In a move that will bring cheer to government employees and pensioners in Uttar Pradesh, the state government is likely to announce a 4% increase in the dearness allowance (DA) just before the Diwali festival. This hike will benefit approximately 15 lakh government employees and 8 lakh pensioners across the state. The increase comes as part of the government’s efforts to provide financial support to its employees ahead of the festive season. Read: Diwali Gift for Govt Employees! 7th Pay Commission DA Hike may be announced before Diwali.
Dearness Allowance Hike: What to Expect
The 4% hike in DA is expected to follow a similar announcement from the central government, which is anticipated to declare its DA increase by the end of September or in the first week of October. Chief Minister Yogi Adityanath is likely to finalize the state’s DA hike after the central government’s announcement. This move is expected to place a financial burden of Rs 3,000 crore on the state government’s budget. However, it will also provide significant financial relief to around 8 lakh employees, boosting their incomes at a crucial time.
Bonuses for Non-Gazetted Employees
In addition to the DA increase, the state government is also expected to announce bonuses for non-gazetted employees. These bonuses will be calculated based on the employees’ basic salary and their DA components. Last year, employees received bonuses that amounted to nearly Rs 7,000, and this year’s bonus amount is projected to be slightly higher. Read: Diwali Gift for Govt Employees! 7th Pay Commission DA Hike may be announced before Diwali.
Unions Push for 8th Pay Commission
Although several employee unions have been pushing for the formation of the 8th Pay Commission, the state government has not yet considered any proposal regarding this. In July 2024, Minister of State for Finance Pankaj Chaudhary addressed the Rajya Sabha and confirmed that two requests had been made for the establishment of the 8th Central Pay Commission. However, no formal review or proposal is currently in place.
This 4% DA hike and the likely bonus declaration are expected to bring substantial financial support to government employees and pensioners in Uttar Pradesh, just in time for the festival of Diwali.
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