quesCan private sector company deny me the annual performance bonus?

Can a private sector company (an Oil and Gas private sector company) deny me the annual performance bonus for FY 2013-14 citing a new policy brought in August 2013?


Facts: 1. I have been an employee for the organization for the past ~5 years before resigning recently. 2. I will be in the company's payroll between 1st April 2013 and 28th March 2014. (virtually the full aprraisal cycle) 3. Company amended its bonus policy in August 2013 whereby it stopped paying bonuses to resigning employees.


Only people on payroll on the day of bonus payout were deemed eligible for bonus.


Kindly advise.


  • ans


    Payment of bonus is the statutory liability on the employer and receipt of bonus amount is the legal right of the employee and the amount to be paid, to whom to be paid and by when to be paid  has been well framed in the Payment of Bonus Act. 


    The employer cannot wish away the  bonus scheme depriving bonus to its employees.  The employees resigned from the service also are entitled to bonus for their tenure. 


    You may file a complaint to the Area Deputy Labour Commissioner for payment of bonus and he being the competent authority will  solve your problem. Please let us know if you would need assistance in drafting the complaint.


    If the above method does not provide you the desired relief, the Company's bonus Policy can be challenged in the Court for being arbitrary and unreasonable as the resigning employees who have been on the payroll for the entire appraisal cycle should be eligible for performance bonus.


    We will be able to guide you in a better manner after going through the Bonus Policy of the Company.


  • Send a legal notice for recovery of dues from employer @ Rs. 1999/- only

    Know More
  • Disclaimer: The above query and its response is NOT a legal opinion in any way whatsoever as this is based on the information shared by the person posting the query at LawRato.com and has been responded by one of the Labour & Service Lawyers at LawRato.com to address the specific facts and details. You may post your specific query based on your facts and details to get a response from one of the Lawyers at LawRato.com or book a Detailed Consultation with a Lawyer of your choice to address your query in detail.
Consult best Labour & Service lawyers in India

Similar questions

Hi..I work with a MNC and they have not paid my salary for last 3…

I have signed a 2 year bond and in the bond its not written how…

I am working for a BPO in Delhi but they do not pay salary on time…

HI, My wife is pregnant and working under a Private Company having employee strength more…

Labour & Service Lawyers in India

Advocate Wg Cdr Ajit Kakkar (Retd)

 Experience: 17 years

Advocate Harish Malhotra

  District Court
 Experience: 19 years

Advocate Sunil Dalal

  New Friends Colony
 Experience: 20 years

Advocate D S Chadha

 Experience: 5 years

View all >>

Quick Consult

Get 15 Minutes of Expert Legal Advice on Phone right now

Ask a Free Question

Post a Question online and get free advice from multiple lawyers by email

Find a Lawyer

Easily find and book private consults with top lawyers in India

Get Fee Estimate

Receive multiple quotations for your legal requirement instantly