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Payment Of bonus act 1965

Karuna Sethi (CA) (838 Points)

25 February 2009

Is probationer entitled to bonus in definition of employee?

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Every employee shall be entitled to be paid by his employer in an accounting year, bonus, in accordance with the provisions of this Act, provided he has worked in the establishment for not less than thirty working days in that year.

A probationer is eligible for bonus. [Bank of Madura Ltd. v. Bank of Madura Employees' Union. 1970 Lab. I.C. 1215].

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Rahul Gupta (CA Final Student) (1780 Points)
Replied 25 February 2009

Hello Karuna

"employee" means any person (other than an apprentice) employed on a salary or wage not exceeding ⁷[three thousand and five hundred rupees] per mensem in any industry to do any skilled or unskilled manual, supervisory, managerial, administrative, technical or clerical work for hire or reward, whether the terms of employment be express or implied;

Probationers are eligible for bonus , they are employees on observation

Probationers are eligible to what is due for normal confirmed employees

Rajeev Nair (Finance Professional) (510 Points)
Replied 25 February 2009

And what about employees under Contract....?

and what would the % is it..8.33 ?

Arpit Gupta (Chartered Accountant ) (95 Points)
Replied 25 February 2009

After the Payment of Bonus (Amendment) Ordinance 2007, the employees employed though contractors are not entitled for getting bonus since they are expressly deprived from getting bonus (Sec. 32)

Karuna Sethi (CA) (838 Points)
Replied 26 February 2009

Then what is the difference between probationer & apprentice?

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Arpit Gupta (Chartered Accountant ) (95 Points)
Replied 26 February 2009

Originally posted by :Karuna Sethi
"	Then what is the difference between probationer & apprentice?	"

A probationer is a person who is on learning stage and is employed on trial basis while an apprentice is a person who is also on a learning stage but legaly bound under a contract with his employer.

Apprentice is not employed on trial basis. Apprentice is appointed under the Apprentice Act 1961 while the apprentice is employed under Probationer Act 1963

payal gupta (ca final student) (482 Points)
Replied 29 March 2009

Originally posted by :Arpit Kumar Gupta
"	After the Payment of Bonus (Amendment) Ordinance 2007, the employees employed though contractors are not entitled for getting bonus since they are expressly deprived from getting bonus (Sec. 32)	"

YOU UNDERSTAND IT IN WRONG WAY BECAUSE ACC.TO PAYMENT OF BONUS ACT,1965 THE WHOLE ACT IS NOT APPLICABLE ON "THE EMPLOYEES EMPLOYED THROUGH CONTRACTOR" BUT AFTER THE PAYMENT OF BONUS (AMENDMENT)ORDINANCE 2007 THESE WORDS ARE DELETED FROM THE NIN APPLICABILITY OF THI ACT MEANS NOW TH EMPLOYEES EMPLOYED THROUGH CONTRACTOR ARE ALSO ELIGIBLE FOR BONUS