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SUBJECT: - Grant of Dearness relief to industrial Dearness Allowances (IDA) pensioners/Family pensioners of the FCI at the modified rates w.e.f. 1-.7-2005 and 1-10-2005 - regarding.

In continuation to this office Circular No. WR-08-2005-20 dated 29.08.2005 (File No. WRC/39/1/2005) on the subject cited above a copy of instructions issued by the Ministry of Consumer Affairs, Food and public Distribution vide their letter No. 38020/01/2005-FC.3 dated 20.12.2005 is enclosed for information, guidance and necessary action.

SUBJECT: - Grant of Dearness relief to industrial Dearness Allowances (IDA) pensioners/Family pensioners of the FCI at the modified rates w.e.f. 1-.7-2005.

I am directed to refers to this Department's letters No.38020(1)/2000-Fc.3 dated 01.08.2005, addressed to MD,FCI and copy endorsed to you , on the subject mentioned above and to say that consequent upon increase in the Quarterly price Index average from 2583 and 2598 (1960=100) of the previous quarters to 2598 (15 points) and 2641 (43 points), the Department of public Enterprises has further modified the rates of dearness allowance payable to the employees /Executives of the public Sector Undertakings with effect from 01-07-2005 and 01-10-2005 vide their O.M.Nos. 2(9)/2000-DPE (WC)GL-IX dated 12.07.2005 and 2(9) / 2000-DPE(WC)-GL-XII dated 18.10.2005 respectively (copies enclosed). Therefore, IDA pensioners / family pensioners covered under the instructions contained in this Department's letters number A-38020/01/97-FC.3 dated 26.02.98 and A-38020/2/97-FC.3 dated 01.06.98 have now become entitled for payment of Dearness Relief (IDA) at the revised rates w.e.f. 01-07-2005 onwards.

2. Accordingly, approval of the Government is conveyed for the payment of dearness relief to those IDA pensioners /Family pensioners at the following modified rates effective from 01.07.2005 onwards.

Effective Date

Average of AICPI.

Revised DR rates (%)

01.07.2005

2598 (Increase over last Quarter 15 points)

52.1%

01.10.2005

2641

(Increase over last Quarter 43 points)

54.6%

3 The payment on account of dearness relief involving fraction of 50 paise and above may be rounded off to the next high rupee and the fraction of less than 50 paise may be ignored .

4 This issues in consultation with the Integrated Finance Division of this Department vide their 3384/FA dated 06.12.2005