In a major relief for government employees and pensioners, the Telangana government has officially approved a substantial hike in Dearness Allowance (DA). The state’s Finance Department has issued an order increasing the DA by 3.4 percent, a decision that is set to directly impact the salaries and pensions of lakhs of beneficiaries across the state.
DA Hike Effective from January 1, 2023
As per the official directive, the revised DA rate will apply retrospectively from January 1, 2023. The allowance has now been raised from the existing 26.39 percent to 30.03 percent of the basic salary. This significant increase will not only boost current monthly earnings for government employees but will also enhance the pensions of retired staff through a corresponding hike in Dearness Relief (DR), which has also been increased from 26.39 percent to 30.03 percent of the basic pension.
In addition, the government has clarified that fresh orders will be issued after six months for any pending DA and DR revisions from July 1, 2023.
Arrears Payment Plan: 28 Installments for Retired Employees
One of the key aspects of this DA revision is the structured payment of arrears. The DA hike covers dues from January 2023 through to 2025, and the arrears for retired employees will be disbursed in 28 installments — offering consistent financial relief.
For employees under the Contributory Pension Scheme (CPS), 10 percent of the DA arrears will be directly credited to their PRAN accounts, with the remaining 90 percent to be paid out in installments along with their June salary. This approach not only ensures future savings but also provides immediate monetary support.
Who Will Benefit from the DA Hike?
The scope of this DA increase goes beyond core state government employees. The following groups will also benefit from this revised allowance:
Employees of Zilla Parishads, Mandal Parishads, and Gram Panchayats
Staff of Municipalities and Municipal Corporations
Employees of Agricultural Market Committees
Personnel working at District Headquarters Institutions
Teaching and non-teaching staff of aided institutions, including aided polytechnics, who are drawing regular pay under the 2020 revised pay scales
Boost to Household Budgets
The increase in DA comes at a crucial time when inflationary pressures continue to affect household budgets. With this move, the Telangana government aims to provide tangible financial relief to thousands of families dependent on state payrolls and pensions.
The decision demonstrates the government’s commitment to supporting its employees and pensioners, ensuring their incomes keep pace with rising costs of living.
Conclusion
With this substantial 3.4 percent DA hike and a well-structured arrears payment mechanism in place, government staff and pensioners in Telangana can look forward to increased financial stability. The latest directive from the Finance Department reinforces the state’s proactive approach in addressing employee welfare and maintaining trust with its workforce.
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- My name is Kuldeep Singh Chundawat. I am an experienced content writer with several years of expertise in the field. Currently, I contribute to Daily Kiran, creating engaging and informative content across a variety of categories including technology, health, travel, education, and automobiles. My goal is to deliver accurate, insightful, and captivating information through my words to help readers stay informed and empowered.
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