7th Pay Commission latest news today: The coming months are bringing good news for central employees. A decision will be taken soon on increasing dearness allowance and dearness relief for employees and pensioners.
The next change is scheduled for July 2024. According to experts, this may also increase by 4 percent. But, it will be announced by the month of September. The Labor Bureau has the data of AICPI index till March. However, the data for February and March has not been released yet. After this, figures for April, May and June are also to come. This may increase the DA score. Based on current numbers, dearness allowance is at 51 percent. But, the final number will be decided only after July. Looking at the current inflation trend, experts are claiming that there will be a 4% increase in dearness allowance (DA Hike).
DA Hike: 4% increase decided
The new dearness allowance will be effective from July 1, 2024. It may take till September for the announcement to be made. After this it will be added to the salary. The difference of existing DA will be paid along with arrears. At present, central employees are getting 50% dearness allowance. If we look at the trend of the index, it is certain to increase by 4 percent. With this, the total dearness allowance of central employees will increase to 54 percent. However, it is not denied that dearness allowance can be reduced to zero. Whatever may be the situation, there will be an increase of 4 percent in dearness allowance. Dearness allowance of central employees is linked to the AICPI index. The data of 6 months will decide how much increase there will be in dearness allowance.
Announcement may be made in September
Dearness allowance is increased twice a year. It is implemented from January and July. But, these are announced in the months of March and September. The increased dearness allowance for January 2024 was announced in March. Dearness allowance was increased to 50 percent. At the same time, now the increase in dearness allowance for July 2024 can be announced by September. There are possibilities of 4% increase in dearness allowance (DA Hike). As of January the index is visible at 138.9. Based on this, the score of dearness allowance has become 50.84 percent, which will be considered as 51 percent. The next number of AICPI index will be released on the evening of 31 May. It is possible that this time the Labor Bureau will release the data of three months together.
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Expert claims DA will increase by 4%
Experts who calculate inflation claim that 4% DA Hike will be approved for July 2024. Even though the numbers of All India Consumer Price Index- IW are not available. But, the inflation trend is pointing in this direction. Obviously, dearness allowance may increase by up to 4%. The final number of the index will come by July 31, which will confirm the total increase in dearness allowance.
DA Hike: How to know how much it will increase?
Dearness allowance of central employees depends on consumer inflation i.e. All India Consumer Price Index. If this figure increases continuously then dearness allowance also increases in the same order. Consumer inflation figures for the first half of this year have arrived for three months. Looking at this trend, it seems that in the coming days dearness allowance will increase at the rate of 4%. But, the remaining numbers of the index will also have to be seen.
7th Pay Commission: Dearness allowance will be available from this formula
The Ministry of Labor and Employment had changed the calculation formula regarding Dearness Allowance. The Labor Ministry had changed the base year of Dearness Allowance (DA) calculation. A new series of Wage Rate Index (WRI-Wage Rate Index) was released. In this, the Labor Ministry released a new series of WRI with the base year 2016=100. It was implemented in place of the old series of base year 1963-65.
