On the 14th of July, the Government of India (GoI) announced an increase in the dearness allowance (DA) to 28 % for the Union Government employees.
In addition, the Central Government also announced an increase in the dearness relief (DR) to 17 % for pensioners. The newly hiked DA and DR are in effect from the 1st of July, therefore eligible people getting the DR and DA would get the amount with a hike. The Dearness allowance is paid by the Central Government to its employees and dearness relief is given to the Central Government pensioners to compensate them for rising cost of living due to inflation.
The announcement is said to be a relief to employees who were waiting for their DR and DA, since last year. In 2020, the DA and DR were put on hold in the wake of the Wuhan virus pandemic. The Centre put three additional instalments of the DA and the DR which were due from the 1st of January 2020, the 1st of July 2020 and the 1st of January 2021.
However, in 2021, the GoI not only decided to release the amount for government employees, but also increased the rate.
Anurag Thakur, the Union Minister of Sports, Youth Affairs and Minister of information and broadcasting, confirmed the news to the media.
Later, on the evening of the 14th of July, Wednesday, the GoI released an official notification regarding the same. The notice read, “The Government has decided to increase the dearness allowance to central government employees and dearness relief to pensioners with effect from 01.07.2021 to 28 per cent, representing an increase of 11 per cent over the existing rate of 17 percent of the basic pay/pension.”
In regard to this, the Government of India is expected to release Rs. 34,400 crores. It is to be noted, there are 48,34,000 government employees receiving the DA amount and 65,26,000 are pensioners receiving the DR amount.
Stay tuned for further updates.
Mango News Links:
Telegram: https://t.me/mangonewsofficial
Google Play Store: https://bit.ly/2R4cbgN
Apple / iOS Store: https://apple.co/2xEYFJ
