New Delhi: According to estimates, the central government would probably announce a raise in the daily allowance for its employees between Navratri and Diwali. Once announced, the DA increase will take effect on July 1, 2023. Although prior forecasts predicted a 3 percent DA increase, the amount could go up.
A 4 percent increase is anticipated for central government personnel under the formula used to calculate DA based on the most recent Consumer Price Index for Industrial Workers (CPI-IW), citing an ET report. The dearness allowance will rise to 46 percent after this increase. (Also Read: Turn Your Coffee Dreams Into Gold: Earn Rs 1.5 Lakh Monthly From Rs 5 Lakh Investment In This Business Idea)
Government workers receive DA, whilst retirees receive DR. In January and July of each year, DA and DR are raised. More than one crore retirees and employees of the central government currently receive a 42 percent dearness payment.
The DA was raised by 4 percent to 42 percent in the most recent increment in March 2023. According to a number of reports, the next DA increase will likely be 4 percent given the current inflation rate.
Recently, a number of state governments increased the dearness allowance for their state government employees, including those in Madhya Pradesh, Odisha, Karnataka, Jharkhand, and Himachal Pradesh.
By the end of this month or in the first part of October, it’s possible that the government will reveal the new DA/DR rate that will take effect on July 1, 2023. On September 28 of last year, the government made the announcement that the DA raise would take effect on July 1, 2022.
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For instance, consider an employee of the central government who receives a base pay of Rs 30,000 per month. This employee is eligible for a dearness allowance of Rs 12,600 at the current rate of 42 percent.
However, if the DA increases to 46 percent, he/she will receive Rs 13,800 as a dearness allowance, thereby raising his monthly wage by Rs 1200.
