Railway Bonus Update: Cabinet May Consider PLB Proposal As Employees Seek Hike From ₹17,951 To ₹46,184

(MENAFN- AsiaNet News)

A major update on the Productivity-Linked Bonus (PLB) for railway employees is expected on Wednesday, October 14. The Union Cabinet, chaired by Prime Minister Narendra Modi, is likely to consider the proposal for the annual bonus for railway staff.

At present, eligible non-gazetted railway employees receive a bonus equivalent to 78 days' wages. The calculation is capped at a wage ceiling of Rs 7,000, which works out to a total bonus of Rs 17,951. Demands to raise this ceiling have now intensified.

Wage ceiling used for bonus calculation not been revised since 2014-15

The PLB is paid annually to eligible non-gazetted railway employees. Under the existing system, it is calculated on 78 days' wages and a fixed wage ceiling of Rs 7,000. This wage ceiling has not been revised since the financial year 2014-15, leading to long-standing demands for a revision.

However, the fact that the proposal is being discussed in the Cabinet does not mean the bonus hike has been approved. The government's final decision and the new amount remain unclear.

The Indian Railways Technical Supervisors' Association (IRTSA) has demanded an increase in the wage ceiling used for bonus calculation. The organisation has suggested that for Level-2 and above employees, the ceiling should be fixed at Rs 18,000 plus dearness allowance. It also cited the minimum wage of Rs 21,000 for unskilled employees. Based on an Rs 18,000 wage ceiling, the association has recommended an annual bonus of at least Rs 46,184. No official announcement has been made by the government so far.

Railway employees are now watching the Cabinet's expected decision closely. If the government approves an increase in the wage ceiling, the bonus calculation could change, and eligible employees may receive more than the current amount.

Meanwhile, the Railway Board has issued a warning about a fake letter circulating on social media. The letter, dated October 6, claimed that a bonus of Rs 41,149 for 78 days had been approved for the financial year 2025-26. In a message sent to railway general managers on October 7, the Railway Board clarified that the document was fake, the signatures were forged, and it had not been issued by the Board.

The Board directed railway offices not to make any payments based on the letter. Officials and employees have been advised to verify bonus-related information only through the official Railway Board or Railway Ministry website.

For now, the existing bonus amount remains Rs 17,951, while employee organisations are demanding Rs 46,184. Railway employees should not treat the Cabinet's likely discussion as final approval but should wait for an official announcement on the new bonus amount.

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