7th Pay Commission DA Hike: The Union Cabinet on Friday approved a 2% hike in Dearness Allowance (DA) for central government employees
7th Pay Commission DA Hike: The Union Cabinet on Friday approved a 2% hike in Dearness Allowance (DA) for central government employees, according to ET reports.
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With this revision, Dearness Allowance (DA) will increase from 53% to 55%, providing a salary boost for government employees. The previous DA hike occurred in July 2024, when it was raised from 50% to 53%.
What is Dearness Allowance (DA)?
- DA is extra money that the government and public sector employers give to their employees and pensioners to help them cope with rising prices.
- It’s calculated as a percentage of the basic salary and gets revised every six months based on how much prices have gone up.
- There are two types—one for government employees and another for public sector workers.
- DA is taxable, so it has to be mentioned in income tax filings.
