Government hikes DA for employees

HYDERABAD: The state government has announced a 5.99 percent increase in Dearness Allowance (DA) for government employees in retrospective effect from July 2011. The decision was taken by the state Cabinet at a meeting on Monday under the chairmanship of chief minister N Kiran Kumar Reddy.The decision will benefit lakhs of employees working in various government departments in the state.Speaking to reporters after the cabinet meeting, minister for information and public relations D K Aruna said that the arrears from the enhanced DA from November 2011 would be paid in cash while the arrears from July to October, 2011, will be deposited in GPF accounts of the employees. The contract workers and pensioners will get the entire amount in cash. This hike will cost the state exchequer a Rs 6,015 crore, she added. In the meeting, the Cabinet also approved the creation of a State Innovation Council comprising nine members to foster continuous innovation in the government and approved the establishment of 15 marine police stations in the coastal districts.