Himalaya Bank Ltd, a banking company, had no allocable surplus in the accounting year. Two of its employees, X and Y, draw wages below the notified amount; X worked 20 days and Y worked 90 days during the year. Which one of the following correctly states the bank's bonus obligation?

Section 26(1) guarantees every employee - drawing wages up to the notified amount and having put in at least thirty days' work in the accounting year - an annual minimum bonus of 8.33% of the wages earned or ₹100, whichever is higher, payable 'whether or not the employer has any allocable surplus'. X, with 20 days, falls outside this net; Y qualifies. The allocable-surplus fractions in section 31 - 60% of the available surplus for a banking company, 67% otherwise - settle the funds available for a higher bonus; they do not defeat the statutory minimum. The loss year is therefore no answer to Y's claim, and the maximum rate of 20% has no application at the minimum.