7th Pay Commission: Increase in Dearness Allowance (DA) January, 2020 Know the Full Calculation
7th Pay Commission: Increase in Salary due to an Increase in Dearness Allowance, Know the Full Calculation.
The good news that the government employees were waiting for has arrived. Modi government has announced an increase in dearness allowance (DA). This time the government has increased the DA by 4%. This will increase the salary of the employees by 10 thousand rupees per month.
General Secretary of All India Account and Audit Committee HS Tiwari said that an increase of 4% DA means that level 1 employees, whose basic is Rs 18000 per month, their salary will increase by Rs 900 per month. While there will be a hike of 10 thousand rupees in the salary of the Cabinet Secretary level officer.
According to HS Tiwari, with the increase in dearness allowance, travel allowance (TA) of government employees will also increase. This will increase the TA of Level 1 employees from Rs 67.50 to Rs 360 per month.
Second most advantage
The DA of the employees had increased to 17 percent last time. Now it has increased to 21% by 4%. This will be the second major increase in DA after the 7th pay scale is implemented in 2016. That is, for the second time in 3 years, central employees have gained the most. RK Verma, convenor of the State Employees' Joint Council, UP also said that this time there was hope for more increase in DA. But 4% was also a good increase.
DA of central employees will be calculated in this way, this is a new formula
The government has changed the formula to increase the salary of 3 crore industrial workers. Now the salary of these workers will be increased by 6 months. For this, the consumer price index (CPI) data will be taken every 6 months. The government has also decided to implement a new base year.
According to a Business Standard report, this formula will be applied in the calculation of Dearness Allowance, DA, of central employees. DA Express of Government employees to Zee Business Harishankar Tiwari told that changing the base year will result in a new calculation of DA. The first base year was 2001, now it has been decided to increase it to 2016.
According to Harishankar Tiwari, the talk of bringing a new base year was going on for many days. In 2006, when the 6th Pay Commission came into force, the base year was changed to 2001. Earlier it was 1982. Also, the government was in the system of changing the base year every 6 years.
Employees in the New Index
Tiwari said that the new industrial centers will now be included in the new index, which will increase the number of such centers from 78 to 88.
What is the base year?
The official website of the Labor Department has been told on labourbureau.gov.in that the base year for AICPI is 2001.
Why change base year?
In the last 15 years, many things including cars and mobiles have been added to the list to include the effect of the changes in the lifestyle of industrial workers. Changes in the base year are expected to affect crores of rupees on the government exchequer.
Change every 6 months
Dearness allowance is given to improve the standard of living of the employees. This allowance is given to government employees, pensioners and public sector employees. Dearness allowance is given so that even after rising inflation, employees do not have any problem in living. Normally Dearness Allowance is changed every 6 months, January and July.
How the calculation takes place?
Dearness Allowance% = (Avg of CPI-IW for the past 12 months - Average of CPI-IW recorded in 2015) * 100 / (Average of CPI-IW recorded in 2015)
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