Jaipur: The state government on Thursday announced 7% hike in the Dearness Allowance (D.A.) of the State Government employees with effect from July 1st, 2012. D.A. hike would also be applicable for the work charge employees and the employees of the Panchayat Samitis & Zila Parishads.

The prevailing D.A. which is 65 percent will now be 72 percent of the basic pay and it will be at par with the D.A. of the Central Government employees i.e. 72%.
The Arrears on account of the increased D.A. from 1st July, 2012 to 30th September, 2012 would be credited in the GPF accounts of the employees while hiked D.A. would be paid in cash from October 1st, 2012.

The state government has also increased the Dearness Relief (D.R.) for pensioners by 7% and it would be 72 percent of the basic pension from July 1st, 2012. The increased D.R. would be paid to the pensioners and family pensioners in cash.

The hike in D.A. would cost the state exchequer Rs. 875 crore additional annually. Nearly 7 lakh employees and 3 lakh pensioners would be benefitted by this decision of the state government.