7th Pay Commission: Central employees will get great news on 31st January. Actually, let us tell you that on January 31, it will be confirmed that the Dearness Allowance (DA Hike) of the employees has reached 50 percent. Let us tell you that the figure of dearness allowance for central employees is based on the numbers of AICPI index.
7th Central Pay Commission – There is great news for central employees. Actually, let us tell you that there will be an increase of four percent in the dearness allowance of the employees. It is being said that on January 31, it will be confirmed that the Dearness Allowance (DA Hike) has reached 50 percent. Dearness allowance will increase for the first time in the year 2024. However, we will have to wait till March for the announcement from the government.
Let us tell you that after the inflation figures come, it will be known how much the allowance should increase. It is clear from the figures so far that there will be an increase of 4 percent in dearness allowance and it will reach 50 percent. But, it is implemented for the employees only after the approval of the government. The government usually approves increase in dearness allowance only after a gap of two months.
Why will dearness allowance increase only by four percent?
The dearness allowance figure for central government employees is based on the AICPI index numbers. It is seen twice a year on a half-yearly basis. The first from January to June and the second from July to December. The numbers between January and June decide how much dearness allowance will increase from July. At the same time, the figures from July to December decide how much the dearness allowance will increase in January.
Till now the numbers of November AICPI index have come. An increase of 0.7 points was seen in the index and it stood at 139.1 points. According to DA calculator, Dearness Allowance (DA HIKE) based on index has reached 49.68 percent. Because the digit after the decimal is more than 0.50, it will be considered as 50 percent. In such a situation an increase of 4 percent is visible.
DA will be finalized from December index-
The November numbers have indicated that the Dearness Allowance (DA Hike) will be 50 percent. But, the December number is yet to come. In such a situation, even if the index increases by 1 point, the dearness allowance will reach only 50.40 percent. Even in such a situation, dearness allowance will be 50 percent.
Even if the index rises by 2 points, DA will reach only 50.49 percent, even then it will be 50 percent on decimal basis. Therefore, it is confirmed that this time also the increase in dearness allowance will be only 4 percent. But, we will have to wait for the December numbers for the final numbers.
DA will become 0 after 50 percent-
Under the Seventh Pay Commission, central employees will get 50 percent DA from January 2024. But, after this the dearness allowance will be reduced to zero. After this the calculation of dearness allowance will start from 0. 50 percent DA will be added to the basic salary of the employees. Suppose if the minimum basic salary of an employee according to his pay band is Rs 18000, then 50 percent of Rs 9000 will be added to his salary.
