Hr NewsStatutory Compliance

Hon’ble High Court of Karnataka stays of Retrospective Effect of Payment of Bonus (Amendment) Act 2015

By | Labour Law Reporter

Mr B C Prabhakar,President,The Karnataka Employers Association and another establishment have filed the Writ Petition before Hon’ble High Court of Karnataka in WP No.5272 & 5311/2016 challenging the portion of the Payment of Bonus (Amendment) Act  2015  (No. 6 of  2016)   published in the Gazette of India Extraordinary Part II Section -1, dated 1.1.2016 in so far as  the retrospective  operation of the amendment from 1.4.2014 and also the amendment in so far as relates to words “or the Minimum Wage for the scheduled employment, as fixed by the appropriate Government, whichever is higher” as  inserted in the   Section 12 of the Act.

The Writ Petition came up for preliminary hearing on 2.2.2016.  After hearing the matter the Hon’ble Court has stayed the Amendment to the Payment of Bonus Act to the extent it gives the retrospective effect from 1.4.2014.  The Hon’ble Court has further ordered that the amended provision shall be implemented effective from 2015-16 pending disposal of the Writ Petition.

Earlier The Kerala High Court has also stayed the retrospective operation of the Amendment.               

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