Center employees - 11 per cent increase in pensioners' DA

- 48.34 lakh employees and 65.26 lakh pensioners will benefit from the decision of the Union Cabinet

- From July 1, 2021, DA will get 28% instead of 17%: However, arrears from January 1, 2020 to June 30, 2021 will not be received.

- An annual burden of Rs 34,401 crore on the exchequer

- The DA has not been increased for the last year and a half following Corona

New Delhi: The Union Cabinet has decided to increase the DA (Dearness Allowance) and DR (Dearness Relief) of Central Government employees and pensioners with effect from July 1, 2021. Until now, central government employees and pensioners used to get 18 per cent DA. The government has decided to increase DA by 11 per cent to 5 per cent from July 1, 2021.

Information and Broadcasting Minister Anurag Thakur said in a statement that the decision to increase DA by 11 per cent would impose an annual burden of Rs 4,601 crore on the exchequer.

It may be mentioned that the central government had not increased the DA for the last one and a half years in view of the Koro epidemic. The government did not pay the increase in DA for January, 2020 and July, 2020 and January, 2021.

The government's decision will benefit 2.5 lakh central government employees and 7.5 lakh pensioners. Thakur said in a statement that the government has decided to increase the DA of central government employees and the DR of central pensioners by 11 per cent from July 1, 2021. The government has decided to increase DA from 12 per cent to 5 per cent.

The central government said in a statement that it has decided to increase the DA paid to central government employees from 12 per cent to 5 per cent. However, DA arrears from January 1, 2020 to June 30, 2021 will not be paid.

Other important decisions taken by the Union Cabinet

- The Center has decided to extend the term of the commission set up to review the issue of sub-categorying in OBCs by six months.

- The MoU between the Indian Ministry of Health and Denmark has been approved to enhance cooperation in the field of health and medicine.

- It has been decided to continue the National AYUSH Mission as a centrally sponsored scheme for another five years i.e. till 202.

- The Department of Animal Husbandry and Dairy has approved the decision to restructure. In addition, a special livestock package has been approved for a leverage investment of Rs 4,616 crore.

- The government has approved the ROCCTL (Rebate of State and Central Taxes and Lewis) scheme for garment exporters till March 203.