Cabinet committee approves the proposal to provide productivity linked bonus (PLB) to around 12 lakh non-gazetted railway employees. The bonus being given is equivalent to 78 days wages for the financial year 2017-18. Productivity bonus will be disbursed to 11.91 lakh employees and the financial implication of this bonus is estimated to be around 2,044 crore rupees.
This proposal of Railway ministry will motivate the employees to work more effectively for the betterment of performance of Railways.
Railways plays a very major role as an infrastructural support in the performance of the economy as a whole.
Productivity Linked Bonus (PLB) to Non-Gazetted Railway Employees
Information & Technology Minister, Ravi Shankar Prasad said that bonus equals to 78 days wages will be given to non-gazetted railway employees. As per the provisions of this proposal of Railway ministry, the maximum amount payable to each eligible railway employee is Rs. 17,951. Around 11.91 lakh non-gazetted railway employees are going to be benefited from this decision.
The total payment for PLB has been estimated to Rs. 2044.31 crore and the wage calculation ceiling prescribed for payment of PLB to eligible non-gazetted railway employees is Rs. 7000 per month.
Union cabinet meeting was presided over by the Prime Minister Sh. Narendra Modi and approved the following proposal of Railways ministry. PLB will be given to all the eligible non-gazetted railway employees for financial year 2017-18 but does not includes RPF and RSPF personnels who are spread over the entire country.
The central govt. gives payment of PLB every year to railway employees before the Dusshera / Puja holidays. This decision of the cabinet committee is to be implemented before the holidays for this year as well. Now, the wages equivalent to 78 day wages will be paid to the employees to encourage them to work for the betterment of Indian Railways.
Background of Productivity Linked Bonus (PLB)
Railways are the first departmental undertaking of the Government of India, and the concept of PLB was introduced in FY 1979-80. This primary objective behind introduction of this concept was that the Railways serves as an infrastructural support in the performance of economy. PLB concept was desirable instead of previous concept of bonus on the lines of The Payment of Bonus Act – 1965.