Employee Motivation:
The Act serves to motivate employees by providing them with a share in the profits of the organization, fostering a sense of participation and loyalty.
Social Justice:
It contributes to social justice by ensuring that the benefits of industrial growth are shared with the employees who contribute to it.
Productivity Enhancement:
The bonus system can enhance productivity as it ties a portion of the employees’ earnings to the overall performance and profitability of the organization.
Legal Compliance:
The Act ensures that employers comply with statutory obligations regarding bonus payments, promoting fair labor practices.
Industrial Relations:
By addressing bonus-related matters transparently, the Act plays a role in maintaining healthy industrial relations.
