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2016-12-06

Payment Of Bonus(amendment)rules, 2016

Act Short Title:	The Payment of Bonus Act, 1965
Act ID:	196521
Act Number:	21
Enactment Date:	1965-09-25
Act Year:	1965
Long Title:	An Act to provide for the payment of bonus to persons employed in certain establishments and for matters connected therewith.
Enforcement Date:	25-09-1965
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Related Section(s)

Section 1 : Short title, extent and application.

(1) This Act may be called the Payment of Bonus Act, 1965.

(2) It extends to the whole of India ¹ ***.

(3) Save as otherwise provided in this Act, it shall apply to--

(a) every factory; and

(b) every other establishment in which twenty or more persons are employed on any day during an accounting year:

² [Provided that the appropriate Government may, after giving not less than two months' notice of its intention so to do, by notification in the Official Gazette, apply the provisions of this Act with effect from such accounting year as may be specified in the notification, to any establishment or class of establishments [including an establishment being a factory within the meaning of sub-clause (ii) of clause (m) of section 2 of the Factories Act, 1948 (63 of 1948)] employing such number of persons less than twenty as may be specified in the notification; so, however, that the number of persons so specified shall in no case be less than ten.]

(4) Save as otherwise provided in this Act, the provisions of this Act shall, in relation to a factory or other establishment to which this Act applies, have effect in respect of the accounting year commencing on any day in the year 1964 and in respect of every subsequent accounting year:

³ [Provided that in relation to the State of Jammu and Kashmir*, the reference to the accounting year commencing on any day in the year 1964 and every subsequent accounting year shall be construed as reference to the accounting year commencing on any day in the year 1968 and every subsequent accounting year:]

⁴ [Provided further that when the provisions of this Act have been made applicable to any establishment or class of establishments by the issue of a notification under the proviso to sub-section (3), the reference to the accounting year commencing on any day in the year 1964 and every subsequent accounting year or, as the case may be, the reference to the accounting year commencing on any day in the year 1968 and every subsequent accounting year, shall, in relation to such establishment or class of establishments, be construed as a reference to the accounting year specified in such notification and every subsequent accounting year.]

(5) An establishment to which this Act applies ⁵ *** shall continue to be governed by this Act notwithstanding that the number of person employed therein falls below twenty ⁶ [or, as the case may be, the number specified in the notification issued under the proviso to sub-section (3)].

1. The words "except the State of Jammu and Kashmir" omitted by Act 51 of 1970, s. 2 and the Schedule (w.e.f. 1-9-1971).

2. The proviso added by Act 23 of 1976, s. 3 (w.e.f. 25-9-1975).

3. The proviso added by Act 51 of 1970, s. 2 and the Schedule (w.e.f. 1-9-1971).

4. The proviso inserted by Act 23 of 1976, s. 3 (w.e.f. 25-9-1975).

5. The words, brackets, letter and figure "under clause (b) of sub-section (3)" omitted by s. 3, ibid. (w.e.f. 25-9-1975).

6. Certain words, brackets and figure added by s. 3, ibid. (w.e.f. 25-9-1975).

*. Vide notification No. S.O. 3912(E), dated 30th October, 2019, this Act is made applicable to the Union territory of Jammu and Kashmir and the Union territory of Ladakh.