newsroompost
  • youtube
  • facebook
  • twitter

DA hike for govt employees, pensioners put on hold till July 2021 due to Covid-19 impact

Dearness allowance is an adjustment given to employees to compensate for the increase in the cost of living because of inflation. It is revised twice a year, on January 1 and July 1.

New Delih: The Ministry of Finance on Thursday announced that three additional installment of Dearness Allowance to central government employees or pensioners will be put on hold due to the coronavirus pandemic.

Over 41 lakh new jobs in 8 months

“Additional installment of Dearness Allowance payable to central government employees and Dearness Relief to central government pensioners, due from 1st January, 2020 shall not be paid,” the ministry announced. Additional installments of Dearness Allowance and Dearness Relief from July 1, 2020 and January 1, 2021, shall also not be paid, it added.

However, the Central government employees and pensioners will continue to receive DA at current rates, i.e., 17 per cent as part of their salary/pension, according to the office memorandum.

Dearness allowance is an adjustment given to employees to compensate for the increase in the cost of living because of inflation. It is revised twice a year, on January 1 and July 1.

Earlier on Wednesday, the Finance Ministry had issued a statement stating that all the personal staff whose tenure is co-terminus with Minister Finance and Corporate Affairs — Nirmala Sitharaman have offered to forego one day’s salary every month until March 2021. The Ministry said that the move has been taken to contribute towards the nation’s fight against COVID-19.