Tamil Nadu Chief Minister C. Joseph Vijay has announced a Deepavali bonus of up to 20% for eligible C and D category employees working in state public sector undertakings (PSUs). The announcement is expected to benefit approximately 2.6 lakh employees across various public sector organisations.
According to the government statement, the bonus package will involve a total expenditure of ₹367.20 crore. Eligible employees will receive a minimum bonus of ₹8,400 and a maximum of ₹16,800.
Deepavali Bonus 2026: Key Details
Announced by: Tamil Nadu Chief Minister C. Joseph Vijay
Beneficiaries: Approximately 2.6 lakh employees
Bonus: Up to 20%
Minimum amount: ₹8,400
Maximum amount: ₹16,800
Total government expenditure: ₹367.20 crore
Eligible categories: C and D category employees of specified public sector undertakings
Bonus for Employees of Profit-Making PSUs
Eligible C and D category employees working in profit-making public sector enterprises will receive a bonus of 8.33% and an ex gratia payment of 11.67%, bringing the total benefit to 20%.
The organisations covered include the Tamil Nadu Generation and Distribution Corporation, Tamil Nadu State Transport Corporations, Tamil Nadu Civil Supplies Corporation and Tamil Nadu Co-operative Milk Producers` Federation.
Bonus for PSUs Without Allocable Surplus
Employees working in public sector enterprises that do not have an allocable surplus will receive a bonus of 8.33% and an ex gratia payment of 1.67%, according to the announcement.
These organisations include the Tamil Nadu Housing Board and the Chennai Metropolitan Water Supply and Sewerage Board.
Special Benefits for Other Employees
Eligible employees of the Tamil Nadu Water Supply and Drainage Board will receive a bonus of 8.33%.
Meanwhile, temporary workers employed by the Tamil Nadu Civil Supplies Corporation will receive an ex gratia payment of ₹3,000.
The government has also stated that separate orders will be issued for employees of other cooperative and allied institutions.
Deepavali Bonus to Benefit 2.6 Lakh Workers
The Tamil Nadu government said the announcement was intended to support employees during the Deepavali festival and encourage them to celebrate with greater enthusiasm.
The bonus package is expected to provide financial assistance to eligible workers across several state public sector organisations.