The DA of central employees is increased 2 times in a year in January and July, the amount of increase in DA depends on the figures of AICPI index released by Labor Department, which are released every month. But for DA there is a data review every 6 months.
7th Pay Commission DA Hike: There is good news for more than 1 crore central employees and pensioners. A big update has come out on the next dearness allowance. If media reports are to be believed, in September, the Modi government at the Center may increase the dearness allowance by 3 percent for more than one crore employees and pensioners. At present the dearness allowance is 42 per cent, which can be increased to 45 per cent soon. This estimate has been made from the numbers of the June AICPI index released by the Ministry of Labour.
Actually, the DA of central employees is increased twice a year in January and July, the amount of increase in DA depends on the data of AICPI index released by Labor Department, which is released every month. But for DA, the data is reviewed every 6 months and on the basis of this, the first increase is in January and the second in July. As the figures till June have been released, the 3% increase in DA is believed to be fixed. There is a possibility that the new rates of DA can be announced anytime between Raksha Bandhan and Diwali.
Dearness allowance can be increased to 45%
Currently the DA of central employees is 42%, which is applicable from January to June 2023. Next DA is to be applicable for July to December 2023. This will be the second hike of the year. It is expected that the DA may be increased by 3 per cent in September, after which the DA of the employees will increase to 45 per cent. It will be implemented from 1 July 2023, in which case arrears of 2 months will also be given. This will benefit 1 crore employee-pensioners. Earlier in March 2023, DA was increased to 42 percent.
3 percent increase in DA possible
Speaking to news agency PTI, Shiv Gopal Mishra, general secretary of All India Railwaymen’s Federation, said that the CPI-IW for 2023 was released on July 31, 2023. The employees are demanding a 4 percent hike in the dearness allowance. But the increase in DA works out to a little over 3 per cent. Government will not increase DA in decimal. Due to this there can be an increase of 3 percent in DA. A proposal to increase DA will be made by the Finance Ministry and sent to the Union Cabinet for approval. The proposal will be placed before the Union Cabinet for approval and the DA hike will be effective from July 1, 2023.
