Cabinet okays additional 2% DA for Central Govt employees
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Cabinet okays additional 2% DA for Central Govt employees

New Delhi, Aug 29: The Union Cabinet, chaired by Prime Minister Narendra Modi, on Wednesday approved to release an additional installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners from July 1 representing an increase of 2 per cent over the existing rate of 7 per cent of the Basic Pay/Pension, to compensate for price rise, an official release said.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs 6112.20 crore per annum and Rs 4074.80 crore in the financial year 2018-19 (for a period of 08 months from July, 2018 to February, 2019).

This will benefit about 48.41 lakh Central Government employees and 62.03 lakh pensioners. This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission. (UNI)