Hyderabad: The Cabinet Committee on Economic Affairs has revised the house rent allowance downwards by 2 to 6 per cent, leading to protests from railway staff unions. Employees in cities with more than 50 lakh population drawing 30 per cent HRA which has been revised to 24 per cent. HRA for employees in cities with population from 5 lakh to 50 lakh has been revised from 20 per cent to 16. For smaller towns, the HRA had been pegged down from 10 per cent to 8 per cent.

The CCEA has calculated the HRA at the minimum pay of Rs 18,000. It also also recommended three more levels of HRA based on Dearness Allowance. Mr Marri Raghavaiah, general secretary of the National Federation of Indian Railwaymen, said the decision was discriminatory. “We are also opposing the proposal the other two proposals which depend on the DA,” he said.

The CCEA said the revision would help the staff. It increased children education Allowance from Rs 1,500 to Rs 2,250 per month and hostel subsidy from Rs 4,500 to Rs 6,700 per month. Special allowance for child care for women employees with disability has gone up from from Rs 1,500 to Rs 3,000 per month. The higher qualification incentive has been increased from Rs 2,000 to Rs 10,000. Allowances to guards and drivers and train controllers have been hiked.