Union Cabinet hikes dearness allowance by three percent, move to benefit 1.1 crore govt employees and pensioners

The decision in this regard was taken at the Union Cabinet meeting chaired by Prime Minister Narendra Modi.

Press Trust of India February 19, 2019 22:41:27 IST
Union Cabinet hikes dearness allowance by three percent, move to benefit 1.1 crore govt employees and pensioners
  • The move is effective from 1 January, 2019,

  • The hike will benefit about 48.41 lakh central government employees

  • The move is based on the recommendations of the Seventh Central Pay Commission

New Delhi: The Union Cabinet Tuesday increased the dearness allowance by 3 percent effective from 1 January, 2019, a move which will benefit 1.1 crore central government employees and pensioners.

The decision in this regard was taken at the Union Cabinet meeting chaired by Prime Minister Narendra Modi.

The Cabinet has approved additional DA of 3 percent over the existing rate of 9 percent to government employees and dearness relief to pensioners from 1 January, 2019, Finance Minister Arun Jaitley told reporters after the Cabinet meeting.

The hike will benefit about 48.41 lakh central government employees and 62.03 lakh pensioners.

This increase is in accordance with the accepted formula, which is based on the recommendations of the Seventh Central Pay Commission.

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