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Chapter 19  ||  Chapter 20  ||  Concordance  ||  Appendix I  ||



1401. Dearness allowance.-- Group ‘A’, ‘B’, ‘C’ and ‘D’ railway servants shall be granted dearness allowance on the  scales and under  the conditions laid down by  the Central Government from time to time. 

1402. Application. – The Dearness Allowance shall be admissible to all whole-time railway servants including temporary staff, staff paid from contingencies, piece-workers, workshop staff and apprentices drawing stipends, but excludes an employee whose remuneration is fixed specially with reference to market conditions and not at a rate already sanctioned for his class and the apprentices recruited under the Apprentice Act, 1961 and Apprentice Rules, 1962 who are not eligible for dearness allowance under these rules. 

1403.Definitions.--Unless there is anything repugnant in the subject or context,  the terms defined below are used in the sense herein explained. 

(i)    Pay –It includes--

(a)   Pay as defined in Rule 103 (35);

(b)  Pension and/or Pensionary equivalent of other forms of retirement benefits subject to the provision in Note 2 below, if any, drawn by re-employed pensioners. 

              NOTE 1.--30% of  the basic pay of running staff will be treated as pay representing the pay element in the Running Allowance. From 1-8-1981, Dearness Allowance, and Additional Dearness Allowance at the appropriate rates as sanctioned by the government from time to time shall be paid on the basic pay plus the pay element of the Running Allowance viz. 30% of the basic pay.           

(Ministry of Railways letter No. E(P & A)II-80/RS-10 dated 17-7-1981.) 

               NOTE 2.--In the case of retired Railway servants, non-Govt. servants, employees of Quasi-Government bodies, the dearness allowance during the period of their re-employment on Railways, shall be granted on the pay fixed on re-employment, plus the gross amount of pension and/or pensionary equivalent of other forms of retirement benefits, provided that in either case the total does not exceed the maximum  of the scale of the post in which the person is re-employed. 

In the case of retired Military Pensioners, whose pay on re-employment in a railway post is fixed without taking into account the military pension, Dearness Allowance shall be granted on the basis of the pay of the post only. 

In cases where a part of the Pension is taken into account for the purpose of the fixation of pay on re-employment, that part of the pension subject to the limits laid down above will be treated as pay. 

For this purpose, the amount of pension will be the amount originally sanctioned (i.e. before commutation, if any) less the amount of pension, if any, held in abeyance as a condition of re-employment.  

NOTE  3.--The compensatory (construction or survey) allowance granted to staff employed on loco building works surveys and construction  works, vide rule 1423 shall not be included in ‘Pay’ for the purpose of calculating dearness allowance.  

NOTE   4.--(i) The emoluments received from foreign Government in the shape of pay, leave salary or pension will not be taken into account for determining the eligibility to dearness allowance. 

(ii)  Dearness Allowance is in the nature of compensation for established increase in the cost of living and shall be comprised of Dearness Allowance, Additional Dearness Allowance and Dearness Pay and such other elements as the government may from time to time decide.  It shall be classified as a Compensatory Allowance.     

1404. Allowance to contract officers.--Dearness Allowance may be granted to officers engaged on contract for specified periods who may be otherwise eligible for it irrespective of whether there is a provision in the contract for the grant to them of any concession or allowance of a general nature which may be sanctioned for officers of corresponding status in the regular service and subject to the condition that they have not already been allowed in the fixation of their pay an element of compensation to meet the increase in the cost of living.  

1405. Allowance to officers on ad-hoc rates of pay.--The dearness allowance will also be admissible to those officers on ad-hoc rates of pay provided their pay was fixed without taking into account any allowance drawn by them prior to their appointment on the ad-hoc rates of pay, as compensation, for the high cost of living.

1406. Allowance to military officers.--Military officers in civil employ drawing civilian rates of pay will be eligible for the Dearness Allowance as admissible to Railway servants in corresponding grades, while Military officers drawing Military rates of pay and allowance will be governed by the rules or orders on the subject applicable to the personnel of the Armed Forces. 

1407. Allowance on varying rates of pay.--The admissibility and the amount of allowance to be drawn by railway servants drawing varying rates of pay during the course of a month will be determined by the emoluments drawn during each particular broken period of a month. 

