New Delhi, Jan 11: Ahead of the Centre’s much-awaited announcement regarding the Dearness Allowance (DA) hike for central employees, the Bhupesh Baghel-led Chhattisgarh government has cleared a proposal which approves the salary increment, arrears of state employees.
In a press release, Chhattisgarh Finance department clarified that the employees will get their increased salary from January 2021. Besides, arrears from July 1, 2020, to December 31, 2020, will also be credited to their account. The decision which is expected to benefit nearly five lakh state employees is likely to add a cost of Rs 300 crore on the state exchequer
Meanwhile, speculations are rife that the Narendra Modi-led Centre will give the much-awaited hike in the Dearness Allowance (DA) to the central government employees soon. If reports come true, nearly 50 lakh central government employees and around 65 lakh pensioners will benefit with the move.
Based on the recommendations of the 7th pay commission, the 4 per cent DA hike is expected to be restored this month as economic activities registered improvement across the country. However, an official announcement regarding the same is still awaited.
Currently, the DA for Central Government employees stands at 17%.
Earlier last year, 4% DA of the central government employees was put on hold due to the economic downturn caused by the COVID-19 pandemic. The Centre had announced to continue the old rate of 17 per cent DA to central government employees till July 2021.
The central government usually hikes DA twice a year to compensate employees for price incenses and inflation. The last proposal to hike the DA by four per cent was floated in January and it was later approved by the Union Cabinet in March. (Source: India.com)
