In what could be seen as a piece of good news for Central Government employees and pensioners, the Dearness Allowance (DA) increase for July 2021 is expected to get a go-ahead soon. According to a report, the government will soon announce the development.
Meanwhile, the AICPI (All India Consumer Price Index) data for January 2021 to May 2021 has been released, and based on the above-mentioned data, the DA hike for July 2021 should be around 3 percent.
This further means that the 3 percent DA hike is supposed to be added to the actual Dearness Allowance and that will happen in September. Presently, the employees receive 17 percent DA and the DA for the month of July will also be added in the month of September.
Earlier, 4 percent, 3 percent, and 4 percent DA were supposed to come but it got delayed due to the COVID-19 pandemic. As per the AICPI data, it is expected to have a hike of 3 percent, and that DA would further be added which means that central government employees will get 31 percent DA in September 2021.
The AICPI data released in the month of May 2021 brought an increment of 0.5 percent, taking it to 120.6. According to the secretary of the National Council of JCM, Shiv Gopal Mishra, the data suggests that DA may get increased by 3 percent by June 2021. The June data is not official yet and it is therefore anticipated that the DA hike will not be more than 4 percent for the month of June 2021. If that becomes the reality, then the AICPI data should be 130 points. With the June 2021 DA, the central government employees would get only 31 percent DA in September.