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7th Pay Commission: What is the Latest Position of 7th Pay Commission & When Will 8th Pay Commission Start?

A DA hike of either 4 or 5 percent is anticipated this time because the inflation rate is outside the Reserve Bank of India's (RBI) comfort range of 2 to 6 percent.

Binita Kumari
The Dearness Relief for central government pensioners will increase, similar to the DA received by central government employees (DR).
The Dearness Relief for central government pensioners will increase, similar to the DA received by central government employees (DR).

For central government personnel, DA will increase to 28 percent beginning on July 1, 2021. The administration announced in 2020 that the DA hike for the year had been postponed in an office memo. No arrears will be paid from January 1, 2020, to June 30, 2021, according to the official document.

However, a Dearness Allowance increase in July will provide relief for thousands of central government employees who are struggling with rising inflation. A DA hike of either 4 or 5 percent is anticipated this time because the inflation rate is outside the Reserve Bank of India's (RBI) comfort range of 2 to 6 percent.

As a result of the All-India Consumer Price Index (AICPI) reaching an 8-year high, it was predicted that the DA rise figure might increase. A 5 percent increase is anticipated, with some media even speculating that a 6 percent increase may be in the works.

The DA percentage will increase from its current 34 percent to 39 percent with a 5 percent increase. The Dearness Relief for central government pensioners will increase, similar to the DA received by central government employees (DR).

The central government's DA increased by 3% earlier this year, bringing the percentage down from 31%. Earlier, between January 2020 and June 2021, the Center halted increases in the Covid-19 epidemic. The DA for central personnel then increased from 17 to 28 and subsequently to 31 percent with the subsequent rise in October 2021.

What is the Amount of the 7th Pay Commission?

All employees should have a standard Fitment Factor of 2.57, according to the Pay Commission. The fitment factor for the 7th Central Pay Commission would likely increase from the previous 2.57 times to 3.00 times.

If There is a Hike in DA, What Will be the Salary Then?

Employees earning a basic salary of Rs 18,000 will benefit from a raise if the DA increases by 4 percent and reaches 38 percent. This translates to an increase of Rs 720 per month or Rs 8,640 per year. The sum will earn Rs 1,000 more per month for individuals making Rs 25,000 in base pay, and Rs 2,000 more per month for those making Rs 50,000 in base pay. For a base salary of Rs 1,00,000, a 4 percent raise will result in a monthly income of Rs 4,000 or an annual income of Rs 48,000.

For a base salary of Rs 8,000, this sum would increase by 5 percent to become Rs 900 per month or Rs 10,800 annually. If a basic pay increase of 5% happens, an additional Rs 1,250 per month will be paid out. 

For a basic salary of Rs. 50,000, the payment will be Rs. 2,500, and for a basic salary of Rs. 100,000, it will be Rs. 5,000 a month.

Is There an 8th Pay Commission?

In the year 2024, the panel for the eighth pay commission is expected to be established. Therefore, the 8th CPC will go into force on January 1, 2026. The new pay matrix table for central government employees from the 8th Pay Commission may use the same current pay scale.

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