Sikkim Government Hikes Dearness Allowance by 4% for Employees and Pensioners

The Sikkim government has approved a 4% increase in dearness allowance for its employees and pensioners, effective from July 1, 2023. The decision, made during the first cabinet meeting of the new Sikkim Krantikari Morcha government, will result in a 46% total DA and cost Rs 174.6 crore this fiscal year.

In a significant move, the Sikkim government has approved a 4% hike in dearness allowance (DA) for its employees and pensioners, effective retrospectively from July 1, 2023. This decision was announced after the first cabinet meeting under the newly elected Sikkim Krantikari Morcha government, led by Chief Minister Prem Singh Tamang.

With this hike, the dearness allowance for government employees and pensioners rises to 46%, according to officials. The increase is expected to have a financial impact of Rs 174.6 crore on the state exchequer for the current fiscal year.

The decision underscores the government's commitment to addressing cost-of-living adjustments for its workforce. The hike aims to provide some financial relief amid rising inflation and living costs.