According to sources, on November 22, the Bihar administration led by Nitish Kumar increased the dearness relief (DR) for pensioners and the dearness allowance (DA) for state government workers by 4%. According to reports, the chief minister made the decision during today’s cabinet meeting.
Currently, state government employees are entitled to a 42 percent differential allowance under the 7th Pay Commission. The most recent ruling would increase the important allowance to 46 percent.
According to Live Hindustan, the enhanced DA would be implemented together with the paychecks that are scheduled to be credited in December. The report further stated that the employees will receive a four-month payment for any arrears.
According to the article, the increase in DA will take effect on July 1, 2023, meaning that employees will be eligible for arrears for the months of July through October.
Over 4.5 lakh state government employees in Bihar would profit from the decision to boost the DA, while over 6 lakh state pensioners would gain from the decision to raise the DR.
The Bihar government is the most recent attempt to raise employee deferment (DA). A number of state governments had already increased the DA and the DR for retirees. This was consistent with the October decision made by the Center to increase DA for central government by 4%.
During the holiday season of Dussehra and Diwali, Assam, Arunachal Pradesh, Karnataka, Chandigarh, Uttar Pradesh, and Tamil Nadu are some of the states and union territories that increased the DA and DR.
Notably, one way to counteract the effects of inflation is to include a DA component in government employee compensation.
