Payment of Revised Dearness allowance to Tamilnadu Pensioners and Family Pensioners July 2019

Payment of Revised Dearness allowance to Pensioners and Family Pensioners July 2019

Revised rate Dearness Allowance to the Pensioners and Family Pensioners July 2019

MANUSCRIPT SERIES

Government of Tamil Nadu
2019

FINANCE [Pension] DEPARTMENT

G.O.Ms.No.327, Dated 21st October 2019.

(Vihari, Aiypasi-4, Thiruvalluvar Aandu 2050)

ABSTRACT

PENSION – Dearness Allowance to the Pensioners and Family Pensioners – Revised rate admissible from 1st July 2019 – Orders – Issued.

Read the following:-

1. G.O.Ms.No.154, Finance (Pension) Department, dated: 20-05-2019.

2. From the Government of India, Ministry of Personnel, Public Grievances and Pensions, Department of Pension and Pensioners’ Welfare, New Delhi Office Memorandum No.42/04/2019-P&PW (D), dated 21-10-2019.

3. G.O.MS.NO.323, Finance (Allowances) Department, dated:17-10-2019.

ORDER:

In the Government Order first read above, orders were issued sanctioning the revised rates of Dearness Allowance to the State Government Pensioners / Family Pensioners as detailed below:-

Date from which payable	Rate of Dearness Allowance (Per month)
1	2
1-1-2019	12 per cent of Basic Pension/Family pension

 2. Government of India, in its Office Memorandum second read above has enhanced the Dearness Allowance payable to its Pensioners / Family Pensioners from the existing rate of 12% to 17% with effect from 1st July 2019.

3. In the Government order third read above, orders were issued revising the Dearness Allowance payable to State Government employees and teachers from the existing rate of 12% to 17% with effect from 1st July 2019, following the Government of India’s decision on enhancing the Dearness Allowance to its employees.

4. Following the orders issued by the Government of India, the Government sanction the revised rate of Dearness Allowance to the State Government Pensioners/ Family Pensioners as indicated below:

Date from which payable	Rate of Dearness Allowance (Per month)
1	2
1-7-2019	17 per cent of Basic Pension/Family pension

5. The additional installment of Dearness Allowance payable under these orders shall be paid in cash with effect from 1-7-2019.

6. The arrears of Dearness Allowance for the months of July to September, 2019 shall be drawn and paid by existing cashless mode of Electronic Clearance System (ECS). While working out the revised Dearness Allowance, fraction of a rupee shall be rounded off to next higher rupee if such fraction is 50 paise and above and shall be ignored if it is less than 50 paise.

7. Pending formal authorisation by the Principal Accountant General, the revised Dearness Allowance shall be paid straightaway by the Pension Pay Officer, Chennai-35, Treasury Officers and Public Sector Banks concerned.

8. This order will apply to the following categories of pensioners:-

(i) Government Pensioners, Teacher Pensioners of aided and local body educational institutions and other pensioners of local bodies.

(ii) The State Government employees who had drawn lumpsum payment on absorption in Public Sector Undertaking / Autonomous Body / Local Body / Co-operative institution and have become entitled to restoration of commuted portion of pension as well as revision of the restored amount.

(iii) Present and future family pensioners; In the case of divisible family pensioners, Dearness Allowance shall be divided proportionately.

(iv) Former Travancore-Cochin State pensioners drawing their pension on 1st November, 1956 in the Treasuries situated in the areas transferred to Tamil Nadu State on that date, i.e. Kanniyakumari District and Shencottah Taluk of Tirunelveli District.

(v) Pensioners who are in receipt of special pensions under Extra-ordinary Pension Rules, Tamil Nadu and Compassionate Allowance.

9. The expenditure on Dearness Allowance payable to the Pensioners and Family Pensioners shall be debited to the respective following Heads of Account:

“2071. Pension and Other Retirement Benefits – 01.Civil – 101. Superannuation and Retirement Allowances –State’s Expenditure – AC. Dearness Allowance to Pensioners -303. Dearness Allowance – 01. Dearness Allowance (D.P.C. 2071 01 101 AC 30301)”

“2071. Pension and Other Retirement Benefits – 01. Civil -105. Family Pensions – State’s Expenditure – AC. Dearness Allowance to Family Pensioners of Tamil Nadu Government -303. Dearness Allowance – 01. Dearness Allowance (D.P.C. 2071 01 105 AC 30301) “.

