Dearness Allowance hike news: Kerala increases DA, DR by 10% for employees, pensioners

Bringing cheer to lakhs of families across the state, the Kerala government has announced a significant hike in Dearness Allowance (DA), increasing it from 25 per cent to 35 per cent, PTI reported.

The decision, which will benefit state government employees, teachers, aided institution staff, and pensioners, is expected to provide much-needed relief amid rising living costs. The enhanced allowance will be reflected in the March salary, while pensioners will receive the revised Dearness Relief (DR) with their April pension, as per the government order.

Kerala DA hike: For employees

The enhanced 35 per cent DA will apply to state government and local body employees, teachers, and staff of aided schools, colleges, and polytechnics.

Full-time contingent employees will also receive the hike, with the increased amount to be disbursed along with the March salary.

The revised DA applies to part-time teachers, part-time contingent employees, and re-employed pensioners based on their pay.

Employees of state Public Sector Undertakings, statutory corporations, autonomous bodies, boards, and grant-in-aid institutions that follow the state DA pattern are also eligible, subject to conditions. These organisations may release the increased DA depending on their financial capacity and approval from their respective governing bodies.

However, the order clarified that the hike does not apply to the Kerala State Electricity Board and the Kerala State Road Transport Corporation, which will issue separate orders regarding DA.

“Such organisations should follow existing practices, including obtaining prior government approval, if any, while sanctioning DA and DR to employees and pensioners,” it said.

Kerala DR hike: For pensioners

A similar 10 per cent increase has been approved for Dearness Relief (DR) for state service pensioners, family pensioners, ex-gratia pensioners, and ex-gratia family pensioners.

The enhanced DR will be paid along with the April pension.

Organisations where more than 90 per cent of salary or pension expenditure is funded through government grants may release the revised DR without prior government approval, provided their governing body grants consent. In other cases, prior government approval will be required.

A separate order regarding DA and DR arrears is expected to be issued soon.