{"id":220628,"date":"2019-10-09T14:47:52","date_gmt":"2019-10-09T09:17:52","guid":{"rendered":"https:\/\/www.scconline.com\/blog\/?p=220628"},"modified":"2019-10-10T09:08:15","modified_gmt":"2019-10-10T03:38:15","slug":"breaking-cabinet-approves-5-hike-in-dearness-allowance","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2019\/10\/09\/breaking-cabinet-approves-5-hike-in-dearness-allowance\/","title":{"rendered":"Breaking | Cabinet approves 5% hike in &#8220;Dearness Allowance&#8221;"},"content":{"rendered":"<p style=\"text-align: justify;\"><strong>Union Cabinet has approved a 5% hike in the dearness allowance (DA) for Central Government Employees and pensioners. The said rate will be applicable retrospectively from July this year.<br \/>\n<\/strong><\/p>\n<p style=\"text-align: justify;\">As reported by outlook,\u00a0<em>Union Cabinet chaired by Prime Minister Narendra Modi approved the 5 percent additional DA\/DR (dearness relief) over the existing rate of 12 percent of the basic pay\/pension due in July, 2019.<\/em><\/p>\n<p style=\"text-align: justify;\">Another announcement to be noted is that, a relaxation till 30th November 2019 for the mandatory requirement of <strong>Aadhaar seeding for release of benefits<\/strong> under Pradhan Mantri Kisan Samman Nidhi after 1st August, 2019. The date has been extended to help farmers ahead of rabi (winter) sowing.<\/p>\n<p>Along with the series of announcements, Cabinet also announced to double the remuneration of <strong>Asha workers<\/strong> from Rs 1,000 to Rs 2,000.<\/p>\n<hr \/>\n<h3>Press Release<\/h3>\n<p style=\"text-align: justify;\">The Union Cabinet approved to release an additional installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2019 representing an increase of 5% over the existing rate of 12% of the Basic pay\/Pension, to compensate for price rise.\u00a0 This increase is in accordance with the accepted formula, which is based on the recommendations of the 7<sup>th<\/sup>\u00a0Central Pay Commission.<\/p>\n<p style=\"text-align: justify;\">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 2019-20 (for a period of 08 months from July, 2019 to February, 2020).\u00a0 This will benefit about 49.93 lakh Central Government employees and 65.26 lakh, pensioners.<\/p>\n<p style=\"text-align: justify;\">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).<\/p>\n<p style=\"text-align: justify;\">The additional financial implication on account of the Dearness Relief to pensioners is estimated to be Rs 7319.15 Crore per annum and Rs 4870 Crore in the current FY.<\/p>\n<p style=\"text-align: justify;\">Dear Allowance\/Dearness Relief is paid to Central Government employees\/pensioners to adjust the cost of living and to protect their basic pay\/pension from erosion in the real value. Dear Allowance\/Dearness Relief is revised twice a year from 1<sup>st<\/sup>\u00a0January and 1st July.<\/p>\n<hr \/>\n<p>[Source: Outlook]<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Union Cabinet has approved a 5% hike in the dearness allowance (DA) for Central Government Employees and pensioners. The said rate will <\/p>\n","protected":false},"author":8808,"featured_media":209514,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[29535,4],"tags":[37854,37853,37852],"class_list":["post-220628","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-cabinet_decisions","category-legislationupdates","tag-aadhaar-seeding","tag-asha-workers-remuneration","tag-dearness-allowance-hike"],"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.4 (Yoast SEO v26.4) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Breaking | Cabinet approves 5% hike in &quot;Dearness Allowance&quot; | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.scconline.com\/blog\/post\/2019\/10\/09\/breaking-cabinet-approves-5-hike-in-dearness-allowance\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Breaking | Cabinet approves 5% hike in &quot;Dearness Allowance&quot;\" \/>\n<meta property=\"og:description\" content=\"Union Cabinet has approved a 5% hike in the dearness allowance (DA) for Central Government Employees and pensioners. 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The\u2026","rel":"","context":"In &quot;Cabinet Decisions&quot;","block_context":{"text":"Cabinet Decisions","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/cabinet_decisions\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/02\/CABINET-SECRETARIAT.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/02\/CABINET-SECRETARIAT.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/02\/CABINET-SECRETARIAT.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/02\/CABINET-SECRETARIAT.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2019\/02\/CABINET-SECRETARIAT.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":305247,"url":"https:\/\/www.scconline.com\/blog\/post\/2023\/10\/19\/cabinet-approves-hike-in-dearness-allowance-and-dearness-relief-legal-news\/","url_meta":{"origin":220628,"position":1},"title":"Cabinet approves 4% hike in DA and DR w.e.f. from 1-7-2023","author":"Kriti","date":"October 19, 2023","format":false,"excerpt":"On 18-10-2023, the Union Cabinet has approved a 4% hike in Dearness Allowance (\u2018DA\u2019) for Central Government employees and Dearness Relief (\u2018DR\u2019) for pensioners. Key Points: The hike is an additional instalment with effect from 1-7-2023. The 4% is over the existing rate of 42% of Basic Pay\/ Pension, to\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"4% hike DA and DR","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/10\/4-hike-DA-and-DR.