“Centre Approves ₹2,028.57 Crore Performance Bonus for Railway Staff Amid Pay Scale Demands”

Centre Approves ₹2,028.57 Crore Bonus for Railway Staff Amidst Union Demands for Pay Scale Update

The Union Cabinet, led by Prime Minister Narendra Modi, has approved a performance-linked bonus (PLB) amounting to ₹2,028.57 crore for over 11.72 lakh Railway employees, which translates to 78 days’ wages for staff including track maintainers, loco pilots, station masters, and technicians. Union Minister Ashwini Vaishnaw announced the decision, highlighting its role as an annual incentive aimed at enhancing railway performance.

The bonus will benefit various categories of non-gazetted Railway staff, with the maximum payout per employee set at ₹17,951. This disbursement is a customary practice for Indian Railways, typically made prior to the Durga Puja and Dussehra holidays, and is expected to cover 11.72 lakh employees this year.

Despite the positive announcement, several Railway unions expressed their dissatisfaction regarding the bonus calculation. They have initiated a social media campaign demanding bonuses based on the recommendations of the Seventh Pay Commission rather than the Sixth. Unions such as the Indian Railway Employees Federation (IREF) and the Indian Railway Signal & Telecommunication Maintainers Union (IRSTMU) voiced concerns, arguing that the current bonus structure does not align with the existing pay scales.

Sarvjeet Singh, National General Secretary of IREF, criticized the current bonus system, stating, “We receive a productivity-linked bonus every year based on the minimum salary under the Sixth Pay Commission, which is unjust.” He explained that while the announced bonus amount is ₹17,951, it is calculated on a pay scale of ₹7,000, which is outdated since the Seventh Pay Commission set the minimum salary at ₹18,000.

Alok Chandra Prakash, General Secretary of IRSTMU, echoed these sentiments, asserting, “The bonus amount should be ₹46,159, in line with the new pay scale.” He and other union leaders pointed to the increased demands placed on railway employees, especially during the Covid-19 pandemic when train operations persisted amid widespread lockdowns.

The IREF had previously written to Railway Minister Ashwini Vaishnaw two weeks ago, urging the government to revise the bonus structure but has yet to receive a response. Consequently, the unions intensified their campaign on social media platform X to pressure the government to address their grievances and demands for an updated pay scale.

Sources By Agencies

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