7th Pay Commission: After recent DA hike, certain allowances like children education allowance (CEA) and hostel subsidy have also got revised by up to 25%.
7th Pay Commission Updates: After the dearness allowance (DA) was hiked to 50% for the Central government employees this year, certain allowances like children education allowance (CEA) and hostel subsidy have also got revised by up to 25%.
After getting queries from various sections about increase in allowances, the Ministry of Personnel, Public Grievances and Pension Department of Personnel & Training issued a clarification to clear all doubts in this regard.
The Public Grievances department in the notification said the references are being received from various quarters with regard to the amount of children education allowance and hostel subsidy admissible consequent upon enhancement of dearness allowance payable to central government employees @ 50% w.e.f. 1st January, 2024.
Giving clarification on the rule, the department said the limits of children education allowance and hostel subsidy “would be automatically raised by 25% every time the dearness allowance on the revised pay structure goes up by 50%.
Children Education Allowance
The department said that the amount for Children Education Allowance reimbursement shall be Rs 2,812.50 per month (fixed). Moreover, the amount for Hostel Subsidy shall be Rs 8,437.50 per month (fixed).
The department added that these amounts are capped, irrespective of the actual expenses incurred by the Government employee.
Special Allowance For Childcare
The Special Allowance for Child Care to women with disabilities allowance Has also been revised to Rs 3,750 per month subject to other conditions mentioned in this Department’s office memorandum.
Other Arrear Payment
The department in the notification stated that these revisions are applicable with effect from January 1, 2024, meaning that arrears would be paid.