Centre sets ₹2,028.57 crore bonus for Railway staff, unions push for pay scale update

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

The bonus, set to benefit various categories of non-gazetted Railway staff—including track maintainers, loco pilots, train managers, station masters, and other technical and ministerial employees—serves as an annual incentive to encourage continued improvement in railway performance. The maximum payout per employee will be ₹17,951.

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The PLB, traditionally disbursed ahead of the Durga Puja and Dussehra holidays, is a regular feature for Indian Railways staff and is expected to cover 11.72 lakh employees this year.

Ahead of the announcement, several Railway unions expressed dissatisfaction, launching a social media campaign on Thursday 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) voiced concerns over the bonus calculation, arguing that it does not reflect the current pay scales.

"We receive a productivity-linked bonus every year based on the minimum salary under the Sixth Pay Commission, which is unjust," said Sarvjeet Singh, National General Secretary of IREF. He explained that while the bonus amount is ₹17,951, it is calculated on a pay scale of ₹7,000, which no longer applies since the Seventh Pay Commission set the minimum salary at ₹18,000.

Alok Chandra Prakash, General Secretary of IRSTMU, said, "The bonus amount should be ₹46,159, in line with the new pay scale." Prakash and other union leaders pointed to the increased demands on railway employees, especially during the Covid-19 pandemic, when train operations continued despite widespread lockdowns.

The IREF had written to Railway Minister Ashwini Vaishnaw two weeks ago, urging the government to revise the bonus structure, but has yet to receive a response. As a result, unions launched a campaign on X to pressure the government to address their demands.

Satish Yadav, General Secretary of the All India Railway Track Maintainers Union (AIRTU), stressed the challenging nature of railway work and urged the ministry to consider the frontline workers' demands, saying it would help motivate them.

With PTI inputs