The 7th Pay Commission is considering a four percent increase in dearness allowance and dearness relief for central government employees and pensioners starting on July 1. This would bring the rate of dearness allowance and dearness relief to 54 percent, up from the current 50 percent. The rule states that once the dearness allowance rate exceeds fifty percent, the government must consider forming the Eighth Remuneration Commission, although no official announcement has been made regarding this matter.
C Sreekumar, member of the National Council of Military Staff and general secretary of All India Defense Employees Federation, confirms the current employee dearness allowance rate is 50 percent and expects a four percent increase from July 1. He notes the continuous increase in inflation rates, with slight fluctuations each month, but anticipates a significant increase in DA/DR based on data from January 2024 to June 30, 2024. After the Lok Sabha election results, demands for the formation of the Eighth Pay Commission will be presented to the Central Government.
Inflation rates in rural and urban areas for March and April have been reported based on the All India Consumer Price Index. The annual inflation rate for April 2024 is 4.83 percent, with rural areas experiencing a higher rate of 5.43 percent compared to 4.11 percent in urban areas. The CPI for January, February, and March 2024 ranged from 4.85 to 5.10. Notably, inflation in sectors like clothing and footwear, housing, and fuel and electricity has slightly decreased year-on-year. The combined percentage for inflation stands at 8.52, with varying rates in different sectors and regions.
The index positions for rural and urban areas in April 2024 indicate a CPI (General) of 188.5 percent in rural areas, 184.7 percent in urban areas, and a combined percentage of 186.7. The Food consumer price inflation (CFPI) is 188.9 percent in rural areas and 195.4 percent in urban areas, resulting in a combined percentage of 191.2. In March 2024, the CPI (General) was 187.8 percent in rural areas, 183.6 percent in urban areas, and a combined percentage of 185.8. The CFPI was 187.8 percent in rural areas and 193.4 percent in urban areas, with a combined percentage of 198.8.. Read More Here
