If the DA increases to 34 percent, then the employees whose basic salary is Rs 18000, they will get the amount of DA of Rs 73440 annually.
7th Pay Commission. Central employees and pensioners are going to get a big gift soon. According to media reports, the Modi government of the Center can give 2 big gifts to the employees in February. On one hand the dearness allowance of the employees can be increased, due to which the salary will increase by 20484. The same fitment factor will increase by 3%. After this, the minimum basic salary will be 26000. With both these decisions, about 70 thousand employees will be benefited in the salary of the employees and 1 crore employees will be benefited.
According to media reports, the Modi government at the Center can increase the fitment factor by 3.68 percent in February 2022. At present the fitment factor is 2.57 and if it is increased to 3.68 percent, then there will be a benefit of about 8 thousand in the salary. With this increase, the minimum basic pay i.e. basic salary can increase from 18000 to 26,000. Earlier in 2016, the fitment factor was increased, in which the minimum basic salary of the employees was increased from Rs 6,000 to Rs 18,000, that is, the employees got the benefit of 12 thousand directly. The fitment factor decides the basic salary for all the central government employees. Due to its increase, dearness allowance and other allowances also automatically increase.
Dearness allowance will also increase
Apart from this, the Modi government can once again increase the dearness allowance to the central employees. It is expected that the Modi government can increase the DA of the employees up to 3 percent, after which the total DA will increase from 31% to 34%. The data of AICPI-IW (All India Consumer Price Index for Industrial Workers) for December, 2021 has been released. In December, however, it has come down by 0.3 points to 125.4. But it has become clear that the dearness allowance will increase by 3 percent. This hike in DA is from July to December 2021. Due to this there will be a bumper jump in the salary of the employees.
There will be a benefit of 73 thousand in salary
According to media reports, AICPI DA is 32.81% as per data till September 2021 and AICPI index is 125.7 after November data. If the dearness allowance increases by 3 percent, then the salary of the employees will increase by Rs 20000. If the DA is 34 percent, then the DA of the employees with basic salary of Rs 18,000 will be Rs 6,480 per annum and Rs 20,484 per annum for those with 56000 salary. If the DA increases to 34 percent, then in such a situation, the employees whose basic salary is Rs 18000, they will get the DA amount of Rs 73440 annually.
DA Hike’s Calculation
- Increase in DA of central employees by 3 percent will increase the salary up to Rs 20000.
- If the DA becomes 33% and the basic salary is Rs 18,000, then the DA to the employees will increase by Rs 5940 and adding TA-HRA, the salary will be Rs 31,136.
- If the DA is 34 percent, then the DA of employees with basic salary of Rs 18,000 will be Rs 6,480 per annum and Rs 20,484 annually for those with salary 56000.
- The maximum basic salary will increase by full Rs 1707. 48 lakh central employees and about 60 lakh pensioners of the country will be benefited by the increase in DA.
- If the DA increases to 34 percent, then the employees whose basic salary is Rs 18000, they will get the amount of DA of Rs 73440 annually.
Math of fitment factor
- If the fitment factor is 3.68 per cent, then the salary will increase by Rs 8,000 and the basic salary of the employees will increase to Rs 26,000.
- If the minimum salary of a government employee is Rs 18,000, then he will get Rs 46,260 (18,000 X 2.57 = 46,260) salary excluding all allowances as per 2.57 fitment factor.
- When the fitment factor is 3.68, then the same salary will be Rs 95,680 (26000X3.68 = 95,680).
- This would mean an increase of Rs 49,420 in the overall salary of the employees. If the basic pay increases from Rs 18,000 to Rs 26,000, the dearness allowance will also increase.
