Delhi Gov. Advisory for Payment of bonus to outsourced workers – SGC Services

Dear Employers,

Greetings from SGC Services (www.sgcservices.com)! India’s Leading Payroll Outsourcing Company Since 1992.

There an important updates on Labour Law Compliances as :-

The Office of the Delhi Labour Department has issued an advisory dated September 15, 2022 regarding payment of bonus to outsourced workers. It applies to every private establishment & establishment set up by State Government who employs 20 or more workers on any day during the accounting year.

As per attached advisory please find below mentioned key points:

1. The Office of the Delhi Labour Department has issued an advisory dated September 15, 2022 regarding the payment of bonuses to outsourced workers.
2. As per section 19 of the Act, the bonus is payable with 8 months of the close of accounting year, however, it is customary to pay bonus before Deepawali.
3. It is a statutory responsibility of the Contractor to pay bonus to its employees since respective contractors are their employers. In case of default, the establishments/contractors are liable for prosecution for non-payment of bonus under section 28 of the Act and in addition to prosecution, the due amount of bonus is recoverable u/s 33(C(1) of Industrial Disputes Act, 1947 and the said amount if not paid, is recovered as arrears of land revenue.

For more details and clarification, please find attached here with the advisory.

Thanks.

#TeamSGC #SGCSERVICES #PayrollOutsourcing

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Advisory for Payment of Bonus outsource employee.pdf