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HomePersonal Finance7th Pay Commission: Good news for government employees! HRA will increase...

7th Pay Commission: Good news for government employees! HRA will increase by 3% before Dussehra

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The Central Government has issued an order saying that the House Rent Allowance (HRA) and Dearness Allowance (DA) should be increased on the basis of the basic salary of the government employees. According to the rules, the HRA has been increased because the DA has exceeded 25 per cent.



New Delhi. The Prime Minister Narendra Modi government of the Center is going to give good news to the government employees in the festive season. Actually, the government is increasing the house rent allowance (HRA) of central employees by 3 percent. The government has not even given the arrears of dearness allowance withheld for one and a half years. However, from July 2021, Dearness Allowance (DA) has been increased from 17 per cent to 28 per cent. Now the government has increased the HRA by 3 percent to 25 percent of the basic salary for the month of August.

The Central Government has issued an order saying that the house rent allowance and DA should be increased on the basis of the basic salary of government employees. According to the rules, the HRA has been increased because the DA has exceeded 25 per cent. In such a situation, the Center has also decided to increase the HRA to 27 percent. The Expenditure Department of the Central Government had said in an order issued on 7 July 2017 that when the DA exceeds 25 percent, then the HRA will also be changed. Now the dearness allowance has increased to 28 percent from July 1, so it is necessary to increase the HRA also.





For which city, how much HRA will

be given, according to the category of the existing city of the HRA employee, 27 percent, 18 percent and 9 percent are being given. This hike has also come into effect from July 1, 2021 along with DA. The category of HRA is according to the X, Y and Z class cities. In other words, if a central employee is in X category city, he will now get more than Rs 5,400 per month HRA. After this, Y category employees will get Rs 3,600 per month and Z class employees will get Rs 1,800 per month.

Central Employees Understand the Mathematics of Pay Hike




According to the Seventh Pay Commission (7th Pay Commission), the minimum basic pay of central employees is Rs 18,000. At the same time, the basic salary of private sector employees starts from Rs 15,000. Central employees were getting DA of Rs 3,060 on the basic pay of Rs 18,000 at the rate of 17 per cent till June 2021. From July 2021, central employees are to get Rs 5,040 per month at the rate of 28 per cent DA. Now the monthly salary of the employees has increased by Rs 1,980.

 

Pravesh Maurya
Pravesh Maurya
Pravesh Maurya, has 5 years of experience in writing Finance Content, Entertainment news, Cricket and more. He has done BA in English. He loves to Play Sports and read books in free time. In case of any complain or feedback, please contact me @ businessleaguein@gmail.com
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