7th Pay Commission: The Central Government has cleared the doubts related to inflation to its retired employees. The Pension Department said that dearness relief will be paid to the pensioners on the basis of their old basic pension.
7th Pay Commission: The central government has given big news to the pensioners. The government has issued a clarification regarding Dearness Relief (DR). The Pensioners and Welfare Department, which comes under the Ministry of Personnel, has said that those who have retired. Dearness allowance will be paid to them on the basis of old and original basic pension. The department has also issued an office memorandum in this matter.
Government gave clarification
The department has said that many questions had come to it. In which it was asked whether Dearness Allowance is being given on basic pension or is it reduced after commutation on pension. On this, the department has clearly said that dearness relief is given on the basic pension before commutation or on the basic pension before commutation based on the recommendations of the Pay Commission.
Dearness Relief is not being paid on pension after deduction of commuted pension. Overall, the department has removed the dilemma of pensioners. Dearness relief to retired employees is paid on the basis of original basic pension. Dearness relief is not being given on the basis of reduced pension after commutation.
Retired employees get DR
Increasing dearness relief is given to retired employees under the Pension Rules 2021. This money is given to the retired employee or his beneficiary receiving the pension. The government announces its increase every half yearly. In such a situation, at which time the DA increases to the employees. At the same time their DR is also announced.
Getting 38% DR
Under the 7th Pay Commission, the central government has recently increased the dearness allowance of its employees to 38 percent. Whereas in the same proportion, dearness relief to pensioners has increased to 38 percent. The dearness relief for pensionable employees will be calculated on the basis of basic pension before commutation. This dearness relief of 38 per cent is applicable from July 1, 2022.
