Evolution

The first railway on Indian sub-continent ran over a stretch of 21 miles from Bombay to Thane. The idea of a railway to
connect Bombay with Thane, Kalyan and with the Thal and Bhore Ghats inclines first occurred to Mr. George Clark, the
Chief Engineer of the Bombay Government, during a visit to Bhandup in 1843.
The formal inauguration ceremony was performed on 16th April 1853, when 14 railway carriages carrying about 400 guests
left Bori Bunder at 3.30 pm "amidst the loud applause of a vast multitude and to the salute of 21 guns." The first passenger
train steamed out of Howrah station destined for Hooghly, a distance of 24 miles, on 15th August, 1854. Thus the first
section of the East Indian Railway was opened to public traffic, inaugurating the beginning of railway transport on the
Eastern side of the sub-continent.
In south the first line was opened on Ist July, 1856 by the Madras Railway Company. It ran between Vyasarpadi Jeeva
Nilayam (Veyasarpandy) and Walajah Road (Arcot), a distance of 63 miles. In the North a length of 119 miles of line was
laid from Allahabad to Kanpur on 3rd March 1859. The first section from Hathras Road to Mathura Cantonment was opened
to traffic on 19th October, 1875.
These were the small beginnings which is due course developed into a network of railway lines all over the country. By
1880 the Indian Railway system had a route mileage of about 9000 miles. INDIAN RAILWAYS, the premier transport
organization of the country is the largest rail network in Asia and the world's second largest under one management.
Indian Railways is a multi-gauge, multi-traction system covering the following:
Broad Gauge Meter Gauge
Narrow Gauge (762/610 mm)
Track Kilometers (1676 mm) (1000 mm)
108,706
Route Kilometers

Electrified

Other Interesting facts of Indian Railways

Indian Railways runs aroun
d 11,000 trains everyday, of which 7,000 are passenger trains
locomotives
- Yards

- Coaching vehicles
222,147 - Freight wagons
Good sheds

Repair shops

Stations

1.54 million - Work force

Territorial Readjustment of Zones and In-House Reforms

In order to bring about greater efficiency in administration, speedy implementation of on-going projects, better customer
care, reduction of workload on General Managers etc., Indian Railways have decided to create seven new zones by
territorial re-adjustment of existing zones. The new zones, having limited financial burden on Railways, will have thin and
lean, efficient and modern administrative set up. Two of the new zones have already started functioning.
National Rail Vikas Yojana
With a view to complete strategically important projects within a stipulated period of time, a non-budgetary investment
initiative for the development of Railways has been launched.. Under the scheme all the capacity bottlenecks in the critical
sections of the railway network will be removed at an investment of Rs.15,000 crore over the next five years. These projects
would include:
1.Strengthening of the golden Quadrilateral to run more long-distance mail/express and freight trains at a higher speed of
100 kmph.
2.Strengthening of rail connectivity to ports and development of multi-modal corridors to hinterland.
3.Construction of four mega bridges - two over River Ganga, one over River Brahmaputra, and one over River Kosi.
4.Accelerated completion of those projects nearing completion and other important projects.
New Steps towards Safety and Security :
Safety of 13 million passengers that Indian Railways serve every day is of paramount importance to the system. Over the
years, apart from the regular safety norms followed, the network has taken a number of steps through innovative use of
technology and stepped up training to its manpower to enhance safety standards. Constitution of Rs.17,000 crore nonlapsable Special Railway Safety Fund (SRSF) to replace the arrears of aging assets of Railways over the next six years has
been a historical move in this direction. A number of distressed bridges, old tracks, signalling system and other safety
enhancement devices will be replaced during this period. As far as budget allocation for safety is concerned, Rs.1,400 crore
was allocated in the revised estimate for the year 2001-02 and Rs.2,210 crore for the year 2002-2003. Extensive field trials
of the Anti-Collision Device (ACD), indigenously developed by Konkan Railway, is going on and once deployed across the
Zonal Railways, this innovative technology will help railways reduce accidents due to collision between trains.
Security of railway passengers is at present a shared responsibility of the Railway Protection Force (RPF) and the
Government Reserve Police (GRP). Efforts are on to amend the Railway Act to give more powers to the RPF in ensuring
security of passengers on trains and within Railway premises. Deployment of women police Force has been made for
security and assistance of women passengers.
Improving Financial Health :
The financial position of Indian Railways has been slowly but steadily improving. Some of the highlights of the financial
performance during 2001-02 include: improved operating ratio from 98.8 per cent to 96.6 per cent, savings in ordinary
working expenses of Rs.1,487 crore, Depreciation Reserve Fund (DRF) balance goes up from Rs. 78.04 crore during March
last year to Rs.632.99 crore during same time this year. Railways have established a new milestone in incremental freight
loading during July this year by carrying 5.70 million tonnes of goods. Freight loading for the last financial year crossed the

target and attained 492.31 million tonnes.