10. The orders regarding sanction of Dearness Allowance to the widows and children of the deceased Contributory Provident Fund / Non Pensionable Establishment beneficiaries of State Government and the former District Boards who are drawing ex-gratia will be issued separately.

11. The increased expenditure due to the sanction of Dearness Allowance in this order is allocable among the successor States as per the provisions laid down under the State Reorganization Act, 1956.

(BY ORDER OF THE GOVERNOR)

S. KRISHNAN

PRINCIPAL SECRETARY TO GOVERNMENT

Payment of DA to the CDA pattern employees of CPSEs, drawing pay in 7th CPC pay scales

7th CPC DA to the CDA pattern employees of CPSEs

Payment of DA to the CDA pattern employees of CPSEs, drawing pay in 7th CPC pay scales

F. No. W-02/0038/2017- DPE (WC)-GL- XXIV/19
Government of India
Ministry of Heavy Industries & Public Enterprises
Department of Public Enterprises

Public Enterprises Bhawan,
Block 14, CGO Complex, Lodi Road,
New Delhi-110003, the 18th October,2019

OFFICE MEMORANDUM

Subject: Payment of DA to the CDA pattern employees of CPSEs, drawing pay in 7th CPC pay scales.
The undersigned is directed to refer to Para No. 3 and Annexure-II(a) and 11(b) to this Department’s O.M. No. W-02/0058/2016-DPE(WC) dated 17.08.2017 wherein the rates of DA payable to the employees who are following CDA pattern pay scales have been indicated.

2. The DA payable to the employees may be enhanced from the existing rate of 12% to 17% with effect from 01.07.2019.

Also check: DA to the CDA pattern employees of CPSEs, drawing pay in 7th CPC pay scales

3. The payment of Dearness Allowance involving fractions of 50 paise and above may be rounded off to the next higher rupee and the fractions of less than 50 paise may be ignored.

4. These rates are applicable in the case of CDA employees whose pay have been revised with effect from 01.01.2016 as per DPE’s G.M. dated 17.08.2017.

5. All administrative Ministries / Departments of Government of India are requested to bring this to the notice of Central Public Sector Enterprises under their administrative control for action at their end

Naresh Kumar
Under Secretary

5% Additional DA approved to Central government employees from July 2019

Ministry of Finance

5% Additional DA approved to Central government employees from July 2019

Posted On: 09 OCT 2019 2:40PM by PIB Delhi

The Union Cabinet Chaired by Prime Minister Narendra Modi today approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2019 representing an increase of 5% over the existing rate of 12% of the Basic pay/Pension, to compensate for price rise.  This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs. 15909.35 crore per annum and Rs. 10606.20 crore in the financial year 2019-20 (for a period of 08 months from July, 2019 to February, 2020).  This will benefit about 49.93 lakh Central Government employees and 65.26 lakh pensioners.

The additional financial implication on account of this increase in Dearness Allowance is estimated at Rs 8590.20 Crore per year; and Rs 5726.80 Crore in the current Financial Year of 2019-20 (for 8 months from July 2019 to February 2020).

The additional financial implication on account of the Dearness Relief to pensioners is estimated to be Rs 7319.15 Crore per annum and Rs 4870 Crore in the current FY.

Dear Allowance/Dearness Relief is paid to Central Government employees/pensioners to adjust the cost of living and to protect their basic pay/pension from erosion in the real value. Dear Allowance/Dearness Relief is revised twice a year from 1st January and 1st July.

