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<h1>Union Cabinet Approves 7% Hike in Dearness Allowance for Central Employees and Pensioners, Effective July 1, 2011.</h1> The Union Cabinet has approved an additional instalment of Dearness Allowance for Central Government employees and Dearness Relief for pensioners, effective from July 1, 2011. The increase is set at 7% over the existing rate of 51%. This adjustment will result in a financial impact of Rs. 7,228.76 crore annually and Rs. 4,819.22 crore for the current fiscal year.