The Central Government has issued a clarification regarding the payment of dearness relief, removing the doubts of its retired employees. In this information issued by the Pension Department, it has been said that the dearness relief will be paid to the pensioners on the basis of their old basic pension and not on the reduced pension after commutation.
New Delhi. The central government has given big news for 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 on the basis of old and original basic pension. The concerned department has also issued an office memorandum in this regard.
What is in the explanation
The Pensioners’ Welfare 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 has been reduced after commutation on pension. On this, the department 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. After deduction of commuted pension, dearness relief is not being paid on pension.
With this clarification, the department has cleared the dilemma of pensioners that dearness relief is paid to them on the basis of original basic pension and not on the basis of reduced pension after commutation.
Why get dearness relief
Under sub-rule 52 of the Pension Rules 2021, pension relief is paid to retired employees for relief amid rising inflation. This amount is given to the pensioner or his beneficiary. The government announces the increase every half year and at the time of increasing the DA for the employees, the DR is announced for the retired employees.
DR is now 38 percent
Under the 7th Pay Commission, the central government has recently increased the dearness allowance of its employees to 38 percent, while the dearness relief of pensioners in the same proportion has increased to 38 percent. For pensioners, this dearness relief will be calculated on the basis of basic pension before commutation. This dearness relief of 38 percent has been implemented from July 1, 2022. Last month, the government had increased the DA and DR by 4 per cent in one lump sum.