Cabinet approves 78 days productivity-linked bonus for railway employees


New Delhi: The Union cabinet on Wednesday approved payment of productivity linked bonus (PLB) equivalent to 78 days wages to eligible non-gazetted railway employees for the financial year 2016-17.

This does not include the Railway Protection Force (RPF) and The Railway Protection Special Force (RPSF) personnel.

“According to the formula, it was calculated to be given for 72 days but for the past six years it has been a tradition of giving them the bonus for 78 days, so the Cabinet has approved a 78 day productivity linked bonus for them,” said finance minister Arun Jaitley.

About 12.30 lakh non-gazetted Railway employees are likely to benefit from the decision. This payment will be made before Dussehra/Puja holidays, a statement from the government said.

“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,” the statement said.

The financial implication of payment of 78 days’ PLB to railway employees has been estimated to be Rs2,245.45 crore. The wage calculation ceiling prescribed for payment of PLB is Rs7,000 per month.

The maximum amount payable per eligible railway employee is Rs17,951 for 78 days.

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