Mumbai, January 26: The Narendra Modi-led government is likely to take decision on dearness allowance (DA) hike, Fitment Factor raise among others soon. And the Union Budget on February 1st could make things clear about the rumours around DA hike. The next DA hike could be announced anytime soon and would depend on the All India Consumer Price Index (AICPI) figures.
According to a report in Krishi Jagran, the AICPI data, which will be released on January 31 could make things clear about the pending DA hike. The Labour Ministry is likely to release the AICPI figures soon and if the data remains stable then a DA hike decision is expected to be taken post the Union Budget 2023. 7th Pay Commission: Minimum Salary of Central Government Employees to be Hiked After Budget 2023? Check Latest Update on Fitment Factor.
Every year, the Centre raises DA for government employees and pensioners twice - first in January and then in July. Last year, the Centre increased DA of government employees under 7th pay commission first in March and then later in September. The Union Cabinet raised the DA by 4 percent, thereby taking the dearness allowance to 38 percent from 34 percent.
Going by the trend and recent decision on DA, the Centre is expected to announce the next dearness allowance hike in March 2023. If the AICPI numbers continue to remain stable, then Central government employees could receive a 3 percent DA hike. If approved, the DA will rise to 41 percent from the current 38 percent. 7th Pay Commission Latest News Today: Decision on DA Hike, Fitment Factor and Arrears Likely After Budget 2023.
Meanwhile, reports also suggest that the Centre could take decisions on Fitment Factor raise and release of DA arears post Budget 2023. However, no official announcement has been made on the same as yet. Besides, the Narendra Modi-led government is also expected to announce New Year bonanza to its employees as it could be its last budget before the 2024 Lok Sabha election next year.
(The above story first appeared on LatestLY on Jan 26, 2023 02:49 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).