Source: PIB

Expected Dearness Allowance 5% DA hike from July 2019 as per 7th Pay Commission for all Central Government Employees

Expected Dearness Allowance

5% DA hike from July 2019 as per 7th Pay Commission for all Central Government Employees

Confirm! DA/DR from July, 2019: 5% increase in 7th CPC DA @17% and 10% increase in 6th CPC DA @ 164%

All India Consumer Price (Industrial Workers) Index Number [CPI(IW)] for June, 2019 has released by Labour Bureau. CPI-IW for June, 2019 increased by 2 points and pegged at 316 (three hundred and sixteen). And with this increase in AICPIN the Central Govt. Employees and Pensioners will get 5% increase in Dearness Allowance with effect from July, 2019 in 7th CPC Pay structure. On the other hand employees who are drawing their pay in pre-revised 6th CPC pay structure will get 10% increase in Dearness Allowance w.e.f. July, 2019 at the rate of 164%, which is currently 154%.

As per prevailing practice this increase may be approved by the Union Cabinet in the month of September, 2019 with direction to draw the increased DA/DR from the month of October, 2019 and arrears for the month of July, August and September, 2019 may be paid at that time.

Detail calculation of DA from July, 2019 to be 17% in 7th CPC & 164% in 6th CPC pay structure with AICPIN of June-2019 is furnished in undermentioned table:-

    "Press Release of AICPIN for June, 2019 increased by 2 points and pegged at 316"

Year	From	To	DA %
2016	July	December	2%
2017	January	June	4%
2017	July	December	5%
2018	January	June	7%
2018	July	December	9%
2019	January	June	12%
2019	July	December	17%

Grand of DA Rates (9% to 12%) effective from Jan 2019- Railways

Dearness Allowance grant to railway employees - Revised rates effective from 1 January 2019

Grand of DA Rates (9% to 12%) effective from Jan 2019- Railways

GOVERNMENT OF INDIA (BHARAT SARKAR)
Ministry of Railways (Rail Mantralaya)
(Railway Board)

PC-VII No.- 131
File No. PC-VII/2016/I/7/2/1

RBE No : 37/2019

New Delhi, dated: 06.03.2019

The General Manager/CAOs(R),
All India Railways & Production Units,
(As per mailing list)

Sub: Grant of Dearness Allowance to Railway employees - Revised Rates effective from 01.01.2019.

The undersigned is directed to refer to this Ministry's letter RBE No. 132/2018 dated 10.09.2018 (F. No. PC-VII/2016/1/7/2/1) on the subject mentioned above and to say that the President is pleased to decide that the Dearness Allowance payable to Railway employees shall be enhanced from the existing rate of 9% to 12% of the basic pay with effect from 1st January, 2019.

1. The term 'basic pay' in the revised pay structure means the pay drawn in the prescribed Level in the Pay Matrix as per 7th CPC recommendations accepted by the Government, but does not include any other type of pay like special pay, etc.
2. The Dearness Allowance will continue to be distinct element of remuneration and will not be treated as pay within the ambit of Rule 1303 (FR 9(21)), Indian Railway Establishment Code, Volume -II (Sixth Edition - 1987) - Second Reprint 2005.
3. The payment on account of Dearness Allowance involving fractions of 50 paise and above may be rounded to the next higher rupee and the fractions of less than 50 paise may be ignored.
4. The payment of arrears of Dearness Allowance (from January to March) shall not be made before the date of disbursement of salary of March, 2019.
5. This issues with the concurrence of Finance Directorate of Ministry of Railways.

(Jaya Kumar G)
Deputy Director, Pay Commission-VII
Railway Board

Source: Indian Railways

Cabinet approves additional 2 percent Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 1st July, 2018

Cabinet approves additional 2 percent Dearness Allowance (DA) for Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 1st July, 2018

---

2% DA

---

Posted On: 29 AUG 2018 1:05PM by PIB Delhi

The Union Cabinet, chaired by the Prime Minister Shri Narendra Modihas approved to release an additional instalment of Dearness Allowance (DA) to Central Government employees and Dearness Relief (DR) to pensioners w.e.f. 01.07.2018 representing an increase of 2% over the existing rate of 7% of the Basic Pay/Pension, to compensate for price rise.

The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief would be Rs.6112.20 crore per annum and Rs.4074.80 crore in the financial year 2018-19 (for a period of 08 months from July, 2018 to February, 2019).

