New Delhi, Sept. 8 -- Last month, the Labour Ministry issued two notifications on bonus eligibility and calculation. Employees earning up to Rs.21,000 per month may qualify for bonuses, subject to conditions.

For employees earning above this limit, bonus payments are not mandatory under these statutory provisions. The Code on Wages, 2019, explains eligibility, payment deadlines and remedies for unpaid bonuses.

To qualify, employees must work at least 30 days during the employer's accounting year. An accounting year is the yearly period used for the employer's financial accounts.

The minimum bonus is 8⅓% of wages earned, or Rs.100, whichever is higher. Generally, employers must pay this minimum even when no money is available for ...