7th Pay Commission: Economic survey will tabled on Tuesday in Parliament after the customary address of President Draupadi Murmu. Finance Minister Nirmala Sitharaman will present the country’s general budget 2023-24 on Wednesday. Ahead of good news of salary hike of central government employees new inflation figure will be tabled on Tuesday. This figure will decide how much the salary of central employees and pensioners will increase in the first half of this year.
AICPI Index data
The data of AICPI Index is released on the last date of every month. According to the data till November 2022, the DA of central employees may increase by 3 percent. If there is no change in this index in the month of December, then 3 percent increase in salary in DA of central employees is fixed. On the other hand, if there is a rise of 1 point in the index, then the dearness allowance can increase by 4 percent.
According to media reports, a final decision on the increase in dearness allowance may be taken in the cabinet meeting to be held on March 1, 2023. If this happens, from March 31, employees can get increased salary and pensioners can get increased pension. Not only this, the money for the months of January and February will come into the account along with the arrears.
In fact, the dearness allowance (7th Pay Commission) of central employees is reviewed every 6 months. Dearness allowance is hiked twice a year on the basis of AICPI figures. One hike takes place in January and the other in July. Like every year, in the year 2023 also there will be an increase in the dearness allowance of central employees. Dearness Allowance (DA) for January 2023 is usually announced before Holi. Looking at the inflation figures so far, it seems that there may be an increase of 3 percent in the DA of central employees next year as well. If this happens, the cost of central employees will increase from the current 38 percent to 41 percent.
Significantly, the increase in dearness allowance by the central government will benefit about 47 lakh employees and 68 lakh pensioners of the country. The government had increased DA by 3 per cent at the beginning of the year, after which the dearness allowance had gone up to 38 per cent. Then by increasing DA by 3 percent, the dearness allowance will increase to 41 percent.
Dearness allowance is revised twice a year
Actually the dearness allowance of central government employees is revised twice a year. The first is given from January to June, while the second comes from July to December. Let us tell you that the AICPI index plays an important role in deciding the dearness allowance of central employees.