UP hikes dear allowance for state govt employees after poll panel's nod

Higher DA would cost the state exchequer nearly Rs 1,500 crore annually

Uttar Pradesh’s BJP government has hiked the dearness allowance (DA) of its nearly 1.8 million employees from 9% to 12% days before India’s politically most important state votes in Lok Sabha elections.

The DA hike--effective retrospectively from January 1--will be paid as arrears for January and February before March 31. The DA for March will be paid along with April’s salary. The state’s finance department announced the DA hike Wednesday, a day before government offices shut down for a long weekend for Holi.

Sanjiv Mittal, additional