Ahead of the festival season, the Government today announced a 7 per cent hike in the Dearness Allowance of its employees.
The decision to increase the DA for five million Central government
employees and Dearness Relief (DR) for about four million pensioners was
taken by the Union Cabinet.The pay hike would be applicable from July 1. The DA for the Government
employees would increase from 51 per cent of the basic salary to 58 per
cent.
The hike in DA and DR would cost the exchequer annually Rs 7,229 crore,
while for the remaining period of the current fiscal the implication
would be Rs 4,819 crore, the Information and Broadcasting Minister, Ms
Ambika Soni, told reporters.