7th Pay Commission DA Hike: The biggest good news of this year for central employees is now a few days away. Because, the picture of the increase in their dearness allowance (DA Hike) will become clear.
Employees get the gift of Dearness Allowance twice every year. This is the second time this year that dearness allowance is to be announced. It is expected that his DA will increase by 4%. In such a situation, his total DA will reach 46%. Currently 42% DA is being paid. As soon as dearness allowance is announced, there will be a big jump in the salaries of central employees. You will get huge benefits especially in bigger salary brackets.
Dearness allowance will increase by 46%
Dearness allowance for July 2023 may be announced by the end of September. However, no final date has been announced yet. But, approval is expected from the cabinet. It is clear from the figures of industrial workers that have come so far that there will be an increase of 4%. Earlier, dearness allowance was announced in March 2023, in which there was an increase of 4 percent. His DA had increased from 38 percent to 42 percent.
How much will the salary increase due to 4 percent increase?
According to the pay matrix of 7th Pay Commission, the basic salary range of central employees at Level-1 is from Rs 18,000 to Rs 56,900. If dearness allowance increases by 4% for July, the total DA will reach 46 percent.
Calculation at 46% DA
1. Basic salary of the employee Rs 18,000
2. Estimated dearness allowance (46%) Rs 8,280/month
3. New dearness allowance (42%) Rs 7,560/month
4. How much dearness allowance increased 8,280-7,560 = Rs 720/month
5. Increase in annual salary 720X12= Rs 8,640
This means that the salary of employees with basic salary of Rs 18000 will increase by Rs 720 every month. On annual basis it will be Rs 8,640.
If we look at the Level-1 maximum salary bracket, how much will the money increase?
Calculation at 46% DA
1. Basic salary of the employee Rs 56,900
2. Estimated dearness allowance (46%) Rs 26,174/month
3. Dearness allowance till now (42%) Rs 23,898/month
4. How much dearness allowance increased 26,174-23,898= Rs 2,276/month
5. Increase in annual salary 2,276X12= Rs 27,312
The salary of employees falling in the maximum basic salary bracket will increase by Rs 2276 every month. If seen on annual basis, there will be an increase of Rs 27,312.
What will be the total dearness allowance?
The basic salary of upper bracket employees in Level-1 pay band of central employees is Rs 56,900. If we look at this bracket, then if the total dearness allowance is 46 percent, then the dearness allowance in his salary every month will be Rs 26,174. If we look at it on annual basis, the total dearness allowance will be Rs 3 lakh 14 thousand 088.