New Trends in Passenger Amenities :
To take care of the unreserved segment of the passengers, a new pilot project on computer based unreserved ticketing has
been launched this year. Of the 13 million passengers served by the network everyday, nearly 12 million are unreserved
passengers. To cater to this huge segment, computer based ticketing systems has been launched for all stations in Delhi area
and in due course throughout the country. With this, unreserved tickets can be issued even from locations other than the
boarding station and will reduce crowds at booking offices and stations.
Indian Railway Catering and Tourism Corporation
with the assistance of Centre for Railway Information Systems has launched On-line ticketing facility which can be
accessed through website irctc.co.in. Computerized reservation facilities were added at 245 new locations. At present these
facilities are available at 758 locations in the country covering about 96 per cent of the total workload of passenger
reservation. Computerized Reservation related enquiries about accommodation availability, passenger status, train schedule,
train between pair of stations etc. have been made web enabled.
A pilot project for issuing monthly and quarterly season tickets through Automated Teller Machines (ATMs) has been
launched in Mumbai this year and has been found very successful. Another pilot project for purchasing tickets
including monthly and quarterly season tickets through Smart Card has also been launched.
"National Train Enquiry System" has been started in order to provide upgraded passenger information and enquiries. This
system provides the train running position on a current basis through various output devices such as terminals in the station
enquiries and Interactive Voice Response System (IVRS) at important railway stations. So far the project has been
implemented at 98 stations.
Freight Operations Information System (FOIS) Computerisation of freight operations by Railways has been achieved by
implementing Rake Management System (RMS). Such FOIS terminals are available at 235 locations
Railways have established their own intra-net 'Railnet' It provides networking between Railway Board, Zonal
Headquarters, Divisional headquarters, Production Units, Training Centers etc.
Sterling Performance by PSUs The public sector undertakings of the Railways, especially IRCON and RITES, scored
commendable achievements during the last three years. IRCON International has achieved a record turnover of Rs.900 crore
during 2001-02 and the foreign exchange earnings of this prestigious organization has increased six fold over the years. At
the international level, IRCON is at present executing different projects in Malaysia, Bangladesh and Indonesia. The PSU
has registered a strong presence in the international scenario by its sterling track record.
RITES, another prestigious PSU under the Ministry has scaled new heights in performance, profit and dividend to the
shareholders during the last three years. Its turn over increased from Rs.172 crore in 1999 to Rs.283 crore in 2002. RITES
for its sterling performance secured the prestigious ISO-9001 Certification this year. The company has also entered into
export/leasing of locomotives in different countries in Asia and Africa. RITES is operating all over the world including
Columbia, UK, Iran, Malayasia, Myanmar, Bangladesh, Sri Lanka, Tanzania, Uganda, Ethiopia, Turkmenistan and
Uzbekistan.
Indian Railways Finance Corporation Limited secured excellent rating for fourth year in succession by the Department of
Public enterprises on the basis of the performance targets. Besides, Standards and Poor's, the international credit rating
agency, also reaffirmed the sovereign ratings to IRFC. The Corporation has been making profits and paying dividends.

Indian Railway Catering & Tourism Corporation ( IRCTC ) Internet based ticket booking has been launched by
IRCTC in Delhi, Chennai, Bangalore, Mumbai and Calcutta this year. Hygienic and air-conditioned food plazas having
consumer-friendly ambience opened at Pune and Chennai and license for similar plazas awarded for 17 more locations. In
all, 50 such plazas will be opened by the end of this financial year across the zonal Railways. Railneer - packaged drinking
water is to be made available from December this year.
More than half a lakh tourists have availed the value added tour package programme launched by the Corporation this year.
Innovative Technologies by Konkan Railway :
Konkan Railway Corporation (KRC), the technological marvel of Indian Railways, has invented quite a few new
technologies. Anti Collision Device (ACD), state-of-art indigenous technology of KRC is currently under-going intensive
field trials and is capable of avoiding collision between trains. Sky bus metro is another innovative, economic and ecofriendly mass rapid transportation solution devised by Konkan Railway. Self Stablising Track (SST) devised by KRC, which
is undergoing trials at present, will help Railways run the fastest train in the near future and will make tracks much more
safe and sustainable.
Private Sector Participation :
The participation of both private and public sectors in developing rail infrastructure has gone up. A joint venture company
was formed with Pipava Port authorities to provide broad gauge connectivity to Pipava Port. MoUs have been signed
between Ministry of Railways and the State governments of Andhra Pradesh, Karnataka, Maharashtra, West Bengal, Tamil
Nadu and Jharkhand in developing rail infrastructure in these States.
Telecommunication - New Trends :
To give improved telecommunication systems on Railways, Optical Fibre based communication systems has been adopted
and laying OFC has increased to 7,700 route kilometer this year. Rail Tel Corporation has been created to make a
nationwide broadband multimedia network by laying optical fibre cable along the railway tracks. This system will provide
better operational and passenger amenities and additional revenue to Railways.
New Technologies :
India became the first developing country and the 5th country in the world to roll out the first indigenously built "state-ofthe-art" high horse power three phase electric locomotive when the first such loco was flagged off from Chittranjan
Locomotive Works (CLW). CLW has been achieving progressive indigenisation and the cost of locomotives has come down
to the level of Rs.13.65 crore.
Diesel Locomotives Works, Varanasi has produced state-of-the-art 4000 HP AC/AC diesel locomotive in April this year.
These locos are capable of hauling 4,800 tonne freight trains at a speed of 100 KMPH and can run continuously up to 90
days in one stretch without any major maintenance.
Honours and Awards
Indian Railways achieved a number of recognitions and awards in sports, tourism sector and for excellence in operational
matters. In the Common Wealth Games in Manchester, the Indian teams record performance has been mainly due to
Railway team's excellence in sports. Except one member the entire women's Hockey team which bagged the gold medal