1408. Allowance on joining and leaving service.--In the case of a railway servant joining or leaving service in the course of a month, the allowance will be determined with reference to the monthly rate of pay and will be proportionate to the actual days of employment in the month. 

1409.  Allowance during Foreign service.--A railway servant in foreign service may draw dearness allowance from the foreign employer on the basis of foreign service pay, if the foreign employer is willing to bear the cost and provided that the rates as well as the monetary limits (including marginal adjustments) for the eligibility for the allowance are not higher than those sanctioned for railway servants. 

1410. Drawal of allowance during deputation out of India.--A Railway employee deputed for training abroad under the various officially sponsored training schemes may be allowed dearness allowance at  the rate at which he would have drawn dearness allowance had he not proceeded on deputation abroad for training excluding any regular leave taken abroad. 

The allowance will not be admissible to railway servants posted ex-India to specified posts.  Also Dearness Allowance or Dearness Pay is not admissible in conjunction with foreign allowance. 

1411.  Drawal of allowance during suspension.--In addition to subsistence allowance, a railway servant under suspension shall be entitled to dearness allowance appropriate to the actual subsistence allowance admissible from time to time.

. (1) Drawal  of allowance during leave and joining time    

I.                       Admissibility of the allowance during leave  

(a)     The allowance may be drawn during any period of leave other than (i) extra-ordinary leave, in or outside India and (ii) any portion of leave preparatory to retirement spent outside India, except that in cases of leave preparatory to retirement in India it will be admissible only during the first 180 days  and in the case of terminal leave it will be admissible only during the first 120 days of the leave spent in India.  

NOTE (1).--During leave preparatory to retirement in India in excess of first 180 days or leave preparatory to retirement outside India, the dearness allowance an amount equal to the Dearness Pay if admissible, appropriate to the leave salary, if the leave is on full pay and half of such amount if otherwise, may be paid. 

NOTE (2).--In the case of a deceased Government servant, his family is entitled to the payment of cash equivalent of the leave salary that the deceased employees would have got, had he gone on earned leave but for the death, due and admissible on the date immediately following the date of death subject to a maximum 180 days of earned leave in terms of Rule 39-A (a) of the Central Civil Service (Leave) Rules 1972.  Such cash equivalent would also carry the appropriate amount of dearness allowance. 

(b)     The allowance during leave will be based on the leave salary actually drawn, both for the purpose of monetary limits within which the allowance is admissible and for calculation of the amount of the allowance.   

NOTE  (i) During terminal leave, the Dearness Allowance will be calculated on the gross leave salary before deduction of pension and pension equivalent of retirement benefits but the amount of Dearness Allowance payable to the employee on terminal leave should be reduced by the amounts of  “reliefs to pensioners” that are admissible over and above the pension. 

(ii)      During study leave, the Dearness Allowance would be admissible in terms of Rule1413. 

(O.M.F.O.M. No. 13011/1/E.II (B)/76 dt. 18-2-78) 

II. Admissibility of the allowance during joining time 

During joining time as defined under Rule 1101 (F.R.105), the allowance will be based on the joining time pay admissible under Rule 1113 (F.R. 107) except that in a case where an employee joins a new post in a new station on return from leave of not more than six months duration from leave of any duration when he had not sufficient notice of the appointment to the new post, allowance will be drawn at the same rate at which it was drawn before the commencement of the joining time. 

III. When running staff are on leave, they shall be entitled to be paid their leave salary based on their basic pay plus 30% thereof representing the pay element of running allowance and Dearness Allowance/Additional Dearness Allowance due on such pay plus 30% thereof. 

(Ministry of Railways letter No,.E (P & A)II-80/RS-10 dated 17-7-1981.) 

(2) For the purpose of computation of leave salary in the case of those drawing pay in pre-authorised scales of pay, Dearness Pay shall not be taken into account and the Dearness Allowance should be determined in the usual manner. 

1413. Allowance during study leave.--Dearness allowance is admissible to railway servants based on leave salary sanctioned during study leave whether in India or abroad. 

1414.  Drawing of allowance during unpaid holidays.--During unpaid holidays, workshop staff will be eligible for the allowance at the full rate applicable to them. 

