7th Pay Commission Latest News: How pensioners will benefit from DA, TA, salary hike for central government employees?—EXPLAINED

As government mulls releasing 4 per cent Dearness Allowance for central government employees, around 58 lakh retired central government pensioners are also set to benefit. Pensioners have been also keeping close tab on Dearness Allowance (DA) announcement for the central government employees as it is directly affect their Dearness Relief (DR). They are also expected to get the same kind of monthly pension hike once the DR is restored.      

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Meanwhile, the Modi government is planning to increase Dearness Allowance (DA) of central government employees by 4 per cent and there is also strong rumour that it will clear their arrears too. It has been reported that central government employees could get these benefits well before Holi.  This also means that if the central government employees get 4 per cent DA and 4 per cent pending arrears, the new DA for January to June 2021 will eventually add up to 25 per cent. An additional 4 per cent DA for July to December 2020 is still not added in their monthly salary.     

Currently, they are getting 17 per cent arrears.   

This also implies that salary and other benefits of central government employees will go up significantly.  

According to the 7th Pay Commission rules, central government employees Travel Allowance (TA) will automatically rise once the DA is announced. So, the central government employee's monthly salary will grow many folds once the DA is announced.      

Under the 7th CPC, after the announcement of DA, employees will get arrears for late DA announcement. For example, if the DA is announced in February, then they will get arrears for January 2021 month as the DA is meant for January to June 2021 period. This will affect central government pensioners too as their DR is also getting delayed due to late DA announcement by the Modi Government.       

Earlier, Modi Government had frozen DA and DR till June 2021 in the view of Covid 19, however, some media reports suggest that it might be restored before June 2021. So, both central government employees and pensioners are eagerly waiting for such good news from the Modi Govt as it will increase their monthly salary and pension manifold.