KalingaTV News Network
New Delhi: The Union Cabinet on Tuesday gave its nod to release an additional 1% Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners.
It will be effective from 1st of July this year and benefit around 50 lakh Central government employees and 61 lakh pensioners.
The release of the additional installment of DA represents an increase of 1% over the existing rate of 4% of the Basic Pay/Pension, to compensate for 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.3068.26 crore per annum and Rs.2045.50 crore in the financial year 2017-18.
Ms Kalinga