7th Pay Commission latest update: Central government employees will soon get a major piece of good news when the official announcement of the next Dearness Allowance (DA) hike is made. A hike of 4 percent is being reported as final which will take the DA figure to 38 percent from the current 34 percent. However, there appears to be more good fortune in store for central government employees as other allowances are also expected to increase.
The increased DA from July will arrive in their bank accounts with the payouts of September as per reports. Along with the increase in DA, other allowances will also increase. This will include an increase in PF and gratuity amounts as well as city allowance and travel allowance. Furthermore, central government employees will also get an increase in House Rent Allowance (HRA) as per time, as per a Zee Business report.
Expected hike in salary with the revision in DA
The hike of 4 percent in DA is estimated on the basis of the All India Consumer Price Index (AICPI) which stayed above 129 points. While there has not been any official announcement till now, a 4 percent hike has reportedly been finalised.
.
Central government employees will receive the increased salary in September along with two months of arrears. The announcement is likely to happen around the auspicious days of Navratri, in a move that will benefit around 1.16 crore employees and pensioners.
An employee with a basic salary of Rs 18,000 will see their DA amount go up from Rs 6,120 currently to Rs Rs 6840 with the DA hike, which means a hike of Rs 720.
The DA is revised twice every year, in January and July. After the first revision of the year, the DA figure went up by 3 percent, from 31 percent to the current 34 percent.
READ | DA hike: Centre says no to setting up 8th Pay Commission, know update on salary hike
