7th Pay Commission Latest Update: Centre Likely To Announce 5% Hike in Dearness Allowance for Government Employees; Check Details

If reports are to be believed, there is a possibility that there could be a five percent hike in DA in July. This means the total DA could reach up to 39 percent from the previous 34 percent.

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Mumbai, June 13: After a hike of 3 percent earlier this year, Central government employees are eagerly waiting for the next round of the Dearness Allowance (DA) hike. According to several reports, the DA Hike is expected to come in July. Earlier this year, the Centre increased the DA from 31 percent to 34 percent for government employees under the 7th Pay Commission recommendations.

Besides DA Hike, reports also suggest that the government may take a decision on increasing 4 other allowances for the central government employees. The hopes of a hike in DA of government employees are all dependent on the All-India CPI-IW data. The AICP Index for the month of April 2022 points to the probability of an increase in the DA to be 4-5 percent. 7th Pay Commission Latest Update: Centre Likely To Hike Dearness Allowance to 38% for Government Employees.

It must be noted that the AICP Index is one of the most crucial factors in determining the DA hike. If reports are to be believed, there is a possibility that there could be a five percent hike in DA in July. This means the total DA could reach up to 39 percent from the previous 34 percent.

Every year, the Dearness Allowance of central government employees is revised twice a year. While the first hike is given in the first half of the year. the second hike most likely takes place in the second half of the year. On March 30 this year, the Centre hiked the Dearness Allowance (DA) and Dearness Relief (DR) by 3 percent, thus taking the DA hike to 34 percent from 31 percent. Mumbai Detects 3 Cases of BA.4, 1 of BA.5 Omicron Sub-Variants of COVID-19.

The Centre is also likely to consider revising the rate of 4 other allowances that are decided based on the DA level. These include hike in provident funds, gratuity, house rent allowance (HRA), and Travel Allowance and compensatory (City) Allowance.

(The above story first appeared on LatestLY on Jun 13, 2022 10:17 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).

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