Hence, Central Government employees as well as pensioners are entitled for DA/DR at the rate of 100 percent of the basic with effect from 01 jan. 2014. The increase is in accordance with the accepted formula based on the recommendations of the 6th Central Pay Commission.

The combined impact on the exchequer on account of both dearness allowance and dearness relief would be Rs. 11074.80 crore per annum and Rs. 12920.60 crore in the financial year 2014-15.