Union Cabinet Hikes 4% DA For Central Employees

The Cabinet has approved a significant increase in Dearness Allowance (DA) for central government employees and pensioners. 

According to the report, the cabinet has increased dearness allowance by 4 percent. 

Along with this, the monthly salary of government employees has also increased. More than 1 crore central employees and pensioners will benefit from this increase.

According to the report that the Cabinet on Wednesday approved a 4 percent increase in dearness allowance for central government employees and pensioners. 

The new rate of dearness allowance will be applicable from July 2023. After this increase, dearness allowance has increased to 46 percent. 

Till now, 42 percent dearness allowance was being given to the central employees, which was implemented from March 2023.

The report said that the Cabinet has agreed to increase DA from 42 percent to 46 percent. The government increases DA from time to time according to inflation. 

Revision of dearness allowance is usually done in January and July.

Cabinet’s decision to increase dearness allowance will increase the monthly allowances of central employees, aimed at helping them cope with the rising cost of living. This move is expected to benefit a large section of the workforce and retired personnel, providing relief amid economic challenges.

If a Central Government employee gets a basic salary of Rs 36,500 per month, then according to 42% DA on basic salary, it was Rs 15,330 per month. Now DA will increase by 4% to 46% from July 2023. 

In such a situation, the employees will get increased DA amount of Rs 1,460. Now if we do Rs 15,330+1460 then the total DA amount will become Rs 16,790. In this way, the monthly salary of a central government employee with a basic salary of Rs 36,500 will increase by Rs 1460 per month.

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