MK Stalin announces bonus for public sector companies

Under the move that recognized the power of workers in contributing to the progress of a nation by improving industrial productivity and speeding up economic development, 2,75,670 employees of public sector undertaking would be paid bonus and ex-gratia ranging from Rs 8400 to 16,800, totally costing the government Rs 369.65 crore, an official press release said.

Orders relating to payment of bonus for those working for various cooperative organisations and other companies would be issued separately, the release said, adding that the announcement would bring cheer and happiness to the employees of public sector undertakings during the festival season.

Since the salary ceiling for bonus eligibility had been raised to Rs 21,000 and the monthly salary ceiling for bonus calculation increased to Rs 7000, as per the revised Bonus Act 2015, more workers would be receiving bonus and ex-gratia for the year 2023-24.

In profit making public sector companies, 8.33 percent bonus and 11.67 percent ex gratia that will take the total payment to 20 per cent will be paid for Class 3 and 4 employees and those working for Tamil Nadu Generation and Distribution Corporation (TANGEDCO), Tamil Nadu Civil Supplies Corporation and Tamil Nadu Milk Producers Cooperative Federation will also be eligible for the same benefit.

Employees of public sector units with no excess allocation of funds, Tamil Nadu Housing Board, Chennai Water Supply and Sewerage Board and Tamil Nadu Water Supply and Drainage Board (TWAD) would be paid a total of 10 percent bonus – 8.33 percent bonus and 1.67 per cent ex-gratia. Temporary workers of Tamil Nadu Civil Supplies Corporation will get a honorarium of Rs 3,000, the release added.

Since Tamil Nadu had already emerged as the top State in the country in the productivity sector, in the manufacturing of vehicle spare parts, engineering, pharmaceuticals, apparels, leather goods, technology and services proving that its efficient workforce had acquired skills of international standards, importance of the public sector had been recognized by the government, the release said.