I am handling recruitments in a manufacturing company. We have 2 types of employees, permanent and contract (off the payrolls of the company).
I just want to know if the contract staff is eligible for bonuses or not?

Dear Sujata,

Contract Labours fall under the definition of Employee as per the Bonus Act. So, they are eligible for bonus. The amount of bonus to be paid has to be decided by the top management. So, it's better to consult them for the percentage of bonus to be paid. Normally, CL are paid bonus at 8.33% but there is no binding rule on the same...

WHETHER THERE WILL B A PERMANENT OR TEMPORARY STAFF..

THE ONE GIVES HIS BEST MUST GET THE D BEST....

According to the information given by Dinesh you can consult your top management and take a decission.

Dear VIVEKA,

First of all the TOP MANAGEMENT doesn't interfere in this type of issues.

So, better take your own decision.

If you doesn't have that authority then leave the JOB.

Dear Sujata,

You first decide with the HR team whether CL should get bonus or not & accordingly suggest this to the top management.If they agrees with you then CL also get eligible for bonus.