In an employee friendly move, the Telangana government on Saturday issued an order, hiking the Dearness Allowance of its workers by more than three per cent with effect from July 1, 2008. The DA has been revised from 27.248 per cent of the basic pay to 30.392 per cent. The hike will also be applicable for pensioners.
"Government hereby orders revision of the Dearness Allowance to the employees of Government of Telangana from 27.248 per cent of the basic pay to 30.392 per cent of basic pay from 1st July, 2018," the statement released by the K Chandrasekhar Rao government read.
The DA at the revised rate shall be paid with the salary of June, 2019 payable on July 1, 2019, it added.
However, the arrears on account of the revision for the period from July 1 2018 to May 31, 2019 will be credited to the General Provident Fund (GPF) accounts of individuals. Therefore, the arrears will not be paid along with the monthly salary of June, 2019.
In respect of the employees due to retire on or before September 30, 2019, the arrears of DA will be drawn and paid in cash. The employees due to retire on superannuation are exempted from making any subscription to the GPF during last four months of their service.
For those who have been appointed to Government service on or after September 01, 2004 and are governed by the Contributory Pension Scheme (CPS), 10 percent of the DA arrears from July 1, 2018 to May 31, 2019 may be claimed in the month of July 2019 and will be credited to the PRAN accounts of the individuals along with Government share. The remaining 90 per cent of DA arrears shall be paid in cash with the salary for the month of June 2019, the order said.
The Full Time Contingent Employees, who are not eligible for GPF accounts, the arrears will be paid in cash with the June salary.