The government freezes the increase in the stimulation allowance for CPSE employees until June 30

New Delhi: The central government said on Thursday (November 19) that it has decided to freeze the increase in the shortage subsidy (DA) for employees of central public sector enterprises (CPSE) who receive wages according to the guidelines for the payment of the shortage subsidy industrial (IDA) from October 1, 2020, to June 30, 2021.

“In view of the crisis arising from COVID-19, it has been decided that the additional installments of the Allowance for Personal Expenses payable to the employees of the Central Public Sector Companies accrue payments according to the 2017 IDA payment review guidelines , 2007, 1997, 1992 and 1987, due from 01.10.2020 it will not be paid ”, said a circular from the department of public companies.

Additional DA fees that are due from January and March next year will also not be paid, he said. DA will continue to be paid at the rates in effect as of July.

However, the shortage bonus will continue to be paid at current rates (effective July 1, 2020), according to the DPE circular.

“As the government makes a decision to release future lean bonus installments as of July 1, 2020, the lean bonus rates will take effect from October 1, 2020, January 1, 2020. 2021 and April 1, 2021, it will be restored prospectively, “said DPE.

This will be subsumed in the cumulative revised rate effective as of July 1, 2021, it added.

The DPE also said that they will be paid “without arrears” for the period between October 1, 2020 and June 30, 2021.

He said the guidelines announced Thursday are applicable in the cases of non-union CPSE executives and supervisors who draw the 2017, 2007, 1997, 1992 and 1987 pay scales, IDA (industrial famine allowance).

DA rates for CPSE employees who charge CDA (central high cost allowance) pay scales have already been frozen.

In April, the Finance Ministry decided to suspend an increase in the lean allowance (DA) for approximately 50 lakh for central government employees and 61 lakh for retirees until July 2021 due to the COVID-19 crisis.