Tata Steel, a private steel major, has announced a total payout of Rs 314.70 crore as an annual bonus to its employees for the year 2022-2023. This announcement was made after the signing of a Memorandum of Settlement with the Tata Workers’ Union (TWU). According to the Memorandum of Settlement, the total payout for eligible employees of all applicable divisions of the Company will be Rs 314.70 crore.
The minimum and maximum annual bonus payable for 2022-23 will be Rs 42,561 and Rs 4,61,019 respectively. Although the majority of employees are drawing a salary higher than the limit laid down in the Payment of Bonus (Amendment) Act, 2015, and are therefore not eligible for a bonus under the Act, the company has decided to pay a bonus to all employees in the unionized category, respecting its old traditions.
The Memorandum of Settlement was signed by T V Narendran, CEO & MD, Atrayee Sanyal, Vice President (HRM), and other senior executives on behalf of management, and Sanjeev Kumar Choudhary, president, Satish Kumar Singh, general secretary, TWU and other office bearers on behalf of the union. The signing took place in the presence of Rakesh Prasad, Deputy Labour Commissioner, Jamshedpur.