Grant of Non-Productivity Linked Bonus (ad-hoc bonus) to Central Government Employees for the year 2016-17.

No.7/4/2014/E III (A)

Government of India

Ministry of Finance

Department of Expenditure

(E III-A Branch)

North Block, New Delhi

19th September 2017

OFFICE MEMORANDUM

Subject: Grant of Non-Productivity Linked Bonus (ad-hoc bonus) to Central Government Employees for the year 2016-17.

The undersigned is directed to convey the sanction of the President to the grant of Non-Productivity Linked Bonus (Ad-hoc Bonus) equivalent to 30 days emoluments for the accounting year 2016-17 to the Central Government employees in Group ‘C’ and all non-gazetted employees in Group B, who are not covered by any Productivity Linked Bonus Scheme. The calculation ceiling for payment of ad-hoc Bonus under these orders shall be monthly emoluments of Rs. 7000/-, as revised w.e.f 01/04/2014 vide OM No.7/4/2014-E.III(A), dated 29th August, 2016. The payment of ad-hoc Bonus under these orders will also be admissible to the eligible employees of Central Para Military Forces and Armed Forces. The orders will be deemed to be extended to the employees of Union Territory Administration which follow the Central Government pattern of emoluments and are not covered by any other bonus or ex-gratia scheme.

2. The benefit will be admissible subject to the following terms and conditions:-

(l) Only those employees who were in service as on 31.3.2017 and have rendered at least six months of continuous service during the year 2016-17 will be eligible for payment under these orders. Pro-rata payment will be admissible to the eligible employees for period of continuous service during the year from six months to a full year, the eligibility period being taken in terms of number of months of service (rounded off to the nearest number of months);

(ii) The quantum of Non-PLB (ad-hoc bonus) will be worked out on the basis of average emoluments/calculation ceiling whichever is lower. To calculate Non- PLB (Ad-hoc bonus) for one day, the average emoluments in a year will be divided by 30.4 (average number of days in a month). This will, thereafter, be multiplied by the number of days of bonus granted. To illustrate, taking the calculation ceiling of monthly emoluments of Rs. 7000 (where actual average emoluments exceed Rs. 7000), Non-PLB (Ad-hoc Bonus) for thirty days would work out to Rs. 7000×30/30.4=Rs.6907.89 (rounded off to Rs.6908/-).

(iii) The casual labour who have worked in offices following a 6 days week for at least 240 days for each year for 3 years or more (206 days in each year for 3 years or more in the case of offices observing 5 day week), will be eligible for this Non-PLB (Ad-hoc Bonus) Payment. The amount of Non-PLB (ad-hoc bonus) payable will be (Rs.1200×30/30.4 i,e.Rs.1184 21 (rounded off to Rs.1184/-). in cases where the actual emoluments fall below Rs.1200/- p.m., the amount will be calculated on actual monthly emoluments.

(iv) All payments under these orders will be rounded off to the nearest rupee.

(v) Various points regarding regulation of Ad-hoc I Non- PLB Bonus are given in the Annexure.

3. The expenditure on this account will be debitable to the respective Heads to which the pay and allowances of these employees are debited.

4. The expenditure to be incurred on account of Non-PLB (Ad-hoc Bonus) is to be met from within the sanctioned budget provision of concerned Ministries/Departments for the current year.

5. In so far as the persons serving in the Indian Audit and Accounts Department are concerned. these orders are issued in consultation with the Comptroller and Auditor General of India.

Sd/-

(Amar Nath Singh)

Director

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Grant of Non-Productivity Linked Bonus (Ad-hoc Bonus) to Central Government Employees for the year 2015-16.

No.7/24/2007/E III (A)

Government of India

Ministry of Finance

Department of Expenditure

(E III-A Branch)

North Block,New Delhi

3rd October,2016

OFFICE MEMORANDUM

Subject: Grant of Non-Productivity Linked Bonus (ad-hoc bonus) to Central Government Employees for the year 2015-16.

