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Labour Department issues guidelines on bonus payments in PSUs

The public sector undertaking units which started production in the last five accounting years can provide the minimum bonus to its employees. 

Published: 09th August 2018 04:51 AM  |   Last Updated: 09th August 2018 04:51 AM   |  A+A-

Kerala Labour Minister TP Ramakrishnan (File | EPS/A Sanesh)

By Express News Service

THIRUVANANTHAPURAM: The Labour Department on Wednesday issued guidelines for payment of bonus to employees in public sector undertakings (PSUs) in which the state has major stakes, for 2017-18, fixing the minimum bonus amount at 8.33 per cent of the basic pay. Those firms which are ready to give a bonus of over 8.33 per cent should ensure their audit is completed. The public sector undertaking units which started production in the last five accounting years can provide the minimum bonus to its employees. 

An employee who worked at least 30 days in a year is eligible to get bonus. The profit-making PSU units in 2017-18 financial year should give away the bonus as per the provisions of the Payment of 
Bonus Act. If the allowable surplus comes over 20 per cent, it should be disbursed with the permission of the state government, the department instructed.The bonus ceiling limit for the state government staff was enhanced to `24,000, an increase of `3,000 from the previous year.  For instance, all employees who draw a salary of up to `24,000 will be eligible for bonus at 8.33 per cent. 

Those not eligible for bonus would be paid special festival allowance, the office of the Labour Commissioner said in an official statement.The state government is of the opinion benefits should cover the employees in the unorganised traditional sectors in the state, said Labour Minister TP Ramakrishnan.
The pension arrears for the beneficiaries in the various sectors will be cleared by the state government before Onam, the minister said. Though the state was facing a financial crisis, the state government is ready to provide the due share of the employees, he added.

The bonus ceiling limit for the state government staff was enhanced to E24,000, an increase of E3,000 from the previous year. For instance, all employees who draw a salary of up to E 24,000 will be eligible for bonus at 8.33 per cent. 



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