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In a festive boost just before Diwali, the Union Cabinet has approved a 3% increase in Dearness Allowance (DA) for central government employees and pensioners. This decision, which raises the DA from 42% to 45% of the basic pay, will benefit millions of employees and retirees across the country. The hike is set to provide much-needed financial relief as inflation and the cost of living continue to rise.
The announcement was made following a Cabinet meeting where ministers deliberated on various issues affecting government employees. The DA hike is in line with the government’s commitment to providing support to its workforce, especially during times of economic uncertainty. For many, this increase will help offset the rising costs of essential goods and services.
Dearness Allowance is a component of salary aimed at cushioning government employees from the effects of inflation. It is revised twice a year, based on the cost of living index. The 3% increase, effective immediately, will be a welcome addition for employees looking to manage their household expenses during the festive season.
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