Gangtok: The Sikkim government has approved a proposal to hike dearness allowance by four per cent for its employees and pensioners with retrospective effect from July 1, 2023, officials said on Tuesday.
The decision was taken during the first cabinet meeting of the second Sikkim Krantikari Morcha government on Monday evening, they said.
The meeting was presided over by Chief Minister Prem Singh Tamang.
With the four per cent hike, the dearness allowance for government employees and pensioners has gone up to 46 per cent, the officials said.
The increase in DA will have an impact of Rs 174.6 crore on the state exchequer in the current financial year, they added.