The Lok Sabha on Tuesday passed a bill to amend the act on bonus payments to double, to Rs.7,000 per month, the wage ceiling for calculating bonus for factory workers and of some other establishments.
The Payment of Bonus (Amendment) Bill, 2015 was passed after a reply by Labour Minister Bandaru Dattatreya.
The Payment of Bonus Act, 1965, provides for annual payment of bonus to employees of certain establishments including factories and establishments employing 20 or more persons, and the amendment seeks to increase eligibility limit for payment of bonus to employees whose salary is up to Rs.21,000 per month from the present Rs.10,000 per month.
The bill also seeks to raise ceiling for calculation of bonus to Rs.7,000 per month or the minimum wage notified from the present Rs.3,500 per month.
