7th Pay Commission: Central Government Employees Alert! Check Revised Rates of Dearness Allowance (DA)

The Department of Expenditure informed that the Government has announced revised rates of DA (dearness allowance) for the central govt. employees. Moreover, the new rates of DA are effective from 1^st January 2022.

In an office memorandum dated 7^th April 2022, it said that "Revised rates of Dearness Allowance (DA) to the employees of Central Government & Central Autonomous Bodies continuing to draw their pay in the pre-revised Pay Scale/Grade Pay as per the 5th Central Pay Commission from 01/01/2022".

The Dearness Allowance for these employees has been increased from the previous 368 percent to 381 percent.

The Department of Expenditure also stated that the "Revised rates of DA to the employees of Central Government & Central Autonomous Bodies continuing to draw their salary in the pre-revised Pay Scale/Grade Pay as per the 6th. Central Pay Commission from 01/01/2022".

The Dearness Allowance for these employees has been enhanced from the existing rate of 196% to 203%.

7^th Pay Commission Update on DA, DR

It must be noted that on 30 March 2022, the union cabinet chaired by Prime Minister Narendra Modi hiked the Dearness Allowance for central government employees & Dearness Relief (DR) for pensioners from the existing rate of 31% of the basic pay or pension to 34% to "compensate for price rise."

The DA and DR hike was according to the accepted formula that is based on the recommendations of the 7th Central Pay Commission.

Also, it is worth mentioning that last year on 21st October 2021, the DR and DA were increased from 28% of the basic pay or pension to 31 per cent. Previously the DA and DR were enhanced from 17 per cent to 28 per cent on 14 July 2021.