Indian Railways still a laggard

Indian Railways still a laggard, but Narendra Modi govt rewards staff with Rs 2,090 cr payout

Indian Railways may not be very productive, even though in terms of stats it is one of the biggest movers on the planet

By: FE Online | New Delhi | Updated: September 29, 2016 

Indian Railways may not be very productive, even though in terms of stats it is one of the biggest movers on the planet (Photo – Reuters)

Indian Railways may not be very productive, even though in terms of stats it is one of the biggest movers on the planet, but according to the Narendra Modigovernment, the staff needs ‘motivation’ and to maintain ‘peace’ it is shelling out as much as Rs 2,090 cr on something referred to as productivity-linked bonus (PLB). It has made unions happy, and how! The All India Railwaymen’s Federation (AIRF) exulted: “Dear Comrades, hearty congratulations! Cabinet has approved 78-day PLB to Railwaymen at the enhanced ceiling of Rs 7,000 p.m (earlier it was Rs 3,500). This is another great achievement of AIRF.”

The government cleared a proposal to give productivity-linked bonus (PLB) to more than 12.25 lakh non-gazetted railway employees amounting to Rs 2,090.96 crore. The decision to pay out PLB for 2015-16 to Indian Railways staff was taken by the Prime Minister Narendra Modi chaired Union Cabinet which met on Wednesday.

According to a Union Cabinet statement, “Payment of PLB would result in motivating a large number of railway employees to improve the performance of the railways and enhance the productivity levels further besides maintaining industrial peace.”

Eligible Indian Railways employees would be entitled to more than Rs 18,000 under the approved 78 days’ wage PLB for 2015-16. PLB, in 2015, was paid to some 12.58 lakh employees with wage calculation ceiling of Rs 3,500 per month – total payout was as high as Rs 1,030.02 crore.

For the Indian Railways, this is the fifth consecutive year when the PLB has been paid for 78 days’ wages with a calculation ceiling of Rs 7,000 per month. Indian Railway’s PLB payout was put into effect way back in 1979-80 and is reviewed every three years. It is paid before Dussehra.

The Union Cabinet statement added, “Cabinet has given its approval to pay PLB equivalent to 78 days’ wages to eligible non-gazetted railway employees for the financial year 2015-16. The approval entails a financial implication of approximately Rs 2,090.96 crore”.

However, RPF (Railway Protection Force) and RPSF (Railway Protection Special Force) personnel will not be part of this PLB drive.