- By Ashita Singh
- Wed, 02 Aug 2023 07:22 PM (IST)
- Source:JND
DA Hike News: In good news for all government employees, keeping the rate of inflation in the industrial workers in view, it is likely that the Dearness Allowance hike can be expected around 4 per cent and the formal announcement in this regard can also be expected by the end this month.
Dearness Allowance is a cost-of-living adjustment that is offered to government employees to cope with stubbornly rising prices which is due to high inflation according to the latest data, the retail inflation for industrial workers based on the All-India CPI-IW inched up to 5.57 per cent in June compared with 4.42 per cent in May this year, mainly due to higher prices of certain food items.
The hike for DA and dearness relief (DR) is decided by the central government based on the All-India CPI-IW data. And, given the current inflation rate, the next DA hike is expected to be 4 per cent, as per various reports.
According to the official data, there are 47.58 lakh central government employees and 69.76 lakh pensioners. After the upcoming DA hike, these employees and pensioners will be benefitted.
Recently, various state governments, including Madhya Pradesh, Odisha, Karnataka, Jharkhand and Himachal Pradesh, increased dearness allowance for their state government employees.
Earlier, the Department of Public Enterprises (DPE), under the Ministry of Finance rolled out new rates for Dearness Allowance (DA) for its executive employees and supervisors in CPSEs.
According to DPE, for a basic pay of up to Rs 3,500 per month, the DA rate will be 701.9 per cent of pay subject to a minimum of Rs 15,428. For basic pay between Rs 3,501 and Rs 6,500 per month, the DA rate will be 526.4 per cent of pay subject to a minimum of Rs 24,567. For a basic pay of over Rs 6,500 and up to Rs 9,500, the DA rate will be 421.1 per cent of pay subject to a minimum of Rs 34,216. All these rates are effective from 1 July 2023.