Freezing of Dearness Allowance and Dearness Relief – Finmin Orders 2020
Department of Expenditure under the Finance Ministry has published an important order regarding the decision taken on the subject of Dearness Allowance and Dearness Relief to Central Government employees and pensioners.
In view of the crisis arising out of COVID 19, the Central Govt has decided that the no additional Dearness Allowance and Dearness Relief to Central Govt employees and pensioners respectively from 1.1.2020.
ALSO CHECK: DA Loss Calculation Table for Central Government Employees
However, the order said the DA and DR will be paid at current rates and the dues will be restored prospectively and will be subsumed in the cumulative revised rate effective from 1st July 2021.
No DA and DR arrears will be paid from January 2020 to June 2021.
Freezing of DA and DR till June 2021 – The existing rate (17%) will continue to be paid to all Central Government employees and pensioners up to June 2021.
No.1/1/2020-E.II(B)
Government of India
Ministry of Finance
Department of Expenditure
North Block, New Delhi
Dated the 23rd April 2020
OFFICE MEMORANDUM
Subject: Freezing of Dearness Allowance to Central Government employees and Dearness Relief to Central Government pensioners at current rates till July 2021.
The undersigned is directed to say that in view of the crisis arising out of COVID-19, has been decided that the additional installment of Dearness Allowance payable to Central Government employees and Dearness Relief to Central Government pensioners, due from 1st January 2020 shall not be paid. The additional installments of Dearness Allowance and Dearness Relief due from 1st July 2020 and 1st January 2021 shall also not be paid. However, Dearness Allowance and Dearness Relief at current rates will continue to be paid,
2. As and when the decision to release the future installment of Dearness Allowance and Dearness Relief due from 1st July 2021 is taken by the Government, the rates of Dearness Allowance and Dearness Relief as effective from 1st January 2020, 1st July 2020 and 1st January 2021 will be restored prospectively and Will be subsumed in the cumulative revised rate effective from 1st July 2021. No arrears for the period from 1st January 2020 till 30th June 2021 shall be paid.
3 These orders shall be applicable to all Central Government employees and Central Government pensioners.
sd/-
(Annie George Mathew)
Additional Secretary to the Government of India
Click to view (Hindi Version): Freezing of Dearness Allowance and Dearness Relief till July 2021 pdf download
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Very bad decision for govt. employees.