7th Pay Commission: Govt to Hike HRA & DA of Govt Employees Soon! Check Date and Estimated Increment

The central government employees will receive a number of good news over this holiday season as they are likely to get an HRA hike soon, according to media reports on Tuesday, a week after they received a 4% increase in their dearness allowance.

Recent reports state that the central government soon plans to enhance employees' HRA. Government employees' salaries are likely to rise if the Center raises the house rent allowance (HRA) for them. The Union Cabinet expects to revise the HRA soon.

4% DA Hike for Govt Employees:

For the benefit of the 41.85 lakh central government employees and the 69.76 lakh retirees, the Central Government announced the Dussehra Bonanza on September 28 and boosted the Dearness Allowance (DA) and Dearness Relief by 4% effective July 1, 2022.

The HRA hike will now serve as a double bonus for government workers over the Diwali holiday.

When was the HRA increased last time?

The central government employees should be aware that the DA was also raised to 28 percent at the same time the HRA was last hiked, in July 2021. A rise in HRA can't be ruled out now that the Centre has approved a 4% pay raise for government employees.

How much HRA is expected this year?

According to a regulation from the Department of Expenditure, the house rent allowance would be adjusted in 2017 after the DA reaches a 25 percent threshold. According to the 7th Pay Commission's recommendations, the HRA will be 18% of the basic salary for workers in 'Y' class cities and will be 27% of the basic salary for those in 'X' class cities. And in a similar vein, the HRA for workers at "Z" will be 9%. The minimum HRA will be Rs 5400, Rs 3600, and Rs 1800 for each of the three groups.

According to additional reports, the HRA for public employees working in 'X' category cities is projected to rise by 4 to 5 percent. Currently, employees in cities in the "X" category get a 27 percent HRA on their base pay. According to sources, employees working in 'Y' category cities can expect a 2 percent increase in HRA, while those working in 'Z' category towns can get a 1 percent increase.