Central Government hikes DA for its employees to 28%

New Delhi: The Cabinet Committee chaired by Prime Minister Narendra Modi today approved an increase of the Dearness Allowance (DA) to the Central Government employees and the Dearness Relief (DR) to pensioners with effect from 01.07.2021 to 28% representing an increase of 11% over the existing rate of 17% of the Basic Pay/Pension.

In view of the unprecedented situation which arose due to COVID-19 pandemic, three additional instalments of Dearness Allowance to the Central Government employees and Dearness Relief to pensioners, which were due from 01.01.2020, 01.07.2020 and 01.01.2021, had been frozen.

“Now, the Government has decided to increase Dearness Allowance to the Central Government employees and Dearness Relief to pensioners with effect from 01.07.2021 to 28% representing an increase of 11% over the existing rate of 17% of the Basic Pay/Pension,” the Government said in a statement.

The increase reflects the additional instalments arising on 01.01.2020, 01.07.2020 and 01.01.2021. The rate of Dearness Allowance and Dearness Relief for the period 01.01.2020 to 30.06.2021 shall remain at 17%, the statement added.

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