Modi government has given a big gift to the employees working in the Central Government before Diwali. Let us tell you that the Union Cabinet on Wednesday announced a 3% increase in Dearness Allowance (DA) for government employees and pensioners. With this increase, DA has now increased from 42% to 45% of the basic salary, which will benefit lakhs of employees across the country. This decision has come as a big relief for the central government employees before Diwali.
Salary will increase by this much
After the 3% hike in DA, the basic salary of an entry-level government employee, which is Rs 18,000 monthly, is expected to increase by Rs 540 per month. This increase is expected to benefit more than 1 crore central government employees and pensioners. Central government employees are also expected to receive arrears for July, August and September.
This is how dearness allowance is calculated
Dearness Allowance is paid to employees which is calculated on the basis of All India Consumer Price Index and is included to adjust for fluctuations in the cost of living. DA is revised every 6 months. Dearness relief is provided to retired central government employees or in other words pensioners.
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