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Dearness Allowance

DA Case Update: Contempt of Court Allegations Against State Government in DA Case, When is the Next Hearing?

DA Case Update: The dearness allowance (DA) case of West Bengal government employees has taken a new turn. As the state government failed to pay 25% of the DA arrears within the deadline set by the Supreme Court, the government employees’ organizations have filed a contempt of court case. In this situation, while the state government cites a financial crisis, the employee organizations are firm in their demands. Let’s get to know the whole matter in detail.

Current Status of the Case

On May 16, the Supreme Court, in an interim order, directed the West Bengal government to pay 25% of the outstanding DA to the government employees within six weeks, i.e., by June 27. But the state government could not comply with that order. After this, the employees’ organization ‘Confederation of State Government Employees, West Bengal’ approached the apex court, accusing the state of contempt of court.

The state government has argued that it is not possible to pay the arrears at the moment due to the financial crisis and that they need another six months for this. They have also appealed for a review of the court’s order.

Amount of Arrears and the State’s Argument

Currently, West Bengal government employees receive DA at a rate of 18%, while the DA for central government employees is 55%. This huge gap has been a source of long-standing dissatisfaction.

  • Amount of Arrears: According to the Supreme Court’s order, 25% of the DA arrears from 2009 to 2019, which is about ₹10,425 crore, was supposed to be paid by June 27.
  • The State’s Argument: The state government has said that it is ready to deposit this huge amount directly into the court’s treasury. But there is no specific allocation for this in the budget. To pay this money, a loan has to be taken from the market, and for that, the permission of the Center is required, which is a time-consuming process.

The employee organizations have questioned why, on the one hand, the state government is talking about a financial crisis, while on the other hand, the order to recover salaries from ineligible candidates in the case of the cancellation of 26,000 jobs is not being complied with.

Next Step

The next hearing of this case is scheduled for August. Now it remains to be seen whether the Supreme Court accepts the state government’s plea or takes some strict action for contempt of court. All eyes are now on the apex court. Lakhs of government employees in West Bengal are looking forward to their long-awaited just dues. It goes without saying that the verdict of this case will have a major impact on the state’s economy and the employee community.

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