The Modi government has given a big Diwali gift to central employees and pensioners. The Union Cabinet has approved a 3% increase in the dearness allowance. The decision will benefit 50 lakh central employees. This important decision has been taken in the meeting of the Centre. Union Minister Anurag Thakur will make an official announcement soon. According to the 7th Pay Commission, employees will get 31% DA on their basic salary after the central government's decision to increase the dearness allowance by 3%.
After today's increase, the DA will now be 31 percent. In July this year, the Union Cabinet had decided to increase the dearness allowance and dearness relief (DR) rate for central government employees and pensioners by 11 per cent from July 1. With this, the new rate of DA was increased from 17 per cent to 28 per cent. At the same time, with a three percent increase in DA today, the new rate of DA is 31 percent. This means that central employees will get 31 per cent dearness allowance of their basic salary.
DA is paid on the basis of the salary of the employees. DA is different for government employees working in urban, semi-urban and rural areas. DA is calculated on the basis of basic salary. A formula has been fixed for the calculation of dearness allowance, which is determined by the consumer price index.
What is dearness allowance?DA is given to further improve the living standards of government employees. Even after rising inflation, the living standard of the employee should not be affected in any way, so it is increased from time to time. This allowance is paid to government employees, public sector employees and pensioners.