belonged to Railways. Mohd Ali Qamar of Indian Railways has bagged gold medal for boxing and other participants from
Railways helped India win medals in many a team events. A number of sportspersons from Railways were conferred with
the coveted Arjuna Awards and other major sports awards.
Darjeeling Himalayan Railways attained the World Heritage Status from UNESCO.
Fairy Queen, the oldest functioning steam engine in the world, which finds a place in the Guinness Book of World Records,
got Heritage Award at the International Tourist Bureau, Berlin in March, 2000. On operational front, Delhi Main station
entered the Guinness Book for having the world's largest route relay interlocking system.
Social obligations and care for weaker sections
Senior citizens, students, disabled persons etc. enjoy concessional benefits from Railways. New initiatives in this area
during the last three years include reduction of age limits for special concession to senior women citizen from 65 to 60
years, blind and mentally challenged persons can now travel in AC classes on confessional rates. Free second class Monthly
Season Tickets (MSTs) for school going children upto tenth standard for travel between home and school was also
introduced.
Tie-Up with Foreign Railways
Indian Railways is in constant touch with Railways across the world to bring in state-of-art facilities in its system. Towards
this, a Memorandum of Understanding was singed during the Eighth Session of the Indo-Austria Joint Economic
Commission held in Vienna. This seeks to promote and deepen long-term infrastructure-specific cooperation between Indian
and Austrian Railways to their mutual benefit.A three-day International Conference of Union of Railways was organised by
Indian Railways in New Delhi in which hundreds of delegates from various industries and Railways around the world
participated.
General conditions
1.
Leave cannot be claimed by the employee as a matter of right. The right to grant or refuse leave vests in
the authority competent to sanction leave.
2.
The leave usually commences on the day charge is handed over and ends on the day the charge is taken
over again.
3.
Leave sanctioning authority cannot alter the kind of leave due and applied for except at the written
request of the employee.
4.
Leave already availed maybe converted into another kind of leave on employee's request retrospectively
but not after retirement.
5.

Leave cannot be sanctioned for more than 5 years.

6.
Combination of holidays preceding or in continuation of leave is permitted. In case of medical certificate
of sickness, the holidays will be part of sickness leave.
7.

The employee is not permitted to take up any employment during the period of leave.

8.
Employee should take permission to leave headquarters specially for private visits abroad. When
permission to visit abroad is sought, information relating to the proposed and previous private visits should be furnished in
the prescribed proforma.
Planning for Leave

Employees should be encouraged to take leave periodically or annually as per instructions by Department
of Personnel and Training.

Detailed plan should be made out for sanction of leave to staff by turn keeping in view priorities of staff
and work.

Normally leave should not be refused in particular during last 10 years of service.

Going on leave is beneficial to both Railway employee and organization as employee return refreshed

from leave.
References
1.

Chapter 5 of Indian Railway Establishment Code.

Leave on Average Pay (LAP)
Leave on half average pay(LHAP)
Leave Salary
Leave Not Due(LND)
Child Care Leave(CCL)
Study Leave(SL)
Casual Leave(CL)
Child Adoption Leave
Compensatory Casual Leave(CL)
Encashment of Leave
Encashment of LAP at the time of availing Pass/PTO
Extraordinary Leave (ExL)
Hospital Leave
Leave Rules for Railway Apprentices / Trainees
Leave and Vacation/Holiday Rules for school staff
Maternity Leave(ML)
Paternity Leave(PL)
Procedure for Sanction of Commuted Leave/Leave on Medical Certificate
Special Casual Leave
Special Disability Leave
CHAPTER IV

