FINANCE & ACCOUNTS DIVISION

CIRCULAR

TO ALL DIVISIONAL / DEPARTMENTAL HEADS

F&A/PRA/F-722/ 829 /14
9th September, 2014

ANNUAL BONUS 2013-14

The following procedures will be followed for payment of Annual Bonus for the year 2013-14:1. ELIGIBILITY
i) All eligible employees of the Steel Company at Jamshedpur (including Tubes Division &
Growth Shop), Marketing & Sales Division, CRC(West), CREs Office (Ranchi), CREs
Office (Bhubaneswar), CREs Office (Delhi), Mines / Collieries Division, FA&M Division
and Head Office, who had worked for not less than thirty working days during the financial
year 2013-2014 shall be entitled to receive the annual bonus except persons who have been
dismissed from the services for
a) Fraud or
b) Riotous or violent behavior while on the premises, or
c) Theft, misappropriation etc.
ii) The word employees includes both permanent and temporary employees (not
Apprentices);
2. QUANTUM
All eligible employees (not covered by the superannuation scheme) at Jamshedpur (including
Tubes Div.), Head Office, CRC (West), Chief RE (Bhubaneswar), Orissa, Chief RE (Ranchi)
will be paid Annual Bonus as per following formula for the accounting year 2013-2014.

Total annual bonus amount for the accounting

Year 2013-14 (Rs.193.34 Cr)
Total Bonusable amount paid for the accounting
year 2013-14 (Rs 1250.06 Cr)

Individual employees Bonusable

amount (Basic + DA) paid for the
accounting year 2013-14

3. ROUNDING OFF
Bonus amount for permanent employees as well as separated employees including employees
separated under ESS will be rounded off to the nearest rupee. Amount up to 49 paise will be
ignored while 50 paise and above will be taken as Re. 1/-.
4. MODE OF PAYMENT
Separate bonus muster rolls would be prepared in respect of the following categories of
employees at Jamshedpur

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( i ) Employees on rolls, and

(ii) Employees separated up to 8th Sept., 2014 including separated under ESS.
The bonus for employees on rolls will be remitted to their bank accounts, where salary
payment is being remitted.
The following procedure will be adopted for payment of bonus to employees who have
availed ESS & separated under Job for Job (JFJ) scheme at Jamshedpur and are eligible for
bonus i)

Bonus will be remitted to their bank Accounts;

ii) Employees separated under ESS/JFJ who have not vacated Companys quarter without
permission to retain it / or not in receipt of monthly ESS pension/Maintenance Allowance
due to attainment of 60 years of age, will be paid bonus by A/c payee cheque through
Payroll Section of Finance & Accounts Division, subject to vacation of Companys
quarter and registration of claim for Bonus, wherever applicable.
Payment of bonus to separated employees other than ESS & Job for Job Scheme cases will
be made directly to their Bank Accounts except for the following cases:a.
b.
c.

Employees who were in receipt of salary by A/c. Payee cheque due to nonSubmission of Bank Account details;
Employees who have not vacated the Companys quarter and
Death cases where bonus will be paid to nominees of deceased ex-employees.

For cases under (a), (b) and (c) above, the payment will be made by A/c. Payee cheques thro
Payroll Section of Finance & Accounts Division, subject to vacation of Companys quarter /
establishment of claim, and registration of claim for Bonus, as applicable.

5. DATE OF PAYMENT
Payment to all eligible employees will be made on dates indicated below:Jamshedpur, Growth Shop, Tubes Division,
Jharia Division, West Bokaro ,OMQ and FAMD
a) Employees on rolls

- Bonus amount will be remitted to the

Bank on 12th September, 2014.

b) Separated employees
(incl. separated under ESS)

- Bonus will be remitted to the bank /

on 13th September, 2014.

c) Separated employees
(Cases under 4a, b & c above)
and including ESS separatees, who have
not vacated Companys quarter without
permission to retain it.

- Bonus will be paid by A/c. Payee cheque

from payroll Section from 17th Sept. 2014.

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6.

INCOME TAX
The Income Tax from bonus will be deducted at the tax rate applicable for
Individual employees/ex-employees, as per the income tax estimates made for salary/
ESS pension (including bonus) after considering the Investment Plans.

7.

The payment of Annual Bonus shall be made after recovering other dues, if any.

This may please be given wide publicity.

Rakesh Chandra
for Chief Financial Controller (FT&C)
Cc to: M.Ds Office / Gr. ED-F&Cs Office / President (TQM &SB) / Gr. Exc. VP (Finance)
All VPs/PEO/All GMs/All EICs/Chief HRM (Steel)/Chief Group IR/Chief (HRMRM)/
Chief HRM Jharia/WestBokaro / OMQ /Chief RE (Bhubaneswar)/Chief, RE (Ranchi)/
H O, Mumbai/Head (A/Cs Jharia)/Head (A/Cs- OMQ)/Head (Marketing Finance, Kolkata)/
Head (A/csWBC)/FC(Tubes)/FC (FA&MD),Kol./FC (Brgs)/FC (Wires Division)
All Chiefs & Heads of the Departments at Jamshedpur.

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