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Cabinet increases 11% Dearness Allowance with effect from 1st July

PUBLISHED:

GUWAHATI: Keeping in view the unprecedented situation that arose due to COVID19 pandemic the Central Government has approved an increase in the Dearness Allowance to Central Government employees and Dearness Relief to pensioners. With effect from 01.07.2021 the allowances increased 11% to 28% from the existing rate of 17% of the Basic Pay/Pension.

The Cabinet Committee chaired by Prime Minister Narendra Modi approved the increase on Wednesday.

Due to COVID19 three additional installments of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners, which were due from 01.01.2020, 01.07.2020 and 01.01.2021 had been frozen.  The increase reflects the additional installments arising on 01.01.2020, 01.07.2020 and 01.01.2021.  The rate of Dearness Allowance/Dearness Relief for the period 01.01.2020 to 30.06.2021 shall remain at 17%.

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