Chief Minister M.K. Stalin has announced a 4% hike in Tamilnadu DA Rate for government employees, teachers, and pensioners Dearness Allowance (DA) effective January 1, 2024, and this latest TN DA rates increase in Tamil Nadu will benefit approximately 16 lakh individuals and raise the total DA percentage to 50% for state workers.
The Tamil Nadu government’s decision after the announcement of AICPIN and CDA rates by Union Government of India to increase the DA rates will have significant implications:
- Beneficiaries: About 16 lakh government employees, teachers, pensioners, and family pensioners
Financial impact: Additional annual expenditure of ₹2,587.91 crore for the state exchequer Implementation: Retrospective effect from January 1, 2024
TN DA Rates Chart
With this latest announcement, the DA percentage for Tamil Nadu state employees has evolved as follows
| Date | Total DA Percentage | Pensioner / Family Pensioner | Pre 2016 Pay Scales | Pre 2006 Pay Scales |
|---|---|---|---|---|
| January 1, 2024 | 50% | 50 | 239 | 443 |
| July 1, 2023 | 46% | 46 | 230 | 427 |
| April 1, 2023 | 42% | 42 | 221 | |
| January 1 2023 | 42 | 42 | 221 |
TN DA Rates for Widows / Dependent Children who are in receipt of Ex-gratia payment Rs.645
| Date | Dearness Allowance Rates |
|---|---|
| July 1, 2023 | 419% |
| 1st April 2023 | 404% |
Calculation of Dearness Allowance for TN State Workers
The Dearness Allowance is calculated as a percentage of the basic pay. With the new 50% DA rate, employees will receive half of their basic pay as DA. For example, if an employee’s basic pay is ₹30,000, their DA would be ₹15,000 (50% of ₹30,000).
Recent History of Tamil Nadu DA Increases
The Tamil Nadu government has been consistently revising DA rates to support its employees:
- October 2023: 4% DA hike announced, raising it from 42% to 46%
- January 2024: Current 4% hike, increasing DA from 46% to 50%
Chief Minister M.K. Stalin emphasized that despite facing severe financial challenges and debt burdens, the government is actively working to address the demands of government staff and teachers.
The administration recognizes the crucial role played by its employees in implementing various pioneering schemes for the benefit of the people.
Comparison with Other States
Tamil Nadu’s DA hike aligns with recent trends in other states:
- Karnataka: Recently announced a 4% DA hike for its employees
- Tripura: Granted a 5% DA hike, bringing their total DA to 25%.
The TamilNadu government’s decision to increase Dearness Allowance demonstrates its commitment to supporting state employees amidst economic challenges. As the TN DA rates percentage for government employees in TamilNadu reaches 50%, it provides significant financial relief to thousands of workers and their families.