In a major development, Tamil Nadu's Chief Minister, MK Stalin, announced a substantial 4% increment in dearness allowance (DA) for the state's vast constituency of approximately 16 lakh government employees, educators, and pensioners. This increment will come into effect from July 1, marking a positive shift for these beneficiaries.
The state government's decision to raise the DA by 4% has been greeted with enthusiasm, as it pushes the allowance from the existing 42% to a more lucrative 46%, bringing it on par with the allowances granted to their counterparts in the central government. This adjustment in DA will have a retrospective application, with the changes being applicable from July 1, 2023.
This augmentation in DA is set to significantly benefit around 16 lakh government employees and educators, translating into an additional expenditure of Rs. 2,546 crore for the state exchequer. Chief Minister MK Stalin, in his announcement regarding the DA hike, emphasized the government's commitment to fulfilling promises and addressing various demands of government officials and educators, all in the midst of considerable financial challenges and the debt burden inherited from the previous administration.
Notably, the Tamil Nadu government's decision to increase DA by 4% closely follows a similar move by the central government, which also implemented a 4% increment, pushing the DA for central government employees and pensioners from 42% to 46%. This synchronized decision at the state and central levels is set to benefit a substantial number of employees and pensioners, with 48.67 lakh central government employees and 67.95 lakh pensioners anticipated to gain from this adjustment.
Odisha Government Announces 4% Dearness Allowance Hike Ahead of Festive Season
