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The Union Cabinet on Wednesday the approved a Productivity Linked Bonus (PLB) of Rs 1,866 crore for Railway employees, benefiting 10.90 lakh workers in recognition of their good performance.
Union Minister Ashwini Vaishnaw said that the aforesaid bonus for 10,91,146 employees is equivalent to 78 days of their wages.
Every year, prior to the Durga Puja/Dusshera holidays, eligible railway employees receive payment of PLB. As for last year, the Modi government had approved a bonus of Rs 2,029 crore for Railway employees, benefiting 11,72,240 workers.
The maximum amount payable to an eligible railway employee is Rs.17,951/- for 78 days. The above sum will be given to several types of railway staff, including track maintainers, locomotive pilots, train managers (guards), station masters, supervisors, technicians, technician helpers, pointsmen, ministerial staff, and other Group 'C' employees.
"The performance of Railways in the year 2024-25 was very good. Railways loaded a record cargo of 1614.90 Million Tonnes and carried nearly 7.3 billion passengers," the government said.
The approval comes at a crucial time, with retailers and businesses eyeing a strong ongoing festival-season demand after recent GST rate cuts across multiple product categories.
A bonus payout to railway employees, one of the largest consumer groups across both urban and semi-urban markets, could directly boost household spending.
From electronics and durable goods to clothing and festive essentials, higher disposable income in the run-up to Diwali typically translates into stronger retail sales.
Additionally, Vaishnaw said that the Modi-led cabinet has approved ₹94,000–95,000 crore worth of projects. "The Prime Minister has taken some very historic decisions. In today’s cabinet meeting, approvals worth around ₹94,000–95,000 crore were granted across multiple sectors. For our railways, the Bakhtiyarpur–Rajgir–Tilaiya line has been approved for doubling. Until now, it was a single line, which limited capacity. With the doubling, its capacity will increase substantially,” he said.
