Mumbai, July 16: In major good news for the central government employees, there is a possibility that the announcement regarding a hike in Dearness Allowance (DA) will be made under the 7th Pay Commission by the end of July. The reason behind this increased optimism is attributed to the calculation of the AICPI Index data. The hike in Dearness Allowance (DA) will adhere to the approved formula, which aligns with the recommendations put forth by the 7th Central Pay Commission. 8th Pay Commission To Replace 7th Pay Commission Soon? Centre Likely To Announce Implementation of New Pay Commission in 2026; Check Latest News Update.

The final figure of the AICPI Index for the month of July will play a crucial role in determining the calculation of Dearness Allowance in accordance with the 7th Pay Commission. The extent of the DA hike will be decided based on this data. Recent media reports suggest that there might be a potential four percent increase in Dearness Allowance (DA) for the month of July. If this speculation holds true, it will result in the total DA reaching 46 percent, a rise from the current 42 percent. It is worth noting that the Dearness Allowance for central government employees is revised twice a year. The first revision covers the period from January to June, while the second revision applies to the period from July to December. 7th Pay Commission to Be Soon Replaced by 8th Pay Commission? Check Latest News Update on Date, Pay Matrix Here.

In March 2023, the Central government implemented a 4 percent increase in Dearness Allowance (DA) for its employees, which took effect from January 2023. The next revision of DA is scheduled for July 2023; however, there are indications that the official announcement regarding this revision may be delayed until September or October.

(The above story first appeared on LatestLY on Jul 16, 2023 03:44 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).