7th Pay Commission latest news today: For all central government employees waiting for the Dearness Allowance (DA) announcement for January to June 2021 period, there is a piece of good news.
For all central government employees waiting for the Dearness Allowance (DA) announcement for January to June 2021 period, there is a piece of good news. The Union Labour Office has declared the AICPI (All India Consumer Price Index) data that indicates that the Centre may will announce DA hike to the tune of at least 4 per cent. After the declaration of this SICPI data, things regarding the DA hike for the central government employees have become clearer now.
It should be noted that the Centre had decided to freeze DA for the central government employees till June 2021 during the COVID-19 lockdown. The Centre took this decision to combat COVID-19 pandemic. In this DA freeze announcement, the central government had announced that it will announce DA hike on the usual time but the salary hike will take place only after June 2021.
Big 7th Pay Commission salary hike round the corner
This means, 4 per cent DA hike for July to December 2020 and the expected 4 per cent DA hike under the aegis of 7th pay commission for January to June 2020 will not be added in the monthly salary of the central government employees. However, once the DA hike announced gets added into the central government employees’ salary, there will be a huge jump in their income as there will be an additional 8 per cent hike in their DA.
Apart from DA, the DA restoration will lead to a rise in central government employees’ Travel Allowance (TA) hike too. According to the seventh pay commission rules, all central government employees’ TA will rise in sync with the DA rise. So, if the Centre announces 4 per cent DA for the central government employees, then not just DA but the TA will also rise in the same volume for the central government employees.
Currently, central government employees’ DA is 17 per cent of their basic salary. Once the DA gets restored then their DA will go up from 17 per cent to at least 25 per cent (17 + 4 + 4).
