Huge Salary Hike! Salary Of Govt Employees & Pensioners Will Increase, How Much Will Increase, Check Here
7th Pay Commission: Good news is coming for 50 lakh employees and 65 lakh pensioners of the country. Under 7th Pay Commission, the central government can once again give the gift of an increase in DA in the mont of july.
7th Pay Commission Latest Update
The DA is revised based on the changes in the All India Consumer Price Index (AICPI). Now, as the AICPI is prevailing high, the chances of government employees getting a raise in dearness allowance is also high. The retail inflation in May stood at 7.04 per cent, which is above the RBI’s comfort level of 2-6 per cent.
7th Pay Commission: 6 % DA Hike
According to lates media reports, there may be an increase of 6 percent in the Dearness Allowance (DA) of Central employees and Dearness Relief (DR) of pensioners in July. If there is an increase of 6 percent in DA, then your salary will increase.
Now, after another six per cent hike, the dearness allowance for the government employees will increase from 34% to 40%.
The government generally makes announcements regarding DA in the month of March and September every year. However, The Centre had barred the DA hike from January 2020 till June 30, 2021 because of COVID pandemic. However, the DA hike was restored in July last year.
Read More: Pm Kisan 2022: New Registration For 12th Installment | Apply Now Direct Link Available
7th Pay Commission: Demands For Fitment Factor
Apart from this the government employees’ association also demanding for long time that the fitment factor be increased from 2.57 times to 3.68 times.
If their demand is accepted, then the minimum wage of central government employees will be increased from Rs 18,000 to Rs 26,000. At present the minimum basic pay is Rs 18,000.
7th Pay Commission: What is fitment factor?
Fitment factor is a figure used by 7th Central Pay Commission (CPC) with which the basic pay in 6th Central Pay Commission regime (Pay in Pay band + Grade pay) is multiplied in order to fix basic pay in revised pay structure (7th CPC). Fitment factor formulated by 7th Central Pay Commission is 2.57.
Read More:PM Kisan 12th installment 2022 Beneficiary List
7th Pay Commission: How much salary will increase?
If the fitment factor is increased to 3.68 per cent, the basic pay of the employees will be Rs 26,000. Right now if your minimum salary is Rs 18,000, you will get Rs 46,260 (18,000 X 2.57 = 46,260) as per 2.57 fitment factor excluding allowances. Now if the fitment factor is 3.68 then your salary will be Rs 95,680 (26000X3.68 = 95,680).
7th Pay Commission: Hike in DA of 5% – 6% likely in July
As per the All-India Consumer Price Index (AICPI) data this year, the central government employees will receive a large DA boost of 5%. This percentage is more than the previously predicted 4% increase. If the AICPI data for May will rise, then this figure might rise to 6%.
Read More:7th Pay Commission: 3 BIG Gifts To Govt Employees in This Month, Check Here
7th Pay Commission: Pending DA Arrears
Apart from DA hike, it is also being reported that the settlement of 18-month-old Dearness Allowance (DA) arrears will also be released in July this year. The employees of the Central Government should not give up hope of receiving Rs 2 lakh in pending arrears in a single payment.
7th Pay Commission: Provident Fund Interest Rate
The EPFO and the Central Board of Trustees have suggested an annual rate of interest of 8.10 percent to be credited on EPF accounts of the PF subscribers for the fiscal year 2021-22. It is also reported that the PF interest rate will be credited to the accounts of the government employees in July 2022.