In Diwali bonanza for babus, Govt approves highest DA in recent years 

at 12:24 pm
Prakash Javadekar during Cabinet Press Briefing at Shastri Bhawan.

New Delhi: Union Cabinet has decided to give 5 per cent  Dearness Allowance, the highest ever increase in recent years, to the  government employees and pensioners ahead of diwali.

 ‘’The Union Cabinet chaired by Prime Minister Narendra Modi has approved to release a 5 per cent additional installment in Dearness Allowance (DA) to the central government employee and (DR) Dearness Relief to the pensioners over the existing rate which is 12 per cent of the basic pay/pension due in July, 2019. The new rate of DA will be 17 per cent,” Information and Broadcasting Minister Prakash Javadekar informed in a press conference on October 9.


‘’This decision will bring cheers to 50 lakh central employees and 65 lakh pensioners ahead of Diwali. This is the highest ever 5 percentage points increase in DA in one go by the central government, ’’ he added.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs. 15909.35 crore per annum and Rs 10606.20 crore in the Financial Year (for a period of 08 months from July, 2019 to February, 2020). The additional financial implication on account of this increase in Dearness Allowance is estimated at Rs 8590.20 Crore per year; and Rs 5726.80 Crore in the current Financial Year of 2019-20 (for 8 months from July 2019 to February 2020).


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