Centre to raise DA for govt employees by 3%

The prime minister is expected to seek the cabinet’s approval for the hike


Centre is most likely to announce a raise in the dearness allowance (DA) of government employees and pensioners. In the midst of government staff eagerly anticipating a salary increase with the festive season round the corner, the media reports by DNA indicated that there is a possibility that the Centre may announce the raise on Wednesday, October 4th. The decision is yet to be announced.

It was reported that  Prime Minister Narendra Modi was expected to seek cabinet approval for the DA hike during an upcoming meeting, where the Union Cabinet and the Economic Affairs Committee were also present.

Central government employees and retirees have been eagerly awaiting an increase in the dearness allowance since July. This time around, the Centre is considering raising the DA from 42 per cent to 45 per cent, with retroactive effect from 1 July 2023. If raised, the October salary is anticipated to incorporate the increased allowance, along with arrears covering the period from July to September.

In August, it was reported that the decision was expected to be disclosed in September 2023. However, given that Navratri festivities start on 15 October and Dussehra is on 24 October, the raise would indeed serve as a well-timed gift. The decision would be advantageous to 47 lakh employees and 68 lakh pensioners, offering them some respite from the challenges posed by escalating inflation.

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