New Delhi, August 25: The rate of dearness allowance or DA for central government employees, who are paid as per the recommendations of the 7th Pay Commission, is usually hiked twice every year. The Centre announced a hike of 4 percent in DA rate in January. However, the revised DA rate came into effect from July 1. There is no clarity whether or not the Centre will announce second hike in DA rate. However, reports suggest a hike of 3 percent could be announced in September. 7th Pay Commission Latest News Today: DA Hiked to 28%, Here's How Much a Central Government Employee's Salary Will Increase.

From July 1, central government employees are getting 28 percent of their basic pay as DA, under the 7th Pay Commission. If the DA rate is increased by 3 percent, the staffers would receive 31 percent of their basic pay as DA. Under the 7th Pay Commission, the salary range of Level-1 central government employees is from a minimum of Rs 18,000 to a maximum of Rs 56,900. Scroll down to know how much your salary will increase if DA rate touches 31 percent. 7th Pay Commission Latest News Today: HRA To Be Increased After Hike in DA, Here's How Much Raise Is Expected.

Here's How Much Your Salary Will Increase If DA Hiked to 31%

  • Basic salary of the employee Rs 18,000
  • New Dearness Allowance (31%) Rs 5580/month
  • Existing Dearness Allowance (28%) Rs 5040/month
  • Calculate the difference: 5580-5040 = Rs 540/month
  • Increase in annual salary 540X12 = Rs 6,480

  • Basic salary of the employee Rs 56,900
  • New Dearness Allowance (31%) Rs 17,639/month
  • Existing Dearness Allowance (28%) Rs 15,932/month
  • Calculate the difference: 17,639 - 15,932 = Rs 1,707/month
  • Increase in annual salary 1,707 X 12 = Rs 20,484

According to a report by DNA, the All India Consumer Price Index (AICPI) has reached 120.6 following an increase of 0.5 points in the index for May 2021. The Ministry of Labour has not released the data for June. If the AICPI touches 130 in June, a hike of 4 percent in DA is likely. But it is impossible for AICPI to jump 10 points in a month, hence, a 3 percent hike in DA is more likely, the report said.

(The above story first appeared on LatestLY on Aug 25, 2021 12:19 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website