DA Hike News: Dearness allowance is expected to increase by 3 percent for central employees. This increase may happen soon. Let us know why there cannot be an increase of 4 percent.
7th Pay Commission: A three percent increase in the dearness allowance of central employees is expected. However, this increase is possible only after the announcement of the central government. On the other hand,
central government employees were expecting a 4 percent hike in DA, as the AICPI-IW data for June was released, according to which the dearness allowance rate is more than 3 percent. According to the PTI report, an increase of 3 percent has been estimated in the dearness allowance of the employees.
At present, central employees are getting DA at 42 per cent of their basic pay, while pensioners are being given dearness relief at 42 per cent of their basic pension. If we look at the AICPI-IW data of June, then dearness allowance can be increased by 4 percent. In such a situation, the DA of the employees will be 46 percent. This means that the employees will get more money than before.
Why DA is expected to increase by only 3 percent
A recent PTI report said that the central government is likely to increase Dearness Allowance by three percent to 45 percent and there is a reason for it. According to Shiv Gopal Mishra, general secretary of All India Railwaymen’s Federation, the DA hike is a little over 3 per cent as per AICPI-IW data. However, the government does not consider increasing DA beyond the decimal point. This means that the government can increase DA or DR by 3 percent.
DA hike is decided on AICPI-IW data
It is worth noting that the dearness allowance for employees and pensioners is calculated on the basis of the latest All India Consumer Price Index (AICPI-IW) for industrial workers released by the Labor Bureau every month. AICPI-IW data for the month of June 2023 was released on July 31, 2023.
When will DA increase
The Department of Expenditure under the Ministry of Finance can soon prepare a proposal regarding the increase in DA. This proposal will later be placed before the Union Cabinet headed by Prime Minister Narendra Modi for final approval. After this, a decision can come regarding the increase in DA.
