DELHI CLOTH & GENERAL MILLS CO. LTD. vs WORKMEN

The Supreme Court held that under Section 6(c) of the Payment of Bonus Act, 1965, the direct taxes were properly quantified by the appellant company, resulting in a bonus rate of 7.31% rather than the 16.64% claimed by the workers. The Court emphasized that the Bonus Act is a complete code, and the computation of gross profits and allocable surplus must adhere to the provisions of the Act. The Tribunal's award in favor of the workers was overturned, affirming the company's calculation method and bonus distribution.