Good news for central govt employees! Modi Govt announces bonus ahead of Diwali

The Narendra Modi-led government has approved bonuses ahead of Diwali for Group C and non-gazetted Group B rank officials, including paramilitary forces. The Finance Ministry has fixed the ceiling for computing non-productivity linked bonuses (ad hoc bonuses) for central government employees at ₹7,000 for 2022-23.

In an office memorandum, the Department of Expenditure under the Finance Ministry said a non-productivity linked bonus (ad hoc bonus) equivalent to 30 days emoluments for the accounting year 2022-23 has been granted to the central government employees in Group 'C' and all non-gazetted employees in Group B', who are not covered by any productivity-linked bonus scheme.

Centre has laid down certain conditions for the disbursement of this bonus

1. Only those employees who were in service as of 31.3.2023 and have rendered at least six months of continuous service during the year 2022-23 will be eligible for payment under these orders. Pro-rata payment will be admissible to the eligible employees for a period of continuous service during the year from six months to a full year, the eligibility period being taken in terms of the number of months of service (rounded off to the nearest number of months)

2. The quantum of Non-PLB (ad-hoc bonus) will be worked out on the basis of average emoluments/calculation ceiling whichever is lower. To calculate Non-PLB (Ad-hoc bonus) for one day, the average emoluments in a year will be divided by 30.4 (average number of days in a month). This will, thereafter, be multiplied by the number of days of bonus granted. To illustrate, taking the calculation ceiling of monthly emoluments of ₹7000 (where actual average emoluments exceed ₹7000), Non-PLB (Ad-hoc Bonus) for thirty days would work out to ₹7000x30/30.4- ₹6907.89 (rounded off to ₹6908).

3. The casual labour who have worked in offices following a 6 days week for at least 240 days for each year for 3 years or more (206 days each year for 3 years or more in the case of offices observing 5 day week), will be eligible for this Non-PLB (Ad-hoc Bonus) Payment. The amount of Non-PLB (ad-hoc bonus) payable will be (Rs1200x30/30.4 i.e.Rs1184.21/- (rounded off to Rs.1184/-). In cases where the actual emoluments fall below Rs.1200/- p.m., the amount will be calculated on actual monthly emoluments.

4. All payments under these orders will be rounded off to the nearest rupee

5. The notification stated that the expenditure on this account will be debitable to the respective object head in terms of theDepartment of Expenditure's notification dated December 16, 2022.

6. As per the government, the expenditure to be incurred on account of this ad-hoc bonus is to be met from within the sanctioned budget provision of concerned ministries/departments for the current year.