The undersigned is directed to convey the sanction of the President to the grant of Non-Productivity Linked Bonus (Ad-hoc Bonus) equivalent to 30 days emoluments for the accounting year 2015-16 to the Central Government employees in Groups ‘C’ and ‘D’ and all non-gazetted employees in Group ‘B’, who are not covered by any Productivity Linked Bonus Scheme. The calculation ceiling for payment of ad-hoc Bonus under these orders shall be monthly emoluments of Rs. 7000/-, as revised w.e.f 01/04/2014 vide OM No.7/4/2014-E.III(A), dated 29th August, 2016. The payment of ad-hoc Bonus under these orders will also be admissible to the eligible employees of Central Para Military Forces and Armed Forces. The orders will be deemed to be extended to the employees of Union Territory Administration which follow the Central Government pattern of emoluments and are not covered by any other bonus or ex-gratia scheme.

2. The benefit will be admissible subject to the following terms and conditions:-

(i) Only those employees who were in service as on 31.3.2016 and have rendered at least six months of continuous service during the year 2015-16 will be eligible for payment under these orders. Pro-rata payment will be admissible to the eligible employees for period of continuous service during the year from six months to a full year, the eligibility period being taken in terms of number of months of service (rounded off to the nearest number of months);

(ii) The quantum of Non-PLB (ad-hoc bonus) will be worked out on the basis of average emoluments/calculation ceiling whichever is lower. To calculate NonPLB (Ad-hoc bonus) for one day, the average emoluments in a year will be divided by 30.4 (average number of days in a month). This will, thereafter, be multiplied by the number of days of bonus granted. To illustrate, taking the calculation ceiling of monthly emoluments of Rs. 7000 (where actual average  emoluments exceed Rs. 7000), Non-PLB (Ad-hoc Bonus) for thirty days would work out to Rs. 7000×30/30.4=Rs.6907.89 (rounded off to Rs.6908/-).

(iii) The casual labour who have worked in offices following a 6 days week for at least 240 days for each year for 3 years or more (206 days in each year for 3 years or more in the case of offices observing 5 day week), will be eligible for this Non-PLB (Ad-hoc Bonus) Payment. The amount of Non-PLB (ad-hoc bonus) payable will be (Rs.1200×30/30.4 i.e.Rs.1184.21 (rounded off to Rs.1184/-). In cases where the actual emoluments fall below RS.1200/- p.m., the amount will be calculated on actual monthly emoluments.

(iv) All payments under these orders will be rounded off to the nearest rupee.

(v) The clarificatory orders issued vide this Ministry’s OM No.F.14 (10)-E.Coord/88 dated 4.10.1988, as amended from time to time, would hold good.

3. The expenditure on this account will be debilable to the respective Heads to which the pay and allowances of these employees are debited.

4. The expenditure to be incurred on account of Non-PLB (Ad-hoc Bonus) is to be met from within the sanctioned budget provision of concerned Ministries/Departments for the current year.

5. In so far as the persons serving in the Indian Audit and Accounts Department are concerned, these orders are issued in consultation with the Comptroller and Auditor General of India.

Sd/-

(Amar Nath Singh)

Director

Source:http://finmin.nic.in/the_ministry/dept_expenditure/notification/bonus/03-10-2016EH.pdf

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Raising of Bonus payment Ceiling to Central Government Employees

F.No.7/4/2014-E-III(A)

Government Of India

Ministry Of Finance

Department Of Expenditure

(E-IIIA Branch)

North Block, New Delhi

Dated the 15th/25th Feb.2016

To,

Sh.Shiva Gopal Mishra

Secretary (staff-Side)

Joint Consultative Machinery (JCM)

13-C, Ferozshah Road

New Delhi – 110 001

Subject: Raising of Bonus payment Ceiling to Central Government Employees

Sir,

I am directed to refer to your L.No.NC-JCM-2015-S.C. dated 11.1.2016 on the subject mentioned above and to say that the issue raised therein has been considered.

2. At the outset, till now there has not been a complete parity between payment of Bonus Act, 1965 and the bonus for Central Government Employees in regard to the two different ceilings. one relating to the calculation and the other relating to eligibility. While the calculation ceiling has been the same, the eligibility ceiling has been different and even the revised eligibility ceiling of Rs.21000 under the amended payment of Bonus Act,1965 is not higher than that in case of the Central Government Employees where all non-gazetted employees are eligible for bonus. This being so, a complete parity for the purpose of calculation ceiling of Rs.7000 p.m.that too, from 1.1.2014, is not justifiable.

