DA Hike Update: The new year can bring good news for the central government employees. It is believed that the Dearness Allowance (DA) can reach up to 56 percent. At present, the dearness allowance in the country is 53 percent, which the government can increase by 3 percent.
DA Hike Update Budget 2025: The new year is going to bring good news for the central government employees. It is believed that the Dearness Allowance (DA) can reach up to 56 percent. At present, the dearness allowance in the country is 53 percent, which the government can increase by 3 percent. If this happens, then the dearness allowance given to the central government employees can be from 53 percent to 56 percent. This increase is possible on the basis of the data of the All India Consumer Price Index (AICPI) till October 2024. The government may announce it anytime but it will be considered effective from January 1, 2025.
AICPI Index and Dearness Allowance
DA is determined on the basis of the AICPI index, which is released at the end of every month. After this, changes are made in the dearness allowance at an interval of about six months. In September 2024, the AICPI index was at 143.3 and in October 2024 it increased to 144.5. However, the figures for November 2024 have not been released yet, which were to come on December 31. Now it is likely that the figures for November and December 2024 will be released together on January 31, 2025.
DA of central employees may go up to 56%
Employees are being given 53 percent dearness allowance since July 2024. Based on the AICPI data till October 2024, DA has already crossed 55 percent. If the figures for November and December also show the same trend, then the new DA may be announced in March 2025. If we look at the record of previous years, the government has announced DA hike in March before Holi. If announced in March, it will be considered effective from January 1, 2025. DA arrears of 2 months will be available.
DA hike will have a big impact
Even a 1 percent increase in DA brings a big change in the salary of the employees. Dearness allowance is given to employees to give them relief from the impact of rising inflation. This increases their spending capacity. Also, the pension of pensioners also increases. However, the increase in dearness allowance affects the government treasury. But this step is taken to strengthen the employees financially and to deal with their purchasing power and inflation.
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