7th Pay Commission Latest News: In a good news for lakhs of Central government employees, the Dearness Allowance (DA) of Central government employees is likely to be increased again in January 2022. If the DA increases then the salary of Central government employees will increase automatically. However, it is still unclear how much DA hike will be implemented in January 2022. But, according to the data of the AICPI index, it is expected that the DA would increase by 3% in 2022.
Besides DA hike, some Central government employees are also expected to get promotion in New Year. Some reports claimed that talks are also going on about the fitment factor before Budget 2022 and the Centre may take a final decision in this regard soon. It is to be noted that an increase in fitment factor means that the minimum basic salary of Central government employees will also increase in 2022.
An increase in 3% DA means that the total DA of Central government employees will be 34%. It means a Central government employee with the basic salary of Rs 18,000 will receive annual dearness allowance of Rs 73,440. See calculation below:
Calculation on minimum basic salary
– Basic salary of employee Rs 18,000
– New DA (34%) Rs 6120/month
– DA so far (31%) Rs 5580/month
– How much dearness allowance increased 6120- 5580 = Rs 540/month
– Increase in annual salary 540X12 = Rs 6,480
– Calculation on maximum basic salary
– Basic salary of the employee Rs 56900
– New DA (34%) Rs 19346 / month
– DA so far (31%) Rs 17639 / month
– How much dearness allowance increased 19346-17639 = 1,707 Rs/month
– Increase in annual salary 1,707 X12 = Rs 20,484