1415. Dearness allowance to re-employed persons whose re-employment runs con-currently with leave preparatory to retirement.--If a railway servant while on leave preparatory to retirement avails himself of such leave concurrently with his new appointment in the railway, he will be granted dearness allowance in respect of his new appointment based only on the pay of such appointment.  The allowance will neither be admissible on leave-salary, nor will the leave salary be taken into account in calculating the allowance. 

1416.  Dearness allowance during leave preparatory to retirement to Nationals of Nepal and Bhutan.--A railway servant who is a Nepalese or Bhutanese National shall be eligible to dearness allowance during leave preparatory to retirement spent by him in Nepal or Bhutan respectively in the same way as it is allowed to the Railway servants of Indian Nationality during leave preparatory to retirement spent by them in India. 

1417. Dearness Pay.--Such portion of the Dearness Allowance as is decided by the Government to be treated as Dearness Pay shall be termed as Dearness Pay.  The Dearness Pay so designated, shall be reckoned as pay for such purposes as are specified by the Government from time to time and for no other purposes. 

Provided, however, that this rule is not applicable to persons who are— 

(a)    employed on contract; 

(b)    granted consolidated rates of pay and are not in receipt of dearness allowance separately; 

(c)    drawing pay and allowances under the authorized scales of pay; and  

(d)    drawing dearness allowance otherwise than as provided in these rules. 


1418.  House allowance in lieu of free quarters.--The Railway employees who are entitled to rent free accommodation may be granted compensation, for the period during which they are not provided with such accommodation as specified below:- 

(i)   Employees who are working in cities classified for the purpose of grant of house rent allowance will be entitled to the amount equal to that charged as house rent for Government accommodation from employees similarly placed but not entitled to rent free quarters and, in addition, to the house rent allowance admissible to corresponding employees. The total amount will, however, be limited to the rent actually paid by such employees. 

(ii)  Employees working in other places will be entitled to the amount equal to that charged as house rent for Government accommodation from employees similarly placed but not entitled to rent free quarters.  

(iii) The amount charged as house rent for Government accommodation will be taken as 7½% of the monthly emoluments in the case of employees drawing pay below Rs.300 and 10% in the case of others. 

(iv)  The employees referred to in para (i) above can draw the compensation in lieu of rent free accommodation as well as the amount admissible as house rent allowance to the corresponding employees not entitled to rent free accommodation without producing the house rent receipt if their pay does not exceed Rs.1069/- P.M.  (R.S.)   

In the case of employees drawing pay above Rs. 1069/- P.M. (R.S.) production and verification of rent receipt is necessary if the amount claimed by way of compensation in lieu of rent free accommodation alongwith house rent allowance is in excess of that admissible on pay of Rs.1069/- P.M. and in the absence of rent receipt, the claim shall be restricted to the amount as is admissible on the pay of Rs. 1069/- P.M. (R.S.): 

Provided that those employees who are in receipt of a higher amount of compensation in lieu of rent free accommodation without production of rent receipt or those employees in whose case compensation in lieu of rent free accommodation is paid without production of rent receipt irrespective of their pay and who wish to continue to draw the compensation at the existing rates, will continue to receive such amount as personal to them so long as they continuously serve in the same station.  

The employees falling under para (ii) will not also be required to produce rent receipt for claiming the compensation if their pay does not exceed Rs. 1069/- P.M. (R.S.). 

(v)     Pay for the purpose of this Rule will be ‘Pay’ as defined in Rule   103 (35) plus such part of dearness Allowance/Additional Dearness Allowance/Dearness Pay as is from time to time merged with pay for being reckoned for payment of House Rent Allowance and City Compensatory Allowance. 

(vi)    This concession is personal to those staff who are enjoying the privilege of rent free quarters or house rent allowance in lieu thereof in terms of orders issued from time to time. 

( Railway Board’s letter No. PCIII/73/HF/1 dated 31-5-75 and 12-6-78. ). 

1419. Allowance to Nursing Staff.--The following allowances shall be granted to the nursing staff on railways-             

Sl. No.




Nursing Allowance

Rs. 300/-p.m.


Uniform Allowance

Rs. 3000/- per annum


Washing Allowance

Rs. 150/- per month

                 NOTE.--(1)  The Uniform allowance may be granted either on a monthly or an annual basis at the discretion of the Railway Administration. 

