New Delhi: 7th Pay Commission latest updates –Over 50 lakh central authorities employees and greater than 65 lakh pensioners, eagerly ready for the implementation of hike in Dearness Allowance may even see a hike of upto 28 p.c from 17 p.c within the month of July.
According to the All India Consumer Price Index (AICPI) knowledge launch, between January and June 2021, at the least DA could be elevated by 4 p.c, media stories have mentioned. The stories additional point out that after the DA is reinstated, the Dearness Allowance of the central employees could improve from 17 p.c to 28 p.c. This features a 3 p.c improve in DA from January to June 2020, a 4 p.c improve from July to December 2020, and a 4 p.c improve from January to June 2021. That means the overall DA calculation will be (17 + 4 + 3 + 4) 28 p.c.
Minister of State for Finance, Anurag Thakur had in March this 12 months instructed Parliament that the employees will get full advantages of dearness allowance beginning July 1 and all of the three pending installments will be restored prospectively. However, what could upset the central authorities employees is that any improve in DA from July 1 will solely be efficient from that day, which signifies that the employees wouldn’t get any arrears on non-revision of DA for earlier interval.
The three installments of dearness allowance for central authorities employees and DR for pensioners, due on January 1, 2020, July 1, 2020 and January 1, 2021, have been frozen in view of the COVID-19 pandemic. In a written reply to the Rajya Sabha, Thakur mentioned: “As and when the decision to release the future installments of Dearness Allowance due from 01.07.2021 is taken, the rates of DA as effective from 01.01.2020, 01.07.2020 and 01.01. 2021 will be restored prospectively and will be subsumed in the cumulative revised rates effective from 01.07.2021.”
As per some stories obtainable within the media, the central authorities employees should remember 7th CPC Fitment Factor of 2.57 whereas calculating the possible hike in month-to-month salary. This means as per the 7th Pay Commission Fitment Factor, if an worker attracts a month-to-month fundamental salary of Rs 21,000 then one’s month-to-month 7th CPC salary hike will be Rs 51,400 (Rs 20,000 x 2.57).
At current, central authorities employees get DA of 17 per cent. This degree of DA grew to become efficient from July 2019 with additional revision due from January 2020. But this together with subsequent two different revisions have been suspended due to Covid. Last 12 months, the Union Cabinet had permitted a 4 per cent improve in DA for presidency employees and pensioners to 21 per cent. This was to be efficient from January 1, 2020. However, in wake of the pandemic the disbursement of DA at elevated charges was suspended together with DR for the pensioners.
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