For example, if the employee’s basic salary is Rs 23,500 per month, then according to 42% DA, he currently gets a total DA of Rs 9,870 per month. If DA is increased to 45%, the amount he will get as DA per month will increase to Rs 10,575 i.e. with a 3% DA increase, DA per employee will increase by about Rs 705 per month.
DA/HRA/Fitment Factor Hike 2023: Central employees and pensioners can get many big gifts together in the festive season before the upcoming elections. This includes Dearness Allowance, Fitment Factor and House Rent Allowance. It is reported that after Raksha Bandhan, the dearness allowance of central employees can be increased by 3 percent. This estimate has been made from the data of AICPI index released in July. According to media reports, after the DA hike and before the Lok Sabha elections, the Modi government at the Center may also consider allowances like fitment factor and house rent allowance to help the employees, due to which there will be a bump in the salary. Although it is yet to be officially confirmed.
DA will be increased by 45%, proposal will come in the cabinet soon
The dearness allowance of central employees pensioners may again increase by 3 percent. This estimate has been made from the half-yearly figures of the AICPI index. At present the central employees and pensioners are getting the benefit of 42 per cent DA and DR, which will go up to 45 per cent after the 3 per cent increase. This will be the second hike of the year. It is expected that a 3 percent increase in DA may be announced in September, since it will be implemented from 1 July 2023, in which case an arrear of 2 months will also be available. According to the latest media reports, soon the proposal for increase in DA will be prepared by the Expenditure Department of the Union Finance Ministry and will be placed in the cabinet meeting chaired by Prime Minister Modi for final approval and after getting approval from here, orders will be issued by the Ministry of Finance. Will go
1 crore employees will get benefit
If the basic salary of an employee is Rs 18,000, then according to 45% DA, the salary will increase by about Rs 10,000. The Center will spend Rs 12,815 crore for the DA hike. This will benefit about 47.58 lakh employees and about 69.76 lakh pensioners. For example, if the basic pay of an employee is Rs 18,000, then according to 45%, DA will become Rs 8,100, which means there will be an increase of Rs 540 in salary. The employee’s basic salary is Rs 23,500 per month, so according to 42% DA, he currently gets a total DA of Rs 9,870 per month. If DA is increased to 45%, the amount he will get as DA per month will increase to Rs 10,575 i.e. with a 3% DA increase, DA per employee will increase by about Rs 705 per month.
Possible on HRA increase
According to media reports, apart from the dearness allowance, the central government may also increase the HRA. The last HRA was increased by 25 per cent in July 2021. This time it is possible to increase by 3%. Since the HRA of the government employee is increased on the basis of the city, it is kept in X, Y, and Z category. At present, Z class employees get 9, Y 18 and X 27% HRA on their basic salary. It is believed that HRA can be increased by 3% in X class cities and only 2% in Y class cities and 1% in Z class. Here, there is no idea on the 8th Pay Commission at the moment, on July 25, it was clarified by the government in the Rajya Sabha that there is no proposal under consideration for the constitution of the 8th Pay Commission for the Central Government employees.
2.5 times increase in fitment factor possible
Apart from DA, central employees can also get the benefit of increase in fitment factor. There can be a two and a half times increase in the salary of the employees. Since the present fitment factor of the employees is 2.57% and they have been demanding for a long time to increase it to 3.00% or 3.68%, there is a possibility that in view of the increasing demand for old pension, DA arrears and keeping in view the upcoming Lok Sabha elections Keeping in mind, the Modi government can consider the fitment factor of the employees. Loksabha elections are to be held in 2024, in such a situation, it can be agreed to implement it from 2026. However, official confirmation has not been done yet.
Salary will increase up to 50 thousand
Earlier, the government had increased the fitment factor in 2016 and from this year 7th pay commission was also implemented and the minimum salary of the employees went from Rs. In other words, if the rates of fitment factor are revised, the salary of the employees will increase by two and a half times. If the basic salary of the employee is Rs 18,000, then excluding allowances his salary will be 18,000 X 2.57 = Rs 46,260. On being 3.68, the salary will be Rs 95,680 (26000 X 3.68 = 95,680) i.e. there will be a profit of Rs 49,420 in salary. With 3 times the fitment factor, the salary will be 21000 X 3 = Rs 63,000.
