Ordinance raises bonus ceiling by Rs 1,000

Written by:
Subscribe to Oneindia News

New Delhi, Oct 29 (UNI) President Pratibha Devisingh Patil has promulgated an ordinance, raising the eligibility for bonus from Rs 3,500 to Rs 10,000 a month and the ceiling for calculation from Rs 2,500 to Rs 3,500 with retrospective effect from April 1, 2006, the Labour Ministry announced today.

Amendment to clause (13) of Section 2 of the Payment of Bonus Act, 1965 raises the eligibility limit for payment of bonus from the salary or wage of Rs 3,500 per month to Rs 10,000 per month.

Amendment to Section 12 of the Act raises the ceiling for calculation purpose from the salary or wage of Rs 2,500 to Rs 3,500 per month.

Deletion of clause (vi) of Section 32 of the Act would cover the employees of contractors in building operations who would be entitled to receive bonus as per the revised ceilings, for the year 2006-07 and onwards.


Please Wait while comments are loading...