25 per cent DA for central government employs from April? What does this 7th Pay Commission benefit mean, how it helps pensioners? EXPLAINED

7th Pay Commission latest news today: Centre is likely to announce good news for around 52 lakh central government employees before Holi. Besides that, 60 lakh retired central government employees may also get relief. These government employees are likely to see increment in their Dearness Allowance. However, the government is yet to make any official announcement in this regard. DA of central government employees is due from January 2021. This will also mean changes in Dearness Relief (DR) for retired central government employees, whose DR itself is linked with DA.

If government makes this announcement, DA of central government employees can increase by 8 per cent from April, taking their total DA of basic salary to 25 per cent (17+4+4).  The government, however, is yet to make its announcement on the same.  

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Improvement in DA rates
As per media reports, it is also said that the government might make improvement in DA rates as the government had to keep the DA rates at old levels in the wake of Covid 19 pandemic. Currently, it is 21 per cent. Central government pensioners also have huge expectation from the government as DA and DR had been frozen since July 2020.  

Family pension limit has been hiked too
Central government also recently raised upper ceiling for family pension from Rs 45,000 to Rs 1,25,000 per month to provide 'ease of living' for the family members of the deceased employees and provide adequate financial security to them. After this almost three-fold jump in family pension, the Centre is mulling to provide relief to the central government employees on Dearness Allowance (DA) soon.