Cabinet Gives Green Light to 4% Increase in Dearness Allowance for Central Government Workers
Cabinet Gives Green Light to 4% Increase in Dearness Allowance for Central Government Workers
In a recent development, the 7th Pay Commission has received approval from the Cabinet for a 4% increment in dearness allowance (DA) aimed at benefiting central government employees.
The central workforce, along with pensioners, had been anticipating this DA boost since July 2023.
This decision implies that central government employees will now receive a 4% surge in their dearness allowance. The information, reported by NDTV citing inside sources, has confirmed this long-awaited move. With this 4% increase, the dearness allowance will rise from its current 42% to a more favorable 46%.
Official confirmation from the government is expected to be made later today regarding this DA enhancement.
The calculation for dearness allowance for both employees and pensioners hinges on the monthly data from the Consumer Price Index for Industrial Workers (CPI-IW) as reported by the Labour Bureau.
Moreover, the government recently approved Diwali bonuses for Group C and non-gazetted Group B level officials, encompassing paramilitary forces.
For the fiscal year 2022-2023, the finance ministry has stipulated a maximum limit of ₹7,000 for computing non-productivity linked bonuses, or ad-hoc bonuses, for central government employees.
As per the memorandum released by the Department of Expenditure under the finance ministry, non-productivity linked bonuses equivalent to 30 days’ emoluments have been granted to central government employees in Group ‘C’ and all non-gazetted employees in Group ‘B’ who are not covered by any productivity-linked bonus scheme for the accounting year 2022-23.
