7th pay commission: Narendra Modi-led Union government is likely to give a 2 percent rise in the dearness allowance to the government employees on Wednesday. The Union cabinet is likely to take a decision on the same today which has brought cheer to around 50 lakh employees. This increment will be as per the formula decided in 7th pay Commission.

As per the sources, this increment shall be implemented from July 1. The country has over 48 lakh government employees and over 61 lakh pensioners. If there is an increase in dearness allowance, all these will be directly benefited.

Before this, the government gave an increment of 2 percent in dearness allowance in March. This increment was implemented from January 2019.

For now, the dearness allowance percentage has been set at 7%, which the government is likely to increase to 9%.

Earlier, the government had made a rise in dearness allowance in September 2017, when it was increased from 15 to 5% on September 12, 2017.