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/10\/4-hike-DA-and-DR.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/10\/4-hike-DA-and-DR.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2023\/10\/4-hike-DA-and-DR.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":362262,"url":"https:\/\/www.scconline.com\/blog\/post\/2025\/10\/01\/cabinet-increases-3-percent-da-dr-july-2025\/","url_meta":{"origin":220628,"position":2},"title":"Cabinet approves 3% Increase in DA and DR","author":"Shubhi","date":"October 1, 2025","format":false,"excerpt":"Cabinet approved a 3% increase in Dearness Allowance and Dearness Relief for Central Government employees and pensioners, effective from July 2025.","rel":"","context":"In &quot;Cabinet Decisions&quot;","block_context":{"text":"Cabinet Decisions","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/cabinet_decisions\/"},"img":{"alt_text":"Cabinet increases 3% DA","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/10\/06-121.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/10\/06-121.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/10\/06-121.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/10\/06-121.webp?resize=700%2C400&ssl=1 2x"},"classes":[]},{"id":251410,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/07\/17\/government-of-rajasthan-revises-rate-for-grant-of-dearness-allowance-to-work-charged-employees\/","url_meta":{"origin":220628,"position":3},"title":"Government of Rajasthan revises rate for grant of dearness allowance to Work-charged employees","author":"Bhumika Indulia","date":"July 17, 2021","format":false,"excerpt":"The Government of Rajasthan has revised rates for grant of dearness allowance to Work-charged Employees under Rajasthan Work-Charged Employees (Revised Pay) Rules, 2017. The Dearness Allowance payable to Work-charged Employees has been enhanced from the existing rate of 17% to 28% of the basic pay with effect from July 01,\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/06\/Government-of-Rajasthan.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/06\/Government-of-Rajasthan.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/06\/Government-of-Rajasthan.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/06\/Government-of-Rajasthan.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/06\/Government-of-Rajasthan.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":251624,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/07\/23\/rates-of-dearness-allowance-to-central-government-employees-revised\/","url_meta":{"origin":220628,"position":4},"title":"Rates of Dearness Allowance to Central Government employees revised","author":"Bhumika Indulia","date":"July 23, 2021","format":false,"excerpt":"On July 20, 2021, the Ministry of Finance has issued a memorandum on revision of Dearness Allowance to the Central Government employees. The dearness allowance has been enhanced from 17% to straight 28% of the basic pay for the employees with effect from July 01, 2021. The rate of the\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":256703,"url":"https:\/\/www.scconline.com\/blog\/post\/2021\/11\/03\/central-government-revises-rates-of-dearness-allowance-to-employees\/","url_meta":{"origin":220628,"position":5},"title":"Central Government revises rates of Dearness Allowance to employees","author":"Bhumika Indulia","date":"November 3, 2021","format":false,"excerpt":"On November 01, 2021, the Central Government has issued a circular regarding revised rates of Grant of DA to the employees of Central Government. The Grant of Dearness Allowance (DA) to the employees of the Central Government has been revised effective from July 01, 2021 enhancing the existing rate of\u2026","rel":"","context":"In &quot;Legislation Updates&quot;","block_context":{"text":"Legislation Updates","link":"https:\/\/www.scconline.com\/blog\/post\/category\/legislationupdates\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/11\/MicrosoftTeams-image-115-2.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/11\/MicrosoftTeams-image-115-2.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/11\/MicrosoftTeams-image-115-2.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/11\/MicrosoftTeams-image-115-2.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2021\/11\/MicrosoftTeams-image-115-2.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/220628","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/8808"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=220628"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/220628\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/209514"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=220628"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=220628"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=220628"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}