| The state cabinet scheduled to meet on Tuesday is expected to enhance the DA which will impose an additional burden of around Rs 240 crore on the state exchequer annually, according to sources. |
| The contentious issue of payment of DA to the pensioners on par with the existing employees has been in the courts for quite some time after the state government refused to enhance DA to retired employees on account of financial constraints for the past two years. |
| Meanwhile, the government enhanced the DA at least twice in the same period to its existing employees which led to the heartburn among the pensioners. |
| The state government also challenged the lower court's ruling which was in favour of pensioners in the Supreme Court, the outcome of which is still awaited. |
| Fearing that around four lakh strong retired employees' families may develop cold feet towards the ruling party on account of denial of DA enhancement, the government began to ease up on its position. |
| A senior official in the government has said that if the government is willing to pay the DA, a settlement outside the court is always possible. |
| Besides the future financial commitment on account of DA enhancement, the issue of arrears payment is also to be looked into by the government. |
| According to sources, chief minister N Chandrababu Naidu is expected to meet senior NGO leaders and officials to deliberate on this issue. |
| Of late, the state government has been quite lenient with regards to issues pertaining to employees. A recent example in this direction is the decision to appoint new pay revision commission(PRC) and also the enhancement of DA to the employees. |
| Also, the announcement of a state youth policy apart from other issues is likely to be in the agenda for discussion in the cabinet meeting tomorrow. |
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