EMPLOYEE RELATIONS

401- There are about 14 lakhs regular employees, in addition to about 3 lakhs casual workers on Indian Railways, the
largest employer by far in the land. The regular strength consists of nearly 6,00,000 Class III staff and about 8,00,000 Class
IV staff in addition to about 8,400 Class I, and II Officers. The pay and allowances of regular employees a lone account for
about 60 per cent of the total working expenses of Railways (excluding appropriation to the Depreciation Reserve Fund
and the Pension Fund) which reflects the labour intensive character of the Railway industry. Harmonious relations with the
work force is an important management objective of the Railways. This Chapter very briefly introduces the more important
aspects of employee relations. The subject is dealt with broadly under (a) personnel administration, involving matters like
recruitment sod training, pay and allowances, labour laws, etc., and (b) industrial relations dealing with grievance,
procedures, union matters, and staff welfare, etc.
PERSONNEL ADMINISTRATION
RECRUITMENT AND TRAINING
402. Subordinate staff (Class III, Class IV and Workshop Staff).With a few exceptions, direct recruitment to nongazetted cadres is made in the lowest grade of the category concerned. Direct recruitment on a limited scale to intermediate
grades may also be made, when considered necessary by the Railway Administrations, with the approval of the Railway
Board who will also lay down the qualifications for recruitment to such intermediate grades. Recruitment to Class III posts
is usually made through the Railway Service Commissions by open competition on all India basis or, in the case of lower
grade pasts, restricted locally to the area where such vacancies exist. However, Railway Administrations are empowered to
make direct recruitment on a limited scale to Class III posts selectively an compassionate grounds or to encourage sports.
Recruitment to Class IV posts is done by the Railway Administrations through Selection Boards. Employment Notices are
issued locally and the assistance of the local Employment Exchange is sought for getting adequate number of suitable
candidates. Both in regard to direct recruitment and promotion, due note is taken of the Government's policy of providing
special facilities to Scheduled Castes and Scheduled Tribes.
403. Selection of a candidate by the Railway Service Commission or a Railway Administration is subject to his qualifying
the prescribed medical examination. (For certain categories of jobs, periodic medical examination is also
prescribed during the course of employment). The appointing authority is further required to satisfy itself that the
character and antecedents of the persons to be appointed are such as do not render him unsuitable for appointment to
Government service. All appointments are made on probation which is usually for one year. For trainees or apprentices
appointed to working posts after the conclusion of their training, the probationary period commences on the date of such
appointment. The type and period of training where required have been specified in respect of each category of Class III
and Class IV staff in the relevant rules issued in this behalf.
404. Rules have been laid down governing the grade to grade promotion of staff of all categories. Promotions to posts in
the lower grades are generally made on the basis of seniority-cum-suitability, each alternative step on the promotion ladder
being thereafter subjected to 'selection ' on merit only.
405. Group ' A ' and ' B ' Officers.Recruitment to Railway Services Group ' A ' is made through (a) Competitive
examination held by the Union Public Service Commission ;
(d) Promotion of specially qualified Group ' B' officers including officiating Group ' B ' officers of the service or
department.
(c) In the case of Transportation (Power) and Mechanical Engineering Department, by appointment of candidates as
Special Class Apprentice through the competitive examination conducted by the U. P. S. C. and.
(d) Occasional admission of other qualified
Commission.

persons on the recommendation of the Union Public "Service

All first to appointments Group ' A ' Services/Posts are made by the President on the recommendation of the Union Public
Service Commission. Recruitment to Group ' A ' services/posts by promotion of Group ' B ' officers is made by the
President on the recommendation of the Union Public Service Commission. All first appointment to the Railway
services/Posts in Group ' B ' are made by the Railway Board. Recruitment to Group 'B' services/posts by promotion of
Class the staff employed on the Railways is made by the Railway administrations concerned in accordance with the rules
framed by the Railway Board in consultation with the Union Public Service Commission.
406. The probationers recruited to the various railway services, Group 'A ' are required to undergo practical and theoretical
training for 2 years, which includes training at the Railway Staff College, Baroda, and the National Academy of
Administration, Mussoorie. In the case of Medical Department, the period of training is 6 months. The period
ofprobation is 2 years in the case of Indian Railway Accounts Service, Indian Railway Personnel Service and the Indian
Railway Medical Service and 3 years in the case of all other services. After completing the course at the Staff College and
at the conclusion of the period of training, the probationers are squired to pass a qualifying examination before they are
given charge of working posts.
407. The Railways attach considerable importance to providing training to all categories of staff and Officers with a
view to improving their skills and ability. Training is imparted in Railway Zonal Schools, Systems Technical Schools
and other such institutions of each railway. The courses conducted at the training institutions may be broadly divided into
4 categories, viz.
(i) initial or induction training to meet the needs of new recruits ;
(ii) promotion courses for employees who have to undertake duties of a different nature with higher responsibility;
(iii) refresher courses to keep the employees abreast of the latest developments in their own subjects and to give them a
fresh orientation with regard to their duties and responsibilities ; and
(iv) special typos of courses to meet specific needs, such as management courses, work study courses, operational research
seminars, etc.
The Railways have also been taking advantage of the offers of training facilities abroad under the various technical aid
plans of Foreign Governments and Agencies.
408. Pay and Allowances.'The structure of emoluments and conditions of service of railway employees, like those of
other Central Government employees, are reviewed periodical!)' by the Pay Commissions appointed by Government from
time-to-time. The recommendations of the Pay Commissions as accepted by Government, (ay down the pay scabs
and allowances of various categories of rail way employees as also their leave admissibility and death-cum-retirement
benefits. All employees borne on the regular establishment of the Railways are placed on time scales of pay, in which
they draw annual increments as a matter of course except on reaching an 'efficiency bar'. In addition, they are paid
"allowances" which may be related to the cost of living index (as in the case of Dearness allowance), or which
compensate the employee on account of unusual working hours or special nature of duties (such as night-duty allowance or
running allowance), or inhospitable or expensive place of posting (such as bad climate allowance, hill allowance, house
rent allowance, city compensatory allowance). A unique feature of the grade-wise pay structure in the
Railway for non-gazetted employees is that the distribution of posts in the various grades is based on a percentage of the
total authorised establishment within the same category. The rules governing the pay and allowances, leave entitlement,
retirement-cum-death benefits, etc., of railway employees are collectively known as the Establishment Rules, and are
embodied in the Indian Railway Establishment Codes and the Indian Railway Establishment Manual.
409. Detailed arrangements have been made for prompt and regular payment of pay and allowances of staff. The
wage period in no case exceeds one month ; however, it is not necessarily the calendar month. The payment is made on

