The state government on Tuesday issued an order of hiking the Dearness Allowance (DA) for government and aided institutions employees from 24.50% to 27.25% of their basic pay. The hike is with effect from January 1, 2022.

The order issued just days after the Centre also hiked DA for its employees by three percentage points to 31%.

Chief Minister Basavaraj Bommai said the 2.75 percentage points hike will cost the government Rs 1,447 crores annually.

The hike benefits as many as six lakh employees and 4.5 lakh pensioners.
In October 2021, the government had increased the DA from 21.5% of basic pay to 24.5%.