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Tutorial 4: Some FAQ's related to Tut 1,2&3 under POBA, 1965

Tutorial 4: Some FAQ's related to Tut 1,2&3 under POBA, 1965

Welcome to Tutorial 4 in the series of "Understanding the Nitty Gritty of The Payment of Bonus Act". For further better understanding of all the 3 tutorials, we are incorporating certain FAQ's.These FAQ's are practical oriented which will assist in resolving queries encountered during our daily professional life concerning payment of bonuses to employees.


Q1) Mr. Shashank joined a CA firm as an Article Assistant. CA firm already employees 21 article assistants.?

A1) Employee definition expressly excludes Apprentice. Thus Mr. Shashank and rest 21 articles wont be eligible to receive Bonus.

 

Q2) Mr. Shrayan joined an office at Rs 20,000 p.m. Worked for 28 days.?

A2) Not eligible. Since worked<30 days.

 

Q3) Ms. Himani worked as"Probationer" for 40 days.

A3) Eligible. Probationer is an employee who is not yet permanent but is under training. If performs well, will become permanent employee. Like new nurses in hospital taking training under Head Nurse. If they perform well, they will become permanent.

 

Q4) Whether following employees are eligible to receive bonus if worked for 31 days?

-Retrenched Employee

-Temporary Worker

-Dismissed and reinstated employee(not on grounds of fraud/violent behaviour/theft)

-Piece rated employee

-Seasonal Employee

-Casual worker

A4) Yes, bonus is payable.

 

Q5) Employee dismissed on ground of misconduct?

A5) Misconduct is a broad term. It may mean misbehaviour,sub performance, negligence, etc.

Thus not eligible to receive bonus only when misconduct is related to:

-Fraud

-Violent Behaviour

-Theft, misappropriation or sabotage of property.

 

Q6) Ms. Shikha worked for 1 year at a salary of Rs 85,000.?

A6) Not eligible. Salary exceeds Rs 21,000.

 

Q7) An employee employed through contractors on building operations.?

A7) Eligible. 

 

Q8) Mrs. Sukriti started working in an establishment drawing a salary of Rs 20,000 on 1st Feb, 2016. Took maternity leave from 11th March, 2016.?

A8) Maternity leave with salary will be deemed to be working days.

Total days=29+31=60 days; Condition of 30 days satisfied.

Salary= Rs 20,000; Condition of upto Rs 21,000 salary satisfied.

Thus entitled to receive Bonus for year 2015-2016.

 

Q9) Mr. Ajay worked for 22 days. Laid off for 20 days under an agreement with the employer.

A9) Lay off period will be considered. Total days=42. Worked days>30. Thus Entitled.

 

This ends our FAQ's till tutorial 3. In forthcoming tutorial we will be discussing about "How to calculate the amount of Bonus".If you have crossed the hurdle of eligible employee and your employer is not exempt from payment of bonus, its time to claim monetary benefit in the form of bonus from your employer. To know the amount of bonus to which you will be eligible, wait for our next tutorial.