The Union Cabinet on Wednesday approved 78 days' wages as bonus for railway employees. The decision will benefit over 11.5 lakh railway employees and lead to the outgo of over Rs 2,000 crore.

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“It is an acknowledgement of employees contribution to efficient railway operations and aimed at maintaining high levels of motivation among railway personnel… Productivity-linked bonus amounting to 78 days' work wages for over 11.5 lakh non-gazetted railway employees (excluding RPF/RPSF personnel) approved," the government said in a statement.

Union Minister Prakash Javadekar, while announcing the decision in a press conference, said the bonus was a reward to the productivity of the employees. The minister further added that the decision will directly affect a large number of employees and families thus enhancing the sense of inclusiveness and equity among them. The minister said that this is for the sixth consecutive year that the government had given productivity-linked bonus to railway employees.

In addition to the bonus to the railway employees, several key decisions were made by the cabinet including the ban on e-cigarettes.