DA hike: The Jharkhand government on Tuesday announced an increase in the dearness allowance (DA) for its employees to 53 per cent of basic pay, up from the previous 50 per cent. The new rates will be effective from July 1, 2024. Additionally, the dearness relief for pensioners has also been raised by 3 percentage points, bringing it to 53 per cent.
The proposal for this hike was approved at a cabinet meeting chaired by Chief Minister Hemant Soren. Officials mentioned that this decision will benefit over three lakh employees and pensioners across the state.
A total of 10 proposals were passed by the cabinet, including administrative approval of Rs 99.56 crore for the multi-disciplinary education and research university (MERU) in the campus of Vinoba Bhave University (VBU), Hazaribag, under the Pradhan Mantri Uchchatar Shiksha Abhiyan (PM-USHA).
“We are ready to move ahead with a visionary mindset for Jharkhand’s betterment,” CM Soren said.
DA hike, gratuity limit increased for govt employees
Notably, the recent announcement of a hike in Dearness Allowance by 4% to 50% by the central government has resulted in a substantial increase in various other allowances, including retirement benefits and gratuity, providing significant benefits to some government employees.
For the greater benefit of government employees, the Centre has increased the maximum gratuity limit from Rs 20 lakh to Rs 25 lakh for employees of BSNL and MTNL who opted for a pension under the combined service framework. The notable change came into effect on January 1, 2024, and aligns with the rise in Dearness Allowance (DA) to 50%.
After the dearness allowance hike reached 50% of the basic salary limit, the Department of Pension and Pensioners’ Welfare (DoPPW) had earlier issued a notification on May 30 to make the announcement on the hike in gratuity limit for central government employees from 20 lakh to Rs 25 lakh. This hike came into effect from January 1, 2024.
(With PTI inputs)
ALSO READ: 7th Pay Commission: Apart from DA hike, gratuity limit increased for these govt employees