7th Pay Commission: How Much DA Will be Hiked For Govt Employees From July 1, 2023?

7th Pay Commission: Dearness Allowance is decided by the Centre as per the All-India CPI-IW data released by the Labour Bureau under the Ministry of Labour and Employment.

7th Pay Commission Latest News Today: After the recent DA hike, the Central government employees are now waiting for the next hike in Dearness Allowance (DA) and it is expected in July 2023. Last month, the Centre increased Dearness Allowance (DA) for Central Government Employees and Dearness Relief (DR) for Central Government pensioners by 4%. The revised hike is applicable from January 1, 2023.

The Central government employees must note that the rate of Dearness Allowance is decided by the Centre as per the All-India CPI-IW data released by the Labour Bureau under the Ministry of Labour and Employment.

The AICPI-IW for February 2023 has decreased by 0.1 points to 132.7, according to Labour Bureau and the All India Index for January 2023 was 132.8. As the AICPI-IW data for March 2023 will be released on 28th April 2023, the February data shows that the DA/DR rate may further increase by 3%.

Currently, the rate of DA/DR for employees and pensioners is 42% and it is likely to go up to 45% in the next revision, AICPI-IW data for February 2023 suggests. However, the exact DA/DR rate for July 2023 would come after the release of AICPI-IW data for the months leading o July i.e March, April, May and June 2023.

The Centre offers a dearness allowance to government employees against the Basic Pay drawn as per the recommendations of the 7th Pay Commission Pay Matrix.

Haryana Hikes DA by 4%

Last week, the Haryana government announced a 4 per cent hike in dearness allowance (DA) for the state government employees. With the latest hike, the DA now has been increased from the existing rate of 38 per cent to 42 per cent of the basic pay, with effect from January 1, 2023.

In a statement, the Haryana government said the enhanced DA will be paid with the payment of April and arrear for the months of January to March, 2023, shall be paid in the month of May.

Himachal Hikes DA by 3%

In a similar manner, the Himachal Pradesh government also recently announced 3% hike in Dearness Allowance for the state government employees and it was announced by Chief Minister Sukhvinder Singh Sukhu on the occasion of the 76th Himachal Day.

As per the announcement of the state government, the pensioners and state government employees will now receive a 34 per cent DA, which was 31 per cent earlier. The decision will benefit around 2.15 lakh employees and 1.90 lakh pensioners. The move from the state will also put an additional burden of about Rs 500 crore on the state’s exchequer, the Himachal government said in statement.