Diwali Gift: Modi Government Approves 3% DA Hike For Central Employees

New Delhi: The Union Cabinet on Wednesday approved a 3% increase in Dearness Allowance (DA) for central government employees and pensioners, sources told Times Now. This raise has now increased the DA from 50% to 53% of the basic pay, benefiting millions of employees nationwide. The decision comes as a major relief for central government employees ahead of Diwali.Dearness Allowance is given to the employees which is calculated based on the All India Consumer Price Index and is included to adjust according to the fluctuations in the cost of living. DA is revised every 6 months. Dearness Relief is provided to retired central government employees or in other words, pensioners.Following the 3% DA hike, the basic salary of an entry-level government employee, which is Rs. 18,000 monthly, is expected to go up by a margin of Rs. 540 per month. Over 1 crore central government employees and pensioners are anticipated to draw advantage from this hike. Central government employees are also expected to receive arrears for July, August, and September.