Initially there was a concept of salary to be paid on a weekly basis to the workers in India, particularly the textile and flour mill workers in Bombay. So you received 52 salaries in a year.

So if we have 4 weeks in a month, 13 salaries should have been distributed but as per a monthly structure they were giving only 12 salaries in a year.
When people realized that this was a loss to them in terms of one salary many protest rallies were organised in Maharashtra during 1930-1940.

This was implemented from 30th June 1940.
This is the history behind the Diwali Bonus.
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