7th Central Pay Commission: Central government may decide to increase dearness allowance, due to coronavirus infection, dearness allowance has not been increased since April 2020
7th Central Pay Commission: The central government is preparing to give good news to its employees. It is believed that the government may soon increase the dearness allowance (DA) by 4 percent, given the latest data on inflation. This decision of the government will benefit 50 lakh employees and 61 lakh pensioners.
In view of the battered economy due to coronavirus infection, the government has prohibited increasing dearness allowance since April 2020. Now many such reports are coming that the central government can increase DA from January. However, no formal announcement has been made by the Central Government in this matter yet.
DA currently accounts for 17 per cent of central government employees. The government had promised that it would increase DA by 4 per cent but postponed it till July 2021 due to coronavirus infection. It is believed that DA will be calculated under the Seventh Pay Commission.
It was earlier reported that the Association of Employees of Central Government Employees and Workers had discussed the current situation with Finance Minister Nirmala Sitharaman. Their demand was that the dearness allowance should be increased in view of the current inflation.
The central government usually increases the dearness allowance twice every year. The proposal to increase dearness allowance was last brought in January 2020, which was passed by the cabinet in March 2020.