Deductions from Bonus & Time limit for payment of Bonus- Payment of Bonus Act(1965), Industrial Laws | Industrial Laws - B Com PDF Download

Where in any accounting year, an employee is found guilty of misconduct causing financial loss to the employer, then, itshall be lawful for the employer to deduct the amount of loss from the amount of bonus payable by him to the employeeunder this Act in respect of that accounting year only and the employee shall be entitled to receive the balance, if any.

Time limit for payment of bonus

All amounts payable to an employee by way of bonus under this Act shall be paid in cash by his employer —

(a) where there is a dispute regarding payment of bonus pending before any authority under section 22, within amonth from the date on which the award becomes enforceable or the settlement comes into operation, in respectof such dispute;

(b) in any other case, within a period of eight months from the close of the accounting year:Provided that theappropriate Government or such authority as the appropriateGovernment may specify in this behalf may, uponan application made to it by the employerand for sufficient reasons, by order, extended the said period of eight monthsto such further period or periods as it thinks fit; so, however, that the total period so extended shall not in any caseexceed two years.