This will benefit about 48.41 lakh Central Government employees and 62.03 lakh pensioners.
This increase is in accordance with the accepted formula, which is based on the recommendations of the 7th Central Pay Commission.

PIB

Expected DA from January 2018: Confirm 7th CPC DA @ 7% & Expected 6th CPC @ 143% - CPI(IW) Index of Oct, 17 released

Expected DA from January 2018: Confirm 7th CPC DA @ 7% & Expected 6th CPC @ 143% - CPI(IW) Index of Oct, 17 released

All India Consumer Price(Industrial Workers) Index Number [CPI(IW)] of Oct, 2017 has been released yesterday by Labour Bureau and increased by 2 points and pegged at 287 (two hundred and eighty seven). With this increase 7th CPC Dearness Allowance/Dearness Relief for Central Govt Employees and Pensioner w.e.f. the month from January, 2018 will be 7% with 2% increase in July, 2017 DA/DR. On the other hand the 6th CPC DA speculated to be 143% with 4% increase in present DA Rate.

The speculation of month of Sept, 2017 while 5 points increase in All India Consumer Price (Industrial Workers) Index Number [CPI(IW)] of July, 2017 was indicating 7% 7th CPC Dearness Allowance with 2% increase & 142% 6th CPC DA with 3% increase in 6th CPC Dearness Allowance from January, 2018 has comes true after 3 months.

Only two months index is to be needed to give the calculated figure for the January, 2018 DA/DR but the confirm speculation is being given through the undermentioned table. The undermentioned speculations are checking the Expected DA by extreme up and down level of CPI(IW) Number. A major ups and down in index will give the confirm 7% 7th CPC DA and a minor change will give variation in 6th CPC DA as 142% or 143%. Have a look on expected DA table:

Expected DA from Jan 2018: ACPIN (IW) for Oct, 2017 released - 2 Points increased

No. 5/1/2017-CPI
GOVERNMENT OF INDIA
MINISTRY OF LABOUR & EMPLOYMENT
LABOUR BUREAU

'CLEREMONT’, SHIMLA-171004
DATED: 30th November, 2017

Press Release

Consumer Price Index for Industrial Workers (CPI-IW) - October, 2017

The All-India CPI-IW for October, 2017 increased by 2 points and pegged at 287 (two hundred and eighty seven). On l-month percentage change, it increased by (+)0.70 per cent between September, 2017 and October, 2017 when compared with the increase of (+) 0.36 per cent for the corresponding months of last year.

The maximum upward pressure to the change in current index came from Food group contributing (+) 1.94 percentage points to the total change. At item level, Rice, Milk (Buffalo), Onion, Bitter Gourd, Brinjal, Cabbage, Cauliflower, Carrot, Gourd, Coconut, French Beans, Green Coriander Leaves, Lady’s Finger, Parval, Potato, Tomato, Torai, Cigarette, Cooking Gas, Doctor’s Fee, Cinema Charges, Repair Charges, Tailoring Charges, etc. are responsible for the increase in index. However, this increase was checked by Arhar Dal, Fish Fresh, Poultry (Chicken), Chillies Green, Peas, Apple, Banana, Orange, Petrol, etc., putting downward pressure on the index.

The year-on-year inflation measured by monthly CPI-IW stood at 3.24 per cent for October, 2017 as compared to 2.89 per cent for the previous month and 3.35 percent during the corresponding month of the previous year. Similarly, the Food inflation stood at 2.26 per cent against 1.30 per cent of the previous month and 2.99 per cent during the corresponding month of the previous year.

At centre level, Darjeeling and Tiruchirapally reported the maximum increase of (10 points each) followed by Munger-Jamalpur (8 points) and Puducherry (7 points). Among others, 6 points increase was observed in 2 centres, 5 points in 8 centres, 4 points in 7 centres, 3 points in 8 centres, 2 points in 19 centres and 1 point in 14 centres. On the contrary, Mercara recorded a maximum decrease of 4 points. followed by Goa and Bhavnagar (3 points each). Among others, 2 points decrease was observed in l centre and 1 point in another 6 centres. Rest of the 6 centres’ indices remained stationary.

