New Delhi: The Union Cabinet on Wednesday approved the restoration of the dearness allowance (DA) hike for Central government employees and employees in a meeting. Union Minister Anurag Thakur said that the Dearness Allowance (DA) for Central government employees and pensioners has been increased from 17 per cent to 28 per cent. He also noted that the revision in DA will be applicable from July 1, 2021.
Over 1.2 crore central employees and pensioners were impatiently waiting for the decision on the restoration of dearness allowance hikes. Till June 2021, the dearness allowance of central government employees stood at 17 per cent of their basic pay.
The Dearness Allowance (DA) for Central Government employees and pensioners has been increased from 17% to 28%. This will be applicable from 1st July 2021: Union Minister Anurag Thakur pic.twitter.com/SCy3AS2hoN
— ANI (@ANI) July 14, 2021
However, with the latest approval from the union cabinet, employees will now get a dearness allowance equal to 28 per cent of their basic pay.
Calculate salary with DA hike:
The central government increased the dearness allowance three times, which includes a 4 per cent hike in January 2020, a 3 per cent increase in June 2020 and a 4 per cent rise in January 2021.
The new dearness allowance stands at 28 per cent if you calculate the current rate coupled with the three pending hikes (17+4 +3+4). For checking the salary increase, an employee will have to calculate 11% of his or her basic salary. Also Read: Wait is over! Revolt RV400 bookings re-open on July 15, here’s how to book yours
For example, if your basic salary is 20,000 per month, then you will get an 11% hike of Rs 2,200 per month. You can similarly calculate your increased salaries that will come starting with July’s salary. Also Read: 7th Pay Commission: Cabinet approves 28% DA hike, check how much your salary will increase.