Cabinet clears 2% hike in DA for central govt staff
The Union cabinet on Wednesday cleared a 2% hike in the dearness allowance (DA) of central government employees, in keeping with pay commission recommendations. The move is expected to benefit about 48.41 lakh central government employees and 61.17 lakh pensioners. The impact on the exchequer is estimated to be Rs6,077.72 crore per annum.
The cabinet also approved the continuation of monthly pensions to freedom fighters beyond the 12th five-year plan period. At present, more than 37,000 freedom fighters and their eligible dependants receive government pension.
Key recommendations of an inter-ministerial group on stressed assets in the telecom sector were cleared, which are expected to defer some of the existing payment liabilities of telecom companies and revise the cap on spectrum holding.
The cabinet approved amendments to the Arbitration and Conciliation Bill and the Commercial Courts, Commercial Division and Commercial Division of High Courts Act, which will now be introduced during the budget session. While the former proposes to create an independent Arbitration Council of India, the latter will facilitate the creation of commercial courts in India’s four major cities and in Himachal Pradesh. These new courts will deal with all commercial disputes valued below Rs3 lakh and are expected to improve ease of doing business indicators.
The cabinet also cleared various proposals on intergovernmental cooperation with France in the field of environment, prevention of illicit trafficking of drugs and reciprocal recognition of academic qualifications.
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