New Delhi: 7th Pay Commission Latest Update– Recent All India CPI-IW data has once again ignited the hopes of a decent amount of DA hike in the month of July. Lakhs of Central Government employees awaiting the announcement of the hike in Dearness Allowance (DA) have a bright hope due to the latest All India CPI-IW Futures. The AICP index for the month of April, which is a key factor in determining DA, has given rise to speculations in the media about the high probability of DA hike for central government employees next month. In the month of July, the government can bring some more good news for the employees.
According to the latest media reports, there may be a five percent increase in DA in July. That is, the total DA can reach up to 39 percent. Earlier it was being said in the reports that there may be an increase in DA by 4 percent. However, the April AICP index indicates a slightly higher percentage increase.
Dearness Allowance of Central Government employees is revised twice a year. The first is given from January to June, while the second comes from July to December.
The first hike in dearness allowance for the year 2022 was announced in March. The AICPI figure in December 2021 was 125.4. But, in January 2022 it fell 0.3 points to 125.1. The All India CPI-IW for February 2022 was lower by 0.1 points at 125.0 (One Hundred and Twenty Five). On 1-month percentage change, it declined by 0.08 per cent over the previous month, as against a growth of 0.68 per cent recorded between the same month a year ago. There was a jump of 1 point in the month of March. The AICPI index figures for March are 126.
The All India CPI-IW for April, 2022 stood at 127.7 (one hundred twenty seven point seven) with an increase of 1.7 points. Data from the Ministry of Labor and Employment shows that on a 1-month percentage change, it grew by 1.35 per cent over the previous month, as compared to a growth of 0.42 per cent in the same month a year ago.
The year-on-year inflation stood at 6.33 per cent as compared to 5.35 per cent in the previous month and 5.14 per cent during the same month a year ago. Similarly, food inflation stood at 7.05 per cent as against 6.27 per cent in the previous month and 4.78 per cent during the same month a year ago.
The AICP index for April has fueled further speculation that the DA could be raised to 5 per cent which means the total DA could reach 39 per cent.
It may be recalled that the Union Cabinet on March 30 had increased Dearness Allowance (DA) and Dearness Relief (DR) by 3 per cent to 34 per cent, benefiting over 1.16 crore central government employees and pensioners.
The additional installment is effective from January 1, 2022. The hike is as per the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.
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