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7th pay commission: Central govt officials to get a salary hike before Holi?, Big news on DA

By Saima Siddiqui 
Updated Date

New Delhi: The Modi-government may soon announce a good news for Central government employees! The Central government is planning to increase the Dearness Allowance (DA) of employees by an additional 3% to 34%. According to reports, a decision on DA increase could be taken on March 16, 2022 – a few days before Holi 2022. It is also expected that by Holi 2022, employees will also receive their pending DA arrears. 

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Hike in DA by 3%

Notably, the current total Dearness Allowance (DA) is 31%, which might be increased to 34%. The DA of Central government employees is updated two times a year between January and July and is calculated by multiplying the current rate of dearness allowance by the base wage. 

Dearness Allowance percentage = ((Average of AICPI (Base Year 2001=100) for the past 12 months-115.76)/115.76) x 100. 

DA is given to government workers, public sector employees, and pensioners. It is given to the employees to help with their living expenses.

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50 lakh central government employees will be benefited

After the announcement of increased in DA and DR, more than 50lakh central employees and about 65 lakh pensioners will be benefited. After this, the next dearness allowance will be calculated in July 2022.

DA arrears of Central government employees 

According to an earlier report, all Central employees will get their full salary in March, including the DA arrears – for January and February. Recently Shiv Gopal Mishra of the National Council of JCM had said that the DA arrears of Level-1 employees varied from Rs 11,880 to Rs 37,554. Employees at Level-13 (7th CPC basic pay scale Rs 1,23,100 to Rs 2,15,900) or Level-14 (pay scale) will owe Rs 1,44,200 and Rs 2,18,200 in DA arrears, respectively.

-6,480 will be increased on minimum wage

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After the DA will be increased to 34%, the employees with 18,000 basic salary will get DA of Rs 6,120. These employees are currently getting Rs 5,580 at the rate of 31% DA i.e., their monthly salary will increase by Rs 540. In this way, the annual salary will be hiked by Rs 6,480.

-Hike on maximum salary

Employees whose basic salary is Rs 56,900, they will get Rs 19,346 at the rate of 34% DA. Since at the present such employees are getting Rs 17, 639 according to 31% DA, then their monthly salary will increase by Rs 1,707. That is, the annual salary will increase by Rs 20,484.

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