Central Govt approves up to ₹7,000 Diwali bonus – Check eligibility and more

livemint.com:

central government employees during the festive season, the Ministry of Finance has declared a Diwali bonus for them. As per the decision made on October 17, 2023, employees will receive an amount equivalent to 30 days' basic salary as a Diwali bonus. The Diwali bonus is an annual non-productivity linked bonus (ad hoc bonus) granted to central government employees.

To qualify for the Diwali bonus, employees must have been in employment as of March 31, 2023, and should have provided a minimum of six months of uninterrupted service during the 2022-23 fiscal year. The order from the Finance Ministry read, “The casual labourers who have worked in offices following a six days week for at least 240 days for each year for three years or more (206 days in each year for three years or more in the case of offices observing a five-day week) will be eligible." The bonus amount is determined based on the employee's basic salary, with a maximum cap of ₹7,000. The calculation of the non-productivity-linked bonus amount is based on the employee's average emoluments or the calculation ceiling, whichever is lower.

Average emoluments are derived by summing the employee's basic salary, dearness allowance, and other allowances, then dividing by 12. The calculation ceiling represents the maximum emoluments considered for computing the bonus. To compute the bonus for a single day, the annual average emoluments are divided by 30.4 (the average number of days in a month).