New Delhi. The central government can give a wonderful gift to the government employees on the occasion of New Year. According to media reports, the Modi government is also considering increasing the fitment factor. The fitment factor decides the basic salary for all central government employees.
If the Modi government increases the fitment factor, then the minimum basic salary of the employees i.e. basic salary can increase to 26,000. If the cabinet approval is received before the budget, then it may be possible that it should be implemented before the budget.
Modi government is considering
In fact, there has been a long-standing demand of central and state government employees that their fitment factor should be increased from 2.57 per cent to 3.68 per cent. It is expected that a decision on the fitment factor of central employees can be taken before the budget to be presented on February 1, 2022.
May be included in the budget draft
The fitment factor of central employees can get approval from the Union Cabinet. According to the news, after the approval of the cabinet before the budget, the government can include it in the budget expenses.
26 thousand will be the minimum basic pay
If the central government increases the fitment factor, then the salary of the central employees will automatically increase. The fitment factor decides the basic salary for all central government employees. The fitment factor was last increased in 2016, in which the minimum basic pay of employees was increased from Rs 6,000 to Rs 18,000. A possible increase in the fitment factor could lead to a minimum basic pay of Rs 26,000. At present, the minimum basic pay is Rs 18,000, which will increase to Rs 26,000.
All allowances will increase
If the basic pay increases from Rs 18,000 to Rs 26,000, then the dearness allowance will also increase. Dearness Allowance is equal to 31 per cent of Basic Pay. DA calculation is done by multiplying the DA rate by the basic pay. That is, due to increase in basic salary, dearness allowance will automatically increase.
