New Delhi: The Union Cabinet on Wednesday increased Dearness Allowance (DA) and Dearness Relief (DR) by 3 per cent for about 49.19 lakh central government employees and 68.72 lakh pensioners and also approved opening of 57 new Kendriya Vidyalayas across the country.
Reports said that DA/DR increase of 3 per cent over the existing rate of 55 per cent of the basic pay/pension to compensate against the price rise will be effective retrospectively from July 1, 2025.
Union Information and Broadcasting Minister Ashwini Vaishnaw while briefing on decisions taken in the Cabinet meeting told reporters here that the combined impact on the exchequer on account of an increase in DA and DR will be Rs 10,083.96 crore per annum.
“The increase is in accordance with the accepted formula based on the rec