Railway Bonus 2025-26 – Revision of Inflation-Proof PLB Ceiling from Rs. 7,000 to Rs. 18,000: IRTSA Writes to Finance Minister

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Railway Bonus 2025-26 – Revision of Inflation-Proof PLB Ceiling from Rs. 7,000 to Rs. 18,000: IRTSA Writes to Finance Minister

Railway Bonus 2025-26 – Revision of Inflation-Proof PLB Ceiling from Rs. 7,000 to Rs. 18,000: IRTSA Writes to Finance Minister

INDIAN RAILWAYS TECHNICAL SUPERVISORS’ ASSOCIATION

No:IRTSA/Memo-33

Date: 08.09.2026

To:

Smt. Nirmala Sitaraman, Hon’ble Minister for Finance

Shri. Ashwini Vaishnaw, Hon’ble Minister for Railways

Respected Madam/Sir,

Sub: Productivity Linked Bonus (PLB) for non gazetted Railway employees for the financial year 2025-26.

Ref: Railway Board order No. E(P&A)II/2015/PLB-4 (RBE No.109/2016), dated 15.09.2016.

1) We request your kind intervention for revising the ceiling of monthly emolument for calculating Productivity Linked Bonus (PLB) for Railway employees working in level-1 to Rs.18,000 + DA and calculation of PLB in proportion to higher pay levels for the employees working in level-2 and above. Ceiling of monthly emolument of Rs.7000 for the purpose of calculating PLB for non-gazetted Railway Employees fixed in the year 2016 is unrealistic and not in commensuration with 7th CPC pay matrix and rates of DA increased thereafter.

2) Ceiling of monthly emoluments for the purpose of payment of PLB was fixed as Rs.7000 (Basic Pay+DA) from the financial year 2014-15 vide Railway Board letter No. RBE No. 109/2016 dated 15.09.2016. It remains same till date with same PLB amount of Rs. 17,951 for continuous eleven years.

3) Payment of Rs. 17,951 for eleven years as PLB even without inflation proof equal to DA increase makes the PLB hollow. Even for the ceiling of Rs.7000, if rates of DA were taken into account for the year 2024-25, Rs.27,824 should have been paid as PLB. Amount denied in PLB by not providing inflation proof equal to increase in rates of DA are given in the table.

  Year DA on 1st Jan of end of the financial year PLB in proportion to increase in DA Amount denied by not providing inflation proof for even Rs.7000 ceiling
(Amount in Rs) (Amount in Rs)
1 2014-15 6th CPC 17,951
2 2015-16 After 7th CPC DA rates made zero 17,951
3 2016-17 4% 18,669 718
4 2017-18 7% 19,208 1257
5 2018-19 12% 20,105 2154
6 2019-20 Rates of DA freezed for 3 half years 20,105 2154
7 2020-21 20,105 2154
8 2021-22 34% 24,054 6103
9 2022-23 42% 25,490 7539
10 2023-24 50% 26,927 8976
11 2024-25 55% 27,824 9873
12 2025-26 60% 28,722

If 60% DA increase is taken into account, PLB for 2015-26 would be Rs.28,722.

4) Entry pay for lowest grade of Pay Level-1 in Railways was fixed as Rs. 18,000 w.e.f. 01.01.2016. If PLB is paid for present minimum basic pay of Rs. 18,000 and for 78 days,

PLB will be = Rs.18000 X 78 days 30.4 (ave day per month) = Rs.46,184.

5) The formula for PLB is based on output-input ratio. Where output was reckoned in terms of equated net tonne kilometres and input was reckoned as the non-gazetted staff strength (excluding RPF/RPSF personnel).

a) Net tonne kms (in millons) for freight was increased by 42.32% from 6,82,612 in 2014-15 to 9,71,460 in 2024-25. In the same period staff strength was reduced by 7.32% from 1326 thousand to 1299 thousand.

b) Ie. between 2014-15 and 2024-25 output-input ratio in terms of Net tonne kms (in millons) for freight and staff strength was increased by 53.55%.

c) Rs.27,564 would have been the PLB amount, if proportionate increase was given in terms of Net tonne kms (in millons) for freight.

6. NC-JCM & Railway Federations citing the Ministry of Labor & Employment notification No.S.O.4710(E) & No.S.O.4710(E) dated 25th August 2026 demanded for enhancement of PLB ceiling to Rs.21,000 from the existing Rs.7000.

7. It is therefore requested that

i) Revision of Ceiling Limit for Pay Level-1:

The ceiling limit for Pay Level-1 employees for the purpose of PLB should be revised.

ii) Removal of Ceiling Limit for Pay Levels 2 and above:

The ceiling limit of PLB should be removed for employees working in level-2 and above and the calculation of PLB should linked to Pay level the employees are working.

Thanking you

K.V.RAMESH
General Secretary, IRTSA

Copy for kind information & necessary action

CRB & CEO Railway Board, New Delhi.
Additional Secretary, Dept of Expenditure, Ministry of Finance.
Secretary, Railway Board, New Delhi.

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