Release of additional installment of dearness allowance to Central
Government employees and dearness relief to Pensioners, due from 1.1.2014
The Union Cabinet today
approved the proposal to release an additional installment of Dearness
Allowance (DA) to Central Government employees and Dearness Relief (DR) to
pensioners with effect from 01.01.2014, in cash, but not before the
disbursement of the salary for the month of March 2014 at the rate of 10
over the existing rate of 90 percent.
Hence, Central Government employees as well as pensioners are entitled for
DA/DR at the rate of 100 percent of the basic with effect from 01.01.2014. The
increase is in accordance with the accepted formula based on the
recommendations of the 6th Central Pay Commission.
The combined impact on the exchequer on account of both dearness allowance and
dearness relief would be Rs. 11074.80 crore per annum and Rs. 12920.60 crore in
the financial year 2014-15 ( i.e. for a period of 14 months from January 2014
to February 2015).