Business
While central government employees wait for the announcement of DA hike as per the seventh pay commission recommendations for the second-half of the fiscal year, the state government employees of Himachal Pradesh will get increased DA of 4% from October 2019.
Updated : Sep 11, 2019, 04:07 PM IST
While central government employees wait for the announcement of DA hike as per the seventh pay commission recommendations for the second-half of the fiscal year, the state government employees of Himachal Pradesh will get increased DA of 4% from October 2019.
With this hike, around 2.5 lakh employees will receive an increased salary according to the 7th Pay Commission.
After the hike, the employees will get a 148% Dearness Allowance instead of 144%.
Central Government employees meanwhile are waiting for a 5% hike in their DA and believe the government will announce it soon.
The Haryana State Electricity Board also announced a DA hike of 4% for their employees who will get arrears from January to July.
Other states where it has been announced
UP announced DA hike
Bihar announced DA DR hike
Uttarakhand announced DA and DR hike
Jammu and Kashmir announced DA and DR hike
Pay hike for Odisha employees
Raj govt hiked DA and DR for its employees
According to the All India Consumer Price Index figures(AICPI), the DA for June was at 17.09% in comparison to 13.39% in January.
The rise in dearness allowance by 5% comes amidst a rise in inflation.
The Government increases the dearness allowance as per the AICPI index. The dearness allowance is paid to the government employees based on the rise in inflation.
The Government has no control over the market-driven forces which influences the prices of commodities, therefore, the dearness allowance is given to protect the employees from the rising rate of inflation.
The DA is calculated twice in a financial year in the months of January and July.
The Central government employees currently receive 12% DA, however, in this festive season, they are likely to receive an increase of 5% as part of the 7th pay commission.
After Nirmala Sitharaman took charge as the new Finance Minister in Modi government 2.0, she was addressed to the concern that employees weren't satisfied with recommendations of the 7th Pay Commission regarding minimum pay and have been demanding a hike of Rs 8,000 and increase in the fitment factor up to 3.68 times.