During the presentation of the state budget for 2024, the Kerala government made a significant announcement on Monday regarding government employees and pensioners. State Finance Minister KN Balagopal declared that one installment of Dearness Allowance (DA) for government employees and pensioners would be disbursed in April 2024, fulfilling a long-pending demand.
In addition to the DA hike, the state government introduced an assured pension scheme for employees. Minister Balagopal mentioned that the existing contributory pension scheme would undergo a review. However, he clarified that there would be no increase in social security pensions.
The Economic Review report presented in the Kerala Assembly on February 2 highlighted the state's steady economic growth in 2022-23, with the Gross State Domestic Product (GSDP) recording a 6.6% growth at constant prices.
Beyond the financial benefits, the state government also announced adjustments in stamp duty for land and building lease agreements. Additionally, liquor prices are expected to see a further increase in the state.
An allocation of Rs 553.31 crore has been designated for social security and welfare programs, and the government plans to host an international Artificial Intelligence (AI) conclave in association with IBM in July 2024.
Finance Minister KN Balagopal outlined the government's goals, including attracting investments in higher education and allocating Rs 50 crore to enhance tourism at 20 destinations.
It's worth noting that several state governments, including West Bengal, Meghalaya, and Punjab, had previously announced DA hikes for their employees. West Bengal's Chief Minister, Mamata Banerjee, declared a 4% DA hike for government employees from New Year's Day during the Kolkata Christmas Carnival 2023 inauguration.
Meghalaya's Chief Minister, Conrad K Sangma, announced the early release of December salaries and a three percent DA hike for 55,000 government employees on December 20. Similarly, Punjab's Chief Minister, Bhagwant Mann, declared a 4% DA hike for government employees from December 18, bringing the total DA to 38%.
These announcements reflect the ongoing efforts of various state governments to address the financial concerns of their employees and pensioners through periodic DA hikes and other welfare measures.