specified dates. The payment of Wages Act applies to all railway employees whose wages average less than Rs. 1,000 per
month. The wages in any railway workshop in which less than 1,000 persons are employed are payable before the expiry
of the 7th day after the last day of the wage period, and where the number of persons employed is 1,000 or more, the wages
are payable before the expiry of the 10th day after the last day of the wage period. Payments in kind are
prohibited. Only permissible deductions, as specified in the Act, may be made from the wages. The Railway
Administrations are obliged to maintain a register of wages at the work spot in such form as the Paymaster finds
convenient. The register is required to contain the information regarding the gross wages, deductions made from the
wages, and the wages actually paid to each person for each wage period.
410. Permissible deductions..Deductions which can be made from the wages of an employee to whom the Payment of
Wages Act applies are given under Section 7 of the said Act.
411. Income Tax and Super Tax.The sole authority for the recovery of income tax is contained in the Income Tax Act
1961 as amended from time-to-time and the rules and orders issued there under by the Ministry of Finance, Department of
Revenue (Central Board of Direct Taxes). Income Tax and Super Tax has to be deducted at the rate and in the manner
prescribed by the M. O. Finance, Department of Revenue (C. B. D. T.) from time-to-time. No doubtful cases should be
decided except by reference to the Act, and if necessary to the income tax authorities.
412. Annual Return.According to provisions of Section 206 of the Income tax Act, read with Rule 36-A and 37 of the
Income Tax Rules, the prescribed person in the case of every office of Government responsible for deducting tax under the
provisions of Chapter XVII of the Income Tax Act shall prepare, within the prescribed time after the end of each financial
year, and deliver or cause to be delivered by the 30th April following the financial year to the designated Income Tax
Officer and annual return of deduction of tax under section I92 of from "Salaries" in Form No. 24 prescribed under Rule 37
of the Income Tax Rules. It may be noted that the third copy of the T. D. S. Certificate issued to the employees should be
enclosed with the annual return.
413. Payment by Results:-With a view to increasing the productivity of workshops and Production Units and creating
incentive for the employees and their supervisors, an incentive scheme has been in existence on the Railways for a number
of years. The scheme was initially introduced in Chittaranjan Locomotive Works and was extended later to other Railway
Workshops and Production Units. The essential features of this scheme are :
(i) Time is the yardstick for measuring the work and productivity.
(ii) The " allowed time " for each operation is fixed after a detailed time study and includes allowances for fatigue, general
handling, etc., and extra allowance to enable a workman of average ability to earn 33-1/3 per cent over and above his basic
wages.
(iii) The difference between the "time allowed "and the "time taken " constitute the time saved or lost for direct workers
which is evaluated at standard hourly rate prescribed by the Railway Board for different categories of staff to arrive at the
amount of profit or loss.
(iv) The ceiling limit on profit or time saved is fixed at 50 per cent of the time taken.
(v) Essential indirect workers and supervisors up to the level of chargemen participate in the incentive bonus scheme
subject to their earnings being restricted to 80 per cent of the average percentage of profit earned by direct workers.
Mistries get 100 per cent of the average percentage of profit earned by direct workers,
(vi) The basic wages of all workers and supervisors are guaranteed irrespective of the result of working on incentive
scheme but losses sustained in any particular month are adjusted against the profit of the sama month.

