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THE GAZBTTE OF INDIA : EXTRAORDINARY

[PART II—SEC. £l)l

MINISTRY OF FINANCE

(Department of Economic Affair*)

NOTIFICATION

N^w Dilhi, the 2nd February, 1981

INSURANCE

THB LIFE INSURANCE CORPORATION OF INDIA

CLASS HI AND CLASS IV EMPLOYEES (BONUS

AND DEARNESS ALLOWANCE) RULES, 1981

G.S, R. 4;(E).—in exercise of the powers conferred by

section 48 of the Life Insurance Corporation Act, 1956 (31 of

1956) as amended by the Life Insurance Corporation (Amendment)

Ordinance, 1981 (Ordinance No. 3 of 1981), the Central Govern-

ment hereby makes the following rules, namely :—

1. Short Title and Commencement:

(1) These rules

rr^ay bs called tho life Insurance Corporation of India Class in

and Class IV Employees (Bonus and Dearness Allowance)

Rules, 1981.

(2) This rule and rule 4 shall come Into force on the date of

tho publication of thsse rules in the Official Gazette and the

remaining provisions of these rules shall be deemed to have

come into force on the 1st day of July, 1979,

2. DefinitioM :—In thei* r«lt» unless ihe ccntext oiheiwiite

requires —

(a) "Act" means the Life Ixsurarce Ccrpciaticn /»ct,

1956 ;

(b) "employee" means an emplcyee of ih« Life In<urE.rcc

Corporation of Irdia and includes e.ny pemn ^ho

became an employee of the Corporation en (he appeintt d

day under the Act.

3. Bonus :—(I) No Class III or Ofss IV employee of ihe

Corporation shall be entitled to the payment of any prt fit sharirg

bonus or any other kind of carh borus.

(2) Notwithstanding anything contained in sutviule (1)

every Class In and Class IV employee shall be entitled to a

payment in lieu of bonus —

(a) for the period commencing from 1st day of July, 1979

and ending on 31 at day of March, 1910 at (he rate of

fifteen per cent of his salary ;

(b) thereafter for every year cemmercirg on ihe fust day cf

April and emding on the 31 st day of Match of ihe fcllc w-

ing year, at such rate ard tubjtct tc <wh ecrdiu'trs ES

the Central Government may, by notification in ihe

Official Gazette, determine htvirg Kgmd to ihe wage

level, the financial circumstances and other relevant

factors :

Provided that —

(i) no payment in lieu of bonus jhall be payable to ary

employee drawing a salary exceeding Rs, lcCO/- per

month;

(il) where the salary of an employee exceeds Rs. 750/- per

month but does not exceed R«, 1600/- per month, the

maximum payment in lieu of bonus payable to such

employee shall be calculated as if his salary were Rs. 7.^c0/-

per month.

Explanation : For the purpcfes of ihis sub-iule "EF.IFJV"

means basic pay, special pay, if any and Deaineps AHcvtrcc.

(3) Regulation 58 of ihe Life Insurance Cnpciaiicn of Jrtf'a

(Staff) Regulations, 19C0 ard all other prcvisicrs iclBiirg lo ihe

payment of any borus (ircludirg ex gratia pEjment in lieu cf

bonus) to the employees, to ihe extent ihftt Reguleticri srd <uth

other previsions are inconsistent wilh this lule arc hereby

rescinded.

4. Dcarness AllcwpJite in respect of CIMS III ard Clcss IV

employees : Regulation 51 of the Life IreurEXce Copcrstkn

of India (Steff) Regulaticns 19C0 and P]1 oiher prcvHcrs lclat-

ing to dearness allcwarce payable to cless III and class IV

employees shall have effect subject to ihe mcdifkalicxs ihet

the increase or decrease, as the case nuy be, in 1ht dcearos

allowMcc pcyable to Cless III erd Cfos IV frrr' ^fy«s by

reason of revision on quflrteily bfsis for every fcur pcints

rise or fell in ihe AH India Avenge Ccrtumer Puce Irdix

Numbers for Industrial Woikcrs— (Btsc : ]9CO»=1CO) shall

be limited to Rs. 15.80.

5. Interpretation : Where any dcubt or difficulty arises

as to the interpretation of ary cf these rules it shall be referred

to the Central Government fcr its decision.

[F. No. 65(2>Ins. III/3/81]

Km- KUSUM LATA MITAL, Additional Secy.

TKNTBD BY THE MANAOW, OOVT. OF INDIA. PRBM, RDM ROAD, WWW N U t t - 1 1 0 0 6 4

AMD PW>ia»«B» BV THE CONTROLLER Of PWBUOATHDHt, IIEUH-110054,

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