7th Pay Commission: The MK Stalin-led Tamil Nadu government has announced the second DA hike in 2023. Earlier in May this year, the state government had announced that the state has approved a 4 per cent hike in 7th Pay Commission Dearness Allowance (DA) for state government employees and pensioners.
On Wednesday, Tamil Nadu government announced a 4% increase in DA (Dearness Allowance) for State government employees, teachers and pensioners with retrospective effect from July 1 this year.
The DA was increased from 42 per cent to 46 per cent. This increase is in accordance with the accepted formula, based on the recommendations of the 7th Pay Commission.
According to an official release, the announcement is expected to benefit about 16 lakh State government employees, teachers, pensioners and family pensioners. The State exchequer will incur an additional expenditure of ₹2,546.16 crore to fund this.
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Other DA hikes
The move comes after the Union Government, last week, increased the Dearness Allowance for Central govt employees and Dearness Relief for pensioners increased by 4%. According to reports, the decision will benefit 48.67 lakh central government employees and 67.95 lakh pensioners.
Further, the Railway Board also announced that it has revised the dearness allowance for its employees from 42 percent to 46 percent of the basic pay effective from July 1, 2023.
The dearness allowance for employees and pensioners is worked out on the basis of the latest Consumer Price Index for Industrial Workers (CPI-IW) brought out by the Labour Bureau every month.
Karnataka DA hike
The Karnataka government on Saturday announced increasing the dearness allowance for the state government employees by 3.75 per cent.
In an order, the government said it was revising the dearness allowance from the existing 35 per cent to 38.75 per cent.
The government also announced the lecturers on UGC/AICTE/ICAR scale and the judicial officers will get a hike of four per cent in their DA.
With the hike, the state government will spend an additional ₹1,109 crore.
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Updated: 25 Oct 2023, 04:54 PM IST