New Delhi, January 21: In a major bonanza, the Indian Railways has agreed to hike the "running allowance" granted to a section of its workforce by nearly 200 per cent. The increment is beyond the recommendations of the 7th Pay Commission. The beneficiaries of the allowance hike are loco pilots or drivers, assistant loco pilots and guards.

At present, the loco pilots and assistant loco pilots are eligible for a running allowance amounting to Rs 255 per hour. This would now be doubled to Rs 520 an hour. The cumulative hike per month would be in the range of Rs 12,000 to Rs 25,000 per employee, reports said. Tech Teachers of State-Run and Government-Aided Institutes to Get Salary Hike Ahead of 2019 Lok Sabha Elections.

The Railways would incur a financial burden of Rs 2,375 crore, up from Rs 1,150 crore it was currently spending per annum on running allowances. Apart from the allowance hike, the Railways would also be spending another Rs 4,500 crore in the form of arrears -- as the date of implementation for the allowance hike has been fixed as July 1, 2017.

The announcement comes in the backdrop of demands raised by the All India Railwaymen Federation (AIRF), seeking an increase in the salaries of Group C and D workforce beyond the 7th CPC recommendations. AIRF chief Shiv Gopal Mishra has repeatedly urged the Finance Ministry to increase the minimum wage to Rs 26,000 -- up from Rs 18,000 at present.

Notably, the Railways offers 178 different types of allowances to its workforce. While some of the allowances are generic, others are specifically granted to a section of the employees based on the charge accorded to them.

(The above story first appeared on LatestLY on Jan 21, 2019 05:12 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).