7th Pay Commission: MASSIVE relief for government employees, pensioners| Three pending DA instalments to be restored
New Delhi: Finance Ministry on Tuesday assured central government employees and pensioners that three pending installments of Dearness Allowances (DA) will be restored as and when the decision to do so is taken.
The Finance Ministry stated that the three pending instalments of DA for the central government employees will be “subsumed in the cumulative revised rates effective from 1 July, 2021.”
The three installments of DA for central government employees and DR for pensioners, which were due on January 1, 2020, July 1, 2020 and January 1, 2021, were put on hold in the backdrop of Covid-19 pandemic.
The decision to restore the perk from July would reportedly benefit over 50 lakh employees and more than 65 lakh pensioners.
Minister of State for Finance Anurag Thakur, in a written reply to the Rajya Sabha, stated that the Centre had retained more than Rs 35,430.08 crore by freezing the three installments of DA. This had helped in dealing with the COVID-19 outbreak in the country in 2020.
Currently, central government employees get DA of 17 per cent. This level of DA became effective from July 2019 with further revision due from January 2020. But this along with subsequent two other revisions were suspended due to Covid-19.
(With Inputs From Agencies)