In the recommendations of the Seventh Pay Commission, it was recommended to increase the dearness allowance twice a year. For this reason, the government increases on a half-yearly basis. The announcement for the first half happens around Holi.
Central employees are going to get good news in the month of March. Actually, the Central Government will take a decision on the Dearness Allowance (DA) and Dearness Relief (DR) of the employees. It is believed that before Holi, the government will take a decision in the cabinet meeting.
How much allowance will increase: The government can increase DA and DR by 4 percent. If this happens, the allowance and relief will increase from the existing 38 percent to 42 percent. This will provide relief to more than one crore employees and pensioners. If media reports are to be believed then the central government may also consider DA arrears of 18 months. Explain that the government had told the House that it would not consider paying the arrears for 18 months. This arrears are from January 2020 to June 2021.
When applicable: Explain that the 4 percent increase in DA and DR will be applicable from January 1, 2023. This is for six months. In fact, in the recommendations of the Seventh Pay Commission, it was recommended to increase the dearness allowance twice a year. For this reason, the government increases on a half-yearly basis. The announcement for the first half happens around Holi. Whereas, in the second half, the announcement is made around Navratri.