Govt increases DA for employees, pensioners by 11%, effective from July 1

The Union cabinet has increase the dearness allowance (DA) to Central government employees and dearness relief (DR) to pensioners by 11 per cent. The increase is with effect from July 1, 2021, according to an official release.

The cabinet, chaired by Prime Minister Narendra Modi, today approved the hike to 28 per cent from the existing rate of 17 per cent of the basic pay/pension.

In view of the unprecedented situation which arose due to the Covid-19 pandemic, three additional installments of DA to government employees and DA to pensioners had been frozen. These were due from January 1, 2020, July 1, 2020, and July 1, 2021,

The rate of DA and DR for the period during January 1, 2020, to June 30, 2021, shall remain at 17 per cent, the release said.