The Center may soon announce an increase in Dearness Allowance (DA) for more than 50 lakh central government employees and more than 60 lakh pensioners. This will increase the salary of central employees. The Labor Department has announced the All India Consumer Price Index (AICPI) some time back. This has raised hopes of increasing dearness allowance among central employees.
New Delhi. The central government is going to give good news soon to more than 50 lakh central employees and more than 60 lakh pensioners. In fact, the announcement of Dearness Allowance (DA) for Central employees has been waiting for a long time. This wait may end very soon. The central government may announce a 4 percent increase in dearness allowance for central employees this month. This will lead to a direct increase in their salary. Let us know that the Labor Department has announced the All India Consumer Price Index (AICPI) some time back. This has led to an increase in expectations of increase in dearness allowance among central employees. The rate of dearness allowance is determined by the central government AICPI.
Government will also increase 4% in TA
On the basis of AICPI it can be said that the government will increase the dearness allowance by 4 percent, this will give a big benefit to the central employees and pensioners. According to the Seventh Pay Commission (7th Pay Commission), if there is a 4 percent increase in dearness allowance for central employees, their travel allowance (TA) will also increase by 4 percent. However, DA will not be given to central employees from 1 July 2020 to 1 January 2021. In fact, the central government had banned dearness allowance in April 2020 due to the Korana crisis. According to the announcement of the Center then, till June 2021, central employees will not get dearness allowance.
The DA will be increased to 21 per cent. DA and Dearness Relief (DR) are not currently being paid to central employees. At present, the dearness allowance of central employees is 17 percent. After 4 percent increase in DA, dearness allowance will increase to 21 percent and travel allowance will also increase by 4 percent. This will result in a significant increase in the salary of employees and pension of pensioners. From time to time, the center revises the dearness allowance. DA is calculated on the basis of basic salary. This allowance is given to the central employees to help them bear their expenses keeping in view the inflation. It is announced twice a year in January and July. Dearness allowance is combined with HRA.
