The Union Cabinet on Wednesday approved a productivity-linked bonus (PLB) equivalent to 78 days’ wages for over 1.14 million railway employees, involving a total expenditure of ₹2,009.61 crore.
According to an official statement, the bonus will be paid to 1,140,770 non-gazetted railway employees in recognition of their performance during 2025-26. The maximum amount payable to each eligible employee will be ₹17,951.
The government said the PLB is paid annually to eligible railway employees ahead of the Durga Puja and Dussehra holidays. The payment is intended to incentivise employees to improve the performance of Indian Railways.
Who is eligible for the railway productivity-linked bonus?
The bonus will cover various categories of non-gazetted railway employees, including track maintainers, loco pilots, train managers (guards), station masters, supervisors, technicians, technician helpers, pointsmen, ministerial staff and other Group C employees.
The government said the payment recognises the contribution of railway staff towards improving operational performance.
Indian Railways’ performance in FY26
The Cabinet’s decision comes after Indian Railways recorded strong operational performance in 2025-26.
According to the government, Indian Railways transported a record 1,670 million tonnes of cargo during the financial year. Passenger traffic stood at nearly 7.41 billion during the same period.
The government said the productivity-linked bonus is aimed at motivating railway employees to contribute towards further improvements in the performance of the national transporter.