(vii) The Administration reserves the right to vary the allowed time if improved machine tools or better tooling are utilised
or other time saving devices are introduced and also if there is any error in computation or in printing.
414. Death-cum-Retirement Benefits.'Railway employees are eligible for retirement benefits, as laid down in the
rules. Employees appointed after 16th November, 1957 are pension able. Those in service on that date have been
permitted options from time-to-time to elect pensionary benefits or to continue to be governed by the State Railway
Contributory Provident Fund Rules.
415. Hours of Employment Regulations.The hours of work, periodic rest and overtime entitlement of ail railway
servants (including casual workers) except those employed in the workshops or on the ferries are governed by the Hours of
Employment Regulations (H.E.R.). The genesis of the H.E.R. dates back to the Indian Railways (Amendment) Act, 1930
which was enacted to implement the provisions of Washington Convention No. 1 of 1919, ratified by the Government of
India in 1921, and Geneva Convention No. 14 of 1921 which was ratified by the Government of India in 1923. In 1956, the
Indian Railways Act was amended by the introduction of Chapter VI-A and in 1961, the Central Government framed rules
under Section 71-Eofthesams Act and these rules were published under the title "Railway Servants (Hours of Employment)
Rules, 1961". Thus the H.E.R. are a combination of the provisions contained in the Indian Railways Act and the
subsidiary instructions framed there under. For the purpose of hours of work, the Railway employees are classified as "
intensive ", " continuous ", " essentially intermittent" and "excluded". The Hours of Employment Regulations were last
reviewed by the Railway Labour Tribunal, 1969, who made recommendations regarding classification of workers, weekly,
hours of rest, principles of averaging actual duty hours for the purpose of overtime payment, etc. These
recommendations were accepted in toto by Government.
416. Railway Services (Conduct) Rules.Inevitably, the multifarious spheres of railway operation
impose certain responsibilities. and obligations on the railway employees. All railway men are expected to observe a
general code of behavior as embodied in the relevant Conduct Rules in regard to various matters such as employment of
near relatives in private undertakings enroying Government patronage, joining of associations or unions, indulging
in criticism of Government and unauthorized communication of information, maintaining and furnishing a record of
movable and immovable assets, obligation to abide by all administrative instructions issued by Government, and so
on. As an employee of Central Government in the Ministry of Railways or in the Railway Administrations, a railway
man is expected to be a good, honest and conscientious member of the railway staff and an exemplary citizen of the
country.
417. Labour Legislation.-A large body of labour legislation has been enacted over a long period of time to safeguard
the interests of industrial and other employees, and these are generally applicable to railway-men unless otherwise
specified by any law for the time being in force and H. E. R. referred to above. The more important laws applicable to
railwaymen are :
the Industrial Disputes Act
the Workmen's Compensation Act
the Minimum Wages Act; and
the Factories Act.
A brief summary of these enactments is given below.
418. The Minimum Wages Act, 1948.This Act aims at securing minimum rates of wages in those categories of
employment where wages are low, in order to prevent exploitation of unorganised labour. It also lays down the

procedure for regulating the hours of work and payment of wages, including overtime, so as to ensure prompt payment,
and specified the deductions that can be made from the wages of the Workers. So far as Railway Administrations are
concerned, the Minimum Wages Act applies to casual workmen in employment
(i) on the construction or maintenance of roads or in building operations ;
(ii) in stone breaking or stone crusing.
(iii) employment in the maintenance of building ; and
(iv) employment in loading and unloading in Railways goods sheds.
The Act holds the employer in-charge as responsible for payment of wages to persons employed under him and any
Contractor is responsible to the person he employs. The important provisions made in the Rules framed under the Act are
as follows:
(a) wage periods should be fixed for the payment of wages at interuals not exceeding one month or such other largar
period as may be prescribed ;
b) wages should be paid on a working day, within 7 days of the end of the wage period or within 10 days, if 1,000 or more
persons are employed;
(c) the wages of persons discharged should be paid not later than the second working day after the discharge bus the
retrenchment compensation due, if any, shall be paid at the time the of retrenchment of the workmen concerned in
accordance with the provisions of the industrial Dispute Act, 1947 ;
(d) the wages of en employed person should be paid to him without deductions of any kind
under the Act.

except those authorized

The Act lays down provisions regarding a day of rest every -week and extra wages for overtime.
419. The Factories Act, 1948.The Factories Act applies to all Railway workshops and production Units but does
non extend to Loco Sheds and Carriage and Wagon Depots which have been specially exempted. The Act lays down the
obligations of the 'Occupier' of a factory in the matter of cleanliness of the premises, disposal of wastes and effluents,
maintenance of proper ventilation and temperature, prevention of overcrowding, provision of could drinking water,
latrine- and urinals, fencing of machinery maintenance of machine in safe condition, precautionary measures against fire
hazard, provision of washing facilities, fixing of weekly holidays and payment of overtime allowance, prevention of
accidents etc., ect.
420. The Industrial Disputes Act. 1947.This is a comprehensive law for the investigation and settlement of industrial
disputes and covers all railway workmen, other than those who being employed in supervisory capacity draw wages
exceeding Rs. 1,600 per month. An industrial dispute under the Act means any dispute or difference between employers
and employees and between employees and workmen , or between workmen and workmen which is connected with the
employment or non-employment or the terms of employment or with the conditions of labour, of any person. Among other
matters, this deals with reference of industrial disputes to arbitration/tribunals, strikes and lock outs, conditions of
employment of the workmen lay-offs and retrenchment etc. A fair degree of a familiarity with the Industrial Disputes Act is
absolutely essential for all managerial personnel.

