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Section 13 – The Payment of Bonus Act, 1965

The Payment of Bonus Act, 1965


13. Proportionate reduction in bonus in certain cases –


Where an employee has not worked for all the working days in an accounting year, the minimum bonus of one hundred rupees or, as the case may be, of sixty rupees, if such bonus is higher than 8.33 per cent of his salary or wage for the days he has worked in that accounting year, shall be proportionately reduced.




Working days – Words ‘working day in any accounting year’ – meaning of – factory working in a particular season only and not during the whole year in such a case the ‘working days’ only mean those days of the year during which the employee concerned is actually allowed to work. (Shakkar Mills Mazdoor Sangh v. Gwalior Sugar Co. Ltd., 1985 JLJ 294 = AIR 1985 SC 758).



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The Payment of Bonus Act, 1965


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