The Gujarat government has announced to hike dearness allowance (DA) for its employees with effect from January this year.
Bringing it at par with the last increment given by the Central government in February, the state government has raised the bar up to 80 per cent. So far, the DA for state government employees was 72 per cent.
"It will be implemented from this month itself. Arrears in cash will be paid with this month's salary", said government spokesperson and Finance Minister Nitin Patel, making the announcement after the Cabinet meeting on Wednesday.
There are 4.86 lakh government employees in the state. The new slab will also be effective for 3.75 lakh pensioners.
This will cost Rs 1,036 crore to the state exchequer per annum. The government had announced to increase DA to quell protest by agitating employees from across the state.
The annual revenue of government from taxes is around Rs 50,000 crore, including around Rs 40,000 crore from VAT alone. Against it, the government would now spend nearly Rs 22,000 crore annually only on salary of its employees. For the financial year 2012-2013, the government paid over Rs 20,000 crore as salary to its employees.
Bringing it at par with the last increment given by the Central government in February, the state government has raised the bar up to 80 per cent. So far, the DA for state government employees was 72 per cent.
"It will be implemented from this month itself. Arrears in cash will be paid with this month's salary", said government spokesperson and Finance Minister Nitin Patel, making the announcement after the Cabinet meeting on Wednesday.
There are 4.86 lakh government employees in the state. The new slab will also be effective for 3.75 lakh pensioners.
This will cost Rs 1,036 crore to the state exchequer per annum. The government had announced to increase DA to quell protest by agitating employees from across the state.
The annual revenue of government from taxes is around Rs 50,000 crore, including around Rs 40,000 crore from VAT alone. Against it, the government would now spend nearly Rs 22,000 crore annually only on salary of its employees. For the financial year 2012-2013, the government paid over Rs 20,000 crore as salary to its employees.
No comments :
Post a Comment