7th Pay Commission Latest News: BIG announcement on DA, arrears, travel allowance, salary increase of central government employees—check report

It appears the central government employees wait for revised Dearness Allowance is about to end. Apparently, it will also benefit their LTA. The Union Labour Office has declared the AICPI (All India Consumer Price Index) data. This is a good news for the central government employees who are waiting for their revised Dearness Allowance. The move is likely to benefit 35 lakh central government employees waiting for the DA announcement for January to June 2021 period.

This data is crucial as it hints that Prime Minister Narendra Modi-led government at the Centre would announce at least 4 per cent hike in the DA for the said period, taking it to 21 per cent.

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After the declaration of this AICPI data, there is a little more clarity on DA hike for the central government employees.  

Earlier last year, the government had decided to freeze DA for the central government employees till June 2021 due to Covid-19 pandemic. The decision was taken by the Modi government to combat coronavirus outbreak. This is to be understood that the hike in the DA will also lead to a rise in central government employees' Travel Allowance (TA) too.

The Centre had said that DA hike will be announced on the usual time but the salary hike will take place only after June 2021.  

"The announcement by the Centre means that 4 per cent DA hike for July to December 2020 and the expected 4 per cent DA hike under 7th pay commission for January to June 2020 will not be added in the monthly salary of the employees. But once the Centre announces DA hike and adds it to the central government employees' salary, there will be a huge jump in their income."  

The decision by Centre will increase the 7th pay commission linked DA of the Central government employees by 8%.  

The DA restoration will lead to a rise in central government employees' 7th CPC linked Travel Allowance (TA) too.