Central govt increase DA & Dearness Relief by 4% for Central govt employees, pensioners respectively

The Central govt has decided to increase the Dearness Allowance Central  govt employees & Dearness Relief for pensioners by 4%. The Decison will be Implemented from July 1, 2023 & will benifit Crores of Central government employees. This will increase the allowance by 4% boosting it from 42% percent last year 46% this year said Union Minister Anurag Thakur on Wednesday while announcing the same. With this increase 4 percent hike, the dearness allowance will be increased from 42 percent to 46 percent. The decision will benefit 48.67 lakh central government employees and 67.95 lakh pensioners.

This increase is in accordance with the accepted formula, based on the recommendations of the 7th Central Pay Commission. 

The Union Cabinet, chaired by the Prime Minister, Narendra Modi has approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2023 representing an increase of 4% over the existing rate of 42% of the Basic Pay/Pension, to compensate against price rise. This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.