The indices of 33 centres are above All-India Index and 43 centres'  indices are below national average. The indices of Madurai and Amritsar centres remained at par with All-India Index.

The next issue of CPHW for the month of November, 2017 will be released on Friday, 29th December, 2017. The same will also be available on the office website www.labourbureaunew. gov. in.

(AMRIT LAL JANGID)
DEPUTY DIRECTOR

PIB

Notification on Dearness allowance (DA) this week

Notification on Dearness allowance (DA) this week

New Delhi: The Central government has announced to release of an additional instalment of 2 per cent of dearness allowance (DA) to central government employees and dearness relief to pensioner with effect from January 1, 2017.

Union Finance Ministry on Monday said that notification in this regard is expected to be issued this week.

The government is to notify its decision to give dearness allowance (DA) and dearness relief (DR) to 4 per cent from existing 2 per cent from January 1, 2017, benefiting 48.85 lakh is employees and 55.51 lakh pensioners.

The Finance Minister Arun Jaitley moved the cabinet note on March 16 for approval of releasing of an additional instalment of 2 per cent of dearness allowance (DA).

The DA/DR has been increased by 2 per cent over the existing rate of 2 per cent of the basic pay/pension to compensate for price rise and it is in accordance with the accepted formula based on the recommendation of 7th pay commission.

The combined impact on the exchequer on account of both dearness allowance and dearness relief would be Rs 5,857.28 crore per annum and Rs 6,833.50 crore in the Financial Year 2017-18 (for a period of 14 months from January, 2017 to February, 2018).

The hike in the DA/DR is as per the agreed methodology of taking average of Consumer Price Index-Industrial Workers for the past 12 months.

The Confederation of Central Government Employees had termed it as a meagre hike in view of actual rise in cost of living index saying the CPI-IW was far from reality.

The union had also said that there was a lot of variation in the rates of price rise of commodities by Ministry of Agriculture and CPI-IW.

TST

7% of 6th CPC Dearness Allowance Increased from 1.7.2016 - Finmin Order

7% of 6th CPC Dearness Allowance Increased from 1.7.2016 - Finmin Order

"who continue to draw their pay in the pre-revised pay band/grade pay as per 6th CPC recommendations, shall be enhanced from the existing 125% to 132% w.e.f. 01.07.2016"

Rate of Dearness Allowance applicable w.e.f. 1.7.2016 to employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the re-revised pay scale/grade pay as per 6th Central Pay Commission

No.1/3/2008-E.II(B)
Government of India
Ministry of Finance
Department of Expenditure

New Delhi, dated the 9th November, 2016.

OFFICE MEMORANDUM

Subject: Rate of Dearness Allowance applicable w.e.f. 1.7.-2016 to employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the pre-revised pay scale/grade pay as per 6th Central Pay Commission Dearness Allowance calculator for DA from January 2017

Consequent upon acceptance of the recommendations of the Seventh Central Pay Commission by the Government, this Department vide O.M.No. 1/2/2016-E.II(B) dated 4th November, 2016 had. issued orders on rate of Dearness Allowance (DA) payable to Central Government employees based on the revised pay structure that came into effect from 01.01.2016.

2. The above rate, however, is not applicable to- those Central Government employees who had exercised an option to continue in the pre-revised scales of pay based on 6th CPC's recommendations or to those whose pay and allowances had not been revised, for different reasons.

3. Further, as the recommendations of 7th CPC have not been made applicable to the employees of Central Autonomous Bodies as of now, they continue to draw their pay in the pre-revised pay band/grade pay as per 6th CPC recommendations. Therefore, the above rate of DA is also not applicable to these employees also.

4. The rate of DA w.e.f.01.01.2016 for Central Government employees and employees of Central Autonomous Bodies in pre-revised scale of pay, were issued by Department of Expenditure vide O.M.No. 1/1/2016-E.II(B) dated 7th April, 2016.

