dearness allowance meaning
The Dearness Allowance (DA) is a cost of living adjustment allowance paid to Government employees, Public sector employees (PSU)and pensioners in Pakistan, Bangladesh and India. Formula for calculating Dearness Allowance for Central public sector employees after 1.1.2007 is :
The sum of basic pay and grade pay is used to calculate dearness allowance and other allowances. Dearness Allowance :The Dearness Allowance(DA) is a cost of living adjustment to allowance. It is calculated as a percentage of (Basic pay + grade pay).