7th Pay Commission Latest News: In a good news for approx 18 lakh Tamil Nadu government employees, E Palaniswami-led government on Monday announced a two per cent hike in Dearness Allowance (DA) for its staffers, which will incur an additional annual expenditure of Rs 1,157 crore. The revision will come into force from  July 1, 2018.

Palaniswami said the state government’s decision to increase the DA from seven per cent to nine per cent with effect from July 1, 2018 followed the Centre earlier approving an additional two per cent DA instalment for its employees.

While announcing the revision,  the CM said that various sections of government employees and pensioners would benefit from the move. “The increase will be in the range of Rs 314 to Rs 4,500 for various government employees and Rs 157 to Rs 2,250 for pensioners and beneficiaries of family pension”, he stated, adding,”DA arrears will be paid for the period July-August 2018, while the revised amount will be paid along with the salary starting September.”

Last week, the Jammu and Kashmir administration had announced an additional two per cent dearness allowance (DA) for its state government employees and pensioners.

On September 12, the state administrative council (SAC), which met under the chairmanship of Governor Satya Pal Malik, sanctioned the release of an additional installment of 2 per cent DA, with effect from July 1 this year over the existing rate of 7 per cent of the basic pay/pension.

The impact on the exchequer would be Rs 118 crore for the current financial year and approximately Rs 177 crore annually, a govt official had said. The enhancement would benefit around 4.50 lakh state government employees and 1.60 lakh pensioners, the official added.

(With inputs from agencies)