Gujarat govt employees, pensioners get 3% DA hike effective July 1: Check arrear payment timeline

In a move that is expected to benefit around nine lakh employees and pensioners, the Gujarat government on Wednesday announced a 3% hike in dearness allowance (DA). With this, the dearness allowance will now be 53% of the basic pay, effective retrospectively from July 1, 2024.

The decision is set to benefit all state government and panchayat employees, teaching and non-teaching staff in secondary and higher secondary schools, and employees of aided non-government schools covered under the 7th Pay Commission.

Arrears for the period from July to November will be disbursed along with the December salary and pension in January 2025, according to a resolution issued by the finance department.

Primary teachers and employees on deputation or transfer to panchayats approved for pay revision under the commission will also receive the benefit with necessary modifications, the resolution said.

"The matter of increasing the DA to state government employees and pensioners from the existing rate of 50 per cent by 3 per cent to 53 per cent with effect from 1-July-2024 was under consideration of the government. After careful consideration, DA is sanctioned at (53% of basic salary)," said the resolution.

The announcement by the Gujarat government is in line with other states and the Centre in periodically adjusting DA to help employees manage inflationary pressures. In October, the Union Cabinet approved a similar 3% hike in DA for central government employees and pensioners.

Before Diwali, Chhattisgarh chief minister Vishnu Deo Sai declared a 4% DA increase for state government employees, raising it to 50%. Similarly, Himachal Pradesh chief minister Sukhvinder Singh Sukhu announced a 4% DA hike for state employees and pensioners on the eve of Dussehra, effective January 1, 2023.

Odisha approved a 4 per cent DA hike for employees of State Public Sector Undertakings (PSUs) under the Revised Scale of Pay, 2017, increasing the DA from 46 per cent to 50 per cent. This increment will take effect from January 1, 2024, and applies to PSUs meeting specific financial and governance criteria.

In Sikkim, a 4% DA hike was announced ahead of Durga Puja for state government employees, raising the DA to 50 % from January 1, 2024. The increase also extends to dearness relief for pensioners and contract-based employees.