Punjab CM Bhagwant Mann announces 3 per cent DA hike for employees
The additional dearness allowance will be credited with November salaries for 8 lakh beneficiaries ahead of Diwali.
Punjab Chief Minister Bhagwant Mann announced an additional 3 per cent dearness allowance (DA) for pensioners and government employees on Wednesday, according to The Indian Express.
Mann described the move as a Diwali gift for 8 lakh beneficiaries. The latest increase will bring the total DA rate to 53 per cent, following earlier increases of 4 per cent in two instalments this year.
The Chief Minister stated that the government is always ready to meet employee demands and noted that his administration has provided 71,777 government jobs. He added that the 11 per cent total increase in a single year is a first.
This decision will create a fiscal liability of about Rs 380 crore for the rest of the current financial year and roughly Rs 1,000 crore annually from April 2027. The total annual financial liability from this year's increases is Rs 3,988 crore.
The announcement comes as outstanding DA and dearness relief (DR) arrears for the period between January 1, 2021, and September 30, 2026, have reached Rs 22,818 crore. Chief Secretary K A Sinha placed a report detailing these obligations before the Punjab and Haryana High Court.
The issue of unpaid arrears is currently pending before the Punjab and Haryana High Court. On Tuesday, the court issued a contempt notice to the chief secretary and has sought a response by November 17.