State Government Employees’ Dearness Allowance Increased by 4%, Effective January 2024

The state government has announced an increase in the Dearness Allowance (DA) for its employees, much to the delight of many who had been waiting for this decision. As of the first day of October, the state government has officially declared a 4% increase in the Dearness Allowance for its employees. This increase comes as a relief for state government employees who have been anticipating a hike in their DA for some time now.

State Government Increases Dearness Allowance

In an official statement released on Tuesday, Sikkim’s Chief Secretary, V.B. Pathak, announced that the state government would raise the DA by 4% for its employees. Additionally, the same 4% increase in Dearness Relief (DR) has been applied for pensioners. This adjustment will be effective starting from January 1, 2024. The announcement, made just in time for the festive season, has been warmly received by the state employees, who view this as a positive step.

Previously, Sikkim’s state government employees were receiving a DA of 46%. With this 4% increase, the total DA will now rise to 50%. This adjustment eliminates the gap between the dearness allowances given to central and state government employees, bringing parity between the two.

Impact on Central Government Employees

Meanwhile, central government employees are also expecting a DA hike soon. Reports suggest that a second increase in DA for the year 2023 is expected in October, following the earlier hike in July. Sources speculate that the increase could be around 3-4%, with 3% being the more likely figure. If confirmed, this would result in a substantial salary increase for central government employees, who will also receive arrears starting from July 1, 2023.

Annual Adjustments in Dearness Allowance

According to government policies, the central government revises the DA twice a year for its employees, typically in January and July. While central government employees continue to receive regular updates on their DA, West Bengal’s state government employees are still waiting for additional announcements regarding a DA increase during the festive season. The last DA increase for them was in April 2024, when it was raised by 4%. Currently, these employees are receiving a DA of 14% under the Sixth Pay Commission.

This recent DA hike for state employees brings some financial relief, especially in light of rising inflation and increased living costs. The government’s decision to align the state DA with that of the central government’s allowance ensures equitable treatment for employees across sectors.