Revised Transport Allowance on implementation of 7th Pay Commission Report

Transport Allowance applicable to Central Government Employees after implementation of 7th Pay Commission report

Next to HRA, Transport Allowance forms considerable part of Central Government Employees Salary. It is granted to cover the expenditure involved in commuting between place of residence and place of duty

It is the only allowance on which Dearness Allowance is paid. The Quantum of Transport Allowance depends on classification of place of posting and level of Pay.

7th Pay Commission recommeded for retaining the grant of Transport Allowance and revised the same by merging DA at the rate of 125% applicable as on 31st December 2015. No additional increase in Transport Allowance was recommended by 7th CPC. Govt accepted these recommendations as such. The revised Transport allowance with effect from 1st July 2017 is as follows.

Employees drawing pay in pay Level

Rates of Transport Allowance Per month

Employees posted in the 19 Cities classified as eligible for higher Transport Allowance Employees posted at all other Places
9 and above Rs. 7200 + DA thereon Rs. 3600 + DA thereon
3 to 8 Rs. 3600 + DA thereon Rs. 1800 + DA thereon
1 and 2 Rs. 1350 + DA thereon Rs. 900 + DA thereon

Checkout Govt’s decision on Transport Allowance (Finance Ministry OM No.21/5/2017-E.II(B) dated 07.07.2018)

Click here to get the list of Cities entitled to higher transport Allowance

Physically disabled Employees coming under following catogories are entitled to Transport Allowance at double the normal rates. In any case Transport Allowance of such employees shall not be less than Rs. 2250/-.

Also read:

Office Memorandum / Orders issued by Govt from time to time

Information and news updates relating to Transport Allowance