Tribune News Service

Chandigarh, December 11
Punjab government today increased dearness allowance of employees, pensioners and employees of private- aided institutions from 47 per cent to 54 per cent of basic pay plus dearness pay from July 1, 2008.

Manpreet Singh Badal, finance minister said today in case of employees, the amount of enhanced dearness allowance due from July 1 to December 31 would be credited to the General Provident Fund accounts of the employees. From January 1, 2009 enhanced dearness allowance would be paid in cash.

In case of pensioners amount on account of enhanced dearness allowance would be paid in cash from July 1, 2008. The finance minister said payment of DA would lead to annual burden of Rs 315.09 crore on the exchequer.. The burden of Rs 225.06 crore would on account of payment to employees, Rs 33.76 crore on account of employees of private- aided institutions and Rs 56.27 crore due to pensioners.

The minister added in the case of the employees appointed on or after January 1, 2004 under the news restructured defined Contributory Pension Scheme and have not yet opened their accounts under Tier-II of the scheme, the department would purchase National Saving Certificate/ Kissan Vikas Patras from Post Offices in the state of Punjab with the amount of arrears on account of enhanced DA in the names of such employees.