New good news: All employees will get 50% DA benefit 7th Pay Commission News7th Pay Commission News: The central government has announced a 4% increase in dearness allowance. This increase has brought relief to lakhs of central employees and pensioners. This increase will not only increase their purchasing power but will also strengthen their financial condition.
Importance of hike in Dearness Allowance
Dearness Allowance is an allowance given to meet the increased cost of living due to inflation. Its purpose is to ensure that the purchasing power of employees and pensioners does not decrease due to inflation. Therefore, when the inflation rate increases, the dearness allowance is also increased in the same proportion.
Benefits of 4% increase
This increase will benefit about 50 lakh central employees and 68 lakh pensioners. The increase in dearness allowance along with salary and pension will increase their income. This will strengthen their purchasing power and they will be able to easily fulfill the needs of their family.
Impact on other allowances
The increase in dearness allowance will directly affect other allowances as well. Such as house rent allowance, transport allowance, force allowance, teaching allowance and secret allowance etc. will also increase. Apart from this, subsidy for children's hostel fees will also increase.
Impact on the exchequer
Although this increase will put an additional burden on the government treasury, this amount is available in sufficient quantity. This increase will also boost economic activities, as the purchasing power of employees and pensioners will increase.
This increase in dearness allowance is a big relief for lakhs of central employees and pensioners. This will not only strengthen their financial condition but will also improve their quality of life. Also, this will increase the purchasing power of the common man, which will accelerate economic activities.