The Gujarat government has announced a significant four per cent increase in dearness allowance (DA) for its state employees. The hike is effective from 1 January, 2024.
This decision is set to benefit approximately 4.71 lakh employees and 4.73 lakh pensioners across the state.
As a result of this increase, the government will disburse a total of Rs 1,129.51 crore as arrears.
The arrears will be paid in three instalments, covering the period from January 2024 to June 2024. The first instalment will be included with the July salary, the second with the August salary, and the third with the September salary. Additionally, all employee organisations have responded positively to the DA hike, viewing it as a supportive move for state employees.
Meanwhile, Central government employees are still awaiting an announcement regarding their own DA increase. Typically, the DA hike for the July-December period is announced in September or October, with its effect retroactively applied from July. Currently, the DA for central employees stands at 50 per cent.
In other developments, Gujarat has seen a substantial rise in foreign direct investment (FDI), attracting $7.3 billion, marking a significant economic milestone.
Additionally, discussions about the 8th Pay Commission have begun at the Central level, though no official decision has been made yet.
