West Bengal Chief Minister Mamata Banerjee has announced a hike in the Dearness Allowance (DA) of state government employees by 3 percent.

On Monday (December 14), the finance ministry issued a notification saying that from January 2021, there will be an increase of 3 percent in the Dearness Allowance of state government employees. All government employees and pensioners in the state will be benefited from this decision. 

Also read: Mamata Banerjee wishes speedy recovery to JP Nadda

Mamata Banerjee said that the central government is yet to releases state dues of Rs 85,000 crore. She said the Centre owes the state on UGC grants, GST, and the amount required to fight COVID-19 and other issues in the state.

Incidentally, on July 26, 2019, SAT had directed to pay the arrears within 3 months. But the state challenged the verdict and filed a review petition. Bengal government’s plea was rejected by SAT. The verdict of 2019 remains in force. 

Also read: One dead, another injured in road accident in Kolkata

According to SAT, the arrears of state government employees were to be settled within the next six months. But as the state government did not give that DA, the government workers' organization SAT also filed a contempt of court case. The state again filed a review petition in SAT. 

Amid this legal battle, the letter of the workers' organization went to Mamata Banerjee. In the wake of that letter, Mamata Banerjee announced in the first week of December that there will be a hike of 3 percent in the DA f the state government employees from January 2021.