Da hike update: Will the central government announce to increase dearness allowance on Wednesday 5 March? Looking at the records of previous years, the government has increased dearness allowance before Holi. If the government follows the trends of previous years, the government can announce to increase dearness allowance after the cabinet meeting tomorrow. Employees and pensioners are looking forward to growing their DA before Holi (Holi 2025). DA is extended twice a year under the 7th Pay Commission. The first increase applies from 1 January and second from July 1.
Will DA increase 3 percent?
The government can announce an increase in DA by 3 percent. If this happens, the salary of all the big government officials from the entry-level of the central government will increase. Employees whose basic salary is Rs 18,000 monthly will increase to Rs 540 in their salary.
How is the calculation of dearness allowance?
If an employee’s salary is Rs 30,000 and his basic salary is Rs 18,000, then he is currently getting 50% i.e. Rs 9,000 as DA. If there is a 3% increase, DA will increase to Rs 9,540, which will increase the salary by Rs 540. If the salary increases by 4%, the DA will be Rs 9,720 and the salary will increase by Rs 720.
How much DA was increased last year?
In March 2024, the government increased the DA by 4% to reach 50%. This was followed by 3% increase in October 2024, causing DA to 53%. Now from January 2025, DA is expected to increase 3-4% again. The government should announce to increase DA anytime but it is believed to be applicable from 1 January 2025.
More than one crore government employees will benefit
Around one crore employees and pensioners of the central government will benefit from this decision. According to government rules, inflation relief (DR) provided to DA and pensioners is revised twice a year – January and July. If this increase is applied, then the salary of government employees will once again see an increase.
Tail your work by 31 March, other work, otherwise you will not get tax exemption