Document Fragment View

Matching Fragments

PROF. M. RAMADASS (PONDICHERRY): Sir, I rise to support this Bill because it is consistent with the changes occurring in the economy as well as the changing aspirations of the workers of this country.  Although bonus has been a bone of contention, this is sought to be solved by three important changes that are being incorporated in this amendment Bill.  Therefore, I welcome these three changes brought by this Bill. 

          While commending this Bill, I would also like to draw the attention of the hon. Minister who has piloted this Bill to some of the relevant issues.  Bonus is not an invariant concept.  Bonus is ever changing and changing to the needs of the workers, changing to the needs of the rise in prices in the country and therefore, at least, once in two or three years, we have to decide about the quantum of bonus as well as the ceiling.  If I am right, the last change that was brought, was in 1995.  In the first change of 8.33 per cent was brought in 1972.   Therefore, once in 10 years or once in 15 years, it would not be possible to change it and it would not provide justice to the workers.

MR. CHAIRMAN  : You may please conclude now.

PROF. M. RAMADASS  : You may permit me another two minutes. You are a man of social justice. You must also give Parliamentary justice to me. I have not even taken two minutes. This is the disadvantage of being the last speaker, or the last but one speaker.

          Sir, the next suggestion that I would like to make is that the minimum bonus of 8.33 per cent needs to be revised immediately. It is because in the year 1965 the Government had fixed the minimum ceiling of bonus at 4 per cent. Then it was revised to 8.33 per cent in 1972. Now, look at the changes that have come in the economy, in the polity and also in the aspirations of the workers in the last 35 to 40 years. To maintain the same 8.33 per cent, even in the present context of privatization, globalisation and liberalization where our industries are growing at the rate of 12 to 13 per cent and contributing to greater stimulus and dynamism to our economy. Keeping this rate of 8.33 per cent now becomes little outmoded. I would suggest that the Government of India should raise this limit to 12 per cent minimum and the maximum to 25 per cent. I would like to urge upon the Government to look into the working of various industries in terms of gross profit as percentage of sales; gross profit as percentage of total capital employed; profits after tax as percentage of net worth; dividend as percentage of net worth; ordinary dividend as percentage of ordinary paid up capital; total dividend as percentage of total paid up capital. If one looks at all these parameters it would be seen that in the last 30 years they are showing a rising trend. When all these are showing a rising trend and also there is a capitalist class which is growing by leaps and bounds, why should the labourers who are contributing to the prosperity of the industries suffer at the invariant rate of 8.33 per cent? Therefore, the Government should give a serious consideration to this aspect.