After hiking the dearness allowance (DA) of Central government employees, from 17 per cent to 28 per cent, as per the 7th Pay Commission, it is now the turn of the staff of Central autonomous bodies to cheer. These employees have been drawing salaries as per the 6th Pay Commission scale. With a 25 per cent hike in DA now, these employees will get DA at the rate of 189 per cent. The DA of these employees was frozen earlier in January 2020.
Till now, those Central government employees and staff of Central autonomous bodies, who were drawing salaries as per the 6th Pay Commission scale, were earning DA at the rate of 164 per cent. With the announced hike, a jump to a rate of 189 per cent will result in a significant increase in their salaries. The new dearness allowance will come into effect from July 2021. However, no arrears will be paid for the past year and a half when DA was frozen.
The Central government usually hikes dearness allowance twice a year. The hike in June is yet to be announced.
There is talk of another hike for Central government employees in DA, of three per cent. A hike from 17 per cent to 28 per cent was already announced earlier. If the June hike of three per cent also gets implemented, the DA hike will go up to 31 per cent.