Big news has come for the central employees in the country, recently the central government can announce an increase of 3% in the fitment factor of the employees on the new year, let us know this news in detail…
There is good news for Central Government employees and pensioners. Many big changes may be seen in his salary next year. Dearness allowance will increase again in the new year.
The government can also give an update on the next pay commission. But, the best news can be found on the fitment factor. First let’s talk about Dearness allowance.
The data of AICPI index that has come so far indicates that next time also a growth of 4-5 percent can be seen.
With this, employees in high salary bracket will get an increase of more than Rs 20 thousand. More than 1 crore employees and pensioners will directly benefit from this.
Dearness allowance will exceed 50 percent
After getting 46 percent dearness allowance and dearness relief, the Modi government at the Center can increase the dearness allowance of central employees by 4-5 percent in the new year January 2024.
AICPI index data till September has been released. Till now dearness allowance has increased by 2.50 percent. At present the DA score is at 48.54 percent. If the estimates are correct, dearness allowance can reach 51 percent.
Salary will increase by Rs 49,420
For example, if the basic salary of a central employee at Grade Pay 1800 at Level-1 is Rs 18,000, then excluding allowances, the salary calculated according to the fitment factor will be Rs 18,000 X 2.57 = Rs 46,260.
If this is considered as 3.68 then the salary will be 26,000X3.68= Rs 95,680. Meaning the total difference in the salary of the employees will be Rs 49,420. This calculation has been done on minimum basic salary. Those with maximum salary will get bigger benefits.
What is fitment factor?
Fitment Factor is the formula for determining the basic pay of all central government employees. It was implemented on the recommendations of the 7th Pay Commission (7th CPC).
Due to this, the salary of the employees automatically increases. The last time the fitment factor was increased in 2016. Then the basic salary of central employees was increased from Rs 6 thousand to Rs 18 thousand.
As per the recommendations of the 7th Pay Commission, the fitment factor is 2.57. While fixing the salary of central employees, excluding allowances (Dearness Allowance (DA),
Traveling Allowance (TA), House Rent Allowance (HRA), etc.), is calculated by multiplying the basic component of the employee by the fitment factor of 2.57.
