Is there an investment opportunity in PSP Projects shares?

For central government employees, the government has sanctioned non-productivity linked or ad hoc bonus for fiscal year 2020-21. Under the Finance Ministry, the Department of Expenditure in an office memorandum said that employees of central para military forces and armed forces too would be eligible for the bonus. As on March 31, 2021, employees who were in service and have rendered continuous services of at least six months during 2020-21 fiscal year would be eligible for this ad hoc bonus.

Payout of Rs 7,000

The non-productivity linked bonus (ad hoc bonus) would be paid to the employees of central government in Group C and all non-gazetted employees in Group B, who are not covered by any productivity- linked bonus scheme.

According to the Department of Expenditure, The quantum of ad hoc bonus will be worked out on the basis of average emoluments and calculation ceiling whichever is lower. The calculation ceiling for this bonus payment would be Rs 7,000 of monthly emoluments.

The average emoluments in a year will be divided by 30.4 (average number of days in a month) to calculate ad hoc bonus for one day. Then, this will be multiplied by the number of days of bonus granted.

The non-productivity linked bonus or ad hoc bonus for 30 days would work out to be Rs 6,908, if the calculation ceiling of monthly emoluments of Rs 7,000 (where actual average emoluments exceed Rs 7,000).

In case of employees who resigned, retired from service or expired before March 31, 2021, the ad hoc bonus would be paid only to those who superannuated or retired on medical grounds or died before March 31, 2021, but only after completing at least six months regular service during the year, it also clarified.