DA Hike Alert: There is good news on DA hike. The central government may soon announce DA hike for its employees.
DA Hike: There is good news for central government employees and pensioners. The DA hike may be announced soon for the last time under the 7th Pay Commission. The DA hike usually comes into effect from July, but its announcement is delayed. Usually, DA is deposited in the accounts of central government employees and pensioners during the festive season in the country in October. In such a situation, when can the DA hike be announced this time and how much increase is expected? Let’s know.
What was the increase last time?
In March this year, the government announced a 2% hike in the dearness allowance given to central government employees and pensioners, effective from January 2025, making it 55% of their basic pay. Prior to this hike, the DA was 53% of the basic pay. DA is an important factor in the salary of government employees, as it helps them mitigate the impact of inflation on their income.
How much increase is expected this time
The increase in dearness allowance is calculated on the basis of the Consumer Price Index for Industrial Workers (CPI-IW), which is released monthly by the Labor Bureau under the Ministry of Labor. The Bureau shares these index values every month which reflect the relative changes in the retail prices of a certain category of goods and services consumed by industrial workers over a period of time. This time a 3 percent increase is expected in DA. According to media reports, this time DA can be announced soon.
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