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Showing contexts for: "no allocable surplus" in M/S.Pandaloor Plantations Pvt. Ltd vs The Secretary on 23 May, 2016Matching Fragments
9. Maximum bonus as provided in the Act is 20% by virtue of section 11; which has been granted by the Tribunal. Section 11 contemplates a situation where the allocable surplus, as defined under Section 2(4), exceeds the amount of minimum bonus payable under section 10, in which event the management is bound to pay such amount of bonus to the workmen, in proportion to the salary or wage earned in the accounting year, subject to a maximum of 20%. The Tribunal has not considered the issue on the basis of the statute which entitles the workmen to bonus and has misdirected itself in considering an issue totally alien to the order of reference and framing questions by itself. An order of remand is unnecessary at this distance of time and also considering the fact that the balance sheet produced by the individual companies showed a loss and there is no warrant for application of Section 11. Section 10 of the Act having been complied with no issue arises for consideration For all the above reasons, the award of the Tribunal at Exhibit P8 is found to be bad. Exhibit P8 is set aside. Original Petition allowed. No costs.