{"id":10787,"date":"2011-10-18T04:10:49","date_gmt":"2011-10-18T04:10:49","guid":{"rendered":""},"modified":"2011-10-18T04:10:32","modified_gmt":"2011-10-18T04:10:32","slug":"Should-the-Diwali-Bonus-Be-Scrapped-","status":"publish","type":"post","link":"https:\/\/asiancemagazine.com\/?p=10787","title":{"rendered":"Should the Diwali Bonus Be Scrapped?"},"content":{"rendered":"

With Diwali just around the corner, many employees look forward to a Diwali bonus from their companies. But this universe has been shrinking over the years as companies increasingly have veered away from Diwali bonuses, especially for managers. \u201cOver the last 10 years\u2026the nature of managerial compensation has changed,\u201d says Santrupt Misra, director of human resources at the Aditya Birla Group. \u201cA lot of productivity and performance-linked incentives have come in, which were almost non-existent earlier\u201d thereby making the Diwali bonus less relevant. The \u201cconcept of Diwali bonus is more prevalent in \u2018Old Economy\u2019 companies like manufacturing and consumer goods,\u201d says Kris Lakshmikanth, chief executive officer of recruitment firm The Head Hunters India Pvt.<\/strong><\/p>\n

There, too, companies often restrict the Diwali bonus to their blue-collar workers, in line with regulations. India\u2019s labor laws require that companies pay an annual bonus to all employees who earn basic pay of 10,000 rupees per month ($204) or less. The bonus can range from 8.33% to 20% of an employee\u2019s annual basic salary, according to the Payment of Bonus Act. For years, this bonus has been given around Diwali time thus becoming popularly known as Diwali bonus. <\/p>\n

Companies like Aditya Birla, auto firm Mahindra & Mahindra Ltd. and textile-maker Arvind Mills Ltd. are among those who pay bonuses to hundreds of factory workers around Diwali. But management staff in these companies are typically given performance-linked bonuses. In this globally competitive age, performance-based bonuses best help motivate employees as they are \u201cearned and not just given out,\u201d says Babuji Abraham who heads human resources at information technology firm MindTree Ltd. A standard Diwali bonus which is given every year becomes something that employees take for granted and provides them no incentive to improve their work performance.<\/strong><\/p>\n

SOURCE<\/a>
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With Diwali just around the corner, many employees look forward to a Diwali bonus from their companies. But this universe<\/p>\n","protected":false},"author":1213,"featured_media":72448,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"colormag_page_container_layout":"default_layout","colormag_page_sidebar_layout":"default_layout","footnotes":""},"categories":[],"tags":[],"class_list":["post-10787","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry"],"magazineBlocksPostFeaturedMedia":{"thumbnail":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u-113x150.jpg","medium":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","medium_large":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","large":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","1536x1536":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","2048x2048":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-highlighted-post":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-featured-post-medium":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-featured-post-small":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u-113x90.jpg","colormag-featured-image":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-default-news":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u-113x150.jpg","colormag-featured-image-large":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-elementor-block-extra-large-thumbnail":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-elementor-grid-large-thumbnail":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-elementor-grid-small-thumbnail":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg","colormag-elementor-grid-medium-large-thumbnail":"https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg"},"magazineBlocksPostAuthor":{"name":"Joshua","avatar":"https:\/\/secure.gravatar.com\/avatar\/62ee23f8f40307578d1f284ecd823d77f32da8ea35541e7dbdafeb5da1a4e877?s=96&d=mm&r=g"},"magazineBlocksPostCommentsNumber":"1","magazineBlocksPostExcerpt":"With Diwali just around the corner, many employees look forward to a Diwali bonus from their companies. But this universe","magazineBlocksPostCategories":[],"magazineBlocksPostViewCount":160,"magazineBlocksPostReadTime":2,"magazine_blocks_featured_image_url":{"full":["https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg",113,170,false],"medium":["https:\/\/asiancemagazine.com\/wp-content\/uploads\/u.jpg",113,170,false],"thumbnail":["https:\/\/asiancemagazine.com\/wp-content\/uploads\/u-113x150.jpg",113,150,true]},"magazine_blocks_author":{"display_name":"Joshua","author_link":"https:\/\/asiancemagazine.com\/?author=1213"},"magazine_blocks_comment":1,"magazine_blocks_author_image":"https:\/\/secure.gravatar.com\/avatar\/62ee23f8f40307578d1f284ecd823d77f32da8ea35541e7dbdafeb5da1a4e877?s=96&d=mm&r=g","magazine_blocks_category":"","_links":{"self":[{"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/posts\/10787","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/users\/1213"}],"replies":[{"embeddable":true,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=10787"}],"version-history":[{"count":0,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/posts\/10787\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=\/wp\/v2\/media\/72448"}],"wp:attachment":[{"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=10787"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=10787"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/asiancemagazine.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=10787"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}