Cabinet approves 11% DA hike in favour of employees, pensioners; Move widely hailed

SRINAGAR, JUNE 7: In big financial relief for the state government employees and the pensioners, the Government today announced 11% hike in their Dearness Allowance.

The State Cabinet meeting chaired by Chief Minister Mehbooba Mufti accorded approval to the release of DA installment @ 7% of pay, w.e.f. July 2016 and @ 4% w.e.f. January 2017 raising the total Dearness Allowance of the State Government employees from 125% to 132% w.e.f. 1.7.2016 and 132% to 136% w.e.f. 1.1.2017.

The arrears on account of additional installments from July, 2016 and from January, 2017 upto May 2017 shall be credited to the individual GPF accounts of Government employees in the month of June, 2017 and shall form part of the monthly salary from there onwards.

In respect of such of the State Government employees, who are governed by the New Pension Scheme, the arrears on account of additional installments from July, 2016 and January 2017 upto May 2017, shall be paid in cash in month of June, 2017 and the employees’ share @ 10% shall be deducted at source and credited to their PRAN numbers along with the matching share by the employer. Thereafter, the enhancement in the DA shall form part of the monthly salary.

Enhancement in DA will also apply to the work charged/whole time contingent paid employees, working in a regular time scale.

Cabinet approved the release of the Dearness Allowance installment @ 7% w.e.f. 1.7.2016 and 4% w.e.f. 1.1.2017 raising the total Dearness Allowance of the State Government pensioners/family pensioners from 125% to 132% w.e.f. 1.7.2016 and from 132% to 136% from 1.1.2017 respectively.

The arrears on account of the enhanced rate of Dearness Allowance from July, 2016 and January, 2017 upto May 2017 shall be paid to them in cash in the month of June, 2017 and shall form part of the monthly pension/family pension there onwards.

The State Government employees and the pensioners have hailed the present government for timely release of DA. They said it is for the first time that the DA is being released by the Government without the employees having to resort to any agitation for the same.

They have specially expressed gratitude to the Chief Minister, Ms Mehbooba Mufti, the Finance Minister, Dr Haseeb Drabu, Chief Secretary, Mr B B Vyas and Commissioner Secretary Finance, Mr Navin Kumar Choudhary for taking several other employee-friendly measures besides timely release of DA.

They said that bringing down the qualifying service for full pensionery benefits from 33 to 20 years and increase of TMA from Rs 10000 to Rs 15000 are some other laudable measures taken by the present government.