The Cabinet has officially approved a 3% additional Dearness Allowance (DA) for Central Government employees, effective from July 1, 2024. The additional DA will be calculated on the basis of the existing basic pay and will be applicable to all central government employees, including those in various ministries and departments. This increase in DA comes as part of the government’s ongoing efforts to revise pay structures and allowances periodically.
Existing DA 50% + Additional DA 3% = Increase in DA 53%
Cabinet approves additional instalment of three percent of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners
16 OCT 2024 3:20PM by PIB Delhi
The Union Cabinet, chaired by the Prime Minister Shri Narendra Modi, has approved an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2024 representing an increase of three percent (3%) over the existing rate of 50% 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. The combined impact on the exchequer on account of both DA and DR would be Rs.9,448.35 crore per annum.
Source: PIB News