Labour Relations Act, 1995 (Act No. 66 of 1995)

Notices

Bargaining Council for the Civil Engineering Industry

BCCEI : Renewal of Period of Operation of the Conditions of Employment Collective Agreement

Chapter 6 : Remuneration and record keeping

6.7. Year-end bonus

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Subject to the provisions of this sub-clause, an employer must pay an employee an annual bonus as follows:

 

6.7.120 working days' pay

 

6.7.2Where existing agreements provide for bonuses in excess of that provided for in sub-clause 6.7.1 above, such existing agreements shall prevail.

 

6.7.3An employee who is employed in a year in which a bonus amount is to be paid and who has been continuously so employed for at least 3 months, but for less than one full year, shall be entitled to a pro rata bonus payment.

 

6.7.4An employee whose employment is terminated through no fault of his or her own, through retrenchment, retirement, disability, or death, shall be entitled to a pro rata bonus payment.

 

6.7.5No bonus payment shall be made to employees whose employment was terminated by reason of misconduct.

 

6.7.6Year-end (annual) bonus will not accrue to an employee for any unauthorised absence.

 

6.7.7Calculation of accrual reduction upon unauthorised absenteeism - (Example:an employee is absent without authorisation for 5 days and works 9 ordinary hours on 5 days per week:
(a)5 days x 9 hours = 45 hours
(b)bonus: (235 working days x 9 hours) = 2115 total hours
(c)bonus accrual factor: 180 hours / 2155 total hours = 0.085 (bonus accrual per hour worked)
(d)45 hours (see clause 6.7.7(a)) x 0.085 (accrual factor) = 3.825 hours
(e)task grade 1: R39.81 x 3.825 hours = R152.27 (bonus reduction amount)