Ahead of the upcoming festival season, the Union Cabinet announced a Productivity Linked Bonus (PLB) equivalent to 78 days of wages for non-gazetted railway staff. The decision entails a total financial outflow of Rs 2,009.61 crore and is set to benefit approximately 11.41 lakh employees.
Approved on Wednesday under the leadership of Prime Minister Narendra Modi, the bonus rewards Indian Railways' strong performance during the 2025-26 financial year. Disbursed annually ahead of Durga Puja and Dussehra, this payment serves as a key incentive to boost staff motivation and improve train operations.
Under this scheme, eligible employees will receive a maximum bonus of Rs 17,951 for the 78-day period. The payout covers a wide range of Group C staff, including track maintainers, train drivers, train managers (guards), station masters, technicians, supervisors, pointsmen, and administrative personnel.
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The government said the Productivity Linked Bonus recognises the contribution of railway employees to the organisation's operational achievements and is intended to encourage continued dedication towards passenger services, freight operations and railway management.
Indian Railways recorded a strong performance during 2025-26, transporting a record 1,670 million tonnes of freight and carrying nearly 7.41 billion passengers, according to the PIB statement. These figures underline the scale of railway operations and the role played by employees in managing the country's extensive rail network.
The annual bonus is a significant festive-season benefit for eligible railway workers and is expected to provide additional financial support to employees and their families during the celebrations. The approved amount of Rs 2,009.61 crore will be distributed among eligible employees in accordance with the applicable bonus provisions.
The Economic Times earlier reported that the Indian Railways Technical Supervisors' Association (IRTSA) wants the government to update the bonus limit. The group is pushing for a ₹18,000 base plus Dearness Allowance (DA) for Level-1 workers, with fair increases applied to Level-2 and above.
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The approval covers approximately 11.41 lakh employees, making it one of the major annual financial benefits extended to the railway workforce ahead of the festive season.
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