New Delhi (NVI): The Union Finance Ministry today announced freezing of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to Central Government pensioners at current rates till July 2021, in the wake of the economic crisis arising in the country due to Covid-19 pandemic.
This means that the hiked DA and DR announced by the Central government for its employees and pensioners last month, will remain suspended till July 2021 in the wake of the current pandemic situation. Central government employees will continue to get the DA at current rates till July 2021.
“In view of the crisis arising out of COVID-19, it has been decided that the 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 said in a statement today.
“As and when the decision to release the future installment of DA and DR due from 1st July 2021 is taken by the government, the rates of DA and DR as effective from 1st January 2020, 1st July 2020 and 1st January 2021 will be restored prospectively and will be subsumed in the cumulative revised rate effective from 1st July 2021,” the statement read.
However, both the DA and DR at current rates will continue to be paid, the Ministry said.
It also said that no arrears for the period from January 1, 2020, to June 30, 2021, will be paid.