Central employees to get Diwali bonus up to Rs 7,000

All gazetted and non-gazetted employees will get bonus equal to 30 days' worth of their basic salary


On account of Diwali, the ministry of finance has announced bonus for all the central government workers. According to the decision made on October 17, 2023, employees will be given a bonus equal to 30 days’ worth of their basic salary.

The bonus sum will be calculated using the employee’s basic salary, with a highest limit of Rs 7,000.

Diwali bonus is given to all central government employees every year. Generally, this bonus amount doesn’t depends on their productivity output, but is more linked to the time-frame of their employment.

For instance, to be eligible for this bonus, employees need to have been employed as of March 31, 2023, and should have worked continuously for at least six months during the fiscal year 2022-23. Similarly, temporary workers who have worked in offices with a six-day workweek for at least 240 days every year for three consecutive years or more will be eligible for this ad-hoc bonus payment.

Furthermore, the calculation for the non-productivity-linked bonus amount is decided by the lower of the employee’s average emoluments and the calculation ceiling. Usually, average emoluments are determined by adding the employee’s basic salary, dearness allowance, and other allowances, and then dividing the total by 12.

To calculate the daily bonus amount, the yearly average emoluments are divided by 30.4, which is the average number of days in a month. This result is then multiplied by the number of days for which the bonus is granted. Additionally, in cases where the actual monthly earnings are below Rs 1200, the calculation will be based on the real monthly emoluments.

The Diwali bonus will be given to all non-gazetted employees in Group-B and Group-C categories, covering approximately 3.8 million central government employees this year. Additionally, it will also cover employees of the Union Territory Administration who follow the compensation structure aligned with the Central Government and are not covered by any other bonus or ex-gratia arrangement.

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