29 cities upgraded for higher HRA & Transport Allowance
The Union Cabinet today approved upgradation of 29 cities and towns on the basis of 2011 population census for providing higher house and transportation allowance to central government employees. The revised classification of cities would be effective from April 1, 2014 and cost the exchequer approximately Rs 128 crore for 2014-15. "The Cabinet has approved reclassification / upgradation of certain cities/towns on the basis of Census 2011 for the purpose of granting House Rent Allowance (HRA) and Transport Allowance to central government employees," Communications and IT Minister Ravi Shankar Prasad told reporters here. One the basis of the census, 2 cities - Pune and Ahmedabad - have been upgraded to 'X' class from 'Y' and 21 cities to 'Y' from 'Z' for the purpose of HRA, an official statement read. These 21 cities are Nellore, Gurgaon, Bokaro Steel City, Gulbarga, Thrissur, Malappuram, Kannur, Kollam, Ujjain, Vasai-Virar Ci