New Delhi, July 13: Central government employees, whose salaries and allowances are paid as per the recommendations of the 7th Pay Commission, are likely to receive a piece of good news soon. According to a report, the central government may announce a hike in dearness allowance (DA) soon. There could be a hike of 3 percent in DA for July to December period, the report added. However, there is no official confirmation regarding the same. 7th Pay Commission Latest News Update: Announcement on DA Hike for Central Govt Employees May Get Delayed Due to COVID-19, Says Report.

The DA is hiked twice every year - in January and July. The All India Consumer Price Index (AICPI) has released the data for January 2021 to May 2021. The Centre is expected to take these data into account and increase the DA for July 2021 by 3 percent, reported DNA. At present, central government employees get DA of 17 percent under the 7th Pay Commission. Following the expected 3 percent hike, they will be eligible to get DA of 31 percent. 7th Pay Commission Latest News Update: Wait Gets Longer, Pending DA and DR Payment Likely in September.

It may be recalled that the government had approved a 4 percent increase in DA last year, taking it to 21 percent. This was to be effective from January 1, 2020. There was an increase of 3 per cent in June 2020 and in January 2021, the dearness allowance was hiked once again by 4 percent. Notably, three installments of DA, due on January 1, 2020, July 1, 2020 and January 1, 2021, have been on hold since the coronavirus pandemic hit the country.

In addition the government has not announced a hike in DA due from July this year. Some reports say while the government may announce a hike in DA for July 2021, full benefits of DA would be restored in September. The government has been tight-lipped on the issue. It was earlier reported that the pending installments of DA and DR would be restored from July.

(The above story first appeared on LatestLY on Jul 13, 2021 12:40 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website