Ahead of Diwali, the union cabinet has approved a productivity-linked bonus for non-gazetted employees. Minister of Youth Affairs and Sports Anurag Thakur said: “Union Cabinet approves 78 days worth of productivity-linked bonus for non-gazetted railway staff. This will cost Rs 1,969 crore.”
This will benefit around 13 lakh employees of the Railway.
The Railways pay PLB, which is equivalent to 78 days’ wages, to all non-gazetted employees (Group C and Group D) as an incentive to increase productivity and ensure safety.
The PLB is calculated on the basis of the minimum salary paid to the lowest grade (Group D) employees.
Meanwhile, the Indian Railway Employees Federation (IREF) has written to the railways demanding an enhancement in the productivity-linked bonus (PLB) that the workers get every year ahead of the festive season.
The IREF has argued that though the railways implemented the recommendations of the 7th Pay Commission on January 1, 2016, yet the PLB has still been calculated and paid based on the minimum salary fixed by the 6th Pay Commission.
According to the Federation, all employees of Group C and Group D get only Rs 17,951 which is calculated on the basis of Rs 7000 as the minimum monthly salary.
They have demanded that it should be raised to Rs 46,159 considering the minimum salary under the recommendations of the 7th Pay Commission.
Last year in October, while announcing the PLB, the Ministry of Railways had said that 11.27 lakh non-gazetted Railway employees were likely to benefit from the bonus.
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