Diwali Bonus: Railway employees receive good news, the government has announced a Diwali bonus

Government Announces Diwali Bonus for Railway Staff: 78 Days’ Salary to Be Paid with September Wages

New Delhi, September 24, 2025: In a festive gift ahead of Diwali, the central government has approved a Performance-Linked Bonus (PLB) for Indian Railways employees. The decision, taken during today’s Union Cabinet meeting, will provide eligible staff with a bonus equivalent to 78 days’ salary, which will be credited along with their September pay.

This announcement has brought cheer to over 10.9 lakh non-gazetted railway employees across the country, reaffirming the government’s recognition of their role in keeping India’s rail network running efficiently.

Who Will Receive the Bonus?

According to the official statement, the Diwali bonus is exclusively for non-gazetted railway staff, which includes station masters, drivers, guards, track maintainers, and technical workers, among others. These employees form the backbone of railway operations, ensuring smooth passenger and freight services throughout the year.

The PLB scheme directly links the bonus payout to the productivity of the Railways. It is designed to reward workers for their contribution to improving capacity, efficiency, and overall performance of the sector.

Last year, a similar bonus was provided to around 11 lakh employees, and this year, the government is continuing the tradition with a nearly identical coverage.

Economic Impact of the Festival Bonus

Experts suggest that this timely financial support could give a significant boost to consumer spending during the festive season. Since railway staff are spread across urban and semi-urban areas, the additional income is expected to flow into essential purchases such as clothes, electronics, household goods, and festive items.

This spending is likely to create a multiplier effect on the economy. As workers spend their bonuses in local markets, the money circulates back into businesses, industries, and services, thereby stimulating overall demand.

With inflation currently under control and GST rates recently reduced on several goods, the government hopes this extra disposable income will encourage families to increase consumption ahead of Diwali.

Central Employees and Festival Benefits

Apart from railway staff, other central government employees are also eligible for festive season bonuses. However, the scale of the PLB for railway workers is considered one of the largest in the public sector due to the massive workforce and critical role the Railways play in the economy.

The bonus also acts as a morale booster, reinforcing the government’s appreciation of employees’ dedication, especially in a sector where services continue round-the-clock, regardless of challenges.

Why the Bonus Matters This Year

The Railways remain one of India’s largest employers, with more than 12 lakh personnel on its payroll. At a time when the government is pushing for stronger growth in domestic demand, such measures can be instrumental in ensuring that workers feel valued while simultaneously supporting the economy.

For employees, the bonus represents not just a festive gift but also a recognition of their hard work in maintaining one of the busiest railway systems in the world. For the economy, it translates into higher spending, which benefits markets across sectors.

Key Takeaways:

• Over 10.9 lakh railway employees will receive a Diwali bonus.

• The bonus is equal to 78 days of wages under the Performance-Linked Bonus (PLB) scheme.

• Payments will be credited along with September salaries.

• The initiative is expected to boost festive spending and support the economy.

• The scheme primarily covers non-gazetted staff, who form the backbone of railway operations.

The announcement not only lights up the festive mood for railway families but also injects fresh energy into India’s economic cycle. By combining employee welfare with consumer-driven growth, the government has ensured that this Diwali will be brighter for both households and markets alike.