7th Pay Commission Latest Updates: After a long wait, now central employees will get 28% Dearness Allowance (DA Hike) of basic salary from July 1. The Central Government has approved this proposal. Along with this, the HRA of the employees has also increased. That is, the September salary of the employees will now come with a double bonanza.
HRA also increased along with DA
Along with increasing dearness allowance, the government has also ordered to increase the House Rent Allowance (HRA) of central employees. Let us tell you that according to the rules, HRA has been increased because, dearness allowance has exceeded 25%. Therefore, the central government has also increased the house rent allowance to 27%. In fact, the Department of Expenditure had issued an order on 7 July 2017 in which it was said that when dearness allowance will exceed 25%. So the house HRA will be revised. Since July 1, the Dearness Allowance has increased to 28%, so it is necessary to revise the HRA as well.
HRA will increase according to cities
According to the order of the government, HRA is divided into three categories according to the cities – X, Y and Z. After revision, HRA for X category cities will be 27% of basic pay, similarly HRA for Y category cities will be 18% of basic pay while for Z category cities it will be 9% of basic pay.
Know how much HRA will be now
Understand from the example that if the population of a city crosses 5 lakhs then it gets upgraded from Z category to Y category. That is, instead of 9%, 18% HRA will be available there. The cities whose population is more than 50 lakhs, they fall in the X category. The minimum house rent allowance for all the three categories will be Rs 5400, 3600 and Rs 1800. According to the Department of Expenditure, when the dearness allowance reaches 50%, the HRA will be reduced to 30%, 20% and 10% for X, Y and Z cities.
How much will the salary increase overall
According to the 7th Pay Commission Pay Matrix, the minimum basic salary of central government employees is Rs 18,000. On this basic salary of 18,000, central employees were getting DA of Rs 3060 till June 2021 at the rate of 17%. From July 2021 onwards, they will now get Rs 5040 per month according to 28% dearness allowance. That is, Rs 1980 (5040-3060=1980) will add more amount to the monthly salary. Accordingly, the pension of the pensioners will also be decided. Employees can calculate according to their basic pension, how much salary will increase after increasing DA.
Salary will increase so much
Overall, let us tell you that the minimum DA increase will be Rs 5040 and the minimum HRA increase will be Rs 1800 every month. That is, there will be an increase of Rs 6840 (5040 + 1800) in the salary coming in September.
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