3. Most importantly, the 7th Central Pay Commission, which has gone into the issue of bonus scheme in detail in respect of the Central Government employees, has felt that instead of bonus, there should be introduced the performance Related Pay (PRP) for all categories of Government Employees and the PRP should subsume the existing bonus scheme. The Commission has further recommended that since there would be a time log in implementing the PRP, the existing scheme should be reviewed and linked with increased profitability/productivity under the well-defined parameters. The recommendations of the commission are separately being examined and an appropriate view would be taken as and when the Government decision on the recommendations of the 7th Central Pay Commission is known. Till such time, therefore, it may not be possible to revisit the issue of calculation ceiling in case of Central Government Employees for the purpose of PLB/ad-hoc bonus.

4. This has the approval of the Finance Secretary

Yours Sincerely,

Sd/-

(Ashok Kumar)

Under Secretary to the Govt. of India

Ph:23095650

Source: www.confederationhq.blogspot.in

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Grant of Non-Productivity Linked Bonus (Ad-hoc Bonus) to Central Government Employees for the year 2014-15 — Extension of orders to Autonomous Bodies.

F.No.7/22/2008 E-III(A)

Government of India

Ministry of Finance

Department of Expenditure

E III (A) Branch

New Delhi, the 26th October, 2015.

OFFICE MEMORANDUM

Subject:- Grant of Non-Productivity Linked Bonus (Ad-hoc Bonus) to Central Government Employees for the year 2014-15 — Extension of orders to Autonomous Bodies.

Orders have been issued vide this Ministry’s Office Memorandum No.7/24/2007 E-III(A) dated 16th October, 2015 authorizing 30 days emoluments as Non-PLB (Ad-hoc bonus) for the accounting year 2014-15 to the eligible Central Government employees not covered by the Productivity Linked Bonus Schemes, subject to terms and conditions laid down therein.

2. The undersigned is directed to say that it has now been decided that the Non-PLB (Ad-hoc) bonus so admissible subject to the terms and conditions laid down in the aforesaid orders, may be extended to the employees of autonomous bodies, partly or fully funded by the Central Government which (i) follow the pattern of pay structure and emoluments identical to that of the Central Government and (ii) do not have any bonus or ex-gratia or incentive scheme in operation.

3. In case of doubt as to the operation of these orders the clarificatory orders, circulated vide this Ministry’s O.M. No.14(10)E-Coord/88 dated 4.10.88, as amended from time to time, may be kept in view, mutatis mutandis.

4. Any request for funding by the Government to meet the liability on account of Non-PLB (Ad-hoc bonus) in respect of various autonomous organizations would not be considered by the administrative Ministries concerned, as the expenditure on Non-PLB (Ad-hoc bonus) should be met from within the existing budgetary provisions of the respective organizations. While the Autonomous Bodies not funded by the Central Government may also adopt these orders as per their own administrative and financial judgment in respect of their employees, no liability for funding will, in any case, lie on the Central Government on this account.

Sd/-

(Amar Nath Singh)

Deputy Secretary to the Govt. of India

Source:http://finmin.nic.in/the_ministry/dept_expenditure/notification/bonus/26-10-2015.pdf

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Bonus Issue – Report on detailed discussions and conclusions of 46th ILC

Removal of Conditions on payment Ceiling eligibility Limits, Decisions to pay Minimum Bonus without linking to loss when the performance indicator satisfy grant of bonus- The major conclusions emanating from the discussions in the committee are as follows:

The Conference committee on amendment of Bonus Act – Removal of Conditions on Payment Ceiling, Eligibility Limits. Decisions to pay Minimum Bonus without linking to loss when the performance indicator satisfy grant of bonus constituted to discuss the Agenda item No. 3 of 46th session of the Indian Labour Conference met under the chairmanship of Captain Abhimanyu, Minister of Labour, Govt. of Haryana. Shri Om Prakash Mittal, General Secretary, Laghu Udyog Bharti (LUB) and Ms. Meenakshi Gupta and Mr. B.B. Mallick, Joint Secretary, MoLE respectively were the Vice-Cheirman and Member Secretary of the Committee. The Committee had the representation of all the stake-holders (Workers’ Group, Employers’ Group and State Government).

