New Delhi: The Union Cabinet has approved the release of additional installment of Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) for pensioners, with effect from January 1, 2022.
“This increase is as per the accepted norms, which are based on the recommendations of the 7th Central Pay Commission,” the Center said.
The combined impact on the exchequer on account of dearness allowance and dearness relief would be Rs 9,544.50 crore per annum. This will benefit about 47.68 lakh central government employees and 68.62 lakh pensioners.
This is news of relief for the employees amid inflation and increase in the prices of essential commodities.
“The Union Cabinet chaired by Prime Minister Narendra Modi has approved the release of additional installment of Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) for pensioners,” the government statement said. With effect from January 1, 2022.
In this, the existing rate of 31 percent of basic pay/pension has been increased by 3 percent to compensate for the increase in value.
The central government had earlier increased the dearness allowance in October 2021 and before that in July 2021, the center had increased the DA from 17 per cent to 28 per cent.