Banks to calculate, disburse 6 % dearness relief to pensioners

All pension disbursing authorities including nationalised banks have been asked to calculate the quantum of dearness relief payable to pensioners, after the recent six per cent increase in it by the government.
The move comes following a decision by the Union Cabinet early this month regarding six per cent hike (from existing 113 to 119 per cent) in dearness allowance (DA) to central government employees and dearness relief (DR) to pensioners with effect from July 1, 2015.
With the increase, central government employees and pensioners will get 119 per cent of DA and DR, respectively.
"It will be the responsibility of the pension disbursing authorities, including the nationalised banks, etc. To calculate the quantum of DR payable in each individual case," an order issued today by the Ministry of Personnel, Public Grievances and Pensions said.

In the case of retired Judges of the Supreme Court and High Courts, necessary orders will be issued by the Department of Justice separately, it said.
The offices of Accountant General and authorised pension disbursing banks are requested to arrange payment of relief to pensioners etc. Without waiting for any further instructions from the Comptroller and Auditor General of India and the Reserve Bank of India, the order said.
There are about 50 lakh central government employees and 56 lakh pensioners.