Lagatar24 Desk
New Delhi, Oct.21: The Union Cabinet approved a 3% increase in Dearness Allowance (DA) and Dearness Relief (DR) for central government employees and pensioners with effect from July 1, 202, ahead of the festive season, informed Union Minister Anurag Thakur.
Prior to this, the government resolved in July to increase the DA for central government employees by 11%, from 17 to 28 percent. The DA will rise to 31% as a result of this increase.
Dearness Allowance for Central Government employees to be increased from 28% to 31%, will be effective from from July 1, 2021; to benefit pensioners as well pic.twitter.com/H9qvbuMD36
— ANI (@ANI) October 21, 2021
According to Anurag Thakur, the DA hike will cost the Centre Rs 9,500 crore per year. 4.7 million workers and 6.8 million pensioners will profit from the change.
After the government approved the upcoming DA raise, which took effect on July 1, 2021, this will be a good move for central government employees and retirees. Due to the Covid pandemic, three payments of DA for central government employees and DR for pensioners, which were due on January 1, 2020, July 1, 2020, and January 1, 2021, were suspended.
The government previously increased the Dearness Allowance by 4% in January 2020, followed by another 3% rise in June of the same year. In January 2021, central government employees received yet another raise, with the DA increasing by 4%.