Government enhances DA to its employees

To come effective from June payment

In line with the latest price index, the Andhra Pradesh Government has enhanced dearness allowance to its employees by 2.826 per cent which will come into effect from January 1, 2006. With this increase, the DA is 14.130. According to a press release, the new DA would be paid with the salary for June payable in July and the arrears for January to May be credited to the Provident Fund.

Those employees who are due for retirement before October 1, 2006, the arrears would be paid in cash as they are exempted from contributing to Provident Fund for the last four months of service. The hike in DA is applicable to all categories of employees. Resulting in the hike of DA, the additional burden will b around Rs.180 to 200 crores.

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