Centre Likely To Hike DA To 125% From Existing 119%

Cabinet approves 6% hike in DA for central Government employees.

New Delhi: The Centre is likely to hike dearness allowance (DA) to 125 per cent from existing 119 per cent, which would benefit its over 10 million employees and pensioners.

“Average rate of Consumer Price Index-Industrial Labour from January to December, 2015 was 6.73 per cent. Thus, the Centre will increase dearness allowance by six percentage points to 125 per cent from existing 119 per cent as per accepted formula for calculation,” Confederation of Central Government Employees and Workers President K K N Kutty told PTI.

The new rate of DA will be implemented from January 1, 2016, which will be applicable for 4.8 million central government employees and 5.5 million pensioners.

DA is paid as a proportion of basic pay of employees.