Why in News? 

The Union Cabinet, on September 24, 2025, approved the payment of a Productivity Linked Bonus (PLB) equivalent to 78 days' wages for eligible railway employees. This annual decision is a recognition of the "excellent performance" of the railway staff during the financial year 2024-25, in which Indian Railways recorded strong operational results, including record cargo loading and passenger traffic. The bonus is typically paid out just before the major festive season of Durga Puja/Dussehra.

Key Points

• Approval Date: September 24, 2025.
• Bonus Duration: Equivalent to 78 days of wages.
• Beneficiaries: Approximately 10.91 lakh non-gazetted railway employees.
• Total Outlay: The decision has a financial implication of about ₹1,865.68 crore.
• Maximum Payable Amount: The maximum amount payable to each eligible employee is capped at ₹17,951.
• Objective: To act as an incentive for employees to work towards further improvement in the performance and efficiency of Indian Railways.
• Performance Metrics (FY 2024-25): Indian Railways loaded a record cargo of 1,614.90 Million Tonnes and carried nearly 7.3 billion passengers.
• Eligible Staff Categories: Includes Track Maintainers, Loco Pilots, Station Masters, Supervisors, Technicians, and other Group 'C' staff.

Important Terms

• Productivity Linked Bonus (PLB): A performance-based bonus scheme specific to the Railways and other departmental undertakings, given to non-gazetted staff based on the overall productivity and performance of the organization.
• Non-Gazetted Employees: Staff who are not holding an officer-level rank in the government service (generally Group 'C' and 'D' staff in Railways).
• Group 'C' Staff: A category of central government employees that includes most field staff and technical workers, who are the primary beneficiaries of the PLB.