Although the exact increase in DA and DR will be known only after the December data is released, the November All India Consumer Price Index-Industrial Workers (AICPI-IW) figures indicate a notable rise in both allowances.
According to the order, the revised DA will be effective from July 1.
Increase to benefit over 1.15 crore individuals; effective from January 1, 2025
The hike will be effective from July 1, which means that employees as well as pensioners will also receive arrears for the months of July, August and September.
The hike will likely be effective from July 1, which means that employees and pensioners will receive arrears for the months of July, August and September
The most recent DA adjustment, a 4 percent increase, was announced this March, effective from January 2024.
Government employees have been eagerly awaiting a hike in DA, which is usually expected towards the end of September.
In March 2024, the government had already implemented a 4 percent increase in both DA and DR, bringing them to 50 percent of the basic pay.
Less than 24 hours before the Lok Sabha and Andhra Pradesh assembly elections schedule announcement, the state government issued orders Friday night releasing dearness allowance (DA) to employees for multiple time periods.
The increase, which is applicable from January 1, 2024, will push up dearness allowance and dearness relief to 50 percent.
Cabinet likely to implement increased DA with effect from January 1, 2024
"DA is not mandatory, it's just an option," she said, adding that her government has given the DA as per the pay commission's fresh directive, and for that purpose, it has spent over Rs 2 lakh and 52 thousand crore in the last two years.
The decision, which will cost a total of Rs 12,857 crore per year, will benefit 48.67 lakh central government employees and 67.95 lakh pensioners
7th Pay Commission DA Hike: The last revision was done on March 24, 2023, and was effective from January 1, 2023. DA is provided to employees and pensioners to compensate them for rising prices.
The dearness allowance for employees and pensioners is worked out on the basis of the latest Consumer Price Index for Industrial Workers (CPI-IW) brought out by the Labour Bureau every month.