DA Hike: There is great news for lakhs of government employees of the country. The Union Cabinet headed by Prime Minister Narendra Modi on Friday approved a 2% increase in Dearness Allowance (DA) for government employees and Dearness Relief (DR) for pensioners. After this increase, the DA of central employees will increase to 55%, which was currently 53%. Union Minister Ashwini Vaishnav informed that this increase will be effective from January 1, 2025.
How many employees and pensioners will get the benefit?
This decision will benefit around 48.66 lakh government employees and 66.55 lakh pensioners. The government has taken this step keeping in mind the current inflation. Now employees will get 55% DA instead of 53%. Along with this, the salary of central employees will also increase, before this the 8th Pay Commission will have to be implemented. The financial impact of this decision will be Rs 6614.04 crore every year.
When was the last increase
Let us tell you that the last increase in Dearness Allowance was in July 2024, when the DA of central employees was increased by 3% from 50% to 53%. Dearness Allowance is based on the basic salary of the employees. If the basic salary of an employee is Rs 20,000, then 55% DA will be available on it, that is, the employee will get Rs 11,000 every month as DA.
DA has increased as per 7th Pay Commission
This increase has been made on the basis of the recommendations of the 7th Pay Commission, which determines the method of calculating Dearness Allowance for employees. Now this increase will improve the salary of employees and pensioners will also get relief, which will give them relief from inflation.