421. The Workmen's Compensation Act, 1923.The Workmen's Compensation Act applies to all railway servants as also
contract labour employed for the purpose of carrying out railway work but does not apply to those employed in an
administrative or divisional/sub-divisional office and those mentioned in Schedule II of the Act. Compensation under the
Act is payable only when a personal injury Is caused to a workman resulting in total or partial disablement for a period
exceeding 3 days by an accident arising out of and in the course of his employment. The Railway Administration is not
liable for compensation where an injury, not resulting in death, was caused by an accident directly attributable to
(i) the workman having been at the time thereof under the influence of drink or drugs, or
(ii) wilful disobedience of the workman to an order expressly given or to a rule expressly framed for the purpose of
securing his safety, or
(iii) wilful removal or disregard by the workman of any safety or other device which he knew to have been provided for the
purpose of securing "the safety of workman.
The compensation is payable half monthly during the period of temporary disablement. During such period, a workman is
ordinarily granted leave salary in respect of the period of hospital leave. Necessary adjustment of the leave salary due to
the workman under the normal rules and the half monthly compensation payments due under the Act has to be carried out
in accordance with the instructions laid down in this behalf. It is important that arrangements should be made for prompt
payment of the half-monthly bills on a priority basis to conform to the provisions of the Act.
INDUSTRIAL RELATIONS
422. Redressal of Grievances.Redressal of staff grievances is a very important aspect of human relationship with
workers. Railways have institutionalised arrangements for this purpose, and implementation cells have been set up to
ensure that the grievances redressal machinery functions effectively, and all commitments and agreements
entered into with the staff are implemented faithfully.
423. Staff Welfare.The welfare measure include a whole range of fringe benefit such as subsidised housing, medical
care, provision of schooling facilities at many places (although normally education is a State subject) and grant of
educational assistance for the children of railway servants, provision of railway institutes and clubs for the recreation of
railway staff, establishing holiday homes in suitable places where cheap accommodation is available for all railway
staff for spending their holidays, promotion of sports and scouting activities etc. Apart from these welfare activities,
canteens have been set up where food is available at reasonable rates to the employees either as part of the Railway's
statutory obligation or otherwise. Vocational training centres have been established at suitable places to impart training to
un skilled and semi-skilled railway workmen and vocational training to children of railway employees. Handicrafts
centers have also been established where family members of railway employees learn sewing, knitting etc., and also earn
extra income.
424. Railway Staff Benefit Fund.Each Railway Administration maintains a Railway Staff Benefit Fund which is
financed from receipts from fines, all receipts from forfeited provident fund bonuses other than those of gazetted Railway
servants, and an annual grant from the railway revenues at a per capita rate (at present Rs. 14) in respect of each nongazetted railway employee employed on the Railway (other than in a Capital Construction Project) at the end of the
previous year. The Fund is administered by a Committee consisting, among others, of representatives of the railway staff
as may be nominated by the recognised union(s). All expenditure from the Staff Benefit Fund is authorized by
the Committee or by a sub-committee appointed under the provisions of the relevant rules. The objects of the Fund are
as follows :
(a) to aid education of the staff and their children when no assistance is admissible under the rules ;

(b) recreation and amusement for the staff and their children ; about 1/8th of the amount is spent on promotion of sports.
(c) relief of distress, amongst the members of the staff and their families;
(d) such schemes for sickness or maternity leave of the families of the employees as are not covered by the Medical
Attendance and Treatment Rules ;
(e) Any other object with the approval of the General Manager.
425. Co-operative Societies.Co-operative Societies which are provided with a special facilities on the Railways are of
two categories viz. (i) Consumer Co-operative Societies : and (ii) Co-operative Credit Societies Consumer Co-operative
Society are those which are engaged in retail trade to provide the needs of their members. Membership is open to all
serving railway employees who may purchase at least one share of a specified minimum value. The Co-operative
Societies are assisted by the Railway Administration in various ways including
(a) matching share capital contribution and interest bearing repayable working capital loan ; and
(b) subsidy for certain expenses and establishment charges, and hiring of railway premises at nominal rent.
Facilities are also available to the Co-op2rative Societies for recovery of dues from the members through their salary bills.
426. The Co-operative Credit Societies/Banks have been set up to encourage the habit of thrift among members so that the
railway employees may be able to effect saving in current consumption to meet future need and to meet their credit
requirements. The Co-operative Credit Societies/Banks receive assistance in various forms from the Railway
Administrations e.g., accommodation is provided at reasonable rent in railway premises, their notices are published free
of charge in the Weekly Gazettes, special casual leave and passes are issued to members of the Managing Committees to
enable them to attend meetings, and recoveries of loan and having bank and compulsory thrift deposits are effected
through the salary bill of the staff.
427. Permanent Negotiating Machinery.A Permanent Negotiating Machinery has been sat up to maintain contact with
organised, labour and to resolve disputes and differences which may arise between them and the Administration. The
Negotiating Machinery works in three tiers, viz.
(i) the railway level, in which the recognised unions have access to the Divisional and Workshop officers and to officers at
the Headquarters of the Railway Administration including the General Manager.
(ii) the Railway Board level, in which the representatives of the recognised Federations meet the Railway Board to obtain
decisions on matters which have not been settled at the Railway level ; and
(iii) the Tribunel level, in cases which agreement is not reached between the Federations and the Railway Board and the
matters are of sufficient importance to merit reference being made to an ad hoc Railway Tribunal consisting of
representatives of the Railway Administration and the labour presided over by a neutral Chairman.
428. Procedures laid down for governing the working of the Permanent Negotiating Machinery envisage that at divisional
or workshop level, contact with the recognised unions should be established at least once in two months and oftener, if
necessary. At the Railway headquarters level, meetings with the representatives of the Federations must take place at least
once a quarter, and oftener, if necessary, when a matter raised at the divisional level is not settled by agreement, it may
be raised at the headquarters level, failing which it may be brought up by the Federations to the Railway Board for
discussion. In cases where a matter has been referred to the ad hoc Railway Tribunal to decide matters on

