7th Pay Commission: Dearness Allowance is zero
A new update has been released regarding dearness allowance for central and government employees. The data regarding the cost of living benefit to be increased in July has been published, giving hope for a significant increase in DA for government employees. The Labor Office has provided figures for a total of 3 months, indicating a potential increase of up to 3 percent in DA. With the current inflation rate at around 5%, a rapid increase in DA is expected when the data for the remaining two months is released.
7th Pay Commission: How much increase in DA
The AICPI index plays a crucial role in determining the increase in DA. The figures from January to June will dictate the salary increase for government employees in July. The AICPI index was at 138.9 in January, resulting in a dearness allowance of 50.84%. With the possibility of 3% revision in DA, experts predict an increase to 52.43% by April, with room for growth based on the figures for May and June. If the AICPI index reaches 143 points in June, a 4% increase in DA is possible, but expectations remain at 3% due to a lack of significant index growth during this period.
7th Pay Commission: 4 percent increase
Experts suggest the potential for a 4% increase in DA, based on the AICPI index reaching 143 points in June. However, the likelihood of only a 3% increase remains due to minimal growth in the index. As central employees currently receive a dearness allowance of up to 50%, any increase in DA in July will directly impact their salaries. The upcoming figures for May and June will ultimately determine the final increase in dearness allowance for government employees.
