7th pay Commission: The Odisha government has announced a 2 per cent hike in Dearness Allowance (DA) over the existing rate of 7 per cent for the employees of its State-owned public sector undertakings.
The hike will be effective from July 1, 2018.
The announcement of the government to increase 2 per cent DA is seen as a 'Diwali gift' for the employees ahead of the festival of lights.
The employees were given a dearness allowance of 7 per cent which has now been hiked to 9 per cent.
Earlier, DA of Odisha government employees and pensioners were hiked by an additional two percent after a proposal in this regard was approved by the State Chief Minister Naveen Patnaik.
The DA is a cost of living adjustment allowance paid to government employees and also pensioners. It's a component of salary and is counted as a fixed percentage of the basic salary.
On the other hand, the Central government employees are yet to get a further hike in their minimum pay under the 7th pay Commission. While the resentment against the Narendra Modi government is brewing, it is believed that the Modi govt will consider hiking their minimum pay soon.