New Delhi: In a development that will bring massive cheer to railway employees ahead of the upcoming festive season, the Ministry of Railways has hiked the incentive bonus of those working at the Indian Railways workshops and production units.
The decision has been taken on recommendations of the seventh Central Pay Commission (7th CPC), which suggested that the incentive bonus of the said employees be doubled.
In its order, the ministry has said that the ‘2.25’ factor will be implemented in order to calculate the incentive bonus which is given for every hour that the employee works after his official shift hours are over. From now on, biometric machines will be installed at the workshops and production units for the workers to mark their attendance.
Also, as per the ministry’s order, the hike in incentive bonus will be calculated from July 1, 2017. Hence, employees can also expect hefty arrears from the said date.
According to the All India Men’s Railway Federation, it had been pursuing the Ministry of Railways to revise incentive bonus, since long. A meeting was held in this regard in May 2019, during which it was conclusively decided to implement the recommendations of the 7th CPC. However, an official announcement on the same, until now, had not been made.
The incentive bonus will be calculated on the basis of a formula with which both the Indian Railways and the employees agreed. The formula was coined as paying employees on an hourly basis would have hurt the Railways’ exchequer.