Indian Railways is expected to soon announce a 78-day productivity-linked bonus for its employees, according to recent reports. This bonus is likely to be distributed before the Dussehra and Diwali holidays, aligning with the festive season to encourage increased consumer spending and boost economic activity.
In 2023, Indian Railways granted a similar bonus of 78 days’ salary to all non-gazetted employees, calculated based on the minimum wage for Group D staff. Under the Sixth Pay Commission, the minimum wage was set at ₹7,000, resulting in an average bonus payout of ₹18,000. With the Seventh Pay Commission raising the minimum wage to ₹18,000, employees could see a substantial increase in their bonus this year.
In 2022, the government approved a Diwali bonus of ₹1,832 crore, with Indian Railways distributing ₹17,951 each to over 11 lakh employees. This payout, tied to 78 days of work, was a significant financial gesture aimed at motivating employees and supporting their families during the festive season.
The railway employees’ bonus is linked to the organization’s performance, factoring in earnings and expenditures. The final bonus decision will depend on the financial performance of Indian Railways. Additionally, other government employees may also receive bonuses ahead of Diwali, though these payments are capped at ₹1,200.
This anticipated bonus announcement is set to bring positive financial support to employees and further stimulate spending during the festive period.
