The subject Dearness Relief is applicable to The widows and dependent children of the deceased CPF beneficiary, Central Government employees who had retired on CPF benefits before 18.11.1960
All Defence Personnel and Pensioners are paid Dearness Allowance / Dearness Relief on the basis of AICPI-IW (2001=100) at par with Central Government Employees
Dearness Allowance Payable to the Gramin Dak Sevaks enhanced from the existing rate of 119% to 125% on basic time related continuity allowance
Increase in Dearness Allowance from January 2016 at the rate of 6%, will be paid in cash to the State Government Employees with effect from 1-1-2016
7th Pay Commission had earlier assumed that DA from January 2016 as 125% for revision of pay and allowances of Central Government Employees – DA orders issued by Govt with effect from 1st January 2016
Central government today announced 6 per cent hike in dearness allowance (DA), taking it to 125 per cent of basic pay, a move that will benefit around 48 lakh central employees and 52 lakh pensioners including dependents on the eve of Holi.
Based on inflationary pressure in the previous months it was predicted that there is a chance of DA from January 2016 touching 126% if AICPI-IW for December 2015 reaches 272. However, CPI-IW for December 2015 is 269 which one point lower than previous month. Here is an analysis of DA from January 2016 and 7th Pay Commission Fitment Formula
All India Consumer Price Index (Industrial Workers) indicates the inflation in the Country on the basis of buying capacity of Labour and Salaried Employees. Dearness Allowance payable to Central Government Employees and Pensioners to compensate inflation is determined on this index
When the 6th Pay Commission’s recommendations were implemented from January 2006 onwards, the DA for the months of January 2006 to June 2006 was not paid. DA was issued only from the month of June 2006.
Expected DA from January 2016 and its impact on 7th Pay Commission Pay fixation formula and Multiplication Factor – If CPI-IW for December reaches 272 then 7th Pay Commission multiplication factor will have to be revised to 2.58
If CPI-IW for November 2015 and December 2015 could touch 271, DA from January 2016 for Central Government Empoyees will be 126%
This is an analysis on possible DA rate in percentage with effect from January 2016 for which Central Government Employees and Pensioners are entitled to. Quantum of increase in DA in this half yearly period gains more significance keeping view with Date of effect of 7th Pay Commission Pay and Allowances
The year-on-year inflation measured by monthly CPI-IW stood at 4.35 per cent for August, 2015 as compared to 4.37 per cent for the previous month
All India Consumer Price Index for June 2015 was 261. It has increased to 263 in July 2015. This Index is very much important as far as Central Government Employees concerned as their DA is dependent on this Index
7th Pay Commission Pay – Impact of Flat CPI (IW) Aug 2014 to Dec 2014. Need for updating GConnect 7th Pay Commission pay and allowances estimation calculator