Cabinet Approves festival Bonus For Railway Employees

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NEW DELHI:    The Union Cabinet today gave approval to pay Productivity Linked Bonus (PLB) equivalent to 78 days’ wages to eligible non-gazetted Railway employees, excluding Railway Protection Force (RPF)/Railway Protection Special Force(RPSF) personnel for the financial year 2016-17.

Addressing a press conference after the Cabinet meeting chaired by Prime Minister Prime Minister Narendra Modi, Finance Minister Arun Jaitley said about 12.30 lakh non-gazetted Railway employees were likely to benefit from the decision.

This payment would be made before Dussehra puja holidays, bringing a smile to lakhs of families ahead of the festive season.

The payment of PLB would serve as an incentive, and result in motivating a large number of Railway employees, particularly those involved in execution and operations of railways, to improve their productivity and ensure safety, speed and service for Railway customers, Mr Jaitley said.


Indian Railways operates on the principle of maximum public welfare, and in this context, this bonus payment would help in improving accountability and efficiency in railways operations. The financial implication of payment of 78 days’ PLB had been estimated to be Rs 2,245.45 crores.

The wage calculation ceiling prescribed for payment of PLB was Rs 7,000 per month. The maximum amount payable per eligible railway employee was Rs 17,951 for 78 days.

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