Central Government Announces Pre-Election Bonanza for Employees and Welfare Programs

New Delhi, 8th March 2024: Before the upcoming Lok Sabha elections, the Central Government has rolled out a series of significant announcements aimed at boosting the morale of central employees and extending support to various welfare schemes. Just ahead of the festive occasion of Holi, the government has increased dearness allowance, residential allowance, and gratuity for central employees. Additionally, the Cabinet has granted a one-year extension to the PM Ujjwala Scheme, benefiting over 10 crore economically disadvantaged families across the nation.

Dearness Allowance Increased by Four Percent:

In a key decision made during the Cabinet Committee meeting chaired by Prime Minister Narendra Modi, the government has approved a four percent increase in dearness allowance for central employees. Effective from January 1 of this year, the move is expected to enhance the financial well-being of the employees, with dearness allowance now constituting 50 percent of their basic salary.

Commerce and Industry Minister Piyush Goyal highlighted that the gratuity limit for central employees would witness a noteworthy rise, increasing from Rs 20 lakh to Rs 25 lakh. Despite a projected annual financial burden of Rs 12,868.72 crore due to the dearness allowance hike, Goyal emphasized that the increase in other allowances would bring about a separate benefit of Rs 9,400 crore between January this year and February next year.

Extension of PM Ujjwala Scheme:

To address the energy needs of economically disadvantaged families, the Cabinet has decided to extend the PM Ujjwala Scheme until March 31, 2025. This extension entails that beneficiaries will continue to receive 12 LPG cylinders at a subsidized rate of Rs 300 per cylinder over the next year. With 10.27 crore beneficiaries currently under the scheme, the government has allocated Rs 12,000 crore to sustain this crucial initiative.

Women’s Day Gift: Discount on LPG Cylinders:

In a special gesture on International Women’s Day, Prime Minister Narendra Modi announced a significant discount of Rs 100 in the prices of LPG cylinders. This move aims to provide immediate relief to women consumers and further promote the use of clean cooking fuel.

Increase in MSP of Raw Jute:

The Union Cabinet has also taken a positive step towards supporting the agriculture sector by raising the minimum support price (MSP) of raw jute. Set at Rs 5,335 per quintal for the 2024-25 crop year, this increase of Rs 285 per quintal signifies a 64.8 percent rise above the cost of production. Approximately 40 lakh jute farmers stand to benefit from this decision, marking a substantial 122 percent increase over the last decade.