The cabinet, headed by Prime Minister Manmohan Singh, approved a proposal to merge 78.2 per cent of dearness allowance (DA) with basic pay as against the 68.8 per cent DA merger announced in November last year as recommended by GoM. As a result, the total emolument on a basic pay of Rs. 100 would become Rs. 231.66 after considering 30 percent fitment on basic pay plus DA and differential pay (DP). In the previous decision, this came to Rs 219.4. HRA will be effective from the date of issue of order by DPE i.e 26.11.08.
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