Central Government Employees to Receive 12% Increase in DA, Salary to Rise by ₹36,000
The central government has announced an increase in the Dearness Allowance (DA). This hike will benefit central government employees and those working in autonomous bodies under the Department of Public Enterprises who receive their salaries based on the 5th and 6th Pay Commissions. The Department of Public Enterprises under the Ministry of Finance issued an official memorandum regarding this on November 7, 2024.
New DA Rates under the 6th Pay Commission
For employees receiving salaries based on the 6th Pay Commission, the Dearness Allowance (DA) has been increased from the current 239% to 246%. This hike will come into effect from July 1, 2024. The 7% increase in DA is applicable under the 6th Pay Commission guidelines.
For instance, if an employee’s basic salary is ₹43,000, they currently receive ₹1,02,770 as DA at 239%. With the new rate of 246%, their DA will increase to ₹1,05,780. This translates to a direct monthly salary increase of ₹3,000.
New DA Rates Under the 5th Pay Commission
For employees receiving salaries based on the 5th Pay Commission, the Dearness Allowance (DA) has been increased from the current 443% to 455%. This hike, reflecting a direct 12% increase in DA, will come into effect from July 1, 2024.
New DA Rates under the 7th Pay Commission
Under the 7th Pay Commission, the Dearness Allowance (DA) and Dearness Relief (DR) rates for central government employees and pensioners have been increased from 50% to 53%. This revision has been effective from July 1, 2024.
Benefit of Dearness Allowance
Dearness Allowance (DA) is provided to government employees and pensioners to offer relief from the impact of inflation. It is determined based on whether the employees work in urban, semi-urban, or rural areas. The central government revises the DA rates twice a year, in January and July. With this revision, employees receiving salaries under the 5th and 6th Pay Commission will benefit from an increase in their DA.