DA Increase for Central Govt Employees and Pensioners temporarily suspended till July 2021 due to Coronavirus Crisis
No Arrears for the months from January 2020 to June 2021 will be paid
The Central Government announced through an office memorandum on 23rd April 2020 to stoppage of granting additional dearness allowance (D.A.) for 18 months. Already (13th March 2020) the Union Cabinet had given its nod to increase 4% DA and DR from 1.1.2020. In order to face the Coronavirus impact, all Central government employees and pensioners will get the existing rate of Dearness allowance i.e., 17% according to their basic salary or pension till June 2021.
The DoE order also said, there will be no arrears for Dearness allowance or Dearness Relief between January 2020 and June 2021. However, the cumulative percentage of DA and DR will be subsumed from 1st July 2021.
The Government has clearly said through this order, the additional DA and DR hike only put on hold for 18 months from 1.1.2020 to 31.6.2021. The DA and DR will be given 17% of basic pay or basic pension to all CG employees and pensioners.
The order has been published on 23rd April 2020 by the Department of Expenditure, which will be effective from 1.1.2020.
History of Dearness Allowance:
Dearness Allowance is a compensatory part of wages. In India, DA is being paid since the Second World War. During the War, DA became payable at various rates. It became payable as a result of different costs of living in different cities not known to each other. [Click to read full story]
How to Calculate DA:
Dearness allowance is calculated based on All India Consumer Price Index for Industrial Workers Base Year 2001=100. The index has been released by the Labour Bureau for every month. [Click to read full story]
DA Rates Table:
The formula for calculating DA is given below and the method of calculation is common for 5th CPC DA, 6th CPC DA, and 7th CPC DA. The linking factor is given below for calculating the percentage of DA. The linking factor is nothing but the average of 12 months of All India Consumer Price Index number from Jan 2015 to Dec 2015. [Click to read full story]
DA Calculator January 2020
After submission of AICPIN for the month of November 2019, the expectation on Dearness allowance has come to an end! In addition, 4% of DA may increase to Central Govt employees from January 2020. [Click to read more]
No DA for UP Govt Employees
DA hike for UP Govt Employees Temporarily Terminated till July 2021
In view of the economic crisis out of the Coronavirus (COVID-19), no extra percentage of Dearness allowance for the employees and teachers including pensioners in UP till June 2021.
Following the order issued by the Finance Ministry on 23rd April 2020, the Uttar Pradesh Government also decided to stop to grant additional Dearness allowance and Dearness Relief to Central Government employees and pensioners till June 2021.
The UP Finance Department order will impact more than 16 lakh government employees and officers and also 12 lakh pensioners including 3 lakh teachers.