For the past few days, employees have been discussing the 8th Pay Commission and discussions going on about DA hike. Under these circumstances, there is a relief news coming out. It is believed that the central government would soon increase the dearness allowance for its employees. The increase in dearness allowances at the beginning of the new year might be a relief for employees. It might have repercussions on the salary of those employees. The government might do it at the start of the year.
Later on, the increase in DA is generally provided by the government.
Expected at the end of January 2025
For a while now, the central government has planned an increase in dearness allowance for all its employees. Along with that, not very far from the final deliberation of the increased dearness allowance will come the next round about the next amendment. The government will likely make the announcement in January 2025. The government has not yet made any official announcement regarding the matter.
But according to the view of the rules, it should give an increase in dearness allowance only in 2025, if there is a delay in such an increase by the government-then the rest of the amount is given as arrears. The government will take the decision to increase it after seeing the Consumer Price Index for the entire month of December at the all-India level.
Dearness allowance hike on this basis to be decided
Twice in a year, that is January and July, dearness allowance for government employees and pensioners gets increased. After which, it is usually the calculation of the increase in dearness allowance, which the government makes, after the six-month interval AICPIN data is received. Now that the AICPIN data of July to December is about to come, based on that, a decision regarding the increase of DA in January may be taken. It is also likely that if the AICPIN data goes behind schedule, then February will be the announcement month for DA.
The December figures will come to this month
So far released are the July-October 2024 data in the AICPIN report. In such a situation, the government will have to find November and December data for DA computation. According to the information, the December figures are expected to come in February 2025. Only after that will the government be able to announce the increase in DA.
Know when DA will increase
The Central Government announced the DA for the year 2024 in a month of October. Because of that, the next announcement about an increase in DA might be held not earlier than March 2025. On March 6 of this year, the Central Government had increased dearness allowance by 4 percent and declared that it would be 50 percent of the basic salary. The amount was also raised by 3 percent as of October and thus the rise in DA stands now at 53 percent.
DA will increase this much in 2025
DA increases depending on AICPIN data only. The AICPIN index already reached 144.5 by October 2024, so dearness allowance can increase up to 55.05 percent. It is believed that by November and December, the AICPIN index will go up to 145.3 percent. Thereby dearness allowance under this scenario possibly increases to 56 percent in January, 2025.
Pensioners will get fence benefits- If the central government increases the DAs by 3 percent, then the minimum salary of the employees can increase by Rs.540. Because at present, the minimum basic has been fixed by the central government as Rs. 18,000. Similar expectations with pensioners also. Pension which was given to the employees can also be increased by Rs. 270. At present, the fixed minimum pension for central government pensioners is Rs.9000.
There will be an increase even in the maximum salary- If DA is increased, then the maximum salary of the employees is to increase, expectedly up to Rs 2,50,000 and maximum pension to Rs 1,25,000. Central Government may increase DA by 3 percent and, in such a case, increase by Rs 7,500 for serving employees. There is also a possibility of an increase of Rs 3,750 for pensioners.