7th Pay Commission hike: Increase on the cards! Central government employees likely to get this much DA increase

7th pay commission DA  Stats  

According to Ministry of Labour and Employment’s All India Consumer Price Index (AICPI) data, inflation has gone up by around 2 per cent from January to June 2020. Experts now opine that in such a case central government employees may well expect 3 per cent DA hike announcement. Though, its actual benefit will get added into their monthly salaries from July 2021. Pic Credit: PTI

7th pay commission DA Hike: Expert's Take 

Expert Harishankar Tiwari, who is a Former Chairman at Pragyagraj-based AG Office Brotherhood said "DA hike is announced on the basis of AICPI hike. Since, the AICPI number rose from 330 to 332 during January 2020 to June 2020. We can expect the DA hike to the tune of 3 per cent". Tiwari’s observations were based on the Labour Ministry data. Pic Credit: PTI 

The central government employees are currently getting 17 per cent Dearness Allowance. The government had to freeze the hike in DA in the wake of the Coronavirus crisis. The hike has been frozen till June 2021. In this period, the central government will announce the DA but it will get added into the monthly salary of a central government employees from July 2021 onward. Pic Credit: Reuters

7th pay commission DA table: Know calculation here 

CPI(IW)BY2001=100 DA% Monthly Increase 

Dec 2019 330 21.43 

Jan 2020 330 22.16 

Jun 2020 332 24.94. Pic Credit: Reuters

Why 7th pay commission DA Hike Frozen?

DA hike and dearness relief for pensioners was frozen till June 2021 to make funds available to fight the Coronavirus. By doing this Centre will be able to generate Rs 37000 crore in FY 2020-21. Pic Credit: Reuters

Is there a precedent? 

Speaking on freezing of DA and DR, Tiwari said that earlier too the DA and DR have been frozen during challenging times, but later on these were restored with increased hike. Pic Credit: PTI