The Punjab Government announced 8 per cent hike in the dearness allowance, taking the existing allowance from 27 to 35 per cent. This increase has been made on the pattern of Central government employees.
The hike which takes effect from January one this year would put an additional burden of Rs 713.89 crore on the state exchequer in the current fiscal.
The basic salary in Punjab is Rs 4,200 and the maximum Rs 80,000. The benefit to employees based on the basic salary will range between Rs 336-6,400.
Adding further the arrears of the DA till May 31 2010 would be deposited in the GPF of the employees and would be paid in cash from June 1, 2010.
Gujrat Chief Minister Narendra Modi announced an eight per cent increase in the Dearness Allowance (DA) of Gujarat Government employees with effect from January 1, 2010. This takes the allowance to 35 per cent from the existing 27 equivalent to the DA rate of central government employees.
The increased DA will be disbursed in cash from April 1 while the difference in the DA for the period from Jan 1 to March 31 this year would be deposited in their Provident Fund Accounts. Modi also announced a similar 8 percent increase in the DA of pensioners on a temporary basis.
Central government employees may get 8 percentage increase in their dearness allowance (DA), as a proposal in this regard is likely to get the Cabinet approval today.Pensioners may also get the dearness relief, highly placed sources said.
The DA would be revised from 27 per cent to 35 per cent of basic salaries, giving some respite from high inflation. The increase would be given with retrospective effect from January this year.
The DA revision is based on the consumer price index (CPI) for industrial workers, which has been showing a steep increase along with other indices of the price rise.
DA orders for 8% is likely to be issued any time by the Central Government.
Central government employees are expecting a hike of 8% on Dearness Allowance this month. Sources are saying that the official declaration may come at any date this month.
The current DA rate is 27 % which will increase to 35%. The 8% increase is based on the calculation of All India Consumer Price Index Number for Industrial workers.
