Tamil Nadu

Tamil Nadu freezes Dearness Allowance at current rate till July 2021, suspends earned leave encashment for a year

File photo for representation only.   | Photo Credit: V. Sudershan

The Tamil Nadu government on Monday issued two orders -- one suspending encashment of earned leave “initially” for one year and another freezing the Dearness Allowance (DA) at the current rate till July 2021 for its employees, teachers and pensioners.

According to a government order issued by Chief Secretary K. Shanmugam for the Personnel and Administrative Reforms Department, the encashment of earned leave was suspended for a year initially in view of the financial position, as the State was fighting COVID-19.

“In view of the fiscal stress arising from the COVID-19 pandemic, the periodical surrender of earned leave for encashment for 15 days every year / 30 days every two years, as provided under Rule 7A of the Tamil Nadu Leave Rules, 1933 is suspended initially for a period of one year to all the government employees and teachers,” the order said.

All surrender requests and bills pending as on date irrespective of their stage of sanction and disbursement shall not be processed, it said. “In cases where sanction orders have been issued, they are to be cancelled and earned leave be re-credited to the leave account of the respective employees,” the G.O. stated. It also added that the decision was applicable to all Constitutional / Statutory bodies, including all State corporations, local bodies, boards, universities, commissions, companies, institutions and societies.

Another G.O. issued by Finance Secretary K. Krishnan stated that the Tamil Nadu government has adopted the rate of DA to State government employees and pensioners/family pensioners as and when it was announced by the Centre to its employees and pensioners/family pensioners.

“Following the orders issued by the Government of India and in view of the severe financial crisis arising out of COVID-19 pandemic, the [State] government has decided to adopt the decision of the Government of India for State government employees, teachers and pensioners/family pensioners for freezing the DA at current rates till July 2021,” it stated.

The additional instalment of DA payable to State government employees, teachers and government pensioners/family pensioners, due from January 1, 2020 would not be paid and the same due from July 1, 2020 and January 1, 2021 too would not be paid.

However, DA at current rates will continue to be paid. As and when the decision to release the future instalment of DA due from July 1, 2021 is taken by the government, the rates of DA as effective from January 1, 2020, July 1, 2020 and January 1, 2021 would be restored prospectively and would be subsumed in the cumulative revised rate effective from July 1, 2021.

“No arrears for the period from January 1, 2020 till June 30, 2021 shall be paid,” the order said said and added that the decision was applicable to teaching and non-teaching staff working in aided educational institutions, employees under local bodies, employees governed by the University Grants Commission/All India Council for Technical Education scales of pay.

It would also be applicable to teachers/physical education directors/librarians in government and aided polytechnics and special diploma institutions, village assistants in the Revenue Department, noon meal organisers, child welfare organisers, Anganwadi workers, cooks, helpers, Panchayat secretaries/clerks in Village Panchayats under the Rural Development and Panchayat Raj Department, it added.

Ends

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Printable version | Jan 23, 2021 1:51:06 PM | https://www.thehindu.com/news/national/tamil-nadu/no-encashment-of-earned-leave-for-a-year-for-tamil-nadu-government-employees/article31443763.ece

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