Union Cabinet to consider railway employee bonus proposals under the Productivity-Linked Bonus (PLB) scheme ahead of the upcoming festive season. Specifically, Prime Minister Narendra Modi will lead cabinet discussions regarding annual bonus payouts for non-gazetted railway staff. Furthermore, employee unions have actively demanded a revision of the long-standing wage ceiling before Durga Puja and Dussehra.
Employee unions demand wage ceiling revision and higher bonus amounts
Currently, the traditional PLB calculation uses a monthly wage ceiling of ₹7,000 for 78 days. Consequently, eligible non-gazetted staff receive a maximum bonus payout of ₹17,951 per person.
However, the Indian Railways Technical Supervisors’ Association (IRTSA) urges the government to raise the wage ceiling to ₹18,000 plus dearness allowance. Specifically, the union argues that current minimum wages exceed ₹21,000 for unskilled workers. Therefore, revising the ceiling to ₹18,000 would increase the annual bonus payout to at least ₹46,184 per employee.
| Bonus Scheme Metric | Existing Parameter & Union Revision Demands |
| Current Bonus Amount | ₹17,951 (calculated on 78 days of wages) |
| Current Wage Ceiling | ₹7,000 per month (unchanged since FY 2014–15) |
| Demanded Wage Ceiling | ₹18,000 per month plus dearness allowance |
| Proposed Revised Bonus | At least ₹46,184 per eligible employee |
| Historical Payout (FY 2024–25) | ₹1,865.68 crore distributed to 10.91 lakh employees |
Railway Board issues warning against forged bonus notification
Parallel to official cabinet preparations, the Railway Board issued a stern warning against a fake sanction letter circulating online. Specifically, the forged document dated October 6 falsely claimed the government approved a 78-day bonus payout of ₹41,149.
Consequently, the board issued an official notice to all general managers on October 7 to ignore the fake document. Meanwhile, officials advised employees to verify all financial notifications exclusively through official ministry channels. Therefore, as the Union Cabinet considers railway employee bonus terms, staff await formal regulatory announcements before the holidays.
