It is believed that the proposal for DA increase can be placed in the cabinet meeting soon and after getting the approval, the Central Finance Department will issue the order. With the increase in DA, there will be a bumper jump in the salary of employees and pension of pensioners.
Central Employee DA Hike 2023/7th Pay Commission: Central employees and pensioners are going to get good news soon. Between Navratri and Dussehra, central employees and pensioners can once again get the gift of dearness allowance and dearness relief. According to the latest media reports, in the coming days the Modi government may bring the proposal of dearness allowance to the cabinet and approve it. There is a possibility that this time also DA can be increased by 4 percent, it will be implemented from July, in such a situation arrears of 3 months will also be given. However, official confirmation is yet to be made.
Decision may be taken after October 15
According to media reports, Modi government may announce increase in DA around Dussehra. Any time after October 15-20, the proposal for DA increase can be brought and approved in the Union Cabinet meeting. Looking at the AICPI Index data from January to June, the Modi government can increase DA and DR by 3% to 4%. Is. At present the benefit of dearness allowance is 42%, which is estimated to be 45% or 46% after the increase.
The new DA rates will be implemented from July 1, 2023, in such a situation, the arrears of 3 months of July, August and September will also be given to the employees and pensioners, while other allowances will also increase. If sources are to be believed, assembly elections will be held in five states in the coming days. In such a situation, considering the announcement of dates by the Election Commission, the government can make an announcement regarding DA soon. The benefit of increased dearness allowance (DA) and arrears can be given in the October salary, which will be available in November.
Salary-pension of 1 crore employees-pensioners will increase
After the increase in dearness allowance, the salary of central employees may increase from Rs 8,000 to Rs 27,000 annually. For example, if the basic pay of an employee is Rs 18,000 and he currently gets dearness allowance at the rate of 42 per cent, then it comes to Rs 7,560, which will increase to more than Rs 8,100 at the rate of 46 per cent. At the maximum basic pay of Rs 56,900, it will be around Rs 27,000. Those with a salary of Rs 38,500 will get a benefit of more than Rs 17,000. You will also get the benefit of the same allowances. This will benefit 47.58 lakh employees and about 69.76 lakh pensioners. It is believed that DA-DR will be paid to the central employees and pensioners drawing salary under the 7th Pay Commission by the end of October.
This is how dearness allowance is calculated
- DA/DR rates are revised by the Central Government twice a year in January and July, depending on the half yearly data of AICPI index. The first increase is considered effective from January 1 and the second from July 1.
- The increase in dearness allowance is reviewed by the Central Government on the basis of AICPI data of inflation sent by the Labor Ministry. Its objective is that people receiving salaries and pensions should not face problems in living a proper life due to inflation.
- DA for Central Government employees is calculated on the basis – {Average All India Consumer Price Index of last 12 months (Base Year-2001=100-115.76/115.76}X100. For Central Public Sector employees, the formula is as follows – {Average of 3 months All India Consumer Price Index (Base Year-2001=100-126.33/126.33}X100.
- In other words, the amount of dearness allowance is calculated on the basis of multiplying the current rate of DA and basic salary. For example, if your basic salary is Rs 18 thousand and DA is 46 percent, then your DA formula will be (46 x 29200) / 100. Similarly, dearness relief for pensioners is also calculated.
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