11 per cent hike in DA & DR for Central govt employees, pensioners

The union cabinet has approved  the 11 per cent increase in Dearness Allowance (DA)to Central Government employees and Dearness ReliefDR) to pensioners with effect from July 01.2021. With this increase over the existing rate of 17% of the Basic Pay/Pension.now the DA and DR will be 28%. The much-awaited announcement comes as a major relief for lakhs of central government employees and pensioners after DA and DR was put on hold last year in the wake of the coronavirus disease pandemic.

Union information and broadcasting minister Anurag Thakur announce this at a press conference in New Delhi on Wednesday. "Now the central government has decided to increase the Dearness Allowance to central government employees and Dearness Relief to the pensioners. According to Thakur the move is expected to cost the government approximately Rs34,400 crore. The decision will impact around 48,34,000 central government employees and 65,26,000 pensioners, The rate of DA and DR for the period January 1, 2020, to June 30, 2021, will remain unchanged at 17%.