Cabinet approves bonus for 11.5 lakh railway employees, setting up textile parks2 min read . Updated: 06 Oct 2021, 03:58 PM IST
- The Union cabinet approved setting up seven integrated textile parks at a cost of ₹4,445 crore over five years
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NEW DELHI: The Union cabinet on Wednesday approved bonus for over 1.15 million non-gazetted employees of the Indian Railway for the 2020-21 financial year at an expenditure if Rs1,985 crore. The union cabinet also approved establishing seven integrated textile parks at an outlay of ₹4,445 crore over five years.
While the productivity linked bonus, the government believes, will improve railways' performance, the Union cabinet said the seven textile parks will boost manufacturing and export and is inspired by 5F vision of Prime Minister Narendra Modi - Farm to Fibre to Factory to Fashion to Foreign.
“Cabinet approves Productivity Linked Bonus equivalent to 78 days' wage to eligible non-gazetted Railway employees (excluding RPF/RPSF personnel) for financial year 2020-21. About 11.56 lakh non-gazetted Railway employees are likely to benefit from the decision," the union government said after the Cabinet meeting.
PM MITRA textile parks will be developed by a special purpose vehicle, owned jointly by state governments and the Centre under a Public Private Partnership (PPP) mode. “The master developer will not only develop the Industrial Park but also maintain it during the concession period. Selection of this Master Developer will happen based on objective criteria developed jointly by State and Central Governments," the Union cabinet said in a statement.
The Centre has claimed that each of these seven parks is expected to generate approximately 100,000 direct and 200,000 indirect jobs.
“Government of India will also provide a fund of ₹ 300 crore for each PM MITRA Park to incentivise manufacturing units to get established. This will be known as Competitiveness Incentive Support (CIS) and will be paid upto 3% of turnover of a newly established unit in PM MITRA Park. Such support is crucial for a new project under establishment which has not been able to break even and needs support till it is able to scale up production and be able to establish its viability," the union cabinet said.
The productivity linked bonus is given to the railway employees ahead of the festival season which typically begins with Dussehra. “The Productivity Linked Bonus is expected to motivate the employees for working towards improving the performance of the Railways," union information and broadcasting minister Anurag Thakur said.
“The wage calculation ceiling prescribed for payment of PLB to the eligible non-gazetted railway employees is Rs7000/- p.m. The maximum amount payable per eligible railway employee is Rs. 17,951 for 78 days," the union cabinet said in a separate statement.
Last year, the financial outgo was pegged at Rs. 2081.68 crore. The bonus is paid as per formula approved by the Cabinet in its meeting held on 23 September, 2000 for the years 1998-99 to 2013-14 (except 2002-03 to 2004-05 when slight changes were done with respect to Capital Weightage and Staff Strength). In 2014-15 it was slightly changed.
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