Central government employees and pensioners are back at centre stage as talks about the 18-month Dearness Allowance (DA) arrears, which has been pending. With Budget 2025 just around the corner, expectations are that government may at last accommodate this long-pending demand. The arrears, suspended during the outbreak, have come to symbolize both financial hardship and bureaucratic backlog.
The Origin of the Arrears
The DA arrears in concern are due w.e.f. January, 2020 to June, 2021. The government had stopped DA and Dearness Relief (DR) payment in view of the impact that the pandemic had on economy. Although the regular hikes in DAs have been restored, the unpaid dues of that 18 month period is still pending, which has hit the pay packets of more than one crore employees and pensioners.
Renewed Push from Employee Unions
During the 63rd meeting of the Standing Committee of the National Council (JCM), Employee representatives impressed upon the demand for release of the arrears. They argued that while the world remains in the grip of the pandemic, government workers served the nation and should be paid back for the money that had not been paid to them. The unions said that the government should take a human approach and pay what it thinks is their due.
Government’s Current Stand
The finance ministry has said the arrears could not be paid due to the economic burden during and after the pandemic. But, according to recent news, the proposal is being given consideration and the same may be taken up in the forthcoming Union Budget. The move, if approved, could help alleviate financial pressures at a time of rising inflation and living costs.
Financial Implications and Employee Sentiment
According to estimates, the arrears run over ₹20,000 crore. At this is an expensive proposition, but the morale boost and economic lift resulting from injecting the funds could end up being worth it. The country’s workers and pensioners are paying attention, and they are expecting the government to recognize how they have served, with patience, on behalf of a nation in distress.
Looking Ahead to Budget 2025
All eyes are now on Finance Minister Nirmala Sitharaman’s budget address. An announcement on a positive note on the DA arrears could not only relieve the financial stress of lakhs of families but also red-flag to the government the need to put employee welfare on high priority. Until then, the wait goes on as the unions and workers remain cautiously hopeful.
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