Tamil Nadu government hikes Dearness Allowance by 8 per cent

Chennai: Tamil Nadu government today announced hiking the Dearness Allowance of state government employees by eight per cent, a move that will benefit 18 lakh persons including pensioners.

Chief Minister J Jayalalithaa said that the government would incur an expense of Rs 1639.93 crore annually and that the increased amount would be disbursed in cash with effect from January 1, 2013.

Making a statement on the floor of the Assembly, she recalled that Central government had announced a similar hike in April and that she was happy to extend a similar benefit to state government employees also.