1.15 Crore Lakh Govt Employees, Pensioners Will Get Pending DA From This Date; But DA Hike Not Implemented

Under the 7th pay commission, it has now been announced that DA benefits will be restored from July 1. This means that central government employees and pensioners will be getting a huge increase in their allowances.

As per reports, the increase will also cover the possible increases in the three cycles that were due previously.

Read on to find out all the details!

DA And DR To Be Granted To Central Government Employees And Pensioners From July

Recently, we reported that Central Government employees will not be receiving any dearness allowance (DA) and dearness relief (DR) along with the January salary, as ruled by Union Cabinet Secretary Rajiv Gauba. 

The freeze that was implemented in July last year, and will be continued beyond June 30; this is the primary reason why Central govt employees and pensioners won’t be given additional dearness allowance (DA) and dearness relief (DR).

And now, the news is that full benefits of dearness allowance starting July 1, as confirmed by the minister of state for finance, Anurag Thakur said in Parliament. 

Three installments of DA were frozen on account of the COVID-19 pandemic and the lockdown imposed for all central government employees and DR for pensioners, which were due on January 1, 2020, July 1, 2020, and January 1, 2021. 

As per Thakur, “As and when the decision to release the future installments of Dearness Allowance due from July 1, 2021 is taken, the rates of DA as effective from January 1 and July 1, 2020 and January 1, 2021 will be restored prospectively and will be subsumed in the cumulative revised rates effective from July 1, 2021.”

50 Lakh Employees And 65 Lakh Pensioners To Benefit

This decision will benefit about 50 lakh central government employees and more than 65 lakh pensioners. However, there is a catch – any increase in the DA from July 1 will only be effective from that day. This means that employees will not be receiving any arrears on non revision of DA for previous period.

A 4 percent increase for government employees and a 21 percent increase for pensioners was approved by the Union Cabinet, which was to be implemented from January 1, 2020. As of now, Central government employees are being paid DA of 17 per cent.