Find out how much the pay will rise after the Centre's gift to state workers after the 3.75 percent hike in DA

Find out how much the pay will rise after the Centre's gift to state workers after the 3.75 percent hike in DA

The State Government began raising the dearness allowance after the Central Government. It is well known that the Central Government recently boosted the dearness allowance of central workers by 4% as a Diwali gift. With this in mind, state governments have now also begun to steadily grow. One state has announced an increase in the recruiting allowance for its workers, and it is anticipated that eventually all the states will follow suit.

both the federal and state governments have increased the dearness allowance.

A number of state governments have already followed suit after the Central Government recently upped the dearness allowance of its workers by 4%. The dearness allowance of its workers would rise by 3.75 percent, according to the Karnataka government. For instance, if a government employee's income is Rs 30,000, the new dearness allowance would increase it to Rs 31,125.

A rise in DA in Karnataka

The Karnataka state government has agreed to raise its workers' dearness allowance from 35 to 38.75 percent. In addition, a 4 percent rise in the DA for judges and lecturers has been announced. The government would spend an extra Rs 1,109 crore as a result of this hike.

Increase in central employees' allowances

In order to better serve its 48.67 lakh workers and 67.95 lakh retirees, the federal government has enhanced the dearness allowance by 4%. From July 1, 2023, this enhanced allowance will be in effect, with the new DA being 46 percent.

effect on the Treasury

The exchequer would be affected by the dearness allowance and dearness relief to the tune of Rs 12,857 crore annually.

significant data table

Central workers' daily allowance: 46%

Karnataka Employees' Dearness Allowance: 387.5%

An additional $1,109 billion was spent (Karnataka).

Impact on the exchequer: $12,857 billion annually (Centre).

often asked questions

How much has the dearness allowance risen under the Central and State Governments?

It has been raised by the Karnataka government by 3.75% and the federal government by 4%.

How many workers will the hike affect?

Benefits would be received by 67.95 lakh pensioners and 48.67 lakh central government workers.

How will the treasury be affected by the rise in the dearness allowance?

12,857 crore would be lost from the exchequer every year as a result.

The new dearness allowance will be introduced when?

Beginning on July 1, 2023, the higher dearness allowance will be in effect.