2 per cent dearness allowance for Central staff, pensioners

New Delhi: Prime Minister Narendra Modi, at his first Cabinet meeting after the sweeping victory in the Uttar Pradesh and Uttarakhand Assembly elections, approved the release of an additional two per cent dearness allowance (DA) to Central government staff and dearness relief (DR) to pensioners with effect from January 1, 2017.

It has been increased by two per cent over the existing rate of two per cent of basic pay or pension to compensate for the price rise. Sources said this hike was based on the recommendations of the Seventh Pay Commission.