            (2) Nursing staff for whom messing allowance is admissible should be allowed to draw that allowance during leave to the extent indicated below-  

(i)   If the period of leave is on average pay/full pay, messing allowance will be at full rates admissible; 

(ii)  If the period of leave is on half pay/half average pay, messing allowance will be at half of the normal rates admissible; 

(iii) If the period of leave is without pay, no messing allowance will be admissible; and 

(iv) Messing allowance will be admissible on the basis indicated above during leave on Medical certificate or maternity leave. 

(3) Laundry allowance will not be admissible if the period of leave exceeds 15 days at a time. 

(4) The Uniform Allowance will be admissible during leave and subject to the conditions mentioned in Rule 1412.  

If the allowance is paid on annual basis proportionate reduction should be made if the total period of all kinds of leave exceeds four months at a time. 

(Authority: Railway Board’s letter No. E(S)I-57CPC/AL/7 dated 26th October, 1959 and No E(S)I-60/CPC/AL/19 dated 2nd July, 1970.) 

5    (i) The above rates will be effective from 1-8-97.           

(ii) The Nursing Allowance will be payable at Rs.1600/-p.m. w.e.f. 15- 7-98. 

(iii) The Nursing Personnel of all categories at all levels working in Railway Hospital and registered under the Indian Nursing Council Act are eligible. 

(iv) Nursing Allowance will not be treated as “Pay”.  

(6) Since Nursing Allowance is a total compensation for the conditions of working including night work, the Nursing Staff would cease to be eligible for Night Duty Allowance.

(Authority : Railway Board’s letter No.E(P&A)II/87/AL/1, dated 19.8.87, 4.5.89, 13.5.92, No.E(P&A)I-96/FE-4/4, dated 4.12.96, No., E(P&A)I-98/AL/1, dt.17.8.98 and No. E(P&A)I-98/AL/6, dated 12.11.1998). 

1420. Railway employees deputed for Breakdown duties will be entitled to the following:- 

(1)    Non-gazetted Railway servants employed in Running sheds and Carriage and wagon  Depots who are earmarked for attending to breakdown duties and Relief Train Electrical staff, including Supervisory staff, holding posts upto Level 6 (Rs 4200 GP) and above in the Pay Matrix (except the Supervisors in charge of Carriage & wagon Depots, Loco Running Shed or the Electrical Relief Train), shall be allowed the following:

(i) Breakdown Allowance at the following rates :-



Level in Pay Matrix

Amt of Breakdown allowance/month


Helper Gr. II/Helper Gr 1/Other staff Gr. D Staff

Level 1 (1800)

Rs 270 p.m


Technician Gr. III

Level 2 (1900)

Rs 405 p.m


Technicians Gr.II

Technicians Gr.I

Supervisors (erstwhile Mistry)

Level 4 (2400)

Level 5 (2800)

Level 6 (2800)

Rs 540 p.m


Sr. Technicians /Junior Engineers and staff in higher scales

Level 6 (4200)

and above

Rs 675 p.m

(Authority:- Railway Board’s letter No. E(P&A)II-2017/BDA-1 dated 30.08.2017)

  (a) This allowance will be treated as a compensatory allowance for all purposes. 

(b) The payment of this allowance would be subject to a review by the Controlling officer to ensure proper performance of breakdown duty.  The allowance will not be admissible to the Railway servants who have failed to turn out for the breakdown duties within the stipulated time. 

(c)  The rate of this allowance will be increased by 25% whenever the Dearness Allowance payable on the revised pay structure goes up by 50%.

(Authority:- Railway Board’s letter No. E(P&A)II-2017/BDA-1 dated 30.08.2017)

NOTE:- Where it is not possible to make arrangements for supply of free food, in exceptional circumstances, cash in lieu thereof may be paid to the non-gazetted staff including Gangmen and Trolleymen engaged in Breakdown duties, at the rates fixed by the General Manager in consultation with FA & CAO. 

(iv)  Payment for overtime work in accordance with the normal rules, time taken in traveling to the site of the accident and back shall also be reckoned for payment of overtime;

(v)  Payment of full daily allowance at the rates applicable to ordinary localities without the stipulation that they should be out of headquarters beyond 8 kilometres for a period exceeding 12 consecutive hours. 

(a)  Daily allowance at full rates as above will be admissible for each breakdown occurring at difference places on the same day. 

