The increase in dearness allowance by 3% will increase the salary to about 21 thousand and the increase in fitment factor will increase the minimum basic salary to 26000.
7th Pay Commission. The Modi government can give two big gifts to central employees and pensioners in February. On one hand, dearness allowance of employees can be increased, due to which the salary will increase by about 21 thousand. The same fitment factor can also be increased, after which the minimum basic salary will be 26000. Overall, these two big decisions will increase the salary of the employees by up to 50 thousand. 1 crore employees will get the benefit of this. If the HRA allowance is increased, then there will be a big jump in the salary.
According to media reports, the Modi government at the Center can increase the fitment factor up to 3.68 in February 2022. At present the fitment factor is 2.57 and if it is increased to 3.68, then there will be a benefit of about 8 thousand in the salary. With this increase, the minimum basic salary i.e. basic salary can be increased from 18000 to 26,000. Its benefit will be given to 48 lakh central employees of the country and about 60 lakh pensioners. In this regard, a big meeting of the employees’ union with the Central Government may be held soon.
The last time the fitment factor was increased was 6 years ago. Earlier in 2016, the fitment factor was increased, in which the minimum basic salary of the employees was increased from Rs 6,000 to Rs 18,000, that is, the employees got the benefit of 12 thousand directly. If there is an increase in the fitment factor again in 2022, then in the salary. 8 thousand will increase.
Dearness allowance may increase by 3 percent
With this, the Modi government can once again give dearness allowance to the central employees. It is expected that the Modi government can increase the DA of the employees up to 3 percent, after which the total DA will increase from 31% to 34%. If there is an increase of 3 percent (DA/HRA Hike) in the same house rent allowance, then the HRA can increase from 27 percent to 30%.
According to media reports, on the basis of inflation data in December 2021, 3 percent increase in DA of employees is believed to be fixed. December figures will be released in January 2022, if CPI (IW) figure is 125 by December 2021 If it stays till then, then there is bound to be an increase of 2 or 3 percent DA. AICPI DA is 32.81% as per data till September 2021 and AICPI index is 125.7 after November data.
With the increase of 3% dearness allowance, the salary of the employees will increase by Rs 20000. If the DA is 34 percent, then the DA of the employees with basic salary of Rs 18,000 will be Rs 6,480 per annum and Rs 20,484 per annum for those with 56000 salary. With the same 3 percent increase in HRA. More than 30 lakh central employees will get the benefit. If there is an increase of up to 3 percent, then the HRA rates will be 10 percent, 20 percent and 30 percent. That is, the minimum HRA of central employees will be 10 percent, which will get a big benefit in the salary of the employees.
Understand the complete math of fitment factor like this
- If the fitment factor is 3.68 per cent, then the salary will increase by Rs 8,000 and the basic salary of the employees will increase to Rs 26,000.
- If the minimum salary of a government employee is Rs 18,000, then he will get Rs 46,260 (18,000 X 2.57 = 46,260) salary excluding all allowances as per 2.57 fitment factor.
- When the fitment factor is 3.68, then the same salary will be Rs 95,680 (26000X3.68 = 95,680).
- This would mean an increase of Rs 49,420 in the overall salary of the employees. If the basic pay increases from Rs 18,000 to Rs 26,000, the dearness allowance will also increase.
