There is great news for LIC employees. It is reported that Modi government has approved 17% increase in the basic salary of LIC employees.

There is great news for LIC employees. Modi government has approved 17% increase in the basic salary of LIC employees. This will directly benefit about 1 lakh employees and about 30,000 pensioners.

According to the report, this increase, effective from August, will cost the company Rs 4,000 crore annually. On March 15, LIC shares closed down 3.4 per cent at Rs 926 on the BSE.

DA has been increased by 4%

Let us tell you that this increase has come after the recent increase in Dearness Allowance (DA) by 50 percent by the government. Dearness allowance of central government employees has increased by 4%. Let us tell you that according to the recommendations of the 7th Pay Commission,

with this increase, there is sure to be an increase in the take-home salary package of the central government employees. According to the recommendations of the Seventh Pay Commission, cities have been divided into three categories for HRA increase. These categories are- X,Y & Z.

If an X category employee lives in cities/towns, his HRA will increase to 30 percent. Similarly, the HRA rate for Y category will be 20 percent and for Z category it will be 10 percent. Currently, employees living in cities/towns X, Y & Z get 27, 18 and 9 percent HRA respectively.

December quarter results

Last month, LIC reported a 49 per cent rise in net profit to Rs 9,444 crore for the third quarter ending December 2023 (Q3FY24). The country’s largest  insurance company had reported a net profit of Rs 6,334 crore in the same period a year ago. Its net premium income increased to Rs 1,17,017 crore in the third quarter of the current financial year, from Rs 1,11,788 crore in the same period a year ago.