Diwali gift for Central Government employees; dearness allowance hiked by five per cent

Union Minister Prakash Javadekar made the announcement after a cabinet meeting on Wednesday and added that the hike in DA will cost the government ₹16,000 crore annually


In good news for Central Government employees, on October 9, Wednesday, the government hiked dearness allowance (DA) given to them by five per cent. The move is expected to revive consumer demand amid an economic slowdown. Dearness Allowance or DA is paid by the government to its employees as well as pensioners to meet with the impact of inflation.

The announcement was made by Union Minister Prakash Javadekar after a cabinet meeting on Wednesday. The move will be effective from July 2019 onwards and is a major relief for government employees who will now be entitled to an additional five per cent dearness allowance.

Javadekar said that the hike in DA will cost the government ₹16,000 crore annually and is a Diwali gift for over 50 lakh central government employees and 62 lakh pensioners.

Under the leadership of Prime Minister Modi, several decisions have been taken and good news for govt employees is that Dearness Allowance has been hiked by 5 per cent," he said.

The Union Minister also added that the move will offer relief to its working-class employees and the government will continue to announce measures to deal with issues that various sectors are facing due to the slowdown in demand.

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