7th Pay Commission Update: The Union Cabinet has on Thursday approved hike or 4% increase in Dearness allowance (DA). After this DA/DR hike the dearness allowance and dearness relief will increase from 46% to 50% for Central Government employees and pensioners with effect from January 1.
Cabinet has approved additional installment of dearness allowance and dearness relief of 4% to Central Government employees and pensioners on Thursday March 7.
This rise in DA will have an impact on various other Allowances such as Transport allowance Daily allowance and Hostel subsidy for Children Education which will be increased by 25 percent.
DA Latest News Today
Dearness Allowance and Dearness Relief for Central Government employees and pensioners has been increased to 4 percent w.e.f January 1st. Now the new dearness allowance from January 1st is 50 percent.
The Arrears of dearness allowance and dearness relief 4% increase from January 1st will be credited in March salary on ending of Financial Year 2024. This will give a big Gift for Central Government Employees for New Year.
DA for Central Government Employees News Latest Update
With this revision, the Dearness allowance will reach 50%. This means various other allowances such as Children education, Transport allowances, House rent allowances, gratuities will also go up based on formula suggested by 7th Pay Commission. All of them will get arrears from January and February and the revised rate for the current month along with salary and pension for March.
Increase In House Rent Allowance
For the revision of HRA, entire country divided into 3 categories X,Y and Z. The HRA rate for X categories of cities (Delhi, Greater Mumbai, Chennai, Pune, Kolkata, Hyderabad, Ahmedabad and Bengaluru) will now be 30% as against 27% Similarly, rate for various tier -II cities such as Bhopal, Patna, Lucknow and Varanasi etc. which falls into the Y category will go up to 20% from the present 18%. Employees in all other location will get HRA according to the Z category and the rate will be 10 percent as against 9 percent.
