Madhya Pradesh on Thursday announced a hike of 10 per cent in dearness allowance (DA).

   The Madhya Pradesh Cabinet on Thursday approved a hike in the Dearness Allowance for all employees of the State government and local bodies.

   The DA has been hiked from 80 to 90 per cent of the basic salary. The double digit hike comes less than a week after the Centre announced a 10 per cent hike for its employees. Timed before the model code of conduct for elections comes into force, the DA would be paid retrospectively from July 1.

   The BJP government of poll-bound Madhya Pradesh on Thursday announced a hike of 10 per cent in dearness allowance (DA).

   The decision comes as a bonanza for a large number of employees and pensioners ahead of the festive season.

Madhya Pradesh Government announces 7% D.A.

   BHOPAL: Barely a fortnight after enhancing travel facilities and extending air travel to state government employees, the Madhya Pradesh government announced another bonanza of 7% to its employees. The DA would be paid with effect from August 1, 2012.

   The decision was taken at a meeting of the state cabinet presided over by the chief minister Shivraj Singh Chouhan here on Tuesday. The cabinet also approved the revised allowances and facilities to government employees in the context of the recommendations of the state pay commission.

   A government spokesperson said that the cabinet cleared the pay commission's recommendations and revised house rent allowance has been sanctioned to the employees residing in various cities and towns on the basis of 2001 population. Accordingly, 10% house rent allowance (percentage of total of pay band and grade pay) will be given in cities with over 7 lakh population, 7% in cities with 3-7 lakh population, 5 % in cities with 50,000 to 3 lakh population and 3% to employees in cities with less than 50,000 population.