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7th Pay Commission latest update: Good News for central government employees! 31% DA hike expected –Details here

By Jessica

New Delhi: 7th Pay Commission Latest News –The Central employees could soon be getting some good news regarding Dearness Allowance (DA) once again. 

Central employees and pensioners have started getting 28% dearness allowance as per 7th Pay Commission from September. Meanwhile, some reports in the media have indicated that government may give dearness allowance by adding the months from June. If this happens, the total dearness allowance will be 31% instead of 28%, which means that there is going to be a bumper increase in the salary of central employees.

Notably, the dearness allowance for June 2021 has not been decided yet. But, based on the AICPI data for January to May 2021, 3% dearness allowance could be increased further and also might be announced soon. At present, there is a lot of ambiguity as to when the final decision will be made. After an increase of 3 percent, the total dearness allowance will reach 31 percent.

In January 2020, dearness allowance was increased by 4 percent. Then in June 2020, there was an increase of 3 percent. After this, it increased by 4 percent in January 2021. In three revisions, the dearness allowance has increased by a total of 11 percent and now it has reached 28%. Now after the increase of 3 percent in June, the dearness allowance will reach 31 percent (17+4+3+4+3).

The Central Government has removed the ban on freeze dearness allowance for the last 18 months, the DA of the employees has been increased by 11%, now the Central Government employees and pensioners will be paid DA and DR at the rate of 28%. Central employees and pensioners can calculate the salary increase according to their basic pay and grade.

However, the total calculation of how much the final salary will be estimated can be made only after adding other allowances including HRA. After this, when the dearness allowance for June 2021 will increase by 3%, the salary will increase accordingly. Overall it is clear that there is going to be a bumper increase in the salary of central employees.

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