Daijiworld Media Network – New Delhi

New Delhi, Oct 19: Ahead of Diwali, several states have announced a hike in Dearness Allowance (DA) and Dearness Relief (DR) for government employees and pensioners, offering festive relief amid rising inflation.

Uttarakhand Chief Minister Pushkar Singh Dhami approved a 3% hike in DA and DR for state government and local body employees. The revised rates will be implemented with the October salary, credited on November 1, the Chief Minister’s Office said.

Following Uttarakhand’s move, Andhra Pradesh Chief Minister N Chandrababu Naidu also declared a Diwali bonanza for state employees, announcing an increased DA effective from November 1. The decision will cost the state Rs 160 crore per month. The Andhra government will also release part payments of earned leave in two instalments of Rs 105 crore each and streamline the health insurance scheme within 60 days.

Additionally, the government waived property tax on buildings of employees’ associations and cleared promotions for Road Transport Corporation staff.

In Uttar Pradesh, Chief Minister Yogi Adityanath also announced a 3% DA hike, calling it a Diwali gift for 28 lakh employees and pensioners, saying the move “will light the lamp of satisfaction, security, and prosperity” in their lives.

Similarly, Odisha raised DA and DR by 3%, increasing the rate from 55% to 58%, while Karnataka implemented a 2% hike earlier this week. Gujarat, Bihar, Jharkhand, Sikkim, and Arunachal Pradesh have also revised DA recently.

What Is Dearness Allowance?

Dearness Allowance is a cost-of-living adjustment paid to public sector employees and pensioners to offset inflation. Calculated as a percentage of the basic salary, it is revised twice a year based on the Consumer Price Index and is taxable under the income tax laws.