Nearly 11.5 lakh railway employees will receive a productivity-linked bonus equivalent to 78 days’ wages after the Union Cabinet approved a payout of around Rs 2,009 crore. The announcement was made by railway minister Ashwini Vaishnaw.
The maximum bonus payable to each eligible employee has been fixed at Rs 17,951 for the 78-day period. The payment is intended to reward railway employees for the organisation’s operational performance during the financial year 2025-26.
According to the government, Indian Railways recorded freight loading of 1,670 million tonnes and carried nearly 7.41 billion passengers during the year. The bonus decision comes as the national transporter continues to focus on expanding capacity and meeting growing passenger and freight demand.
Vaishnaw also highlighted the organisation’s recruitment requirements, stating that Indian Railways has around 1.65 lakh vacancies. Nearly 5.5 lakh jobs have been provided since 2014, he said.
The bonus announcement provides a financial benefit to eligible employees ahead of Diwali, while the vacancy figures highlight the scale of recruitment needs across the railway network.
Separately, the Cabinet approved an extension of the social-security safety net for weaker sections until 2031, with an outlay of Rs 53,428 crore. The approval also lowers the eligibility threshold for persons with disabilities from 80 to 40 per cent, expanding access to the scheme.
Meanwhile, Central government employees are awaiting the announcement of dearness allowance (DA) for the July 2026 cycle. Employee associations have been anticipating a decision ahead of the festive season. However, the railway bonus approval is a separate measure from any potential DA revision for central government employees.
