Source: https://www.india.com/business/7th-pay-commission-latest-news-today-6-april-2022-indian-railways-employees-to-get-hike-in-dearness-allowance-salary-hike-pf-gratuity-14-lakh-employees-to-benefit-5323928/
Publisher: India.com
7th Pay Commission Latest News Today: After the Central government employees, now it is the turn of the employees of the Railways Ministry to receive a hike in dearness allowance. As per a report by News 18, the Indian Railways has given instruction to its zonal officials to pay allowances as per the decision of the Central government.
The report further claimed that as per the instruction issued by the Railways Ministry, dearness allowance will be given to Railways employees with the revised rates. The move from the Centre will directly benefit approximately 14 lakh employees and pensioners. The report further stated that the revised rates will be paid by the end of this month.
The Railways employees must note that the decision from the ministry has been communicated in a letter on behalf of Jai Kumar, Deputy Director, Railway Board to all the zones and production units on Tuesday. Notably, the revision of DA was stalled for a year and a half due to the COVID pandemic.
The Central government employees must note that the Dearness Allowance is a salary component that is given to the employees to soothe the effects of rising inflation. The salary of a government employee is revised twice every year, in January and then in July.
However, the dearness allowance varies from employee to employee and at times it is determined by whether the employee works in an urban, semi-urban or rural sector.
On March 30, the Union Cabinet had approved the increase in dearness allowance for government employees and pensioners by 3 per cent from Jan 1, 2022. The move from the government increases the DA from the previous 31 per cent of basic pay to 34 per cent.
The decision was taken during a cabinet meeting chaired by Prime Minister Narendra Modi to approve the release of an additional instalment of dearness allowance as per the recommendations of the 7th central pay commission.
The Finance Ministry in a statement had said that the combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs 9,544.50 crore per annum. However, the decision would benefit about 47.68 lakh Central Government employees and 68.62 lakh pensioners, the government had said in a statement.
