INSUBCONTINENT EXCLUSIVE:
Dearness allowance and dearness relief was put on hold last year in the wake of the Covid-19 pandemic."The government has decided to
increase the dearness allowance to central government employees and dearness relief to pensioners with effect from 01.07.2021 to 28 per
cent, representing an increase of 11 per cent over the existing rate of 17 per cent of the basic pay / pension," the government said in a
press release.The decision is expected to cost the government approximately Rs 34,400 crore and impact around 48,34,000 central government
in a press briefing while making the announcement.Dearness allowance is paid by the government to its employees and dearness relief is given
to the central government pensioners to compensate them for rising cost of living due to inflation.TheIndianSubcontinent had reported
earlier, quoting sources that the cabinet was likely to clear dearness allowance at its meeting today so as to give a financial boost to the
central government employees and pensioners ahead of the forthcoming festival season.
