DA hike: Salary hike incoming? Cabinet likely takes DA to 50% for government staff

Dearness Allowance Hike: Following the hike, dearness allowance and dearness relief will be over 50 percent. Details below

Dearness Allowance Hike: The Union Cabinet has reportedly approved the decision to hike dearness allowance for central government employees by 4 per cent. Following the hike, dearness allowance and dearness relief will be over 50 percent, ET Now reported citing sources. The Cabinet also extended the LPG subsidy scheme by a year, it added.

Dearness Allowance Hike: Last increase in dearness allowance and dearness relief was made in October 2023. (Reuters)

In October last year, the Centre had hiked LPG subsidy for Pradhan Mantri Ujjwala Yojana beneficiaries to ₹300 per cylinder. Then, union minister Anurag Thakur said that the additional LPG connections will be provided in the course of the next three years and will come with a financial implication of ₹1,650 crore.

Last increase in dearness allowance and dearness relief was made in October 2023 when the Union Cabinet had increased it by 4 percentage points to 46 percent with effect from July 1, 2023.

This benefited 48.67 lakh central government employees and 67.95 lakh pensioners with a cumulative financial impact estimated at ₹12,857 crore annually. The increase was in accordance with the recommendations of the 7th Central Pay Commission.

The report claimed that Union Cabinet also approved AI Mission which PM Modi had announced in December 2023.

PM Modi said, “We are going to launch an AI Mission in India soon. The objective of this mission will be to maximise the potential of AI computing in India and provide Indian startups and innovators with better opportunities."

“As part of this mission, the application of artificial intelligence technologies will be promoted in sectors, such as agriculture, healthcare and education,” he added.