7th Pay Commission: These pensioners are eligible for increased DR – check details here

7th Pay Commission: These pensioners are eligible for increased DR, check details here




The central government has announced a hike in the Dearness Allowance (DA) of its employees and Dearness Relief (DR) of pensioners with effect from July 01, 2021. These allowances will see an 11 per cent hike and have now reached 28% from earlier 17% of basic pay/pension.




As per the Office Memorandum (OM) shared by the Ministry of Personnel, Public Grievance & Pensions’ Department of Pension & Pensioners’ Welfare on Thursday, the Dearness Relief (DR) admissible to Central Government pensioners/family pensioners shall be enhanced from the existing rate of 17 per cent to 28 per cent of the basic pension/ family pension (including additional pension/ family pension) with effect from July 1, 2021.


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The notification says that these rates will apply to Civilian Central Government Pensioners/ Family Pensioners including Central Government absorbed pensioners in PSU/ Autonomous Bodies. Orders have been issued for restoration of full pension after the expiry of commutation period of 15 years, it adds.


The will also be applicable to the Armed Forces pensioners/ family Pensioners and Civilian Pensioners/ Family Pensioners paid out of the Defence Service Estimates, All India Services Pensioners/ Family Pensioners, Railway Pensioners/ Family Pensioners, Pensioners who are in receipt of a provisional pension, The Burma Civilian Pensioners/ Family Pensioners and displaced Pensioners/ Family Pensioners from Pakistan.


The OM further adds that the payment of Dearness Relief involving a fraction of a rupee shall be rounded off to the next highest rupee. Other provisions governing the grant of Dearness Relief in respect of employed family pensioners and re-employed Central Government pensioners will be regulated in accordance with the provisions contained in the OM dated July 7, 1999 as amended from time to time. The provisions related to the regulation of Dearness Relief where a pensioner is in receipt of more than one pension will remain unchanged.



It further mentioned that in the case of retired Judges of the Supreme Court and High Courts, necessary orders will be issued by the Department of Justice separately. It will be the responsibility of the pension disbursing authorities, including the nationalised banks, etc. to calculate the quantum of Dearness Relief payment in each individual case.


The office of Accountant General and authorised Pension Disbursing Banks are requested to arrange payment of Dearness Relief to pensioners/ Family Pensioners on the basis of these instructions without waiting for any further instructions from the Comptroller and Auditor General of India and the Reserve Bank of India, the OM added.

In the application to the persons belonging to the Indian Audit and Accounts Department, these orders are issued after consultation with the Comptroller and Auditor General of India, the OM said.


It may be recalled that in wake of the coronavirus pandemic, the Narendra Modi led government had frozen the three additional installments of the DA and DR which were due from January 1, 2020, July 1, 2020, and January 1, 2021.



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