There is great news for the government employees who have been waiting for their DA for the 18 months between January 1, 2020, and June 30, 2021. The Centre is hiking the Dearness Allowance (DA) & Dearness Relief (DR) by 4% in addition to the already existing amount.
It is not the best part, though!
Keep reading to know what is the catch in this news.
Dearness Allowance (DA) & Dearness Relief (DR) increased by 4%
Under the 7th Pay Commission, the central government revises the Dearness Allowance (DA) and Dearness Relief (DR) twice every year in January and July. For the year 2022, the government has increased these two allowances by 4% each which makes it 38% each.
The same will be applicable from 1 July 2022 and cost the government Rs 12, 852 crores each year. This budget has been allocated to benefit over 50 lakh current government employees and about 62 lakh pensioners, who served the government in the past.
You can check the Twitter post attached below to listen to the Union Minister of India, Anurag Thakur says it himself:
What is Dearness Allowance?
For those who do not know what Dearness Allowance is, here is a definition that will help you understand it better:
DA is a part of the remuneration of government employees that is offered to provide a cushion to the employees’ salary against the inflationary impact.
According to the 7th Pay Commission, the central government revises this allowance twice a year, in January and July.
Also, this allowance depends on the location of the employee which means the amount will vary for the residents of urban, semi-urban and rural areas.
What is Dearness Relief?
Dearness Relief is the allowance for the same cause that is given to the ex-government employees in their pension. It is also there to protect the pensioners against the impact made by inflammation.
Also Read:
Clarification on Dearness Relief for Pensioners by Central Government
Story Behind the Story
The story is that the employees haven’t received their DA from the Central Government for 18 months between January 1, 2020, and June 30, 2021, and the employees have been demanding the same for a very long time now.
The Dearness Allowance (DA) and Dearness Relief (DR) for government employees and ex-employees was 34% before this. With the addition of 4% in this number, it has been increased to 38% that every government servant in present or past will receive.
This additional amount is supposed to act like a stimulant so that the demand can be boosted during the upcoming festive season. Also, it is supposed to help and make these employees happy.
What is more there?
In addition to increasing the DA and DR for the government employees, the Union Cabinet approved some good things for non-gazetted railway employees too. The government has approved a Productivity Linked Bonus of 78 days for the mentioned employees. It is good news for most of the government employees in India.
Conclusion
I hope these two news in one article put a smile on your face. If not, then share it with the government employees and I am sure they will find it amusing.
Please leave your comments below in the comments section as I would love to hear from you.
Also Read:
Government, Dearness Allowance To Increase By 3%
