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The Code on Wages Act, 2019

Chapter IV - Payment of Bonus

Section 38: Deduction of certain amounts from bonus payable

Where in any accounting year, an employee is found guilty of misconduct causing financial loss to the employer, then, it shall be lawful for the employer to deduct the amount of loss from the amount of bonus payable by him to the employee under this Code in respect of that accounting year only and the employee shall be entitled to receive the balance, if any.