which the Railway Board and the Federations have been unable to reach an agreement, it would be open to
Government to accept, reject or modify the decision of the Tribunal. In such cases, however, the issues may again be
raised at the end of one year.
429. Departmental Council (Ministry of Railways) and the National Council.With the object of promoting harmonious
relations securing the greatest measure of co-operation between the Central Government and its employees, the National
Council and the Departmental Councils have been constituted under. the Scheme of joint Consultative Machinery and
Compulsory Arbitration for Central Government Employees The Councils may discuss matter relating to conditions of
service and work, welfare of the employees and improvement of efficiency and standard of work. No individual cases
can be considered by the Councils, and in regard to recruitment, promotion and discipline, the Council are
to restrict their deliberations to matters of general principles only. The Department Council (Ministry of Railways) is
prescribed over by the Member, Railway Board in charge of staff matters, and consists often representatives from the
official side and thirty representatives on the staff side to be nominated by the recognised Railway Unions.
430. The Departmental Council (Ministry of Railways) is required to meet ordinarily once in four month to discuss
subjects on the agenda which should be circulated not less than 30 days before the meeting ; business not on the agenda
can, however, be taken up with the permission of the Chairman. Any matter disposed of by the Council is not to be placed
on the agenda during the following 12 months unless for any special reasoss the Chairman of the Council directs otherwise.
Matters finally decided at the meeting of the Council will become operative subject only to the final authority of the
Cabinet.
431. Matters of interests affecting Central Government Employees generally are considered by the Nations)
Council. The Departmental Council of the Ministry of Railways is authorised to deal only with metters affecting the staff
employed on Railways. In case a final disagreement is recorded on any matter in the Departmental Council, and the
matter is one for which compulsory arbitration is provided, it has to be referred to arbitration if so desired by either side
observing the procedure therefor. A dispute shall, however, not be referred to arbitration from the Departmental Council
unless it has been considered by the National Council when the dispute covers matters affecting Central Government
Employees generally such as regarding minimum remuneration, dearness allowance and pay of certain common categories,
etc.
432. The right of either party to take a claim to arbitration is limited to (i) pay and allowances, (ii) weekly hours of Work,
and (iii) leave of a class or grade of Railway employees. On the staff side, the right accrues only to those Federations
who are represented in the scheme for joint Consultation and Compulsory Arbitration. Matters determined by the
Government in accordance with the recommendations of a Commission will not be subject to arbitration for a period of
five years after which they will become arbitrable again. Subject to the over-riding authority of Parliament,
recommendations of the Broad of Arbitration are binding, on both sides and orders issued by Government pursuant to
recommendations of the Board Arbitration shall unless otherwise specified in the recommendations or modified by mutual
agreement, remain in operation for a period of three years.
433. A comparison of the basic features of the permanent Negotiating Machinery (P. N. M.) and the joint Consultative
Machinery for Central Government Employees (J.C.M.) is given below for easy understanding of the scope and
applicability of the two schemes :
(i) The P. N. M. started functioning on the Railway in 1951. Under the J.C.M., the National Council started working
in 1966 and the Departmental Council (Ministry of Railways) in 1968.
(ii) The P.N.M. functions in three tiers, while the J.C.M. operates only at National and departmental levels.
schemes are non-statutory in character.

Both the

(iii) Under the P.N.M., a wide range of subjects can to be discussed but each tier is expected to dispose of matter falling
within its purview and those which are not resolved are taken to the next tier. Under the J.C.M., subjects relating to general
conditions of service and work and welfare of employees, etc., may be discussed. Where a matter concerns only one
department, it should be discussed and decided at the Department Council, and where the matter concerns more than one
Department, it can be discueessed only at the National Council level.
(iv) Under the P.N.M., matters of importance remaining unresolved during the discussions between the Federations and the
Railway Board may be referred to an od hoc Tribunal to be appointed by Government. Under the J.C.M., however .matters
unresolved at the National Council or the Departmental Council are referred to Compulsory Arbitration from each Council
independently when the disagreement relates to matters affecting pay and allowances, weekly hours of work, the leave of a
class or grade of employees.
(v) Under the P.N.M., recommendations of the ad hoc Tribunal are not binding and Government may-accept, reject or
modify the recommendations . Decisions of the Tribunal accepted by Government remain in operation for 2 years. Under
the J.C.M. scheme, recommendations of the Board of Arbitration are binding on both sides, subject only to the over-riding
authority of Parliament and ordinarily remain in operation for a period of three years.