7th Pay Commission News: Gujarat, Tamil Nadu employees, pensioners get I-Day gift; 3% DA hike, other benefits announced

The 76th Independence Day has brought along with it some good news for the government employees of Tamil Nadu and Gujarat with both the state governments announcing a three per cent hike in dearness allowance, along with other benefits. 

The decision of DA hike by the state governments comes even as the Centre is yet to announce the much-awaited hike in dearness allowance, which was expected last month. 

The dearness allowance is hiked twice every year - January and July. According to media reports, the dearness allowance is expected to rise by 4 per cent this time to offset the impact of inflation. 

Gujarat CM announces 3 per cent DA hike

Gujarat Chief Minister Bhupendra Patel on Monday announced a three per cent hike in dearness allowance for government employees, along with expansion of welfare schemes under the National Food Security Act (NFSA). 

He announced a three per cent increase in the DA for Gujarat government employees under the 7th Pay Commission, with retrospective effect from January 1, 2022.

Over 9 lakh employees of the state government, panchayat service and pensioners will benefit from the move due to which the state government's financial burden will go up by about Rs 1,400 crore annually.

Patel also announced the expansion of the one-kg gram (pulses) per card per family scheme for the NFSA card holders, and widening the income limit eligibility criteria for inclusion of beneficiaries under the Act.

He said 71 lakh NFSA card holders from all 250 talukas of the state will be given one kg gram (pulses) per card per month at a concessional rate. At present, only the people from 50 developing talukas are getting benefit of the scheme.

The existing eligibility criteria of income limit per month for inclusion under the NFSA has been increased to Rs 15,000 from Rs 10,000, he said.

Tamil Nadu CM announces DA hike for govt employees and pensioners

Making the announcement of 3 per cent hike in dearness allowance, Tamil Nadu Chief Minister M K Stalin said that on a par with the Central government, the DA for state government employees, pensioners and family pensioners would be increased to 34 per cent from 31 per cent effective July 1, 2022.  

This would benefit 16 lakh employees and entail an additional expenditure of Rs 1,947.60 crore, he said.

Stalin announced a hike in pension for freedom fighters from Rs 18,000 per month to Rs 20,000 per month and family pension and special pension to descendants of iconic leaders of the freedom movement from Rs 9,000 to Rs 10,000.