Central Government Employees Getting DA HikeBy Arnab Ghosh, Gaea News Network
Thursday, September 16, 2010
DELHI, INDIA (GaeaTimes.com)- The central government employees in India are a happy lot nowadays. They got a hike in the Provident fund interest rate earlier. Even before that excitement could recede the government has decided to hike the DA or dearness allowance by 10 percent points. This will make the DA equal to 45 percent of their basic pay package. This hike will prove to be beneficial to almost 88 lakh employees of the central government and those who have taken retirement from their service will also avail the advantages. The hike could not have come at a better time for the central government workers.
The central government employees are going to be ecstatic since the announcement has been made ahead of the festive season, a time when everyone joins the buying spree for their relatives and near and dear ones. The DA hike will cost the exchequer an extra 9,303.2 crore INR per annum. A meeting of the union cabinet was held after which the DA hike was formally announced. The DA will be paid to the pensioners and employees of the central government with effect from July this year.
A ministry spokesperson said that the hike in DA for the central government employees has been calculated as per the Sixth Pay Commission recommendations. The Dearness allowance is paid to the employees so that they can cope up with inflation and rising cost of living. It was earlier fixed at 35 percent of the basic scale. The major media entities reported the news today and the details are available in the web now.