In a move that will benefit more than 10.91 lakh non-gazetted railway employees, the Union Cabinet has approved a Productivity Linked Bonus (PLB) equivalent to 78 days’ wages for the financial year 2024–25.
The decision, announced on September 24, 2025, comes ahead of the Durga Puja, Dussehra, and Diwali festivals and is expected to boost morale and household spending among railway staff.
The total financial outlay for this year’s PLB stands at ₹1,865.68 crore. Each eligible employee will receive a maximum bonus of ₹17,951.
The bonus will be disbursed to various categories of Group ‘C’ staff, including track maintainers, loco pilots, train managers (guards), station masters, supervisors, technicians, helpers, pointsmen, and ministerial staff.
Recognition of Operational Performance in FY 2024–25
The bonus is being granted in recognition of Indian Railways’ strong operational performance during the financial year.
In FY 2024–25, the Railways achieved record freight loading of 1,614.90 million tonnes and carried nearly 7.3 billion passengers.
These figures reflect significant efficiency gains and service delivery improvements across the network.
The government stated that the PLB serves both as a reward and an incentive for employees to continue contributing to the sector’s growth and reliability.
The bonus has become an annual practice, usually announced ahead of the festive season.
It acknowledges the efforts of railway staff and supports their financial well-being.
Comparison with Previous Year’s Railway Bonus
In October 2024, the Cabinet had approved a similar 78-day PLB amounting to ₹2,029 crore, which covered 11.72 lakh employees.
This year’s package involves a slightly smaller workforce and a reduced financial outlay.
Despite the lower allocation, the decision is expected to boost employee motivation.
It may also increase consumer spending in semi-urban and urban markets where railway staff represent a significant consumer base.
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