The Central Government can give another gift to lakhs of its employees very soon. According to recent reports, the Central Government led by Prime Minister Narendra Modi can once again increase the Dearness Allowance (DA) in July. This will likely benefit about 50 lakh employees of the central government as their saleaies will increase once again.

Lakhs of central government employees waiting for announcement on hike in Dearness Allowance (DA) have a brighter hope, thanks to the recent All-India CPI-IW data. The AICP Index, crucial factor in determining the DA, for the month of April points at the probability of increase in the DA of the central government. If latest reports are to be believed, there could be a five percent hike in DA in July. This means the total DA could reach upo 39 percent. The Dearness Allowance of central government employees is revised twice a year. The first is given from January to June, while the second comes from July to December.  7th Pay Commission: DA of Government Employees Likely to be Hiked Soon, Salary May Increase Upto 40,000

The first increase in dearness allowance for the year 2022 was announced in March. In December 2021, the AICPI figure stood at 125.4. But, in January 2022, it declined by 0.3 points and fell to 125.1. The All-India CPI-IW for February, 2022 decreased by 0.1 points and stood at 125.0 (one hundred twenty five). On 1-month percentage change, it decreased by 0.08 per cent with respect to previous month compared to increase of 0.68 per cent recorded between corresponding months a year ago. For the month of March, there was a jump of 1 point. The AICPI index figures for March stands at 126. 7th Pay Commission: 8th Pay Commission For Central Government Employees Soon? Here’s an Update

The April AICP Index has fuelled further speculation that DA could be hiked by upto 5 percent which means that the total DA could reach upo 39 percent. 

It may be recalled that the Union Cabinet had on March 30 hiked Dearness Allowance (DA) and Dearness Relief (DR) by 3 per cent to 34 per cent to compensate for the price rise, benefitting over 1.16 crore central government employees and pensioners.

(The above story first appeared on LatestLY on Jun 03, 2022 09:11 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).