The Payment of Bonus Act extends to the whole of India and is applicable to every factory and to every establishment wherein 20 or more workers are employed on any day during an accounting year.
The Central/State Governmenment can however, extend its provisions to any establishment employing less than 20 but more than 10 employeess.
For the purpose of calculating the number of employees for applicability of the Act, part-time employees are also included.
Every employee not drawing more than Rs.21000 per month who has worked for not less than 30 days in an accounting year, shall be eligible for bonus.
