Cabinet approves 78-day productivity-linked bonus for 11.40 lakh railway employees

The Union Cabinet, chaired by Prime Minister Narendra Modi, on Tuesday took a major decision for railway employees ahead of the festival season. It approved a Productivity Linked Bonus (PLB) equal to 78 days' wages for eligible non-gazetted railway staff for 2025-26.

About 11.40 lakh employees will benefit, at a total estimated expenditure of Rs 2,009.61 crore. An eligible employee will get a maximum of Rs 17,951 for the 78 days.

The bonus covers a large category of non-gazetted staff, including track maintainers, loco pilots, train managers (guards), station masters, supervisors, technicians, technician helpers, pointsmen, ministerial staff and other Group C employees.

The Cabinet said the decision recognises the outstanding performance of railway employees. It also aims to motivate them to maintain and further improve the operational efficiency of Indian Railways.

Railway performance was strong in 2025-26. The railways carried a record 1,670 million tonnes of freight and about 7.41 billion passengers during the year. The government described these achievements as the result of railway employees' contribution to the country's transport and logistics network.

The bonus outlay has risen considerably from last year. On September 24, 2025, the Cabinet approved a 78-day bonus of Rs 1,865.68 crore for 10,91,146 railway employees. This year's amount is Rs 143.93 crore more, an increase of about 7.7 per cent. The number of beneficiaries has also gone up by nearly 49,600, or about 4.5 per cent.

However, there is no change in the bonus period or in the maximum amount an employee receives. As last year, the ceiling for 78 days remains Rs 17,951.

The annual Productivity Linked Bonus is an important incentive for railway employees. It rewards their contribution to freight movement, passenger services and the working of the entire railway network.