Cabinet approves increase in Dearness Allowance from 17% to 28%
New Delhi: The Union Cabinet Wednesday approved the increase in the Dearness Allowance (DA) for Central Government employees and pensioners from 17% to 28%. This will be applicable from 1st July 2021.
In view of the unprecedented situation which arose due to the COVID-19 pandemic, three additional instalments of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners, which were due from 01.01.2020, 01.07.2020 and 01.01.2021, had been frozen.
Now, 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% representing an increase of 11% over the existing rate of 17% of the Basic Pay/Pension.
PM Modi met the new Union Cabinet physically at his official residence, in New Delhi.