The revised rate of Dearness Allowance and Dearness Relief for all groups of Central Government employees and Pensioners will be implemented soon!
Dearness Allowance and Dearness Relief as per 7th pay commission for Central Government employees Latest News – 3 Pending Installments of DA and DR to be restored from July 2021.
In Parliament, the Minister of State for Finance Anurag Thakur said in a written reply that the Central Government saved more than Rs. 37530.08 crore from the freezing of 3 installments of Dearness Allowance and Dearness Relief. He added that the 3 additional installments of DA and DR will be restored from July 2021.
The full text of the written reply on 9 March 2021 is given below:
Government of India
Ministry of Finance
Department of Expenditure
Unstarred Question No. 1669
To be answered on Tuesday, 9th March, 2021
Phalguna 18, 1942 (Saka)
Freezing of DA
1669: Shri Naranbhai J. Rathwa:
Will the Minister of Finance be pleased to state:
a) whether freezing of Dearness Allowance (DA) to Central Government employees/pensioners till July, 2021 has subjected them to undue hardship;
b) if so, the reasons for not restoring DA to Central Government Employees and pensioners before July, 2021; and
c) whether Central Government employees and pensioners are not entitled to three installments of DA and, if so, whether Government would also release these installments and, if not, reasons therefor?
Minister of State in the Ministry of Finance
(Shri Anurag Thakur)
(a,& b) In view of the crisis arising out of COVID-19 pandemic, the Government has decided to freeze three installments of Dearness Allowance and Dearness Relief to Central Government employees and pensioners due from 01.01.2020, 01.07.2020 & 01.01.2021. The amount Rs.37530.08 crores saved on this account will help to tide over the economic impact of COVID-19 pandemic
(c) 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.
January 2020, July 2020 DA & January 2021 DA Calculation
The Cabinet Committee already approved to increase 4% additional DA from January 2020 on the basis of Consumer Price Index (CPI). The next installment from July 2020 is already decided to increase by 4% additionally (However, after the approval of Cabinet Committee only the percentage of DA will decide!).
And another installment will also be expected to hike by 3% with effect from 1st January 2021. The below-expected DA list, which is used in our software tool for your information:
- 1st January 2020 = Additional DA 4% (17% + 4% = 21%)
- 1st July 2020 = Additional DA 4% (21% + 3% = 24%)
- 1st January 2021 = Additional DA 4% (24% + 4% = 28%)
- 1st July 2021 = Additional DA 4% (Expected) (28% + 4% = 32%)
DA Freeze Latest News Today
- Freezing of Dearness Allowance: Guidelines for freezing of the IDA March 27, 2021
- Payment of DA to Armed Forces Officers and PBORs including NCs (E)- Revised rates effective from Jan 2017 March 14, 2021
- Release of 3 installments of DA to CG Employees and Pensioners – Confederation January 25, 2021
- Freezing of DA to CG Employees and Pensioners – Secretary of NC JCM January 21, 2021
- Payment of DA to CG employees at current rates – Confederation January 17, 2021
- Freezing of Dearness Allowance to Employees of CPSE December 3, 2020
- Loss of Gratuity and Leave Salary Due to Freezing of Dearness Allowance October 10, 2020
- No Additional DA for Central Govt Employees and Pensioners up to June 2021 October 2, 2020
- DA/DR Freeze: Urging upon the Government of India to withdraw the decision of DA/DR freeze September 11, 2020
- NCCPA appeal to release 7% of Dearness Relief with Arrears to Pensioners July 7, 2020
- Withdraw the orders on freezing the DA and impounding of arrears of Central Govt. Employees and Pensioners till June 30th 2021 June 30, 2020
- Freezing of Industrial Dearness Allowance – DoT Clarification 26.5.2020 June 28, 2020
- Delhi High Court Dismisses Plea against Centre’s decision on Freezing of DA and DR June 2, 2020
- Freezing of DA to CG Employees and DR to CG Pensioners – Hardship and legal implications May 29, 2020
- No orders on Freezing of IDA (Industrial Dearness Allowance) and IDR (Industrial Dearness Relief) May 28, 2020
- Withdraw the decision on Freezing of DA and DR to Railway Employees May 15, 2020
- Freezing of DA to employees drawing CDA Pay Scale at current rates till July 2021 April 30, 2020
What is the meaning of Freezing of DA?
Granting of additional Dearness Allowance to all categories of Central Govt employees will be stopped in a particular period is called ‘Freezing of DA’.