DA likely to increase by 3% again with arrears

DA likely to increase by 3% again with arrears

Ahead of the festive season, the Centre is likely to increase the Dearness Allowance of the government employees again. The central government has increased the Dearness Allowance (DA) and Dearness Relief (DR) for Central government employees and pensioners respectively from 17% to 28% that is an 11% increase in DA and DR with effect from July 1, 2021. [ DA Order July 2021 ]

The Centre will announce a further 3% hike in the DA and DR. With the speculated hike, the DA will be increased to 31% of the basic salary.

The Centre restored DA in July from 17% to 28%, with the hike applicable from the salary of July 2021 onwards. Moreover, the Centre also increased the House Rent Allowance (HRA) from 24% to 27%.

The employee’s unions are expecting that the government will make the official announcement soon that is before festival season begins. As per the AICPIN data and DA Calculation sheet, the DA is 31% as of June 2021

All India Railwaymen’s Federation Union also confirmed in the letter that “the payment of one instalment of Dearness Allowance, w.e.f. 01.07.2021, will be made with the arrears, before Festivals”

Letter from AIRF

The only wait now is for the official announcement and the implementation that is likely to be announced soon.

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