Centre increases employees/pensioners DA & DR by 4%
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Union Sports minister Anurag Thakur/ File Photo
New Delhi: The Union Cabinet announced on Wednesday about hiking the Dearness Allowance and dearness relief (DR) for employees and pensioners under the Central government. Union Minister Anurag Thakur said that the increase of 4 per cent would be effective from July 1, 2022.
Further, the Cabinet also approved the extension of Pradhan Mantri Garib Kalyan Ann Yojana (PMGKAY) for three more months, that is, till December 2022. The programme serves free rations to 80 crore beneficiaries for three months and will cost Rs 44,700 crore, Thakur informed.
The DA/DR increase will benefit around 41.85 lakh central government employees and 69.76 lakh pensioners.
However, the additional cost due to DA increase to employees is estimated at Rs 6,591.36 crore per annum and Rs 4,394.24 crore in the financial year 2022-23, from July 2022 to February 2023. The additional financial implications in the case of pensioners have been estimated at Rs 6,261.20 crore per annum and Rs 4,174.12 crore in the financial year 2022-23.
The Pradhan Mantri Garib Kalyan Anna Yojana (PMGKAY) was started in April 2020 to help the poor whose livelihoods were affected by the nationwide lockdown aimed at containing the spread of Covid-19.
Under this scheme, 5 kg of food grain per person per month is provided free of cost for all the beneficiaries covered under the National Food Security Act (NFSA).
Minister Thakur said that PMGKAY, which started in 2020 to help the poor, whose livelihoods were affected by Covid-19, has spent Rs 3.45 lakh crore so far.
In the next three months, 122 lakh tonnes of foodgrains will be distributed free of cost, Thakur said.