If you are doing a government job at the Centre, then this news is important for you. As you know, Dearness Allowance (DA) is increased twice a year, once in January and second time in July. Recently, the Central Government has announced an increase in dearness allowance, which has created a wave of happiness among the central employees.
Importance of dearness allowance
Dearness Allowance is a part of the employees’ salary which helps in coping with inflation. Its objective is to reduce the economic pressure caused by inflation. As inflation increases, the purchasing power of employees is affected. Therefore, the government increases DA from time to time.
Recent Increase Announcement
Recently the Central Government has announced an increase in DA by 3%, making it now 53%. Its direct impact is visible on the salaries of the employees. For example, if the basic salary of an employee is Rs 46200 and he was earlier getting 50% DA i.e. Rs 23000, now he will get 53% DA i.e. Rs 24486. With this increase, employees will get Rs 1386 more every month. This decision will not only benefit the current employees, but they will also get the dues of the previous months.
State Government Initiatives
While the central government has taken this big step, many state governments have also increased the DA for their employees. Chhattisgarh has increased the DA of its employees from 46% to 50%. Orissa government has also announced similar benefits. State governments are also trying to provide relief to their employees from the pressure of inflation.
For government employees, it not only symbolizes job security but is also an important step towards ensuring economic stability. This increase in DA is definitely a big gift for the employees.
