HRA Hike Latest News | Another gift to central employees after DA increase | HRA increased by 3 percent
7th Pay Commission HRA Hike – (The Karbhari News Service) – There was good news for central employees on Thursday. In a meeting held before Holi, the Cabinet announced a 4 percent hike in the dearness allowance (DA Hike) of central employees. Along with this, a 3 percent increase in their House Rent Allowance (HRA) has also been announced. Now the HRA for X category employees will increase from 27 percent to a maximum of 30 percent. This hike in HRA will put a burden of Rs 9,000 crore on the government. (7th Pay Commission HRA Update)
What will be the HRA for which city?
1. In Class X-
Delhi, Ahmedabad, Bengaluru, Mumbai, Pune, Chennai and Kolkata have been placed in X category. Employees working here get 27% HRA of their basic salary. After an increase of 3 percent, it will be 30 percent.
2. In category Y-
Patna, Lucknow, Visakhapatnam, Guntur, Vijayawada, Guwahati, Chandigarh, Raipur, Rajkot, Jamnagar, Vadodara, Surat, Faridabad, Ghaziabad, Gurgaon, Noida, Ranchi, Jammu, Srinagar, Gwalior, Indore, Bhopal, Jabalpur, Ujjain, Kolhapur, Aurangabad, Nagpur, Sangli, Solapur, Nashik, Nanded, Bhiwadi, Amravati, Cuttack, Bhubaneswar, Rourkela, Amritsar, Jalandhar, Ludhiana, Bikaner, Jaipur, Jodhpur, Kota, Ajmer, Moradabad, Meerut, Bareilly, Aligarh, Agra, Lucknow, The cities are Kanpur, Allahabad, Gorakhpur, Firozabad, Jhansi, Varanasi, Saharanpur. Resident employees get HRA of 18 percent of basic pay. After a 3 percent increase, it will be 20 percent.
3. In Z category-
All cities other than X and Y category cities have been placed in Z category. Employees working in these cities get HRA of 9 percent of basic pay. After an increase of 1 percent, it will be 10 percent.
How HRA of employees will increase?
On Thursday, the cabinet also announced revisions in house rent allowance. The current rate of HRA has also been increased from 27 percent to 30 percent after the dearness allowance has been increased to 50 percent. It will be for employees falling in category X. In the second category i.e. Y, the repetition will be 2 percent. Its current level of 18% will be increased to 20%. After this the employees in Z category will get 10% HRA increased by 1 percent.
DA also increased
The Union Cabinet on Thursday approved the increase in Dearness Allowance (DA). The Cabinet has approved a 4% hike in DA. Now employees will get 50% dearness allowance. This Dearness Allowance will be applicable from January 1, 2024. It will be credited with salary at the end of March. A total of two months of arrears will also be added to this. For the fourth time in a row, inflation allowance has been increased by 4 percent.