Railway Employee Welfare

Railway Employee Welfare

Overview

Indian Railways looks after about 12.3 lakh serving employees and 14.5 lakh railway pensioners through a three-tier welfare structure: (i) Statutory benefits under Labour Acts, (ii) Railway Board’s welfare schemes, and (iii) Staff-benefit funds managed by Recognised Unions. The apex policy body is the Welfare & Sports Directorate of Railway Board; implementation is done through 17 Zonal Welfare Offices and 68 Divisional Welfare Inspectors. Expenditure on staff welfare is met out of “Demands 4 & 5 – Staff Welfare & Amenities” of the Railway Budget.

Key Facts & Figures

Fact Detail
1. Statutory welfare ceiling under Factories Act ₹500 per employee per annum (Railways enhanced it to ₹2,000)
2. Staff Benefit Fund (SBF) collection 0.5 % of total railway wages + equal Railway Board contribution
3. SBF annual corpus (2023-24) ₹510 crore
4. Quantum of education aid from SBF ₹3,000 (Class 1-8), ₹7,000 (Class 9-12), ₹20,000 (Graduation)
5. Holiday-home accommodation charge ₹50 per day (Group-C) & ₹100 per day (Group-B)
6. No. of Railway Holiday Homes 92 across India
7. No. of Railway Institutes/Rail Nilayams 487
8. No. of Staff Quarters 9.8 lakh (65 % of employees housed)
9. Quarters rent formula 7.5 % of basic pay (HRA exempted)
10. Quantum of Spectacle Grant ₹300 for Glasses, ₹2,000 for Hearing Aid
11. Financial assistance under “Special Class Railway Apprentice (SCRA) Alumni Scheme” ₹1 lakh for coaching & ₹2 lakh on selection into UPSC/Engineering
12. Railway Women & Child Welfare Organisation (RWCWO) formed 1954
13. Creche running grant ₹18,000 per month per creche (min. 10 kids)
14. Quantum of Maternity Relief under SBF ₹10,000 (female employee)
15. Staff quota in Rajdhani/Shatabdi 2 berths per coach (total 4 per train)
16. Concession in train fare for Railway School picnic 75 % in 2nd class for students + 50 % for escorting teachers
17. Quantum of Funeral Advance ₹15,000 (interest-free, recoverable in 10 instalments)
18. Financial assistance for daughter’s marriage ₹25,000 (from SBF)
19. Railway Sports Promotion Board (RSPB) formed 1928
20. National Railway Pension Rules effective 01-01-1993 (earlier Pension Scheme 1950)

Important Points

  • Staff Benefit Fund is audited by the Comptroller & Auditor General of India and is operated by a bipartite committee headed by DRM/PHOD with union representatives.
  • Holiday Homes are built only at hill-stations/tourist places having a minimum rail head of 50,000 foot-fall per year.
  • Railway Institutes are governed by the Railway Institute Rules, 1965; surplus from bar/auditorium is ploughed back for welfare.
  • Railway employees are exempted from contributory Employees’ State Insurance (ESI) because Railways runs its own health-care system (Railway Hospitals).
  • Residential accommodation is allotted through “Railway Quarter Allotment Committee (RQAC)” on seniority-cum-merit basis; eviction is done under Public Premises Act.
  • Railway Schools are affiliated to CBSE, but staff-children get 50 % rebate in tuition fee.
  • Staff Nurse & Paramedical staff get extra 30 % Nursing Allowance under Welfare budget.
  • Railway Board sanctions “Work-Place Rest-Sheds” for running staff every 200 km; each shed has minimum 30 beds, recreation room & subsidised canteen.
  • Women employees get 180 days maternity leave under Maternity Benefit Act, 1961, but Railways gives additional 42 days “Child Care Leave” in entire service.
  • Pensioners are issued “Pensioner Concession Card” allowing 40 % concession in 2nd class & SL, but no concession in AC classes.
  • Railway Employees’ Liberalised Health Scheme (RELHS) covers pensioners and spouse for ₹250 annual contribution; medical benefit is same as serving employees.
  • Railway Minister’s discretionary quota has 10 berths per train for high-grade employees on medical/welfare grounds.
  • “Earned Leave Encashment” up to 300 days is permissible once in entire service for daughter’s marriage or higher education of children.
  • Railway Sports quota recruitment is 0.5 % of total induction; sports persons get 5 years relaxation in age and free railway pass for attending camps.
  • Zonal Welfare Officers are required to inspect every staff colony once a quarter and submit “Welfare Inspection Report” to Railway Board.

Frequently Asked in Exams

  1. What is the percentage of salary contributed to Staff Benefit Fund by Railway administration?
  2. Who is the ex-officio Chairman of Divisional Staff Benefit Fund Committee?
  3. How many berths are earmarked for railway staff quota in premium trains?
  4. Under which demand number is staff welfare expenditure shown in Indian Railway Budget?
  5. Name the allowance paid exclusively to Railway Nurse & Paramedical staff under welfare head.

Practice MCQs

1. The annual contribution made by Railway Board to Staff Benefit Fund is equal to ____ of total wages. 0.5 %