The company announced an annual bonus of 16.79 percent for the year 2024-25
Tata Steel and Tata Workers Union’ sign agreement
11,446 Jamshedpur employees to get Rs 152.44 crore
Tata Steel employee to get minimum bonus of Rs 39,004 maximum Rs 3,92,213
Amount to be credited to bank accounts by September 6
Jamshedpur, Aug 28:A Memorandum of Settlement dated 28th August 2025 has been signed between Tata Steel and the Tata Workers’ Union, for payment of Annual Bonus for the accounting year 2024-2025.
Tata Steel employees will receive the same bonus amount as last year after successful negotiations between the management and the Tata Workers’ Union.
As per the Memorandum of Settlement the annual bonus for the year 2024-2025 the total payout for eligible employees of all applicable divisions/Units of the Company will be Rs 303.13 Cr.
The company announced an annual bonus of 16.79 percent for the year 2024-25, informed Sanjeev K Choudhary alias Tunnu Choudhary, President, Tata Workers’ Union.
Addressing a press meet at the Union office on Thursday Choudhary said, “the total amount thus available for disbursement as annual bonus for the accounting year 2024-25 is Rs 303.13 crore. The minimum and maximum annual bonus payable for 2024-25 will be Rs 39,004 and Rs 3,92,213 respectively.”
According to Union officials the bonus amount will be credited to employees’ bank account by 6 September, 2025.
Total number of employees to whom the bonus will be paid in Jamshedpur including Tubes is 11,446 while total of 25,907 employees of the company from all locations will be benefitted.
Of the Rs 303.13 crore bonus amount, Jamshedpur and Tube Division employee will get Rs 152.44 crore in comparison to Rs 168.64 crore they received last year.
Total bonusable amount for the financial year 2024-25 is Rs 1817.05 crore in comparison to Rs 1694.15 crore in the previous year.
Average bonus amount for Jamshedpur and Tubes Divison comes up at Rs 1,33,178.
According to union officials, the maximum bonus at actual attendance for Old Series is Rs 3,92,213.
Maximum bonus at actual attendance for NS Series is Rs 1,10,547 while minimum bonus at full attendance for NS Series is Rs 39,004.
The agreement was signed on Thursday by Tata Steel MD and CEO T.V. Narendran and Union President Sanjeev Choudhary Tunnu, along with officials from management and the union.
As per the old formula, the company had calculated this year’s bonus at Rs 272.83 crore, lower than last year’s Rs 303.13 crore. The reduction came due to a fall in the company’s profit — from Rs 11,275.09 crore last year to Rs 9,255 crore this year.
Further, in view of the assurance of full cooperation from the Union that the employees will put in full efforts to meet the challenges faced by the company in coming years towards productivity improvements and addressing employee cost, Management agreed to add an additional amount of Rs 30.30 crores. Hence, the total amount available for disbursement as annual bonus to applicable divisions/units of the company is increased to Rs 303.13 crores.
Out of this, for Divisions at Jamshedpur including Tubes, an amount of Rs. 152.44 Cr will be distributed as annual bonus amongst approx. 11446 employees.
The minimum (at full attendance) and maximum (at actual attendance) annual bonus payable for 2024-25 will be Rs 39,004/-and Rs 3,92,213/- respectively.
Since majority of our employees of the Steel Company are drawing salary/wages higher than the limit laid down in the Payment of Bonus (Amendment) Act, 2015, they are not eligible for bonus under the Act. However, respecting old traditions, the Company is going to pay bonus to all employees in the unionized category.
Union President Sanjeev Choudhary played a key role in securing the higher payout, holding several rounds of discussions with the company’s top management. “Despite the fall in profits, the union ensured that employees received the same bonus as last year. This is a victory for workers’ unity,” said Choudhary
The Settlement was signed on 28th August 2025. T V Narendran, CEO & MD, Atrayee Sanyal, Chief People Officer and other Sr. Executives signed on Management’s behalf and Sanjeev Kumar Choudhary, President, Tata Workers Union, Satish Kumar Singh, General Secretary, Tata Workers’ Union and the other office bearers signed on Union’s behalf in presence of Arvind Kumar, Dy. Labour Commissioner, Jamshedpur & Conciliation Officer, Govt. of Jharkhand.
