Dearness Allowance Hike: Bumper Hike in Dearness Allowance, Massive Arrears included too; Check Complete Details

The government has increased the Dearness Allowance for lakhs of railway personnel across the country. The Railway Board has increased employees’ Dearness Allowance by 14%.

These are the employees who get paid under the Sixth Pay Commission. This raise will boost their pay by hundreds of rupees. Along with this, a 10-month arrear will be available. The Railway Board has issued its decision.

The Railway Board has allegedly announced a DA raise in two halves of —7 percent each for workers working under the 6th Pay Commission (6th Pay Commission).

Dearness Allowance has been increased by 7% (in two instalments) beginning July 1, 2021, and by 7% beginning January 1, 2022.

When and How Much Increase

Employees receiving salary under the Sixth Pay Commission currently receive 189 percent DA. These employees’ DA will rise to 196 percent on July 1, 2021, a 7 percent increase. Similarly, a 7% increase from January 1, 2022 will result in a 203 percent increase. Combining the two raises, employees will receive payment in their May salary as well as arrears of ten months.

After receiving clearance from the Finance Directorate and the Ministry of Railways, the Railway Board adopted this decision.

Central Employees’ Dearness Allowance

To compensate for price increases, the Union Cabinet, chaired by Prime Minister Narendra Modi, approved on March 30, 2022, the release of an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners with effect from January 1, 2022, representing a 3 percent increase over the existing rate of 31 percent of the Basic Pay/Pension.

There are lakhs of employees who receive pay under the 7th pay commission. The current dearness allowance for these employees is 34%. His starting pay is Rs. 18,000. The government increased the basic minimum wage from Rs 7000 to Rs 18000 per month, as recommended by the 7th Pay Commission.