7th Pay Commission (CPC) Latest News Today 2021: According to media reports, revised HRA will be paid along with this month’s salary. Central government employees get HRA hike as per the categories of cities in which they reside.
Due to increase in Dearness Allowance (DA) and Dearness Relief (DR), Central Government employees are expected to get double bonus this week. Earlier, the Prime Minister Narendra Modi-led NDA government at the Center increased the DA for lakhs of central employees from 17 per cent to 28 per cent. The DA hike will be applicable from July 1. Later, the Center also decided to increase the House Rent Allowance (HRA) of central government employees from August 2021.
The Center had issued an order saying that DA and HRA of central government employees should be increased on the basis of their basic salary. As per the rules framed by the Centre, the HRA will be increased by three per cent if the DA employee’s basic pay exceeds 25 per cent. The Department of Expenditure had issued an order in 2017, stating that the HRA would be automatically revised when the DA exceeds 25%.
According to media reports, revised HRA will be paid along with this month’s salary. Central government employees get HRA hike as per the categories of cities in which they reside. For those living in ‘X’ category cities, this increase will be 27 percent. The HRA hike for residents of ‘Y’ and ‘Z’ categories will be 18 per cent and nine per cent, respectively.
Cities with a population of more than 50 lakhs are in the X category. Cities with population more than 5 lakh and less than five lakh have been placed in Y and Z category cities respectively.
The salary of a government employee at entry level (Level 1) ranges from Rs 18,000 to Rs 56,900, which means the basic salary of a government employee is in this range. Employees with a salary of Rs 18000 at 17 per cent DA rate were getting Rs 3060 as DA till June 2021. However, from July 2021 (after the DA hike) these employees are getting Rs 5040 per month.
