Dearness Allowance

Dearness Allowance is the most eagerly awaited subject now-a-days by the Central government employees…

In the past, after getting job in the Central government establishments, they wait for promotion to gain some financial benefits… But today employees eagerly awaits for the announcement of Dearness Allowance twice a year, because…

Even if an employee gets a promotion after a prolonged time, the grade pay and increment is very meager. From Rs.1900 to 2000, from 2400 to 2800, from 4200 to 4600 and from 4600 to 4800….so on, the hike in pay is in between Rs.100 to Rs.400 only and so the financial benefits are not upto their expectation.

The annual increment is only 3% of the basic pay, but the DA, which is announced twice a year, is much more than that as the DA from January to July 2010 was 8% and from July to Dec was 10% which total of 18%.

The Central government announces the DA as per the recommendations of the Labour Bureau, which calculates the prices of different essential commodities at different places. There was incidence of government announcing 12% of additional Dearness Allowance once and 1% additional Dearness Allowance on another occasion. Hence, everyone wants to know the calculations taken for DA in deep.

In the next year – 2011, the DA from January to June will be around 6%. It can be increased upto 7% which depends upon the AICPIN. Anyway, the total DA will surely cross the 50% to 51%or 52% for which the Central Government Employees have to wait for some times.