Centre okays 6% DA hike

The Union Cabinet on Tuesday approved a 6 per cent increase in dearness allowance (DA) for central government employees and pensioners.

The decision was taken at a Cabinet meeting here, reports said.

With the latest increase, the DA will come to 51 per cent and benefit over 50 lakh employees and 38 lakh pensioners.

The increased DA will be effective from January last, the reports added.

With the increase in DA, other allowances, including conveyance and special compensatory allowance for remote area posting, will also rise.

The combined impact of the hike will be Rs 5,715.90 crore per annum.

The DA is revised twice a year, on January 1 and July 1.