Hyderabad: In a major relief to lakhs of govt employees and pensioners, the state cabinet on Thursday approved the release of two pending dearness allowances (DAs), honouring a commitment made by the govt amid mounting demands from employee unions.The decision, which will add an estimated ₹2,500 crore annual burden on the state exchequer, comes at a time when employees have been pressing for the clearance of six pending DAs and other service-related issues.Announcing the decision, information and public relations minister Ponguleti Srinivas Reddy said the cabinet had approved the release of the DAs in line with the assurance given by chief minister A Revanth Reddy.“Though it is a financial burden on the govt, the state has taken this decision,” he said.The two DAs had been pending since 2024. The govt decided to clear them following discussions with employee representatives in recent months.The announcement was welcomed by employee organisations. Telangana employees joint action committee (JAC) chairperson V Lachi Reddy and other representatives thanked the govt for responding to one of their key demands.Govt employees’ unions have been agitating for several months over pending DAs and other unresolved issues. They had even planned a ‘Chalo Hyderabad’ protest but later deferred after receiving assurances from the state govt.Apart from DAs, the employees’ JAC has been pressing for four major demands, including the constitution of a Pay Revision Commission (PRC), clearance of pending arrears and implementation of the old pension scheme (OPS).According to employee representatives, six DAs remain pending. However, the govt has informed unions that clearing all six in one go would impose an estimated burden of around ₹10,000 crore on state finances. The cabinet’s decision to release two DAs is being seen as a phased approach to addressing the issue.The employees’ JAC has also been seeking the restoration of the OPS in place of the contributory pension scheme (CPS) for employees recruited after 2004, besides demanding payment of other pending dues.While unions welcomed the latest announcement, they are expected to continue discussions with the govt on the remaining DAs and other long-pending employee welfare demands.
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