Read more about " DA"

Current DA Rates for Employees:
The decision taken by the Government on the recommendations of the Sixth Central Pay Commission relating to DA, to decide that the DA admissible to all categories of Central Government employees shall be admisible from the dates mentioned below at the following rates:

Date Rate of DA

1.1.2006 0

1.7.2006 2

1.1.2007 6

1.7.2007 9

1.1.2008 12

1.7.2008 16

1.1.2009 22

1.7.2009 27

1.1.2010 35

1.7.2010 ?


The expected All India Consumer Price Index number (AICPIN) for Industrial Workers Base 2001=100 for the month of May 2010 has been released by Statistical Department, Labour.

The AICPIN for the month of May 2010 is 172.
Based on AICPIN index, we calculated DA percentage for 1st July 2010.

Month	All India Index	% of increase
Nov-08	148	21.44
Dec-08	147	22.38
Jan-09	148	23.39
Feb-09	148	24.32
Mar-09	148	25.12
Apr-09	150	25.98
May-09	151	26.84
Jun-09	153	27.78
Jul-09	160	29
Aug-09	162	30.23
Sep-09	163	31.45
Oct-09	165	32.67
Nov-09	168	34.11
Dec-09	169	35.7
Jan-10	172	37.43
Feb-10	170	39.01
Mar-10	170	40.59
Apr-10	170	42.03
May-10	172	43.54
Jun-10	?	?

As per above data, we got 35% dearness allowance for last time in December 2009 based on % of increase in AICPIN.


How to calculate percentage of increase ?

DA = (Avg of AICPIN for the past 12 months – 115.76) * 100 / 115.76 .

All India Consumer Price Index Number for Industrial Workers (CPI-IW) on base 2001=100 for May 2010 increased by 2 points and stood at 172 (one hundred and seventy two).

If the index value remains 172 in June 2010, then % of increase value is 44.91, =June 10 % of Increase index value minus Jan 10 % of Increase index value.

= 44.91 (-) 35.7 = 9.21.
ie Minimum 9% percentage increase will be there in DA.
so DA will be 35 + 9 = 44 % .

AICPIN for June 2010 will be required to calculate the final value of DA.