New Delhi, Sept 12: PM Modi has given Diwali bonanza to 48.85 central government employees and 55.51 lakh pensioners. The Union Cabinet on Tuesday has okayed 1% increase in dearness allowance (DA) and dearness relief to 5%
“The Union Cabinet chaired by Prime Minister Narendra Modi has approved the release of an additional installment of dearness allowance to central government employees and dearness relief to a pensioner with effect from July 1, 2017,” an official statement said.
The DA/DR has been increased by 1% from the existing rate of 4 % of the basic pay/pension in view of the price rise. The hike is based on a formula recommended by 7th pay commission.
According to the method, the hike is decided after taking into account the average of Consumer Price Index-Industrial Workers for the past 12 months.