The Central government has announced a 30-days festival bonus..

The Central government has announced a 30-day festival bonus for eligible employees ahead of the festive season, aiming to boost morale and provide financial relief. This annual practice is extended mainly to non-gazetted employees, including Group C and certain Group B staff, who do not fall under other performance-linked incentive schemes. The bonus is calculated on the basis of the employee’s basic salary plus dearness allowance, subject to a monthly ceiling fixed by the government. Typically, the maximum amount payable is capped, ensuring uniformity across different departments. This move is expected to benefit lakhs of central government staff, including railways, postal, defense civilian employees, and production workers. The decision is also likely to inject liquidity into the economy, as employees use the payout for festive spending, thereby supporting markets and boosting consumption. It reflects the government’s effort to balance welfare measures with economic stimulus during the festive period.