If a Private Ltd Company follows a calender year (Jan-Dec) to calculate bonus.
And, further it pays that bonus in the following year (in the month of March with March's salary). The policy of the company states that if an employee is present till 31 March (on bonus payment date) will only get bonus for the said period (Jan-Dec - previous year) and if he doesn't then he will not get it. Even, if an employee leaves the company on 25 March then also he is not eligible to get the same for the period (Jan - Dec).
However, please advice if this is correct and such policies can be in force and if not then can an employee has any scope to challenge this?.
08 October 2013
This is actually not statutory bonus but ex gratia that generally people call bonus, exgratia payment is totally depend on company thy can have any kind of policy. for statutory bonus company can not make such rules and if employee leaves company he has to get bonus proportionately..
CAclubindia
