Tamil Nadu: M K Stalin grants bonus and ex-gratia to 2.75 lakh state PSU employees

M.K.Stalin

Tamil Nadu Chief Minister M K Stalin has announced bonus and ex-gratia to 2.75 lakh workers of state public sector undertakings (PSUs) and statutory boards across the state for the financial year 2023-24, PTI reported.

As a result, an official release stated that all eligible employees of profit-making PSUs in groups C and D will receive bonuses ranging from Rs 8,400 to Rs 16,800, amounting to 8.33 per cent bonus and 11.67 per cent ex-gratia, as cited by PTI.

The employees of the PSUs lacking allowable surplus will be given a bonus of 8.33 per cent and an ex-gratia of 1.67 per cent.

"The Tamil Nadu chief minister on October 10 ordered payment of bonus and ex-gratia to a total of 2,75,670 workers of state PSUs ahead of the festive (Diwali) season," the release said, adding that the move would incur the government an expenditure of Rs 369.65 crore.

According to the official statement, group 'C' and 'D' category employees of the Tamil Nadu Housing Board and Chennai Metropolitan Water Supply and Drainage Board will receive bonus and ex-gratia of 10 per cent, while eligible workers and employees of TANGEDCO, state transport undertakings, Tamil Nadu Civil Supplies Corporation, and Cooperative Milk Producers' Federation will receive bonus and ex-gratia of 20 per cent, PTI reported.

This move by the Tamil Nadu government comes ahead of Diwali celebrations as a way to encourage the workers and acknowledge their contributions to the state's success and growth.

"The chief minister has extended the gesture to encourage and motivate workers and employees in PSUs acknowledging their role in uplifting the country and contributing to economic growth," the release stated.
A separate order will be issued on bonus and ex-gratia for the employees of cooperative institutions and other organisations, the release added, cited by PTI.

BMC union insists early declaration of Diwali bonus

In September of this year, the BMC union head had demanded a Diwali bonus for the Brihanmumbai Municipal Corporation (BMC) workers due to delay in announcing the bonus.

The Municipal Mazdoor Sangh, headed by MP Ramdas Athawale, had demanded Rs 40,000 Diwali bonus for employees of the BMC.

The union had urged the Maharashtra CM, Deputy CM, and Municipal Commissioner to grant an ex-gratia bonus to employees.

Prakash Jadhav, General Secretary of the union, in a letter mentioned that the bonus should be announced before the code of conduct for the assembly election is implemented.

The Maharashtra assembly elections expected to be held in November.

Maharashtra CM Eknath Shinde announced a Diwali bonus of Rs. 26,000 for BMC employees last year on November 8. Diwali 2023 was celebrated from November 10 to 15.

The opposition criticized the government for the delay in announcing the bonus.