New Delhi: More good news for the Central government employee as the Centre has revised the House Rent Allowance (HRA). The HRA has apparently been increased to 27 per cent. The revised HRA will be provided to the central government employees from August. This has come the central government increased DA for central government employees and DR for pensioners, as per ZEE News report.
7th Pay Commission Latest News, Salary, DA, DR, HRA Hike Update
- The HRA is considered as an essential component of the salary of an employee. HRA has been increased because the DA has revised to over 25 per cent of the basic pay, as per ZEE News report.
- Notably, HRA amount differs from city to city. The central government employees will get revised HRA based on their city. The cities have been divided into three segments. These segments are X, Y, and Z, as per the Zee News report.
- Following the revision, HRA applicable for X city will be revised to 27 per cent of basic pay, for Y category will be 18 per cent and for Z category cities HRA will be 9 per cent, according to the Zee News report.
- Last week, the central government increased Dearness Allowance (DA) to the central government employees and Dearness Relief (DR) to pensioners from the rate of 17 per cent to 28 per cent of the Basic Pay or Pension with an effect from July 1, 2021.
- Around 48.34 lakh central government employees and 65.26 lakh pensioners will be directly benefitted from restoration of DA and DR, the Ministry of Finance stated.
- The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be of the order of Rs 34,401.84 crore per annum and Rs 22,934.56 crore in the financial year 2021-22 (for a period of 08 months from July, 2021 to February, 2022), as per PTI report.
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