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7th Pay Commission news: Changes in salary of central govt employees from July 1? Know here

The 7th Pay Commission DA installment talks, which will pave the way for the arrears of millions of central government employees, got delayed again.

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The central government in March 2021 announced that the dearness allowance (DA) of central employees would be resumed from July 1, 2021. However, employees may have to wait a bit longer as the talks between the National Council of JCM, the Department of Personnel & Training (DoPT) and the Ministry of Finance (Department of Expenditure) officials have been delayed, as reported by Mint.

The 7th Pay Commission DA installment talks, which will pave the way for the arrears of millions of central government employees, was scheduled for the last week of May 2021 but got delayed due to the Covid-19 pandemic.

The meeting was finally going to resolve the 7th Central Pay Commission matrix issue that has been delaying the implementation of full benefits.

Since Covid restrictions in Delhi are getting eased with unlocking activities, the National Council of JCM is confident that the meeting will take place by second to third week of June 2021, the report stated.

So far, there has been no update on three pending DA installments from January 1, 2020, July 1, 2020, and January 1, 2021. The meeting would have finally resolved this issue for central government servants (CGS) or employees, at once.

The three installments of DA were frozen in view of the COVID-19 pandemic. In a written reply to the Rajya Sabha, Thakur said: "As and when the decision to release the future installments of Dearness Allowance due from 01.07.2021 is taken, the rates of DA as effective from 01.01.2020, 01.07.2020 and 01.01. 2021 will be restored prospectively and will be subsumed in the cumulative revised rates effective from 01.07.2021."

Central employees and pensioners are currently getting a 17% dearness allowance. Under the 7th Pay Commission, the dearness allowance of the central government employees will be raised from 17 percent to 28 percent from July 1.

In addition to the increase in the dearness allowance from July 1, the EPF and gratuity are also all set to increase from the next month. EPF is usually 12 percent of basic salary and dearness allowance.

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