Gujarat govt hikes DA for staff, pensioners

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The state government of Gujarat has granted approval on an 11% hike in Dearness Allowance to state government employees and pensioners with effect from July 1 in retrospection. This move has taken the new rate to 28%.

The chief minister of Gujarat Nitin Patel said that on the existing rate of 17% of the basic salary the government has increased more 11%. This will make the new DA 28% which is similar to the one being given to Central government staffers and pensioners.

Earlier in July, the Centre has raised DA from 17% to 28% for its employees. Patel said that the state government decided to hike the DA from 17% to 28%, to be effective from July 1, as it usually follows Central DA rates and does revisions accordingly.”

Over  9.61 lakh state government and panchayat employees, as well as 4.5 lakh pensioners covered under the 7th Pay Commission, will be benefited from the revision. The hike will cost the state exchequer Rs 378 crore every month. From September, the new DA will be reflected in the salary.