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SSI Regulations » The Payment Of Bonus Act,
1985- To provide statutory obligations for payment of bonus to persons employed in certain establishments on the basis of profits or productivity.
Scope And Coverage
- Applicable all over India to factories under the Factories Act and to other establishments employing 20 or persons on any day during a year.
- Government can extend its coverage to establishments employing between 10 and 20 workers.
- Covers all workers including supervisors, managers, administrators, technical and clerical staff employed on salary or wages not exceeding Rs 2500/- per month.
Main Provision
- Eligibility for bonus.
- Payment of minimum and maximum bonus.
- Time limit for payment of bonus.
- Deductions from bonus.
- Computation of gross profits and available allocable surplus.
- Rights of employees.
When To Consult And Refer
- When the factory if registered under the Factories Act.
- When the number of employees in the establishment reaches 20 or above.
- When calculating the bonus.
