In July this year, the Narendra Modi government approved hike in Dearness Allowance (DA) for the Central government employees to 28 per cent. This decision of the Centre was a big relief for the employees as their DA was freezed last year due to the Covid-19 pandemic.
A total of three DA instalments were due before the cabinet approved the hike. Two instalments were there from last year while one was from this year. So, a total DA hike of 11 per cent was approved as part of the three pending instalments.
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Meanwhile, reports are there that the Modi government may increase the DA of the Central government employees once again. The Centre is now reportedly planning to hike the DA to 31 per cent. In case the DA is hiked further, it will directly increase the overall salary of the employees.
As the government has not yet taken a decision regarding the DA of June 2021. And, as per the All India Consumer Price Index data, the DA for the period will increase by 3 per cent, reports DNA.
Earlier, the 11 per cent hike announcement had come after adding three pending DAs- 4 per cent DA announced for January to June 2020, including the allowance for the period July to December 2020 and January to June 2021.