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  • 28 October 2016

    GOOD NEWS:- KENDRIY KARMCHARIO NA D.A. MA 2% NO VADHARO.

    For about 50 lakh central employees and 58 lakh pensioners Diwali has come early. The Centre has announced 2% dearness allowance (DA) which will be effective from July 1, 2016.

    The decision was taken at the Union Cabinet meeting on Thursday.

    Dearness allowance and dearness relief are provided to employees and pensioners to neutralise the impact of inflation on their earnings.

    Earlier this year, the government hiked DA by 6% to 125% of basic pay. The DA was later merged into the basic pay following the implementation of the 7th Pay Commission award.

    As per an agreed upon formula, the government increases DA on the basis of the 12-month average of retail inflation. It doesn't consider the price rise rate beyond a decimal point for deciding the rate of the dearness allowance.

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