7th Pay Commission: Centre Likely to Announce DA Hike for all Government Employees on This Date

Government employees are eagerly awaiting news of a salary hike just before the festive season. In a recent report, on October 4 suggests that the Central government may announce an increase in the dearness allowance (DA) to provide relief to central employees and pensioners.

It is expected that the decision to raise the dearness allowance will be approved during a cabinet meeting presided over by Prime Minister Narendra Modi. This potential announcement would serve as a welcome pre-Navratri gift for central employees and pensioners if it comes to fruition.

It is expected that the decision to raise the dearness allowance will be approved during a cabinet meeting presided over by Prime Minister Narendra Modi. This potential announcement would serve as a welcome pre-Navratri gift for central employees and pensioners if it comes to fruition.

The timing of this cabinet decision is seen as crucial because the Election Commission may announce the dates for assembly elections in five states at any moment. Once the election code of conduct is in place, it could become challenging for the government to make such an important decision.

Long-Awaited Hike

Central employees and pensioners have been waiting for a dearness allowance hike since July. According to expectations, the government may raise the dearness allowance from the current 42 percent to 45 percent. If approved, the increased dearness allowance and arrears from July to September would be included in the October salary.

Festive Season Gift

With the festive season of Navratri starting on October 15 and Dussehra falling on October 24, an announcement of a DA hike and arrears would be a timely and much-appreciated gift. This decision would benefit a significant number of people, with 47 lakh employees and 68 lakh pensioners finding relief from the burden of rising inflation.

Given that retail inflation in the country reached a 15-month high in July, it is expected that the government will increase the dearness allowance (DA) by 3 percentage points, taking it from 42 percent to 45 percent, effective from July 1, 2023.

It's worth noting that the dearness allowance for Central government employees and pensioners is calculated based on the latest Consumer Price Index for Industrial Workers (CPI-IW), which is published monthly by the Labour Bureau.