Union and management agree on Rs 303.13 crore bonus payout
Key Points:
• Tata Steel to disburse Rs 303.13 crore as annual bonus for FY 2023-24
• Bonus ranges from Rs 38,203 to Rs 4,09,462 for eligible employees
• 26,479 employees across locations to benefit from the bonus payout
JAMSHEDPUR – Tata Steel has announced a 17.89% annual bonus for its employees for the financial year 2023-24, with a total disbursement of Rs 303.13 crore.
The steel giant’s management and the Tata Workers Union reached an agreement on the bonus payout for the accounting year 2023-24.
T V Narendran, CEO & Managing Director of Tata Steel, and Sanjeev Choudhary, President of Tata Workers’ Union, signed the Memorandum of Settlement.
“This bonus agreement demonstrates our commitment to our workforce,” said a company spokesperson.
The bonus amount will be credited to employees’ bank accounts by September 13, 2024.
A total of 26,479 employees across various locations will benefit from this bonus payout.
Jamshedpur and Tube Division employees will receive Rs 168.64 crore, slightly lower than the Rs 186.51 crore they received last year.
Changing Economic Landscape
The total bonusable amount for FY 2023-24 stands at Rs 1694.15 crore, an increase from Rs 1573.51 crore in the previous year.
“Despite challenging market conditions, we’ve managed to maintain a competitive bonus structure,” remarked an industry analyst.
The average bonus amount for Jamshedpur and Tubes Division is Rs 1,44,706.
Bonus Structure and Eligibility
The maximum bonus at actual attendance for Old Series employees is Rs 4,09,462.
For NS Series employees, the maximum bonus at actual attendance is Rs 1,13,515, while the minimum bonus at full attendance is Rs 38,203.
“We’re pleased with the bonus agreement, considering the current economic scenario,” said a union representative.
The company continues to pay bonuses to all employees in the unionized category, despite many not being eligible under the Payment of Bonus (Amendment) Act, 2015.
