Gratuity Limit Increase: The government increased the Dearness Allowance given to central employees in March. Now the dearness allowance of employees has increased from 46 percent to 50 percent. Along with the Dearness Allowance (DA Hike), the Gratuity Hike limit of the employees has also increased. Today we will tell you by what percentage the government has increased the gratuity of the employees.
7th Pay Commission: If anyone in your family has a government job, then you should know that the government has increased the Dearness Allowance of central employees in March.
Now the DA of central employees has increased from 46 percent to 50 percent. With the increase in DA, many allowances have also increased. Apart from this, now the government has also increased the gratuity of the employees.
According to the order of the Ministry of Labor and Employment, Government of India, along with the increase in DA by 50 percent, the government has also increased the limit of retirement and death gratuity (Gratuity Hike) by 25 percent.
The ministry said that the maximum limit of retirement and death gratuity was increased to Rs 25 lakh from the existing Rs 20 lakh from January 1, 2024.
These allowances also increased
Whenever there is an increase in dearness allowance, the rent allowance (HRA) also increases with it. However, HRA is increased according to the category of cities. The government has also increased the HRA of employees falling in the X, Y Z categories of cities.
The Ministry of Personnel has ordered that after DA has become 50 percent, now the limit of hostel subsidy for children’s education has also increased. Both these allowances have increased by 25 percent. Apart from this, the government has also amended the special allowance for child care for disabled women.
The amendments in allowances made by the government have come into effect from January 1, 2024.
What is gratuity? (What is Gratuity)
Gratuity is a kind of reward that an employee receives. When an employee works in a company or institution for more than 5 years, he gets the benefit of gratuity. Along with government employees, private employees have also benefited from the introduction of gratuity by the government.
