UPA II Govt hikes DA to 100% for Central Govt Employees and Pensioners Friday Feb 28,2014

  The UPA II Govt on Friday Feb 28,2014 raised Dearness Allowance(D.A.) to 100% from 90 % benefiting its 50 lakh employees and 30 lakh pensioner  The UPA II Govt had announced a hike of 10% to 90 % in September 2013 effective from July 1, 2013. 

      
The decision to hike DA for its employees, and to provide dearness relief for pensioners, by 10 per cent to 100 % was taken by the  Union Cabinet in its meeting held in New Delhi    

                                                                 .The increased DA and DR, which will benefit 50 lakh employees and 30 lakh pensioners and family pensioners, will be given with retrospective effect from January 1,2014 in cash, but not before the disbursement of March salary. The decision to increase the amount will cost Rs. 11,074.8 crore a year and Rs. 12,920.6 crore for 14 months from January 2014 to February 2015  
As per practice, the government uses Consumer Price Index — Industrial Workers data of the past 12 months to arrive at a quantum for the purpose of any DA hike. Thus, the retail inflation for industrial workers between January 1 to December 31, 2013 was used to take a final call on the matter.

According to the provisional data released by government on January 31, the retail inflation for factory workers in December was 9.13 %