will be eligible??

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2

Hey @Shukla_Ajay ,

Bonus is something that is decided by the management and it’s purely up to the discretion of the management when and how to offer it. In case it’s mentioned in the agreement you may want to consult your CA on how to proceed on that based upon the terms and conditions.

Hope this helps.

Community Manager.

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3

Thanks for the information but as per my knowledge if any one on probation period and without completing probation time he or she left the job then they are not eligible for bonus

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4

@Shukla_Ajay ,

If you are talking about Annual Bonus/Performance bonus, then it will fully depend upon company internally policy and its management decision.

However as per law, there is Statutory Bonus in which employee need to work in a company at least 30 days in a Financial Year and his/her Actual Basic is upto 21000/- then employers need to pay Statutory Bonus amount to employees.

Hopefully its clear, let us know if you have any doubt.

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5

Dear @rohitjha ,

This is interesting, can you please share further information about the statutory bonus -

So, any employee who works in the company for at least 1 month in a certain financial year and his actual basic is at max 21000 - this will eligible him to get statutory bonus? is there any percentage that must be given as per law?

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6

Hi @Ludy

Yes, minimum percentage is 8.33% and Maximum is 20%. Also it will calculate on the basis of minimum wages.

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7

thanks ROhitjha for the info.

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8

Thank you rohitjha :slight_smile:

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9

Hi Ajay,
As per Bonus Act, if any employees worked for minimum of 30days in the FY, irrespective of probation period he/she is eligible for Bonus payment. But the criteria for Statutory Bonus is if the Monthly Gross/ wages is less or equal to Rs.21000/- only it is applicable. And the Minimum 8.33% and Maximum 20% can be considered based on the company profits, also up to a limit of Rs.1400/- per month. If the monthly salary is above to Rs.21000/- it can be considered as Exgratia and the payment will be at Managements Discretion.

Hope this clarifies you.

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