DA Hike: Govt approved additional 3% hike in DA of Central Govt employees & Dearness Relief to Pensioners

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

DA Hike: Govt approved additional 3% hike in DA of Central Govt employees & Dearness Relief to Pensioners
DA Hike: Govt approved additional 3% hike in DA of Central Govt employees & Dearness Relief to Pensioners/ Representational Image

New Delhi: The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, has given its approval to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.01.2022 represents an increase of 3% over the existing rate of 31% of the Basic Pay/Pension, to compensate for the price rise.

This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

The combined impact on the exchequer on account of both 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.

Read Also : RITES signs MoU with NISE for assuring quality in Green Energy