(2)  All other non-gazetted staff of all departments who are called out in connection with accidents/breakdowns, including the Supervisory staff who are not eligible for Breakdown Allowance, shall be allowed the concessions enumerated in clauses (iii), (iv) & (v) of sub-rule (1) above. 

(3) Gazetted staff who are called out in connection with accidents/breakdowns shall be allowed the concessions enumerated in clauses (iii) & (v) of sub-rule (1) above.  Cash compensation in lieu of free food shall, however, not be admissible to them. 

(Authority: Railway Board’s letter No. E(P & A)II-98/BDA-1 dated 25-5-1999.) 

(4)   For the purpose of sub-rule (1), (2) and (3) above, a breakdown may be:- 

(i)         Any accident which involves the calling out of a breakdown train or engine with special staff or equipment (including MFD equipment or traffic crane) from the nearest breakdown train depot or shed, or a breach or washaway on the line which interrupts normal traffic; or 

(ii)         Any of the following which interrupt normal traffic on running lines: -   

(a)  Snapping of overhead electric traction lines which involves calling out of Tower Wagon or Breakdown Lorry; 

(b)    Damage/Bursting of points requiring the attendance of a Breakdown/Repair/Maintenance Gang; 

(c)       Breakdown of interlocked lifting barriers; 

(d)      Total interruption of telecommunication/communications or of power supply. 

(Authority : Ministry of Railway’s letter No. E(P&A)II/91/BDA/1/DC/JCM dated 13-8-91.)

1421.  Out turn Allowance:- 

(i)   A teleprinter operator may be paid Out Turn Allowance @ 10 paise per message worked in excess of 250 messages during the shift duty of six hour (intensive) or eight hour (continuous).  The limit of 250 messages will include all messages (sent or received) including service messages (classified as ‘T’ messages).   

(ii)    Weightages for message: 

(a)    A message containing words up to 44 is to be counted as one message.

(b)   A lengthy message containing between 45 to 74 words should be treated as two messages and between 75 to 104  words should be treated as 3 messages and so on. 

(iii)   A Teleprinter Operator shall be entitled to earn ‘Out Turn Allowance’ in a month if:- 

(a)   He has availed only casual leave and other leave eligible on full pay.

(b)   He has attended four night duties or such less number as authorized by head of the department. 

(c)   No rebate shall be given for interruption on any circuit. 

(iv)  The following items of work performed by the Teleprinter Operators staff shall be treated as non-incentive work: 

(a)    Period spent for learning Hindi under the Hindi Teaching Scheme.

(b)    Short duration of relief of supervisory staff.

(v)  The Out Turn Allowance shall be computed on daily basis and paid on monthly basis.  

2.  Subsidiary rules may be framed by individual Railway, in consultation with the Financial Adviser and Chief Accounts Officers. 

Railway Board’s Decision :- When Teleprinter Operators are put to work on a partially supervisory post, they should be granted Out Turn Allowance like other Teleprinter Operators under the Out Turn Allowance Scheme.  The limit beyond which Out Turn Allowance become admissible shall, however, be 125 instead of 250 messages. 

( Authority : Railway Board’s letter No. E(P&A)II/86/AL/1 dated 15-12-1989 & 21-2-90, 11.6-90 and No,. E(P&A)I-98/AL/4, dated 12-2-1999 and 20-8-99) 

1422.  Washing Allowance.--Group ‘D’ staff employed in the headquarters offices of a railway or in any other office where it is considered desirable by the Ministry of Railways from the Administrative point of view, that the Group ‘D’ staff should appear in neat and clean uniforms, may be granted by a special or general order, a washing allowance at such rate as the ministry of Railways may prescribe from time to time.  

NOTE. (1)-It will be for the Controlling officers to satisfy themselves that the allowance is actually spent for the purpose for which it is granted.  No deduction, whatsoever, of Washing Allowance need be made for the period of any leave taken by the employee. 

( Railway Board’s letter No.F(E)I-68/AL-29/3 dated 8-9-81.) 

NOTE. (2)-The categories of Group ‘D’ staff selected for grant of Washing Allowance are listed in para 706 of IREM.  Washing Allowance is also admissible to the Staff Car Drivers, who are in Group ‘C’, on the same terms and conditions as applicable to Group ‘D’ staff. 

( Authority : Railway Board’s letter No. F(E)I/99/AL-29/4 dated   12-1999.)

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