New Delhi [India], October 16 : Union Home Minister Amit Shah on Wednesday hailed the Union cabinet's decision to hike 3 per cent Dearness Allowance (DA) for government employees and called it a 'gift' to the Central Government employees on the occasion of festivals.
"The Union Cabinet, chaired by Prime Minister Narendra Modi, has approved an additional instalment of DA to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2024 representing an increase of three per cent (3 per cent) over the existing rate of 50 per cent of the Basic Pay/Pension, to compensate against price rise," reads a government release.
"Giving a gift to the Central Government employees on the occasion of festivals, today the Cabinet led by Modi ji has increased the Dearness Allowance (DA) of Central Government employees and Dearness Relief (DR) to the pensioners by an additional 3%," Union Minister Shah wrote on X.
Shah further said that the decision will benefit 49.18 lakh central government employees and 64.89 lakh pensioners.
"Many thanks to Modi ji for this special gift," he added hi his post.
The DA is paid to central government employees/pensioners to adjust the cost of living and to protect their basic pay/pension from erosion in the real values.
These are revised twice a year from January 1 and July 1 based on increase in 12 monthly average of All India Consumer Price Index for Industrial Workers (AICPI-IW) published by the Labour Bureau.
Since the hike is effective from July 2024, the employees will get arrears for July, August and September.
Earlier, Shah thanked Prime Minister Narendra Modi for "continuously promoting connectivity" after the Union Cabinet approved the Varanasi-Pt. Deendayal Upadhyaya Multi-Tracking Project worth Rs 2642 crore.
"The Union Cabinet led by Prime Minister @narendramodi ji approved the Varanasi-Pt. Deendayal Upadhyaya Multi-Tracking Project at a cost of Rs 2642 crores, which also includes the construction of a road bridge over the Ganga river. Under this project, the railway network will be expanded by 30 km. Thanks to Modi ji for continuously promoting connectivity in the country," Shah said in a post on X.