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7th Pay Commission: 31% increase in DR, amount will increase in pensioners’ account, order issued

7th pay commission: As per the office memorandum, the increased rate of DR will be applicable to the following categories of pensioners/family pensioners.




New Delhi: The Central Government has increased the rate of Dearness Relief (DR) for 7th pay commission pensioners/family pensioners from 28% to 31%. The Modi government has issued orders in this regard. The increased rate of DR will be applicable from July 1, 2021.

The Department of Pension and Pensioners’ Welfare (DoPPW) in an Office Memorandum (OM) dated 27 October 2021 said “It has taken a major decision that the Dearness Relief admissible to Central Government Pensioners/Family Pensioners shall be increased from the existing rate of Rs. Basic pension/family pension (including additional pension/family pension) increased from 28% to 31%.

The official DR hike notification comes days after the Finance Ministry raised the rate of dearness allowance for central government employees to 31% with effect from July 1, 2021.

How to calculate

DoPPW said that it would be the responsibility of the Pension Disbursing Officers including nationalized banks etc. to calculate the quantum of DR payable in each individual case. Earlier this month, the central government increased the rate of dearness allowance from 28 per cent of the basic pay to 31 per cent.

In an official notification, the Finance Ministry also said that the basic pay for computing DA as per the new rate would include the pay drawn as per the recommendation of the Seventh Pay Commission. It will not include any other type of salary.

Who will benefit

As per the Office Memorandum, the enhanced rate of DR will be applicable to the following categories of pensioners/family pensioners. Citizen Central Government pensioners/family pensioners including Central Government. Pensioners absorbed in PSUs/Autonomous Bodies in respect of whom orders have been issued vide this Department’s Office Memorandum, in respect of whom orders have been issued for restoration of full pension after the expiry of fifteen years of commutation period.

All India Service Pensioners/Family Pensioners. Railway Pensioners/Family Pensioners. Pensioners who are receiving provisional pension. Burma Civil Pensioners/Family Pensioners and Pensioners/Families of Government Pensioners displaced from Burma/Pakistan, in respect of whom orders have been issued vide this Department’s OM dated 11.09.2017. Armed Forces Pensioners/Family Pensioners, Civil Pensioners/Family Pensioners pay from Defense Services Estimates.

Parvesh Maurya
Parvesh Maurya
Parvesh Maurya, has 5 years of experience in writing Finance Content, Entertainment news, Cricket and more. He has done BA in English. He loves to Play Sports and read books in free time. In case of any complain or feedback, please contact me @ informalnewz@gmail.com
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