The central government may surprise its 1.2 crore employees and pensioners this Holi. According to media reports, the central government may give good news to its employees and pensioners before Holi. This year Holi is on March 14 and there is speculation that the government will announce a hike in dearness allowance (DA) and dearness relief (DR) for central employees and pensioners before the festival begins. Traditionally, the Union Cabinet meets every Wednesday.
NDTV Profit quoted Rupak Sarkar, president of the Confederation of Central Government Employees and Workers, as saying, "The hike is expected to be announced in the next meeting of the Union Cabinet." Moreover, the aim of the hike in DA and DR is to provide relief from inflation. Similarly, DA/DR is increased twice a year. The first hike comes into effect from January 1 and the second from July 1.
It is worth noting that central government employees and pensioners are paid under the 7th Pay Commission. The Union Cabinet may announce an increase in DA / DR on the occasion of Holi in its meeting on Wednesday, and the arrears will be paid for the period from January to March. It is worth noting that in October last year, the government had increased DA / DR by 3% to 53%.
What can be the new salary? For employees
If a person's current minimum basic salary is Rs 18,000 and DA is increased by 2% for January 2025, then his minimum salary will increase by Rs 360.
Under the current 53% DA, he is entitled to a salary (minimum basic salary + DA) of Rs 27,540. However, if the DA is increased to 56%, he will be paid Rs 27,900.
If DA is increased by 3%, it becomes 56%. At this rate, the minimum basic pay will increase by Rs 540 to Rs 28,080 per month.
If DA is increased by 4%, it becomes 57%. At this rate, the minimum basic pay will increase by Rs 720 to Rs 28,260 per month.
For pensioners
If a person's current minimum basic pension is Rs 9000 and DR is increased by 2% for January 2025, his minimum pension will increase by Rs 180.
Under the current 53% DR, he is entitled to a pension (minimum basic pay + DR) of Rs 13,770. However, if DA is increased to 55%, he will be paid Rs 13,950.
If DR is increased by 3%, it becomes 56%. At this rate, the minimum basic pension will increase by Rs 270 to Rs 14,040 per month.
If DR is increased by 4%, it becomes 57%. At this rate, the minimum basic pension will increase by Rs 360 to Rs 14,130 per month.