Union Cabinet approves 78-day Diwali bonus for 11.4 lakh railway employees in 2025-26

Direct fact

In October 2026, the Union Cabinet chaired by Prime Minister Narendra Modi approved a productivity-linked Diwali bonus for about 11.4 lakh railway employees for the 2025-26 financial year.

Key specifics

• The bonus is equal to 78 days’ wages and will cost the Union government Rs. 2,009.61 crore.
• The maximum bonus payable to one eligible railway employee is Rs. 17,951.
• The benefit covers railway track maintainers, loco pilots, train managers, station masters, supervisors, technicians, technical assistants, pointsmen and Group C staff.
• In 2025-26, Indian Railways handled 1,670 million tonnes of freight and about 741 crore passengers.
• The bonus is announced every year before Durga Puja and Dussehra to reward productivity in the railway sector.

Exam lens

TNPSC may frame a current-affairs economy/governance question: 11.4 lakh employees, 78 days’ wages, Rs. 2,009.61 crore, Rs. 17,951 maximum, 2025-26. One-line framing: “Which Union Cabinet decision in October 2026 rewarded railway staff with a productivity-linked bonus?”