30% HRA for Central Government Employees in Pune and Ahmedabad from 01.04.2014 – Details of re-classification / upgradation of cities for HRA and Transport Allowance

As Pune and Ahmedabad Cities have exceeded 50 lakh population mark as per Census 2011, Government has upgraded these two cities to “X” grade city from “Y” grade city, at par with Metros such as Chennai, Kolkata, Mumbai etc., for the purpose of granting higher House Rent Allowance (HRA) to the extent of 30% to all Central Government Employees including Defence Personnel and Railway Employees.

Likewise, HRA at the rate of 10% granted until now to all Cental Government Employees including Defence Peronnel and Railway Employees working in the following cities will be increased to 20% as these cities have been re-classified and upgraded from “Z” grade city to “Y” city based on Census 2011 Statistics.

City Present Status Status after re-classification Present HRA Rate Revised HRA Rate
Nellore (UA)
Z
Y
10%
20%
Gurgaon (UA)
Z
Y
10%
20%
Bokaro Steel City (UA)
Z
Y
10%
20%
Gulbarga (UA)
Z
Y
10%
20%
Thrissur (UA)
Z
Y
10%
20%
Malappuram (UA)
Z
Y
10%
20%
Kannur(UA)
Z
Y
10%
20%
Kollam (UA)
Z
Y
10%
20%
Ujjain (M. Coprn.)
Z
Y
10%
20%
Vasai-Virar City (M. Corpn.)
Z
Y
10%
20%
Malegaon (UA)
Z
Y
10%
20%
Nanded-Waghala (M.Corp.)
Z
Y
10%
20%
Sangli (UA)
Z
Y
10%
20%
Raurkela (UA)
Z
Y
10%
20%
Ajmer (UA)
Z
Y
10%
20%
Erode (UA)
Z
Y
10%
20%
Noida (CT)
Z
Y
10%
20%
Firozabad (NPP)
Z
Y
10%
20%
Jhansi (UA)
Z
Y
10%
20%
Siliguri (UA)
Z
Y
10%
20%
Durgapur (UA)
Z
Y
10%
20%

The existing Qualification population mark for X Grade city and Y Grade City is more than 50 Lakh and Between 5 lakh and 50 Lakh respectively. Citeis with population less than 5 lakh would be classified as Z Grade City.

House Rent Allowance on the basis of Classification of Cities

Classification of Cities Rate of House Rent Allowance
X 30%
Y 20%
Z 10%

Higher Transport Allowance up to Rs. 3200 plus DA for five More Cities

Union Cabinet has also upgraded following Cities to “A1 / A” Grade as far as granting Transport Allowance to Central Government Employees. These Cities have attained the Population mark of more than 20 lakh as per Census 2011.

City Present Transport Allowance Present Grade Revised Transport Allowance Revised Grade
Patna (UA) Rs. 400 to Rs. 1600 “Other Places Rs. 800 to Rs. 3200 A1 / A
Kochi (UA) Rs. 400 to Rs. 1600 “Other Places Rs. 800 to Rs. 3200 A1 / A
Indore (UA) Rs. 400 to Rs. 1600 “Other Places Rs. 800 to Rs. 3200 A1 / A
Coimbatore (UA) Rs. 400 to Rs. 1600 “Other Places Rs. 800 to Rs. 3200 A1 / A
Ghaziabad (UA) Rs. 400 to Rs. 1600 “Other Places Rs. 800 to Rs. 3200 A1 / A

Transport Allowance on the basis of Grade Pay and Place of Work

Employee Grade Pay Rate of Transport Allowance per month
In 13 Cities Classified as A1 / A earlier Other Places
Grade Pay of Rs.5400 & above Rs. 3200 + DA thereon Rs. 1600 + DA thereon
1. Grade pay of Rs. 42000, Rs.4600 and Rs. 48002. Those drawing grade pay below Rs. 4200 but drawing Pay in the payband equal to Rs.7440 and above Rs. 1600 + DA thereon Rs. 800 + DA thereon
Grade Pay below 4200 and pay in pay band below Rs.7440 Rs. 600 + DA thereon Rs. 400 + DA thereon

Source: Press Information Bureau