Is it possible to combine a performance-based bonus with the regular statutory bonus offered by Indian companies?

Apni Law
Apni Law
Law Forum › Category: Corporate › Is it possible to combine a performance-based bonus with the regular statutory bonus offered by Indian companies?
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Apni Law Staff asked 1 year ago

Is it possible to combine a performance-based bonus with the regular statutory bonus offered by Indian companies?

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Apni Law Staff answered 1 year ago

Yes, it is possible to combine a performance-based bonus with the statutory bonus under Indian law. Companies can offer both, but the statutory bonus is capped and calculated based on the employee’s salary and the company’s profits, while the performance-based bonus can be structured as per the company’s policy.

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