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Published 22:22 IST, October 3rd 2024

₹2,028.57 Crore Bonus For Railway Employees

The Union Cabinet, led by Prime Minister Narendra Modi, has approved a performance-linked bonus (PLB) equivalent to 78 days' wages

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₹2,028.57 Crore Bonus For Railway Employees
₹2,028.57 Crore Bonus For Railway Employees | Image: x

The Union Cabinet, led by Prime Minister Narendra Modi , has approved a performance-linked bonus (PLB) equivalent to 78 days' wages for over 11.72 lakh Railway employees, totaling ₹2,028.57 crore. Union Minister Ashwini Vaishnaw announced the decision, highlighting its intent to provide a financial boost to various categories of railway staff, including track maintainers, loco pilots, station masters, and technicians.

The bonus, traditionally disbursed ahead of the Durga Puja and Dussehra holidays, serves as an annual incentive aimed at encouraging continuous improvement in railway performance. Each eligible employee will receive a maximum payout of ₹17,951. This year's PLB is set to benefit a significant number of non-gazetted Railway staff, reinforcing the government's commitment to its workforce.

However, the announcement has not come without controversy. Ahead of the Cabinet's decision, several Railway unions expressed dissatisfaction, launching a social media campaign to demand bonuses based on the Seventh Pay Commission recommendations instead of the Sixth. 

Unions such as the Indian Railway Employees Federation (IREF) and the Indian Railway Signal & Telecommunication Maintainers Union (IRSTMU) have raised concerns about the calculation of the bonus. They argue that it fails to reflect current pay scales, with Sarvjeet Singh, National General Secretary of IREF, stating, "We receive a productivity-linked bonus every year based on the minimum salary under the Sixth Pay Commission, which is unjust." He pointed out that the ₹17,951 bonus is based on a pay scale of ₹7,000, which is outdated, given that the Seventh Pay Commission has established a minimum salary of ₹18,000.

Alok Chandra Prakash, General Secretary of IRSTMU, echoed these sentiments, arguing that the bonus amount should be ₹46,159 in accordance with the new pay scale. Union leaders have also highlighted the increased pressures on railway employees, especially during the COVID-19 pandemic when train operations continued despite lockdowns.

The IREF had previously reached out to Railway Minister Ashwini Vaishnaw two weeks ago, requesting a revision of the bonus structure but reported receiving no response. This lack of engagement prompted unions to escalate their campaign on social media, urging the government to address their grievances.

Satish Yadav, General Secretary of the All India Railway Track Maintainers Union (AIRTU), emphasized the demanding nature of railway work and called for the ministry to consider the frontline workers' demands as a means to motivate them.

Updated 22:22 IST, October 3rd 2024