KT NEWS SERVICE NEW DELHI, Aug 30: The Union Cabinet on Thursday sanctioned additional dearness allowance and dearness relief of six per cent to the Central staff and pensioners with effect from July 1, involving an annual burden of Rs 3285 crores on the exechequer and Rs 2190 crores in the current year.
The new rate of DA to the Central Government employees is 41 per cent while it is the same percentage for the pensioners and family pensioners of the Central Government.
It may be mentioned here that half of DA was merged with basic pay from April 2004 in case of the Central staff.
The DA increase had become due in view of the 12-monthly average All India Consumer Price Index increasing by 91.82 per cent over the base of 303.33, an official release said.
It said the additional financial implications on account of this increase of Dearness Allowance is Rs.2206.86 crore per annum ; and Rs.1471.24 crore in the financial year 2007-2008.
The additional financial implications on account of this increase of Dearness Relief to pensioners is Rs.1078.08 crore per annum, and Rs.718.72 crore in the financial year 2007-08.
The combined impact on exchequer on account of both dearness allowance and dearness relief would be Rs.3284.94 crore in a full year and Rs.2189.96 crore in the financial year 2007-08.
