5 per cent increase in Dearness Allowance of PSU employees

New Delhi, July 16 : The government has increased the Dearness Allowance for employees of the Central Public Sector Enterprises (CPSEs) by five per cent.

The CSPE employees, pursuant to a notification issued by the government, would get Iindustrial Dearness Allowance (IDA) at 84.4 per cent of basic pay with effect from July 1.

Earlier, the employees and workers of the CPSEs were getting an IDA of 79.4 per cent of the basic pay, which came into effect on April 1.

According to a Standing Conference of Public Enterprises (SCOPE) official, the decision would benefit all board level executives, below board level officers, employees and workers of the central PSUs.

The government revises the IDA for the PSU staff every quarter depending upon the movement of the Consumer Price Index (CPI) with a view to compensating them for the rising cost of living.

The hike in IDA would provide some relief to the CPSE staff, reeling under the spate of rapidly rising inflation, which is nearing a 13-year high mark of 12 per cent.

The next instalment of the IDA would become due on October 1 this year.

ANI