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Payment of Bonus Act

Section 12: Calculation of bonus with respect to certain employees

Where the salary or wage of an employee exceeds seven thousand rupees or the minimum wage for the
scheduled employment, as fixed by the appropriate Government, whichever is higher, the bonus payable to such employee under Section 10 or, as the case may be, under Section 11, shall be calculated as if his salary or wage were ‘‘seven thousand rupees or the minimum wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher.

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Bonus