DA Hike Jan 2024 | Dearness Allowance (DA) will increase by 4%, will be fixed on January 31, know the update
7th Central Pay Commission, DA Hike News | The dearness allowance figure for central employees is based on the AICPI index numbers. It is observed twice a year on half-yearly basis. First from January to June and second from July to December.
7th Central Pay Commission, DA Hike January 2024 News | There is good news for central employees. There will be a 4 percent increase in their Dearness Allowance Hike News. On January 31, it will be confirmed that the Dearness Allowance (DA Hike) has reached 50 percent. Dearness Allowance will increase for the first time in 2024. However, we have to wait till March for the announcement from the government. How much to increase the allowance will be known after the inflation figures. It is clear from the data so far that inflation allowance will be increased by 4 percent and it will reach 50 percent. But, it is implemented for the employees only after the approval of the government. The government usually approves hike in dearness allowance only after a gap of two months. (7th Central Pay Commission, DA Hike January 2024 News)
Why dearness allowance will increase only by 4 percent?
The dearness allowance of central government employees is based on AICPI index numbers. It is observed twice a year on half-yearly basis. First from January to June and second from July to December. The figures from January to June determine how much dearness allowance will increase from July. At the same time, the figures from July to December determine how much dearness allowance will increase in January. The AICPI index figures for November are out. The index showed an increase of 0.7 points and remained at 139.1 points. According to the DA calculator, the dearness allowance has reached 49.68 percent based on the index. Because if the digit after the decimal point is greater than 0.50, it will be considered as 50 percent. In such a situation 4 percent increase is seen.
DA will be finalized from December index
According to the November figures, the dearness allowance (DA increase) will be 50 percent. But, the December figure is yet to come. In such a situation, even if the index increases by 1 digit, the dearness allowance will reach only 50.40 percent. Even in such cases dearness allowance will be 50 percent. Even if the index rises by 2 digits, the DA will only reach 50.49 percent, though it will still be 50 percent on a decimal basis. Therefore, it has been determined that only 4 percent increase in inflation allowance will be made this time as well. But, we have to wait for the December issues for the final numbers.
Central employees will get 50 percent DA from January 2024 under the 7th Pay Commission. But, after that the dearness allowance will come to zero. After this the calculation of inflation allowance will start from 0. 50 percent DA will be added to the basic pay of the employees. Suppose an employee has minimum basic pay of Rs.18000 as per his pay band then 50% of Rs.9000 will be added to his salary.