5. Accordingly, the rate of DA admissible to employees of Central Government and Central Autonomous Bodies who continue to draw their pay in the pre-revised pay band/grade pay as per 6th CPC recommendations, shall be enhanced from the existing 125% to 132% w.e.f. 01.07.2016.

6. The contents of this Office Memorandum may also be brought to the notice of the Organisations under the administrative control of the Ministries/Departments which have adopted the Central Government scales of pay.

sd/-
(Nirmala Dev)
Deputy Secretary to the Govt. of India

Click to view the  order
Authority: http://finmin.nic.in/

7th Pay Commission – DA Merger Would have been more Beneficial

7th Pay Commission – DA Merger Would have been more Beneficial – Whether enough organizational pressure was there to get the demand accepted is now an academic issue for discussion only.

The 7^th Pay Commission submitted its report in November 2015. The Empowered Committee of Secretaries blocked it for 7 long months. Finally the cabinet approved the report without any modification, The Gazette Notification on the pay and allowances of employees was issued on 25-07-2016. The same minimum pay of Rs.18000/- The same multiplication factor of 2.57. Absolutely no change.

Let us now analyse what would have been the case, had 50% of Dearness Allowance / Dearness Relief been merged with pay / pension with effect from 01-11-2011. DA merger had taken place before implementation of 5^th and 6^th CPC Recommendations.

Though we had demanded it this time also, it was not agreed to. Whether enough organizational pressure was there to get the demand accepted is now an academic issue for discussion only. The DA / DR was 51% in January 2011. The percentage rates of DA/DR were 58, 65, 72, 80, 90, 100 107, 113, 119 and 125 during subsequent six monthly periods up to January 2016.

Now we shall workout the financial implication of the 50% DA/DR merger notionally.  A person with a basic pay / pension of Rs. 10,000/- would have got Rs. 1,06,500/- as difference in DA/DR for the period 01-01-2011 to 31-12-2015. That is the notional loss. It is easy to workout. For every 1,000 rupee as pay / pension, the benefit would have been Rs. 10650/- We cannot even dream of such an amount as pay revision “bonanza”.

The pay + DA of the lowest paid employee who was drawing Rs. 7,000/- (5,200 +1,800). On 01-01-2016 would have been Rs. 1,8375/- In that case, no Pay  Commission would have dared to recommend Rs. 18000/- as minimum pay as it would have been less than the actual pay + DA drawn by the employee.
Even if we accept the 14.29% increase recommended by the 7^th pay commission, the minimum pay would have been Rs. 21,000/- and so the multiplication factor would have increased to 3 instead of 2.57.
Employees and pensioners would have been benefitted significantly.

We were after the euphoria of a Pay Commission. We thought the 7th pay commission and the Government will deliver us good. It was a folly on our part in not clinching the demand of merger of 50% DA with effect from 01-01-2011. We shall blame ourselves for that. This is a lesson for us to be cautious in future.

Source: CGPA Kerala

7th CPC DA : A decade-long journey begins!

7th CPC DA : A decade-long journey begins!

“The Dearness Allowance calculations as per the recommendations of the 6th Central Pay Commission come to an end; the method prescribed by the 7th Central Pay Commission comes into effect from Jan 2016 onward…!”

The 7th Central Pay Commission was appointed in order to evaluate the methods of calculating the salaries, incentives, benefits, pensions, retirement benefits, and Dearness Allowance of the Central Government employees and serving and retired personnel of the Indian defence forces, and suggest changes, if and when required. Four months have passed since the Central Pay Commission submitted its final report to the Centre.

The government at the centre has the discretion to accept, reject, or modify the recommendations made by the Central Pay Commission. It has constituted a high-level committee to look into the various suggestions in the report. The final decision on the implementation of the recommendations will be made based on the feedback from this empowered committee.

Meanwhile, the Central Government employees federations met with the high-level empowered committee to discuss various issues, including Minimum Wages and Fitment Factor, and to suggest required amendments in the report.

