Dear All HR Professional.
I have joined in a firm as HR Executive from last month.
I observed that Facts :
1. The unit is new and not making any profits it is in its second year of operation.
2. The unit has permanent labour.
3. The unit has not make provision in the Balance Sheet of Last Year for payment of Bonus.
4. The Unit have issued the appointment letter, which has been mentioned the Bonus Amount is the part of CTC.
Questions are
1. Is The new unit is liable to pay bonus ?
2. If the Unit do not pay the Bonus, Will it be called discriminatory ?
3. If the unit is not make the provison for bonus in last year Balance Sheet, can it pay Bonus to Staff/Workrs
Would greatly appreciate fellow members views on this
From India, New Delhi
10I have joined in a firm as HR Executive from last month.
I observed that Facts :
1. The unit is new and not making any profits it is in its second year of operation.
2. The unit has permanent labour.
3. The unit has not make provision in the Balance Sheet of Last Year for payment of Bonus.
4. The Unit have issued the appointment letter, which has been mentioned the Bonus Amount is the part of CTC.
Questions are
1. Is The new unit is liable to pay bonus ?
2. If the Unit do not pay the Bonus, Will it be called discriminatory ?
3. If the unit is not make the provison for bonus in last year Balance Sheet, can it pay Bonus to Staff/Workrs
Would greatly appreciate fellow members views on this
From India, New Delhi
Dear Mohan,
By looking into this case as per my knowledge a new company is given exemption upto 3 years either if it pay bonus or doesn't pay bonus as per " The Payment Of Bonust Act, 1965 " to the employees. As we know no company can make profits at early years other than extreme scenarios so after the completion of 3 year and having relaxation of Bonus the Company/Industry/Factory should pay bonus to their Employees/Workers as per "Payment of Bonus Act", even it may getting loss or profits...... "It may extend it's bonus paying to Employees/Workers if it promises them to pay the total bonus at a time at regular intervals and get approval from the government by giving notification in the Official Gazette..
From India, Hyderabad
By looking into this case as per my knowledge a new company is given exemption upto 3 years either if it pay bonus or doesn't pay bonus as per " The Payment Of Bonust Act, 1965 " to the employees. As we know no company can make profits at early years other than extreme scenarios so after the completion of 3 year and having relaxation of Bonus the Company/Industry/Factory should pay bonus to their Employees/Workers as per "Payment of Bonus Act", even it may getting loss or profits...... "It may extend it's bonus paying to Employees/Workers if it promises them to pay the total bonus at a time at regular intervals and get approval from the government by giving notification in the Official Gazette..
From India, Hyderabad
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