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This central government pensioner will benefit from 7th Pay Commission Dearness Relief hike

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Dearness Relief (DR) to central government pensioners, family pensioners is increased by 3 percent to 34 percent, with effect from January 1, 2022, according to the Department of Pension & Pensioners’ Welfare (DoPPW).

DoPPW issued an order increasing Dearness Relief for Central Government Pensioners.

In a tweet, the department stated that family pensioners will now be entitled to the basic pension and family pension effective January 1, 2022.

Dearness Relief is available on your original basic pension, before you commute.

The union Cabinet approved last week the release of Dearness Allowance to central government workers and Dearness Relief for pensioners. This represents an increase of 3 per cent over the current rate of 31 percent on the basic pay.

This increase follows the 7th Central Pay Commission’s recommendations. The additional instalment will take effect on January 1, 2012.

According to the office memorandum dated April 5, 2022, “The undersigned is directed to refer to this Department’s OM No. 42/7/2021 – P&PW(D) dated 27. 10.2021 to discuss the above mentioned subject and to say that the President is happy to determine that Dearness Relief, which is available to Central Government pensioners/family-pensioners, be increased from the current rate of 31% up to 34% effective 01.01.2022.

Thèse rates of DR will be applicable to the following categories:-

Family Pensioners and Civilian Central Government Pensioners/Family pensioners, including Central Govt. Intake pensioners in PSU/Autonomous Bodies for whom orders have been issued by this Department’s OM Number. 4/34/2002-P&PW(D)Vol.II dated 23.06.201 7 for restoration of full pension after expiry of commutation period of 15 years.

The Armed Forces Pensioners, Civilian Pensioners, and the Defence Service Estimates.

• All India Service Pensioners

• Railway Pensioners/family pensioners

• Pensioners who are in receipt of provisional pension

• The Burma Civilian pensioners/family pensioners and pensioners/families of displaced Government Pensioners from Burma/ Pakistan, in respect of whom orders have been issued vide this Department’s OM No. 23/3/2008-P&PW(B) dated 1 1.09.2017.

According to the Pensioner’s Portal website, “DR is normally declared twice a year during the months of March & September. So in the months of January & February, DR on Pension/Family Pension will be calculated according to the DR Rates available for the month of December of the previous year. Similarly, for the month of July & August, DR will be calculated w.r.t. DR rates available for the month of June.”

The disbursing authorities will disburse arrears of DR from January and February as well as July, August and August in April and October respectively.

In March, it was announced that the dearness allowance component of central government employees’ salaries has been hiked. The notification states that the DA has increased by 3% to 34%, from 31% before. This increase will take effect January 1, 2022.

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