The central government has announced a significant change for central employees. Instead of receiving the dress allowance once a year, employees will now receive it twice annually.
This change has been made after employees requested it for seven years.
Relief for Defense Employees
This change also benefits defense employees who join the service partway through the year.
They will now receive the dress allowance in proportion to their service period, which ensures fair payment.
This adjustment will enhance transparency and build trust and satisfaction among employees.
Previous System: Dress Allowance in July Only
In the past, employees only received their dress allowance as a lump sum every July, which was disadvantageous for those who joined after that month.
Under the new system, the allowance will be calculated based on the period from the employee’s joining date until June of the following year.
What is Dress Allowance?
Dress allowance, as defined in an August 2017 notification by the Finance Ministry, includes allowances for clothing, shoes, kit maintenance, robes, etc.
It is given to employees who must wear a specific uniform during their duties.
How Will Payments Be Made Under the New System?
The Finance Ministry will implement a pro-rata payment method, ensuring transparency in the distribution of funds.
For example, if an employee’s annual dress allowance is Rs 20,000 and they join in August, they will receive (Rs 20,000 / 12) x 11 = Rs 18,333.
Dress Allowance Amounts for Different Employees
Under the 7th Pay Commission:
- Rs 20,000 per year: Army officers, Air Force, Navy, CAPF, Coast Guard.
- Rs 10,000 per year: Police officers, MNS officers, Customs, Narcotics, NIA, ICLS, Bureau of Immigration, etc.
- Rs 10,000 per year: Railway station masters, defense service employees, Union Territory Police.
- Rs 5,000 per year: Trackmen, staff car drivers, canteen staff, running staff, etc.
