Jharkhand Government Approves DA Hike and MSME Exemption Bill

The Jharkhand government has authorized a 7% rise in the dearness allowance for government employees, raising it to 246% from 239%, effective retroactively from July 1, 2023. Additional cabinet approvals include a special exemption bill for MSMEs and an amendment to allow female factory workers to work night shifts.

The Jharkhand government has made a significant move by approving a 7% increase in the dearness allowance (DA) for state employees, bringing it up to 246% of the basic pay from the previous 239%. This hike is applicable retroactively from July 1, 2023, as per a recent announcement.

The decision, made during a cabinet meeting led by Chief Minister Hemant Soren, also extends to a similar increase in dearness relief for pensioners. In addition, the government has sanctioned a separate hike under the fifth pay commission, raising DA for those employees from 443% to 455%, effective July 1, 2024.

Apart from these financial measures, the cabinet cleared 12 proposals, including the Jharkhand Micro, Small and Medium Units (MSME) Special Exemption Bill, 2025, and Amendments to the Factories Act to align with the 'Business Reforms Action Plan'. Notably, the amendment permits women to work night shifts in factories, subject to their consent.