2. At the very outset, the chairman of the committee welcomed all the representatives. He observed that the issue of bonus has been pending for long.

He expressed the hope that all the partners would understand and appreciate the position of each other and give recommendations keeping in the view the larger national interest. The Vice-Chairman also welcomed all the Members. Thereafter, the Member Secretary introduced the subject. The agenda has following 3 issues:-

(i) Removal of calculation ceiling;

(ii) Removal of Eligibility Limit; and

(iii) Decisions to pay Minimum Bonus without Linking to loss when the performance indicator satisfy grant of bonus.

3. It was mentioned that last revision in the limits (Calculation Ceiling – Rs. 3500 and Eligibility Limit-RS. 10,000) was done in 2007 based on the recommendations of the 41st ILC.

4. The committee had very intense detailed discussions on all the aspects of the Agenda Item no. 3.

(i) The Trade Unions were of the view that all the ceilings under the payment of Bonus Act. 1965 i.e. eligibility ceiling, calculation ceiling and maximum percent of bonus payable need to be removed. They further expressed that they would like to reiterate the stand taken by them in the tripartite meeting held on 20 October, 2014.

(ii) The Employers, representatives were of the view that total removal of various ceilings may lead to spurt in industrial relation issues. They observed that while making any change in the payment of Bonus Act, 1965 productivity of the workers and paying capacity of the employers have to be taken into account. They further observed that they are not in favour of indexation of cost of living for the purpose of ceiling and bonus calculation. The term ‘Employee’ should be substituted by the term ‘workman’ as defined under the industrial disputes Act. The present system of prescribing limits both for eligibility and calculation should be retained.

(iii) The State Government representatives were of the view that minimum, limit of bonus (8.33%) may continue. Regarding limits with regard to calculation and payment ceiling it was stated that they had no comments to offer. They further observed that distinction between statutory bonus and productivity linked bonus is quite relevant in this regard.

(iv) The State Government representatives also suggested that the central Government may consider notifying the limits for eligibility of bonus and calculation of bonus through and administrative process based on tripartite mechanism rather then legislative process every time. Appropriate amendment to the payment of Bonus Act, 1965 may have to be carried out accordingly.

Labour laws Amendments proposed/ done by central or State Governments Conclusions of the committee are as follows:-

1. The committee reiterates historical role of tripartite mechanism functioning in the country before any enactment/ amendment of labour laws.

2. Any labour law amendments/ enactment should take into account three purpose namely:

(i) justifys and welfare of workers;

(ii) Sustainability of enterprises and job creation; and

(iii) Industrial peace.

3. The labour laws need to be relooked and updated in a time bound manner.

4. Committee recommends that the overall exercise of the labour law amendments should be discussed in the tripartite forum and the broad and specific proposals should also be discussed in tripartite meetings.

Recommendations of committee on “Employment and Employment Generation” of 46 the Indian Labour conference (ILC) are as follows:-

1. The committee noted that the recommendations of 43rd to 45th ILC on Employment & Employability need to be fully implemented.

2. Recognising the employment potential in micro and small industry, especially in rural areas, an effective single-window system be established to promoted agro-based and micro & small industries with facility like concessional finance etc. A system for centralized marketing of products manufactured by these industries can also be developed.

3. Enhance the outlays and threshold for public employment generation programmes in both rural and urban areas.

4. Fill up vacant posts in Central Government, State Governments and Public Sector Undertakings in a time bound manner.

5. Reiterate the necessity for publishing quarterly employment and unemployment data.

6. With Central and State Government moving to on-line systems for employment exchanges there is a need for capacity building of Employment Exchanges officers for their revised roles under National Career Service (NCS). Need for integration of Central and State IT initiatives to avoid duplication.

7. Utilization of idle capacity in Vocational and Educational Institutions and closed/ sick industry for demand responsive training.

8. Enhance and expand areas for Recognition of Prior Learning (RPL) with effective assessment.

9. Enhance number and improve quality of assessors for vocational training and consider including ITI faculty for assessments.

10. To identify labour-intensive industries and new areas where jobs can be created like renewable energy and reusable resources etc. and providing employment liked training.

11. Evolve strategies for increasing female workforce participation in both public and private employment.

Source: PIB 

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