Sikkim raises DA and DR for government staff and pensioners by up to 5%, effective January 1

The Sikkim government has increased the dearness allowance (DA) and dearness relief (DR) for its employees and pensioners. The decision comes as the festive season approaches, and employees had been awaiting it eagerly. According to a circular issued by the Finance Department, the revised rates will apply from January 1.

All employees and pensioners drawing salary or pension under the various pay scales will benefit. For those on the old pay scales, the DA and DR have been raised by 5%.

For those drawing salary or pension on the pre-revised basic pay, the rate has gone from 257% to 262%. For those on the revised basic pay, the DA and DR have been raised from 58% to 60%. Both revised rates apply from January 1.

Some other categories of staff will also benefit. Contractual employees and work-charged employees who draw revised pay according to the pay scales applicable to regular government employees will also get the new DA rate.

The DA of All India Services (AIS) officers working in the state has also been raised. Under the pay structure of the old Sixth Pay Commission, it has gone from 257% to 262%. Under the Seventh Pay Commission, it has been raised from 58% to 60%.

The government has also clarified the rules for calculating DA and DR. If the calculated increase includes a fraction of 50 paise or more, it will be rounded up to the next full rupee. Any amount below 50 paise will be dropped.

About 50,000 employees and pensioners are expected to benefit from the decision. According to the government, the aim of raising DA and DR is to reduce the effect of inflation on employees' salaries and pensions. Once the new rates take effect from January 1, employees and pensioners will be paid at the higher rates.