The Union Cabinet is expected to consider the annual productivity-linked bonus (PLB) for railway employees at its meeting today, ahead of the festive season.
The bonus is typically equivalent to 78 days' wages and covers eligible non-gazetted staff, including loco pilots, track maintainers, station masters, technicians and other Group C employees, sources told NDTV Profit.
A final decision had not been announced at the time of writing.
Who Is Eligible?
The PLB is paid to non-gazetted railway employees. Past Cabinet approvals have named track maintainers, loco pilots, train managers (guards), station masters, supervisors, technicians, technician helpers, pointsmen, ministerial staff and other Group C employees.
Railway Protection Force personnel have traditionally been outside its scope.
How Much Could Employees Get?
If the usual formula holds, the maximum payout would be Rs 17,951 per employee for 78 days. The bonus is calculated on a monthly wage ceiling of Rs 7,000, a limit that has remained unchanged since 2014-15.
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Employees with a higher salary therefore do not get a proportionately larger payout.
What Happened Last Year?
In September 2025, the Cabinet approved a 78-day PLB for 10,91,146 railway employees, at a cost of Rs 1,865.68 crore. It was linked to the railways' performance in 2024-25, when they loaded a record 1,614.90 million tonnes of freight and carried nearly 7.3 billion passengers.
The year before, the Cabinet cleared the same 78-day bonus for 11,72,240 employees at a cost of Rs 2,028.57 crore.
The bonus is traditionally approved before the Dussehra and Diwali holidays. Dussehra falls on October 20 this year.
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What Are The Unions Demanding?
Railway employee unions have long sought a higher wage ceiling. They have asked for the calculation to be based on Rs 18,000 a month, the minimum basic pay at Level 1, plus dearness allowance.
On that basis, 78 days' wages would work out to about Rs 46,184, they argue, against the current Rs 17,951. The government has so far retained the Rs 7,000 ceiling.
What Happens Next?
If the Cabinet approves the bonus, the Ministry of Railways would typically issue an order, and payments follow within days, ahead of the festivities.
Any change to the wage ceiling would raise the cost significantly, and no such revision has been officially indicated.
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