Government have issued orders revising the Dearness Allowance to State Government Employees and Dearness Relief to State Service Pensioners/Family Pensioners with effect from 01/01/2017.
Salary : -
The rate of Dearness Allowance payable in respect of State Government Employees, Teachers, Staff of Aided Schools, Private Colleges and Polytechnics, Full time Employees borne on the contingent and work charged establishments and employees of Local Bodies will be enhanced from the existing rate of 12 % to 14 % w.e.f . 1.1.2017
The Dearness Allowance payable in respect of those employees continuing in the per-revised scale of G.O(P) No.85/2011/Fin dated 26/02/2011 will be enhanced from the existing rate of 104% to 108% w.e.f. 1.1.2017.
The Dearness Allowance at the enhanced rates will be paid in cash with the salary for the month of April 2017 onwards. The arrears for the period from 01.01.2017 to 31.03.2017 will be drawn and credited to the Provident Fund Account of the employees along with the salary bill for any of the months from April 2017 onwards.
No withdrawal other than final withdrawal of arrears of Dearness Allowance credited to Provident Fund Account shall be made before 01.01.2022 or retirement, whichever is earlier and is applicable. The enhanced rate of Dearness Allowance will also be applicable to Part-time and Part-time contingent employees on the basis of pay drawn by them.
Pension :-
The Dearness Relief payable to State Service Pensioners and Family Pensioners (whose pension/family pension has been revised as per G.O.(p) No.9/2016 fin, dated 20.01.2016) will be enhanced from the existing rate of 12% to 14 % with effect from 1.1.2017
The enhanced rate of Dearness Relief due from 01.01.2016 will be paid along with the pension for May 2017 and arrears from January 2017 to March 2017 will be released in cash along with the pension for May 2017.