An increase of 4% in DA of employees is considered almost certain. The new rates will be applicable from July, hence three months’ arrears will also be paid to the employees and pensioners. This will benefit 47.58 lakh employees and about 69.76 lakh pensioners..
DA Hike 2023: This Diwali is going to be full of happiness for central employees and pensioners. According to media reports, before the voting of elections in five states, the Modi government at the Center is going to give Diwali gifts to the employees and pensioners. After the release of half yearly data of AICPI INDEX, the government is going to revise the DA rates once again. It is believed that this time before Diwali, the government may increase the DA of employee pensioners by 4%. Although earlier the news was coming that the announcement would be made between Navratri and Dussehra, but now it is being said that it will be announced before Diwali.
4% increase in DA possible, will be implemented from July 1
Actually, the government revises the dearness allowance given to central employees twice a year. The benefits of which are given to them from 1st January and 1st July. For the year 2023, the government had made the first amendment and announced 4% DA hike in March 2023 and after this DA increased from 38% to 42%. The benefit of increased DA will be available to employees and pensioners from January 1, 2023. And now if the government increases DA again on Diwali, then it will be given from July 1, 2023.
According to the data received so far, it is considered almost certain that there will be an increase of 4% in the DA of the employees. The new rates will be applicable from July, hence three months’ arrears will also be paid to the employees and pensioners. This will benefit 47.58 lakh employees and about 69.76 lakh pensioners. There is a possibility that the DA proposal may come in the cabinet by the end of October or the first week of November, the Finance Department has started preparations for this. If the proposal is approved, then the benefit of 46% DA, arrears and allowances can be given along with the October salary, which will be given in November.
Know whose salary will increase by how much
- After the increase in dearness allowance by 4 percent, the salary of central employees can increase from Rs 8,000 to Rs 27,000 annually.
- If the minimum basic salary is Rs 18,000, then with 46 percent DA, the monthly increase will be Rs 8,280. In such a case, the employee with this basic salary will get an annual salary increase of Rs 8,640. Similarly, for employees with a salary of Rs 56,900, DA is expected to increase annually by Rs 26,174 if the DA is increased to 46 per cent, hence, those with higher basic pay can expect an annual salary increase of Rs 27,312.
- If the employee gets a salary of Rs 30,000 per month, he will get DA of Rs 12,600 at the rate of 42 per cent and Rs 13,800 if it is 46 per cent, which will increase his monthly salary by Rs 1200.
- Those with a salary of Rs 38500 will get a benefit of more than Rs 17000. You will also get the benefit of the same allowances.
- If the salary of an employee is Rs 50 thousand per month and his basic pay is Rs 15000, then at 42% DA he will get Rs 6,300, if at 46% DA he will get Rs 6,900 per month, in this case the salary will increase by Rs 600 per month. (This figure is shown as an example and is subject to change; this amount may also increase after adding allowances)
This is how dearness allowance is calculated
DA for Central Government employees is calculated on the basis – {Average All India Consumer Price Index of last 12 months (Base Year-2001=100-115.76/115.76}X100. For Central Public Sector employees, the formula is as follows – {Average of 3 months All India Consumer Price Index (Base Year-2001=100-126.33/126.33}X100.
