DA Hike: Big update will come for employees, dearness allowance will be zero

The Kalmakar News, DA Hike latest news Today: The wait of central employees is about to end. Employees will get the new update on January 31, 2024. 

The calculation of dearness allowance of central employees will change in 2024. In fact, the complete details of the dearness allowance applicable from January 1 will be released on January 31, 2024. 

This will be the figure of AICPI. This index itself tells the level of dearness allowance for central employees. This time also dearness allowance will increase by 4%. AICPI index numbers have been received till November. The new update will be released on January 31. It is expected that dearness allowance will be 50 percent.

Dearness allowance of central employees will increase to 50% in January 2024. Central employees get DA Hike (Dearness Allowance) twice every year. 

But how much this increase will be will depend on the course of inflation. The salaries of central employees will increase in proportion to inflation. Recently employees will get Dearness Allowance. His dearness allowance is going to be fifty percent. Let's see how...

Dearness allowance will increase by 4%

Last time too, the dearness allowance (DA) of central employees has increased by 4%. This change came into effect from July 2023. The next dearness allowance should be declared from January 2024. It is expected that the next increase will also be four percent. 

According to the expert, it is clear from the AICPI-IW data and the current inflation situation that dearness allowance will also increase by 4% in the coming days. That is, from January 2024, dearness allowance can be given at 46% compared to 46% at present. 

dearness allowance will become zero

There is dearness allowance. In 2016, the government reduced dearness allowance to zero by implementing the 7th Pay Commission. 

According to the rules, once the dearness allowance reaches fifty percent, it will be reduced to zero. Fifty percent amount will be added to the employees' basic salary, i.e. minimum salary. If the basic salary of an employee is Rs 18 thousand, then he will get 50 percent DA. 

But if there is fifty percent DA, it will be added to the basic salary, due to which dearness allowance will again become zero. This means that the revision of basic salary will be Rs 27,000. But the government may also have to change the fitment.

Why will dearness allowance be reduced to zero?

Whenever a new pay scale is implemented, employees get DA, which is added to their basic pay. Experts say that 100 percent DA of the employees should be added to the basic salary, but this does not happen. Financial situation is troubling. In 2016, however, it was done. 

In 2006, 187 percent DA was being given in the sixth pay scale till December. The entire part of DA was merged into the basic pay. Therefore the sixth pay scale was 1.87. Then new pay bands and grade pay were also created. Despite this, it took three years to deliver. 

increasing debt burden on the government

The new pay scale came into effect from 1 January 2006 during the Sixth Pay Commission in 2006, but was announced on 24 March 2009. Due to this delay, 39 to 42 months of DA arrears were paid to the government in the three financial years of 2008-09, 2009-10 and 2010-11. 

New pay scales were also created. In the fifth pay scale 8000-13500, 186 percent DA was 14500. Adding both, the total salary was Rs 22,880. 

Its equivalent pay scale was Rs 15600–39100 with grade pay Rs 5400. In the third pay scale, the salary was Rs 15600–5400 plus Rs 21000, and after adding 16 percent DA Rs 2226 in January 2009, the total salary was Rs 23 thousand 226. 

The recommendations of the Fourth Pay Commission were implemented in 1986, the Fifth Pay Commission in 1996 and the Sixth Pay Commission in 2006. The recommendations of the Seventh Commission came into force in January 2016.

HRA will increase if DA is zero.

The next revision in House Rent Allowance will also be 3 percent. HRA will be 30% from current 27%. But this will happen only when the dearness allowance (compassionate allowance amendment) crosses fifty percent. According to the Memoir of the Finance Department, when DA is crossed 50%, HRA will be 30%, 20% and 10%. 

X, Y and Z classes are in the city house rent allowance (HRA) category. X category central employees get 27% HRA, which will become 30% at 50% DA. Whereas for Y category it will increase from 18% to 20%. For Z class it will be 9% to 10%.