DA of Central Govt. Employees would rise by 6%

Central Government may increase Dearness Allowance (DA) by 6% so that the allowance reaches 51% as per estimation. This would ultimately benefit 50 lakh employees and 38 lakh pensioners. Currently Government provides 45% of basic salary as Dearness Allowance. Today there is a strong probability that Central cabinet would sit and may take a decision on increasing DA. The New DA would have a retrospective effect from 1st January, 2011 and this would imply on both central govt. employees and pensioners. According to the formula of 6th pay commission, DA is calculated to a 6% rise. Two times in a year i.e. on 1st January and 1st July, the DA is changed.