The Central Government has announced a hike in the Dearness Allowance (DA) for specific government employees. This increase will apply to Central Government employees and employees of autonomous bodies (public sector enterprises) who are paid under the 5th and 6th Pay Commissions. The Department of Public Enterprises under the Ministry of Finance issued an official memorandum regarding this on November 7, 2024.
DA Increase Under the 6th Pay Commission
For employees under the 6th Pay Commission, the DA has been raised from the current 239% to 246%. This increase will be effective from July 1, 2024, representing a 7% hike in DA. For instance, if an employee’s basic salary is ₹43,000, they previously received a total salary of ₹1,02,770 with a DA of 239%. At the new rate of 246%, their total salary will now be ₹1,05,780, resulting in a monthly increase of ₹3,000.
DA Increase by 12% Under the 5th Pay Commission
For employees under the 5th Pay Commission, the DA has been increased by 12%, taking it from 443% to 455%. This increase will also be effective from July 1, 2024.
Diwali Gift for 7th Pay Commission Employees
Prior to Diwali, the Central Government announced a 3% increase in DA for employees and pensioners under the 7th Pay Commission. This raised their DA from 50% to 53%, effective from July 1, 2024.
Benefits of the DA Increase
The government provides DA hikes twice a year to offer relief from inflation to government employees and pensioners, with adjustments based on the inflation rate. Employees and pensioners under the 5th and 6th Pay Commissions will benefit from this latest DA increase.