7th Pay Commission: Why central government employees may get DA hike sooner than expected-check reasons

The hike in the 7th pay commission linked. Dearness Allowance (DA) of the central government employees was put on hold last year by the government to tackle the crisis emerging out of Covid 19 pandemic. Since then, the government employees have been waiting for the hike in DA.  

But if some reports are to be believed, the central government employees are likely to get the hike in the Dearness Allowance (DA) sooner than expected. This hike will be based on the recommendations on the 7th Pay Commission.  

Several reports are doing the rounds stating that the four per cent DA hike will be restored to the central government this month.  The reports find substance from the fact economic activities are registering improvement across the country. And it is expected that the improving economic scenario may lead the Narendra Modi government to roll out the DA hike early this year. It is to be noted that the government is yet to make any official announcement in this regard.

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The four per cent DA of the central government employee was put on hold last year due to the COVID-19 pandemic. The government had announced to continue the old rate of 17 per cent DA to central government employees till July 2021.

If reports turn out true, around 50 lakh central government employees and around 65 lakh pensioners will benefit with the DA hike from 17 per cent to 21 per cent.  

Meanwhile, in a significant development, the Centre has decided to bring in some reforms for the armed forces, including Central Reserve Police Force (CRPF), Central Industrial Security Force (CISF), Border Security Force (BSF), among others. The central government has decided to extend 'disability compensation' to all its serving employees. It will be applicable if they get disabled in the line of duty and are still retained in service despite their disability. This is in line with the efforts of the government to simplify the rules and rectify discriminatory clauses.  

The Ministry of Personnel recently also recently did away with the minimum qualifying service of 10 years for pension, if a government servant is incapacitated due to bodily or medical infirmity and retired from government service, it said.

In addition, another reform in the Pension Rules was also taken. A decision was also taken to amend the rule and provide pension at enhanced rate to the family of an employee who died during service before completing the requisite service of minimum seven years