Central Govt DA Hike: Under the seventh pay commission, the central government employees are likely to get good news in the beginning of the new year 2022. According to reports, the central government may once again increase the dearness allowance of its employees. This time the central government employees will get 3 percent increase in their dearness allowance. If these things are to be believed to be true, then along with the increase in Dearness Allowance (DA) at the beginning of the new year, there can be a huge increase in the salary of all government employees.
According to a Hindi daily Prabhat Khabar, which was quoted by India Today the salary of central government employees will increase by up to Rs 20,000. Usually, the government increases the dearness allowance of central government employees twice every year – that is between January and July.
Dearness Allowance or DA is a living adjustment allowance that the government pays to employees of public sectors as well as pensioners working in the same sector. DA forms a major part of the gross salary of public sector employees. It is mainly given to employees to offset the effects of inflation. DA is given not only in India but also in Bangladesh and Pakistan.
Till now 31 percent dearness allowance is given to central government employees. The most recent hike was done in July and October 2021, following a month-long suspension of allowances due to the COVID-19 pandemic. In view of the pandemic, the central government had put on hold three additional installments of DA and DR, which were due from January 1, 2020, July 1, 2020 and January 1, 2021.
It should also be noted that during these hikes, the government did not pay dues to its employees in view of the pandemic situation.
In this regard, it should also be noted that the government has not made any statement regarding the possible increase and the news is based only on certain reports. There has been no official confirmation from the Center regarding this DA hike, nor has it been announced when it will be implemented.
The Union Cabinet in October had increased Dearness Allowance and Dearness Relief by 3 per cent to 31 per cent to benefit 47.14 lakh central government employees and 68.62 lakh pensioners. Information and Broadcasting Minister Anurag Singh Thakur gave this information.
Earlier in July, the government had reinstated Dearness Allowance (DA) and Dearness Relief (DR) after a prolonged moratorium and raised the rate of allowances from 17 per cent to 28 per cent.
Apart from the DA hike, there is another good news that the central government employees should wait for the year to end. According to some reports, the central government is in discussion to increase the fitment factor. The salary of all public sector employees will increase as the fitment factor increases.
The fitment factor for central government employees was last increased in 2016. During that time the basic pay of the employees was increased from Rs 6,000 to Rs 18,000. The government is now reportedly trying to increase the salaries of the employees after a gap of six years. According to reports, the fitment factor will be increased by 3.68 percent. This means there will be an increase of Rs 8,000, after which the basic pay for public sector employees will increase to Rs 26,000.
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