The central government is planning to give a good news to its 7th pay commission employees in early 2022. According to reports, the central government is planning to increase the Dearness Allowance (DA) of its employees once again under the 7th Pay Commission.
The expected increase to the employees can be up to 3 percent. According to a leading daily, after this special increase, the salary of central government employees will be increased by Rs 20,000. Notably, DA is usually extended twice a year, between January and July.
DA is given as cost-of-living adjustment allowance. Which the government pays to public sector employees as well as pensioners working in the same sector. This year the DA of central government employees has been increased by 31 percent. It was given in the month of July and October. The decision came after employees faced months of withholding of their pay increases due to the Corona pandemic.
In July this year, the government had increased DA and DR for the first time and increased the rate of allowance from 17 per cent to 28 per cent and later in October it was again increased to 3 per cent. Not only this, according to reports, the central government is also considering increasing the fitment factor. In this, the salary of all public sector employees will increase. It was last extended to central government employees in 2016.
Not only this, according to reports, the central government is also considering increasing the fitment factor. In this, the salary of all public sector employees will increase. It was last extended to central government employees in 2016.
18 Months Outstanding DA Arrears
At the same time, a big decision can be taken on the outstanding 18 months DA arrears of the employees. It is believed that a meeting can be held on the DA of the employees in the last week of December. However, there is no update in this matter yet. At the same time, the demand for arrears given by the Employees’ Council has been entrusted to Prime Minister Narendra Modi to make a lump sum payment. Employees are talking about one time settlement payment of Darius.
DA Calculation
- Basic salary of employee Rs 18000
- New DA (34%) Rs 5580/month
- DA (31%) Rs 5580/month
- Increase in DA Rs 6120- 5580= Rs 540/month
- Increase in annual salary Rs 540X12= 6,480
Calculation of DA on maximum basic salary
- Basic salary of employee Rs 56900
- New DA(34%) Rs 19346/month
- DA (31%) Rs 17639/month
- Increase in DA Rs 19040-17639= Rs 1707/month
- Increase in annual salary Rs1707 X12= 20484
