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Cabinet approves 3% hike in Dearness Allowance for Central Govt employees and Dearness Relief for pensioners

Published By : Admin | October 16, 2024 | 15:20 IST

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2024 representing an increase of three percent (3%) over the existing rate of 50% of the Basic Pay/Pension, to compensate against 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 DA and DR would be Rs.9,448.35 crore per annum.

This will benefit about 49.18 lakh central government employees and 64.89 lakh pensioners.

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