<h1>Union Cabinet Approves 3% Dearness Allowance Increase for Central Govt Employees and Pensioners from Jan 2019.</h1> The Union Cabinet has approved an additional 3% increase in Dearness Allowance for Central Government employees and Dearness Relief for pensioners, effective from January 1, 2019. This adjustment raises the rate from 9% to 12% of the Basic Pay/Pension to address inflation, following the 7th Central Pay Commission's recommendations. The financial impact is estimated at Rs. 9168.12 crore annually and Rs. 10696.14 crore for the fiscal year 2019-20, covering 14 months. Approximately 48.41 lakh employees and 62.03 lakh pensioners will benefit from this decision.