NEW DELHI: The
Cabinet on Wednesday approved the
dearness allowance (
DA) for lakhs of
central government employees and increased dearness relief (DR) to pensioners by 2%. The central government employees and pensioners were waiting for the hike since January.
The decision will benefit 48.5 lakh government employees and 61 lakh pensioners. This will come into effect from January 1, 2018. The government said the Cabinet approved to release an additional instalment of DA and DR “representing an increase of 2% over the existing rate of 5% of the basic pay/ pension, to compensate for price rise.”
The hike in DA is made in accordance with the formula based on the recommendations of the 7th Central
Pay Commission, government sources said.
Representative image
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