25 October 2026
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Tamil Nadu CM Stalin Announces 20% Bonus for PSU Workers, Launches ₹600 Cr Welfare Projects for Tribals and Workers

CM Unveils Major Initiatives Including Bonus Payouts, Tribal Healthcare Vehicles, New Housing for Refugees, and Educational Infrastructure Across Tamil Nadu
Indian Masterminds Stories

Chennai: Tamil Nadu Chief Minister M.K. Stalin on Monday announced a 20% bonus and ex-gratia payment for ‘C’ and ‘D’ category employees in all state public sector undertakings (PSUs). The announcement, made ahead of the festive season, is part of the government’s ongoing commitment to worker welfare and inclusive growth.

In addition to the financial incentive, the CM also launched a slew of development and welfare initiatives across healthcare, education, tribal development, and housing—amounting to more than ₹600 crore in investments.

20% Bonus and Ex-Gratia for PSU Employees

As per the amended Bonus Act, 2015, CM Stalin announced that all ‘C’ and ‘D’ category PSU employees earning up to ₹21,000 per month would receive a 20% total benefit—comprising 8.33% statutory bonus and 11.67% ex-gratia. The government has relaxed the wage ceiling to ensure maximum employee coverage.

  • Minimum bonus: ₹8,400
  • Maximum bonus: ₹16,800
  • Total beneficiaries: 2,69,439 employees
  • Total cost to state: ₹376.01 crore

Separate government orders will be issued for cooperative institutions and societies. The initiative aims to recognize and reward the contribution of workers to Tamil Nadu’s robust economic performance—a 9.69% growth rate in FY25, the highest among Indian states.

Read also: SECL Launches First All-Women Central Store Unit Under Government’s Special Campaign 5.0

Welfare Boost for Retired Temple Employees

Under the Hindu Religious and Charitable Endowments Department, Stalin announced a pension hike for retired temple staff:

  • Retirement pension: Increased from ₹4,000 to ₹5,000
  • Family pension: Raised from ₹2,000 to ₹2,500
  • EPF pensioners: Will now receive ex-gratia pension for the first time

Cheques were distributed to 12 beneficiaries representing 3,037 pensioners and 769 family pensioners.

Healthcare Support for Tribal Communities

To enhance medical services in remote areas, the CM flagged off:

  • 25 emergency ambulances (₹5.78 crore)
  • 20 mobile medical vehicles (₹4 crore)

These will serve tribal regions, improving access to emergency and preventive healthcare.

Educational Support for Tribal Students

CM Stalin flagged off 26 vehicles—including 23 purchased for ₹3.62 crore and 3 donated under CSR—for use in tribal hostels and residential schools. The initiative aims to facilitate safe and accessible transportation for tribal students.

New Housing for Sri Lankan Tamil Refugees

Stalin inaugurated 772 new houses built at a cost of ₹44.48 crore, with an additional ₹6.58 crore allocated for basic amenities. These are located in eight Sri Lankan Tamil rehabilitation camps across Virudhunagar, Tiruvannamalai, Thoothukudi, and Sivagangai districts.

India’s Second Elephant Mahout Village Inaugurated

At the Kozhikamuthi Elephant Camp in Anamalai Tiger Reserve, Coimbatore district, the CM inaugurated India’s second Elephant Mahout Village, complete with staff quarters for mahouts and elephant caretakers—a unique initiative in wildlife welfare and tribal livelihood support.

Major Healthcare and Infrastructure Projects Inaugurated

Under the Health and Family Welfare Department, several new facilities were inaugurated:

  • Hospital blocks (₹108.50 crore)
  • District drug warehouses (₹42 crore)
  • Food Analysis Laboratory block in Madurai (₹1.49 crore)
  • Drug Control Directorate, Chennai (₹14.85 crore)
  • Assistant Drug Controller’s Office, Kanchipuram (₹75 lakh)
  • Indian Medicine & Homoeopathy buildings (₹6.22 crore), with foundations laid for projects worth ₹20.15 crore
  • Advanced lab equipment worth ₹24 crore

Upgrades in Legal and Social Welfare Infrastructure

  • Madurai Government Law College: Academic and admin blocks (₹48.20 crore)
  • Vellore Government Law College: New library building (₹6.46 crore)
  • 20 Social Justice Hostels: ₹137.31 crore
  • Classrooms in 39 Adi Dravidar Welfare Schools: ₹39.29 crore
  • 250 houses for tribal families under the Tholkudi Scheme: ₹12.72 crore
  • 16 Village Knowledge Centres: ₹15.93 crore
  • 9 multipurpose centres: ₹5.40 crore

CM Highlights Role of Workers in State’s Economic Growth

“Tamil Nadu’s progress is built on the sweat and hard work of our workers,” CM Stalin said. “Their contributions have fueled growth, attracted investments, and kept the engine of development running.” He also praised the increasing women’s participation in the workforce, bolstered by schemes such as Vidiyal Payanam (free bus travel for women) and hostel infrastructure for working women.

A Holistic Push for Inclusive Development

From worker bonuses and tribal welfare to education, healthcare, and environmental initiatives, the announcements reflect the Tamil Nadu government’s holistic approach to inclusive growth and social justice. With multiple sectors touched by Monday’s rollout, the government aims to ensure no section of society is left behind in the state’s development journey.

Read also: NBCC Director Saleem Ahmad Selected as CMD of Rail Vikas Nigam Limited; Appointment Pending Final Approvals


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