Dearness Allowance (DA) is an allowance paid to meet the cost of living. For the Central public sector employees, the Dearness Allowance is calculated based on the average over the last three months. The DA has been hiked from 17 per cent to 21 per cent on March 13, 2020 . However, the allowance will continue to be paid at current rates. The calculation of Dearness Allowances shall be made taking into account the revised basic pay and NPA, if any, but it shall not include any other type of pay. The Central government was supposed to increase the Dearness Allowance (DA) earlier this year in April as per 7th Central Pay Commission recommendations. Even though the additional dearness allowance is frozen for 18 months from January 2020 to June 2021 to all Central government employees and pensioners, the calculation of Dearness allowance is an ongoing process! New Delhi: The central government on Thursday suspended disbursement of increased dearness allowance (DA) to its employees and pensioners announced last month and decided to freeze the next two hikes as well because of the strain on its finances due to the coronavirus pandemic. (i) The whole time State Government employees drawing basic pay upto Rs. Expected Dearness Allowance from Jan 2021 for Central Govt Employees and Pensioners. The decision benefits about 48.34 lakh Central Government employees and 65.26 lakh pensioners. The government increases the dearness allowance as per the AICPI index. The Centre has not withdrawn its earlier order of DA hike suspension. Dear Allowance or Dearness Relief is paid to central government employees and pensioners to adjust the cost of living and to protect their basic pay or pension from erosion in the real value. In March, the union cabinet had approved an increase of 4 per cent in DA to 21 per cent. The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief was fixed at Rs 12,510.04 crore per annum and Rs 14,595.04 crore in Financial Year 2020-21 (for a period of 14 months from January, 2020 to February, 2021). Government employees and pensioners will continue to get their DA at 17 per cent rate of … Update: Dearness Allowance for Central Government Employees was continued to be calculated after implementation of 7th Pay Commission based on consumer price index with Base 2001=100 till August 2020. The Dearness Allowance for the Central Government Employees is calculated based on 12 months average CPI-IW index. The Dearness Allowance (DA) for the Central Government employees is set to increase from 12 percent to 17 percent from July 1 onwards, said reports. W-02/0039/2017-DPE(WC)- … From the year … No arrears for the period from 1st January 2020 till 30th June 2021 shall be paid, the Finance Ministry said. The Central government employees will also not get any arrears in any future revision of DA/DR from from July 1, … It helps to offsets the impact of inflation. Dearness Allowance hike and DR restoration for central govt employees, pensioners from January - Double-dose of Good news 7th Pay Commission Latest News: Double dose of DA hike and DR restoration for central govt employees, pensioners from January Over 1 crore central government employees - 48 lakh workers and around 65 lakh pensioners - are set to get a … Indian citizens may receive a basic salary or pension that is … The Central government employees will also not get any arrears in any future revision of DA/DR from from July 1, … For Central Government employees: Dearness Allowance % = ((Average of AICPI (Base Year 2001=100) for the past 12 months -115.76)/115.76)*100. For Central public sector employees: Dearness Allowance % = ((Average of AICPI (Base Year 2001=100) for the past 3 months -126.33)/126.33)*100 Where, AICPI stands for All-India Consumer Price Index. As a result of the freeze, the government will not pay the hike in dearness allowance that was due … DA Calculation Formula for Public Sector Employees working under the Central Government Employees ( effective from 1 st January 2007): Dearness Allowance (%) = [(Average of AICPI … Earlier, it had announced a hike in allowances to 21 percent, effective January … 01.01.2013 to the employees of Central Government and Central Autonomous Bodies continuing to draw their pay in the pre-revised scale as per 5th CPC डाउनलोड (401.18 KB) 2,01,000/ shall draw Dearness Allowance @3% of basic pay w.e.f. From the month of September 2020, Govt replaced CPI with base 2001=100 with new consumer price index with base 2016=100. Dearness Allowance is granted to employees of the central government each year with effect from January 1 and July 1 and is paid in the month of … Where, AICPI stands for All-India Consumer Price Index. The combined impact on the exchequer on account of both Dearness Allowance and Dearness Relief was fixed at Rs 12,510.04 crore per annum and Rs 14,595.04 crore in Financial Year 2020-21 (for a period of 14 months from January, 2020 to February, 2021). Coronavirus (): The Ministry of Finance on Thursday decided to freeze the additional installment of Dearness Allowance (DA) payable to central government employees and Dearness Relief (DR) to pensioners due from January 1, 2020 in view of the crisis arising out of the Covid … Dearness Allowance … The decision benefits about 48.34 lakh Central Government employees and 65.26 lakh pensioners. DA is only paid to: Central Government Employees, Public Sector Employees, Pensioners of Central Government. Attachment File: Freezing of DA_DR (23.04.2020).pdf. Freezing of Dearness Allowance to Employees of Central Public Sector Enterprises (CPSEs) drawing pay as per 2017, 2007, 1997, 1992 & 1987 IDA pay revision guidelines at current rates till 30th June, 2021 No. If certain media reports are to be believed, then Centre will hike their dearness allowance and salary from July 2021 - nothing official has been said about this till now though. Central government employees and pensioners will now continue to receive DA at current rates, i.e., 17 per cent as … Freezing Dearness allowance and Dearness relief for central government employees - Court case dismissed Honourable Delhi High Court in its Judgement, dismissing the plea against freezing DA and DR, observed that the Central Government has … File: Freezing of Dearness Allowance is paid to: Central Government employees and lakh. 13, 2020 Allowance @ 3 % of basic pay w.e.f in the urban, semi-urban rural... 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