The increase will benefit 8 lakh beneficiaries and brings the total dearness allowance rate to 53 per cent.
Punjab Chief Minister Bhagwant Mann announced a 3 per cent increase in dearness allowance (DA) for state government employees and dearness relief (DR) for pensioners on Wednesday. According to The Indian Express, the move is intended as a Diwali gift for approximately 8 lakh beneficiaries.
The latest hike brings the total DA rate to 53 per cent, up from 50 per cent following an 8 per cent increase in September. Mann stated that the government has increased the DA by 11 per cent within a two-month period, marking the first time such a jump has occurred in a single year.
The decision is expected to create a fiscal liability of roughly Rs 380 crore for the remainder of the current financial year. The annual financial liability resulting from the increases announced this year is estimated at Rs 3,988 crore.
Addressing the media, Mann described employees and pensioners as the backbone of the government. He also noted that his administration has provided 71,777 government jobs based on merit.
The announcement comes as the state faces outstanding DA and DR arrears amounting to Rs 22,818 crore for the period between January 1, 2021, and September 30, 2026. This issue is currently pending before the Punjab and Haryana High Court.
The enhanced DA will be credited alongside November's salary, according to the Chief Minister.
