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HomePersonal Finance7th Pay Commission: Another Good News for Central Employees! Salary will increase...

7th Pay Commission: Another Good News for Central Employees! Salary will increase by Rs 95,000, know details

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New Delhi: 7th Pay Commission: Central employees are going to get good news once again. Central employees and pensioners have started getting 28% dearness allowance (7th Pay Commission Latest News) from September. But now in the meantime news is coming, soon the government can give dearness allowance of June (7th Pay Commission DA Hike) by adding it. If this happens, then the total dearness allowance will be 31% instead of 28%. That is, there is going to be a bumper increase in the salary of central employees.


3% DA is yet to increase

It is worth noting that the dearness allowance for June 2021 has not been decided yet. But, based on the AICPI data for January to May 2021, 3% dearness allowance will increase further. JCM Secretary (Staff Side) Shiv Gopal Mishra said that soon this too is to be announced. At present, it is not decided when it will be paid. But, after the increase of 3 percent, the dearness allowance will reach 31 percent.

Dearness Allowance 4% in January 2020

Let us tell you that in January 2020, dearness allowance was increased by 4 percent. Then in June 2020, there was an increase of 3 percent. After this, it increased by 4 percent in January 2021. That is, in these three jumps, the dearness allowance has increased by 11% and now it has reached 28%. Now after the increase of 3 percent in June, the dearness allowance will reach 31 percent (17+4+3+4+3).

According to what will the salary increase?

The Central Government has removed the ban on freeze dearness allowance for the last 18 months, the DA of the employees has been increased by 11%, now the Central Government employees and pensioners will be paid DA and DR at the rate of 28%. Central employees and pensioners can get an idea of ​​the salary increase according to their basic pay and grade.

How much will the salary increase at present, here is the calculation

Based on the 7th Pay Commission matrix, the level-1 salary of central employees ranges between Rs 18,000 to Rs 56,900. Therefore, we will calculate the minimum basic salary of Rs 18,000 to see how much increase in the salary of September to the central employee.




Calculation on minimum basic salary

Calculation on 28% Dearness Allowance

On a basic salary of Rs 18,000, the total annual dearness allowance will be Rs 60,480. But the difference of annual increase in salary will be Rs 23760.

1. Basic salary of the employee Rs. 18,000

2. New Dearness Allowance (28%) Rs.5040/month

3. Dearness Allowance so far (17%) Rs.3060/month

4. How much dearness allowance increased 5040-3060 = Rs.1980/month

5. Increase in annual salary 1980X12 = Rs 23760

Calculation on 31% DA

If the dearness allowance is increased by 3 percent in June, then the total DA of the employees will become 31 percent. That is, now on the basic salary of Rs 18,000, the total annual dearness allowance will be Rs 66,960. But talking about the difference, the annual increase in salary will be Rs 30,240.

1. Basic salary of the employee Rs. 18,000

2. New Dearness Allowance (31%) Rs.5580/month

3. Dearness Allowance so far (17%) Rs.3060/month

4. How much dearness allowance increased 5580-3060 = Rs.2520/month

5. Increase in annual salary 2520X12 = Rs 30,240

Calculation on maximum basic salary




If we calculate the maximum basic salary, then according to 28% dearness allowance, the total annual dearness allowance on the basic salary of Rs 56900 will be Rs 191,184. But talking about the difference, the annual increase in salary will be Rs 75108.

1. Basic salary of the employee Rs 56900

2. New Dearness Allowance (28%) Rs.15932/month

3. Dearness Allowance so far (17%) Rs.9673/month

4. By how much dearness allowance increased 15932-9673 = Rs 6259/month

5. Increase in annual salary 6259X12 = Rs 75108

Calculation on 31% DA

1. Basic salary of the employee Rs 56900

2. New Dearness Allowance (31%) Rs 17639/month

3. Dearness Allowance so far (17%) Rs.9673/month

4. By how much dearness allowance increased 17639-9673 = Rs 7966 / month

5. Increase in annual salary 7966X12 = Rs 95,592

According to 31% dearness allowance, the total annual dearness allowance on the basic salary of Rs 56900 will be Rs 211,668. But talking about the difference, the annual increase in salary will be Rs 95,592.

Bumper increase in the salary of employees

After all this, let us tell you that the calculation of how much the final salary will be will come only after adding other allowances including HRA. After this, when the dearness allowance for June 2021 will increase by 3%, the salary will increase accordingly. Then this whole calculation will be at 31 percent. That is, overall it is clear that there is going to be a bumper increase in the salary of central employees.

Pravesh Maurya
Pravesh Maurya
Pravesh Maurya, has 5 years of experience in writing Finance Content, Entertainment news, Cricket and more. He has done BA in English. He loves to Play Sports and read books in free time. In case of any complain or feedback, please contact me @ businessleaguein@gmail.com
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