Governor Buta Singh approved a proposal on Thursday raising the retirement age of state government employees from 58 to 60.
The Governor's chief adviser, K A H Subramanian, said that a notification to the effect would be issued soon.
Singh had on Wednesday conceded a 30-point charter of demands of non-gazetted employees.
The main demands of the NGEs included merger of 50 per cent dearness allowance with basic salary, payment of outstanding bonus, dearness allowance and wage arrears for the 55-day strike in 1997 and regularisation of the services of daily wage employees.
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