DA hike: Punjab govt announces 8% increase in dearness allowance for state employees, pensioners — What we know

The Punjab government on Friday announced an 8% increase in dearness allowance for about eight lakh state employees and pensioners, following long drawn protests seeking DA hike among other demands, PTI reported.

The decision was announced on 18 September after Chief Minister Bhagwant Mann and Punjab Ministers Aman Arora and Baljeet Kaur, Chief Secretary KAP Sinha, Secretary General Administration KK Yadav, met with representatives of employee and pensioners’ organisations, it added.

Mann made the announcement on X, saying the meeting was “very positive” adding that the government “understands the responsibilities shouldered by its employees and the pressures they face in their personal and professional lives”.

“A happy employee is a productive employee, and I believe that when an employee works with satisfaction, dignity and peace of mind, the entire system performs better, and the people receive better services… The state government has an open mind towards the genuine demands of employees and pensioners and these issues will be examined sympathetically and in accordance with the applicable rules, financial implications and legal position,” he added.

Punjab announces 8% DA hike: Here’s what we know

Gurnam Singh Virk, president of Punjab State Ministerial Services Union, also said that the enhanced DA will be rolled out from 1 October, and that the government has given assurance that other issues will also be discussed soon.

According to Mann, the DA hike will be rolled out as follows:

• Two instalments of 4% each will be released to employees and pensioners, with the benefit to be reflected in their salaries from 1 October.
• “Ahead of the festive season, this decision will provide additional financial support to thousands of government employees and pensioners and their families,” he added.

Punjab govt, state employees end months of deadlock

In his post on X, the CM stated, “We also discussed long-pending issues inherited from previous governments, including the Old Pension Scheme (OPS), salary during the probation period, and issues concerning ASHA and Mid-Day Meal workers. We will meet again in the first week of October to work towards a permanent resolution of these longstanding issues. There is no distance between our government and employees. We will resolve every issue through mutual dialogue. We will continue to work together for Punjab’s progress,” he said.

The report added that an official statement citing Mann said the move displays commitment to the welfare and dignity of employees, whom the CM described as “the backbone of the state’s administrative machinery”.

This comes after an intense deadlock began on 27 August, after more than three lakh government employees went on a statewide mass casual leave strike to push for their demands with the government, including release of pending 18% DA.

Prior to this, employees had asked the government to comply with the directions of the Punjab and Haryana High Court on payment of all due DA and DR arrears within a fortnight. The government had however moved the Supreme Court challenging the HC order, contending that payment of arrears totaling around ₹14,191 crore in such a short period was impossible.

What other employee demands under consideration?

Mann’s statement highlighted that besides announcing compulsory monthly meetings with employee representatives to address genuine issues. He also spoke about postings for women employees within 40 km of their homes, adding that around 70,000 government jobs have been provided through a transparent and corruption-free process.

“Women employees should not have to choose between their career and their family responsibilities. The state government will ensure that the system remains sensitive to their genuine needs,” the statement quoted him saying.

Other demands on the table for consideration include, 2.59 pension multiplication factor, restoration of OPS and various allowances, implementation of Assured Career Progression (ACP), issues relating to the 2015 and 2020 letters concerning the probation period, generalisation of court decisions and others.

“No genuine issue concerning employees is being ignored and the government will examine each matter with an open and sympathetic approach. Employee welfare cannot be treated as a one-time exercise and requires continuous dialogue between the government and its workforce,” he said.