There is likely to be a delay in the publication of the notification containing the accepted recommendations by the 7th Pay Commission. Since the election Model Code of Conduct will be in place until the last week of May 2016, the Government acceptance notification is expected to be published in the first week of June. In that case, there are chances that the revised salaries will be issued from the month of June. Also, the arrears for the past five months are also likely to be released then.

Dearness Allowance is one of the much-anticipated topics among Central Government employees. In its report, the 7th Central Pay Commission had given a short explanation about Dearness Allowance.

The 6th Central Pay Commission suggested elaborate changes in the method of calculating Dearness Allowance. This time however, the 7th Central Pay Commission did not suggest any elaborate changes. It has suggested that the same process be continued.


We have presented a ready reckoner of the procedures that were followed when the 5th Central Pay Commission drew to a close and the 6th Central Pay Commission came into effect, which are very likely to be followed this time too.

The AICPIN points of only the month of January are available as of now. The AICPIN points for February will be released tomorrow.

You can come up with approximate AICPIN points for the remaining four months to calculate the approximate Dearness Allowance.

As of January 1, 2016, according to the Centre, the Dearness Allowance stood at 125 percent. An order of the Ministry of Finance to this effect will be released soon. In the event that the 7th Central Pay Commission recommendations come into effect from January 1, 2016 onwards, the salaries of the Central Government employees will be revised by adding 125 percent to their basic pay. The new Dearness Allowance hike will be issued from 01.07.2016 onwards.

For example, if the basic pay of an employee, as on 01.01.2016, is Rs.12,000 (Grade Pay 2800 + 9200), his salary revisions and Dearness Allowance hikes as per the 6th and 7th Central Pay Commission recommendations, are given below.

Employee’s Pay as on 1.1.2016 as per the recommendations of 6th CPC
Basic Pay + 125% DA: 12000 + 15000 = 27000
Employee’s Pay as on 1.1.2016 as per the recommendations of 7th CPC
Basic Pay + No DA: 31000 + 0 = 31000

(No Dearness Allowance for the period between Jan to Jun 2016 and the first instalment of additional DA will be given only on 1.7.2016)

Source: 7thpaycommissionnews.in

6th Pay Commission Dearness Allowance ends with 6% hike at 125%

6th Pay Commission Dearness Allowance ends with 6% hike at 125%

Cabinet approves 6 percent Dearness Allowance hike for Central Government employees

“In the 7th Pay Commission report, submitted to the government on 19.11.2015, it was mentioned that the DA is assumed to be 125 percent as on 1 January, 2016, the day from which the
Commission expects its recommendations to be implemented by the government. As calculated by the 7th Pay Commission, a six percent Dearness Allowance hike is being given to the Central Government employees.”

The Dearness Allowance (DA) is paid to Central Government employees to adjust the cost of living and to protect their Basic Pay from erosion in the real value on account of inflation. Presently, DA is based on the All India Consumer Price Index (Industrial Workers).

On 23.03.2016, Wednesday, the Centre decided to give a Dearness Allowance of 6 percent to the Central Government employees in order to enable them to manage the price rise and inflation.

On the occasion of Holi, a special cabinet meeting, under the leadership of Prime Minister Narendra Modi, was held in New Delhi on 23rd March 2016. At the end of the meeting, Mr. Ravishankar Prasad, the Minister of Communications and Information Technology, spoke to the reporters. He said, “The cabinet has decided to issue a Dearness Allowance of six percent to the Central Government employees and pensioners.”

The Dearness Allowance is expected to be calculated from January 1, 2016 onwards. This increases the total Dearness Allowance from 119 percent to 125 percent. More than 50 lakh Central Government employees and 58 lakh pensioners will benefit from this. The government will incur an additional financial burden of Rs.14,725 crores. Dearness Allowance is issued twice a year, based on inflation. The previous Dearness Allowance hike, of six percent, was issued in the month of September 2015, and had a retrospective effect from July 2015 onwards.

This is the last and final instalment of Dearness Allowance calculated by the recommendations of 6th Pay Commission. And, after implementation of 7th Pay Commission the new and first Dearness allowance from 1.7.2016 will be approved by the Cabinet in the middle of September 2016.