Latest DA
News : Decision on hiking dearness allowance deferred
Decision
on hiking dearness allowance deferred
NEW
DELHI: The government on Tuesday deferred a decision on hiking dearness
allowance (DA) of central government employees to 80 per cent, from 72 per cent
at present.
An
increase in DA would have benefitted about 50 lakh employees and 30 lakh
pensioners."The proposal on DA has been deferred as the
Finance Minister was not present," Information and Broadcasting Minister
Manish Tewari told reporters after the Cabinet meeting chaired by Prime
Minister Manmohan Singh here.
Finance
Minister P Chidambaram is on an official visit to Japan.
A hike in
DA has been proposed with effect from January 1, 2013, according to sources.
The
government had hiked DA to 72 per cent in September last year. The increase was
with effect from July 1, 2012.
The
Confederation of Central Government Employees has demanded merger of up to 50
per cent DA with the basic pay and setting up the seventh pay commission at the
earliest.
As per
the practice, the DA is merged with basic pay when it breaches the 50 per cent
cap. This helps employees get higher allowances as those are paid as proportion
to the basic pay.
Source: Economic
Times
