Business Standard

Cabinet hikes dearness allowance for central govt employees to 38%

The move will benefit about 4.8 million central government employees and 6.9 million pensioners. The decision will be effective from July 1, 2022.

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The additional financial implications on account of this increase in DA and DR will be Rs 8,568.36 crore for eight month period from July to February of FY23 and Rs 12,852.56 crore per annum.

Nikesh Singh
Ahead of the festive season, the Union Cabinet on Wednesday hiked dearness allowance (DA) and dearness relief (DR) for the central government employees by 4 percentage points to 38 per cent of basic pay. 

The move will benefit about 4.8 million central government employees and 6.9 million pensioners. The decision will be effective from July 1, 2022. 

The Cabinet secretariat in a statement said the hike is based on the percentage increase in 12 monthly average of All India Consumer Price Index for the period ending June, 2022.

The additional financial implications on account of this increase in DA and

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