New Delhi, October 14: Central government employees are eagerly waiting for Dearness Allowance (DA) hike. Keeping in mind the festive season of Diwali, the hike in DA looks set to be announced soon on 7th Pay Commission recommendations. Initial expectations for the DA hike announcement were set before Dussehra, but recent reports suggest that the government might make the announcement before Diwali festivities.

CNBC TV18 reported that the Centre might declare a 4 per cent hike on the DA. It is important to note that there is no official announcement on the same. Once the hike is announced, it is likely to be effective from July 1. It is believed that the long-awaited announcement will come in October. 7th Pay Commission: 4% DA Hike for Central Government Employees by Diwali 2023? Here's How Much Salary Will Increase if Dearness Allowance Is Raised.

If the DA is hiked by 4%, it will lead to a massive salary hike for the Central government employees and there will be a potential increase in the current DA from 42% to 46%. Reports also the Centre might announce the DA hike between Navratris and Diwali. 7th Pay Commission DA Hike Update: Centre to Announce Dearness Allowance Hike For Employees Before Diwali? Check Details Here.

For those with a minimum basic salary of Rs 18,000, the current 42 per cent DA provides a monthly increase of Rs 7,560. If the DA is increased by 4 per cent to 46 per cent, this will translate to a monthly increase of Rs 8,280. Employees with this basic salary can anticipate an annual salary increase of Rs 8,640.

It’s worth noting that the Centre revises DA twice a year. The first hike was enacted on March 24, 2023, with retroactive effect from January 1, 2023, increasing it from 38 to 42 percent.

If the Central government implements a DA hike during Diwali, it will benefit over one crore employees and pensioners, including 47.58 lakh central employees and approximately 69.76 lakh pensioners.

(The above story first appeared on LatestLY on Oct 14, 2023 12:22 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).