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    7th Pay Commission DA Hike

    7th Pay Commission DA Hike: Central Government Employees' Salaries can Climb Much before Diwali


    Finance Outlook India Team | Thursday, 03 October 2024

    7th Pay Commission DA Hike Calculation Employees are concerned about inflationary pressures at the moment, so this prospective DA increase is timely. The DA revision methodology, which takes into account the 12-month average of the All India Consumer Price Index (AICPI), guarantees that pay changes are closely matched with economic realities.

    Though the percentage rise has yet to be confirmed, employees and pensioners are eager for financial relief. 7th Pay Commission's Potential DA Hike The DA is an important part of the wage package for nearly one crore central government employees and pensioners because it is directly related to inflation. The DA is updated in accordance with the Consumer Price Index. 

    For example, an employee with a basic salary of 18,000 and now earning 9,000 in DA could receive a monthly raise of 540 if a 3% raise is imposed. A 4% increase would bring the DA to 9,720, giving additional support amid growing living costs. Historically, the government has reviewed DA in January and July and announced revisions in March and September. According to media sources, the DA hike for this year is scheduled for October. 

    Along with the DA, Dearness Relief (DR) for pensioners is expected to increase, providing financial assistance to seniors.Despite continued debates concerning the 8th Payment Commission, the government's immediate goal remains inflation control through mechanisms like as DA hikes, with no plans to implement a new pay commission in the near future.



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