The Union Cabinet on Wednesday increased Dearness Allowance (DA) and Dearness Relief (DR) by three per cent to 34 per cent to compensate for rising inflation. This will benefit 1.16 crore central government employees and pensioners. According to an official release issued after the cabinet meeting chaired by Prime Minister Narendra Modi, the additional installment will be effective from January 1, 2022.
According to an official statement, the Union Cabinet has approved the release of additional installment of Dearness Allowance to Central Government employees and Dearness Relief to pensioners with effect from January 1, 2022. Under this, the existing rate of 31 percent of basic pay/pension has been increased by three percent to compensate for the increase in value. is in line with.
The increase in dearness allowance and dearness relief will cost the exchequer Rs 9,554.50 crore. According to the release, this will benefit 47.68 lakh central employees and 68.62 lakh pensioners. Earlier, in October last year, the cabinet had increased dearness allowance and dearness relief by three percent with effect from July 1, 2021.