Tamil Nadu Chief Minister Jayalalitha today raised Dearness Allowance (DA) by 7% for all Government Employees with effect from 1.7.2012. The additional enhanced payment of the Dearness allowance will be paid in cash to all regular employees with back date from 1.7.2012. The existing rate of Dearness allowance is now 65%, the revised rate of Dearness allowance will become 72% with effect from 1.7.2012. The calculation of Dearness allowance, Pay in the pay band plus Grade pay with multiple of 72%.