7th Pay Commission Good News: Centre Approves Release of Additional Installment of DA to Government Employees and Dearness Relief to Pensioners- Details Here
7th Pay Commission Good News: Centre Approves Release of Additional Installment of DA to Government Employees and Dearness Relief to Pensioners- Details Here
7th Pay Commission Good News: Bringing smiles to lakhs of Central government employees, the Union Cabinet chaired by Prime Minister Narendra Modi on Friday approved a proposal to increase the release of an additional installment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to Pensioners. The government raised the DA for employees and pensioners by 4 percent, taking the total to 42 percent from 38 percent. The additional installments will be effective from January 1, 2023. This will benefit 47.58 lakh employees and 69.76 lakh pensioners.
7th Pay Commission: Check Latest Updates On DA, Salary Hike
- Cabinet has approved the release of an additional instalment of Dearness Allowance to Central Government employees and Dearness Relief to Pensioners, due from 1st January 2023. This will benefit 47.58 lakh employees and 69.76 lakh pensioners: Government of India
- The centre will spend Rs 12,815 to fund the hike in dearness allowance. The DA hike has been applied retrospectively from Jan 1, 2023. The DA has been hiked from 38% to 42%.
- Cabinet clears 4% hike in dearness allowance for central government employees
Last DA Hike Updates
- Last time, DA was hiked on September 28, 2022 which was effective from July 1, 2022.
DA Hike During Holi Festival
- Earlier reports suggested that the DA hike may be announced during Holi Festival which was on March 8.
Govt Employees Get DA at 38%
- Currently, the Central government employees are getting dearness allowance at 38 per cent and it is likely to increase by 4% this time to 42%.
How is DA Calculated?
- The Dearness Allowance for the central government employees is calculated based on the latest Consumer Price Index for Industrial Workers (CPI-IW). The Labour Bureau generally releases the CPI-IW data every month.
Minimum Salary to Increase
- According to reports, the government employees’ minimum salary is likely to see an increase from Rs 18,000 to Rs 26,000 after the hike in fitment factor. The DA is also likely to be increased by 4 per cent to 42 per cent.
7th Pay Commission big update: 4 percent DA hike approved for central government employees
The Centre on Friday cleared the next round of Dearness Allowance (DA) hike for central government employees. The cabinet cleared the first DA hike of 2023 which will now take the figure to 42 percent for central employees.
The decision came after a Union Cabinet meeting today (March 24) which was chaired by Prime Minister Narendra Modi. The existing DA rate was 38 percent. The hike will be effective from January 1, 2023 for central government employees. Pensioners will also benefit from the 4 percent hike in their Dearness Relief (DR).
“The Union Cabinet chaired by the Prime Minister, Shri Narendra Modi, has given its approval to release an additional instalment of Dearness Allowance to Central Governments employees and Dearness Relief to Pensioners with effect from 01.01.2023. The additional instalment will represent an increase of 4% over the existing rate of 38% of the Basic Pay/Pension, to compensate against price rise,” the official notification said.
The hike will benefit around 47.58 lakh central government employees and 69.76 lakh pensioners. The combined impact of the DA and DR on the exchequer would be Rs.12,815.60 crore per annum, the notification added.
“This increase is in accordance with the accepted formula which is based on the recommendations of the 7th Central Pay Commission,” the notification said.
(With Inputs From Agencies)
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