Find out how much the pay will rise after the 3.75 percent DA increase after the Center gives state workers a present

 Find out how much the pay will rise after the 3.75 percent DA increase after the Center gives state workers a present

The State Government has begun raising the dearness allowance in tandem with the Central Government. It is well known that the Central Government raised the dearness allowance of central workers by 4% a few days ago when presenting Diwali gifts. In light of this, state administrations have recently begun to progressively grow as well. Although it has only begun in one state, it is anticipated that all states would eventually declare increases to their workers' recruiting allowances.

An increase in the federal and state governments' dearness allowance

Following the Central Government's recent 4% rise in the dearness allowance for its workers, some state governments have also adopted similar policy. Additionally, the Karnataka government has declared a 3.75 percent hike in the dearness allowance for its workers. For instance, if a government worker now makes Rs 30,000, his pay would increase to Rs 31,125 with the new dearness allowance.

A rise in Karnataka's DA

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

An increase in central workers' allowances

A 4 percent rise in dearness allowance has been implemented by the federal government, benefiting 48.67 lakh workers and 67.95 lakh pensioners. The enhanced allowance, which is now 46% of the new DA, will take effect on July 1, 2023.

effect on the Treasury

Dearness relief and dearness allowance would have a combined annual effect of Rs 12,857 crore on the exchequer.

a table with vital information

Central workers' dearness allowance: 46%

Karnataka Employee Dearness Allowance: 38.75%

₹1,109 crore in additional costs (Karnataka)

Annual impact on the exchequer: ₹12,857 crore (Centre)

commonly asked inquiry

To what extent has the dearness allowance been raised by the federal and state governments?

It has grown by 3.75% under the Karnataka government and by 4% under the federal government.

How many workers will the raise benefit?

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

What effect on the Treasury will the dearness allowance hike have?

How it affects the exchequer

When is the new dearness allowance going to be put into effect?

As of July 1, 2023, the higher dearness allowance will be in effect.