The Telangana government has decided to raise the Dearness Allowance (DA) for state employees and pensioners by 3.64%. This announcement brings good news to many. Sandeep Kumar Sultania, the Finance Department’s Principal Secretary, issued G.O. 78 and 79 detailing this change. The new DA rate starts from January 1, 2023.
The current DA of 26.39% will increase to 30.03%. Employees will notice this in their June salaries, paid out in July. DA arrears from January 1, 2023, to May 31, 2025, will go into employees’ General Provident Fund (GPF) accounts.
Retirees will receive their DA arrears in 28 instalments. For those under the Contributory Pension Scheme (CPS), 10% of DA arrears will be added to their PRAN accounts, with the remaining 90% paid in instalments with the June salary.
The increase affects employees on University Grants Commission (UGC) and All India Council for Technical Education (AICTE) pay scales as well, raising their DA from 38% to 42%.
A recent cabinet meeting decided on a two-part DA increase. One part will be given now, and the other in six months. This hike includes staff at district, mandal, gram panchayat levels, municipalities, municipal corporations, agricultural market committees, district library institutions, work-charged establishments, and teaching and non-teaching staff at aided institutions and universities.