The Ministry of Defence has sanctioned the payment of the Productivity Linked Bonus (PLB) to eligible industrial civilian employees of the Army Ordnance Corps (AOC) and the Indian Army for the financial year 2023-2024. This announcement follows the guidelines set forth in the PLB Scheme, originally circulated via letter No. F-24(9)/80/D(JCM) dated 28th September 1983, and subsequent amendments.
Details of the PLB Payment:
As per the sanction from the President, eligible employees will receive a bonus equivalent to 40 days of their wages for the financial year 2023-2024. The entitlement has been calculated based on the working results for the year, as per the established formula.
- Eligibility: The PLB will be provided to all eligible Group ‘B’ (Non-Gazetted) and Group ‘C’ civilian employees of AOC and the Indian Army who are covered under the PLB scheme for the Accounting Year 2023-2024.
- Ceiling for Calculation: The ceiling for calculation of the bonus remains at Rs. 7,000, which is multiplied by 40 days (calculated as Rs. 7000 × 40/30.4). This ceiling and the other terms and conditions of the PLB scheme remain unchanged.
Casual Laborers:
Casual laborers working within the AOC/Indian Army will also receive the PLB. The bonus for casual laborers will be calculated based on an assumed monthly wage of Rs. 1,200 (calculated as Rs. 1200 × 40/30.4). However, if the actual wages of any casual laborer fall below Rs. 1,200 per month, the bonus will be calculated based on the actual monthly wages. Like other employees, the other conditions of the PLB scheme for casual laborers remain unchanged.
Financial Implications:
The total expenditure for the payment of the PLB will be debited to the Defence Service Estimates under the respective heads where the pay and allowances of these employees are accounted for. The cost of the bonus will be fully met out of the sanctioned budget for the financial year 2024-2025, without requiring any additional funds.
This initiative demonstrates the government’s ongoing commitment to supporting and rewarding the hard work and dedication of civilian employees working within the Defence sector.
Concurrence from Ministry of Finance:
The decision to sanction the PLB has been taken with the concurrence of the Ministry of Finance (Department of Expenditure), as indicated in their I.D. Note No. 11/18/2019-EIII-A- dated 1st November 2024. Additionally, the Ministry of Defence (Finance) has also provided its approval through ID Note No. 28028/03/2022-AG/PB dated 1st November 2024.
This decision to award the PLB follows a long-standing practice of incentivizing employees based on their productivity and contributions to the success of the AOC and the Indian Army, and highlights the government’s appreciation of the essential role these employees play in maintaining the country’s defence infrastructure.
