7th Pay Commission: The increased dearness allowance by the government will be implemented from July 1. After the announcement of DA hike on 28th September i.e. third Navratri, it will be given along with the salary of September.
DA Hike: The festival of Navratri has started. With this, the long wait for the increase in dearness allowance of the central employees is about to end. It is going to be announced by the government. According to sources, the formal announcement of Dearness Allowance will be made on 28 September i.e. on the third Navratri. The salary for September will come with a two-month arrear.
Increase in DA due to increase in AICPI index
The data of AICPI-IW (All India Consumer Price Index- Industrial Worker) index is used by the government to decide the Dearness Allowance of lakhs of central government employees. The figures for the first half of AICPI-IW have been released. With the index rising to 129.2 in June, the DA is set to increase by 4 percent.
New dearness allowance will be applicable from July 1
After increasing the dearness allowance by 4 percent, the dearness allowance of central employees will be 38%. Earlier, the dearness allowance for January was announced by the government in March. At that time it was increased from 31 to 34 percent. The increased dearness allowance will be implemented from July 1. On the auspicious days of Navratri, paying it on behalf of the government will bring big money in the pockets of the employees.
How much will be DA
If dearness allowance is increased by 4 percent, then it will become 38 percent. At present, central employees are getting 34% dearness allowance. With DA being 38 percent, there will be a good jump in salary. Let us see how much will the minimum and maximum basic salary increase with 4 percent DA?
Calculation on maximum basic salary
1. Basic salary of the employee – Rs 56,900
2. New Dearness Allowance (38%) – Rs 21,622/month
3. Dearness Allowance so far (34%) – Rs 19,346/month
4. How much dearness allowance increased – 21,622-19,346 = Rs 2260/month
5. Increase in annual salary – 2260 X12 = Rs 27,120
Calculation on minimum basic salary
1. Basic salary of the employee – Rs 18,000
2. New Dearness Allowance (38%) – Rs.6840/month
3. Dearness Allowance so far (34%) – Rs.6120/month
4. How much dearness allowance increased – 6840-6120 = Rs.1080/month
5. Increase in annual salary – 720X12 = Rs 8640
