If there is an increase of 4% then the DA of the employees will be 46%. Currently DA is 42%, which is applicable from January to June 2023. The new rates will be applicable from July 1, 2023 and can be announced between Raksha Bandhan to Diwali. Official confirmation is awaited.
DA / HRA / Fitment Factor Hike 2023: There is good news for central employees and pensioners. Employees-pensioners can get many big gifts before the upcoming elections. There is news that after the rapid jump in AICPI numbers in July, the dearness allowance may increase once again by 4, this will be the second increase of the year. The same fitment factor rates can also be revised again. Apart from this, an increase in house rent allowance can also be seen. If the government takes a decision on these three, then there will be a jump of up to 1 lakh in the salary of the employees.
4% increase in DA possible
Actually, DA of central employees increases twice a year in January and July, it is calculated on the basis of AICPI Index released by Labor Bureau every month. With the AICPI figure for April at 134.2 points and the DA score at 45.06, the index is expected to touch 46.40 during May and June. The May figures will be released between June 28 and 30. This will indicate by what percentage DA will increase in July. If there is an increase of 4% then the DA of the employees will be 46%. Currently DA is 42%, which is applicable from January to June 2023. The new rates will be applicable from July 1, 2023 and can be announced between Raksha Bandhan to Diwali. Official confirmation is awaited.
Know how much salary and pension will increase
- For example, if the basic pay of a central employee is Rs 18,000, then after increasing DA, it will increase by Rs 720. In this way annually he will get Rs 8640 more salary.
- If the basic salary is Rs 56900, then he will get Rs 2,276 more every month in terms of 4% more DA. Annually he will get a profit of Rs 27,312.
- If the monthly take-home salary of a government employee is around Rs 42,000 and the basic pay is around Rs 25,500, then he still gets Rs 9,690 as DA. Now in the event of 4% DA hike, this DA money will increase to Rs 40,740. So in this case, the take home salary will increase by Rs 4,020 every month.
- Monthly pension of 69.76 lakh pensioners will also increase. For example, if someone gets a basic pension of Rs 30,000 a month, then he gets Rs 44,400 as dearness relief. After 4% DR hike, this money will increase to Rs 42,600, which means pension will increase by Rs 800 every month.
Fitment factor may increase
If media reports are to be believed, the fitment factor of central employees may also be revised before the upcoming elections. Presently the fitment factor is 2.57 per cent and salary is being given on this basis under the 7th pay scale. But the employees’ union has been demanding to increase it for a long time, in such a situation, there is a possibility that the government may revise the fitment factor again. It can be done up to 3.00 percent or 3.68 percent. This fitment factor can be implemented from 2026 and its decision can be taken by the end of 2023. This will benefit 52 lakh employees. However, no statement or official confirmation has been made by the government in this regard yet.
There will be a jump in salary up to 96000
The last time the fitment factor was increased in 2016 and from this year the 7th pay commission was also implemented and the minimum salary of the employees was directly increased from Rs.6000 to Rs.18,000 and now if it is increased then the basic salary will be increased from Rs.18000 to Rs.21000 or 26000 will be done. For example, if someone’s basic salary is Rs 18,000, then his salary excluding allowances will be 18,000 X 2.57 = Rs 46,260. At 3.68, the salary will be Rs 95,680 (26000 X 3.68 = 95,680) i.e. Rs 49,420 in salary. With 3 times the fitment factor, the salary will be Rs 21000 X 3 = Rs 63,000. The same basic pay of 15500 can be increased to Rs 39835 . 15500*2.57 = Rs 39,835.
House rent allowance may increase
According to media reports, the next revision in house rent allowance along with dearness allowance may be up to 3%. Thereafter the maximum HRA will increase to 30% from the existing rate of 27%. But this will happen only when DA crosses 50%. It is estimated that it may be decided by 2024. According to the memorandum of the Finance Department, HRA will be 30%, 20% and 10% when DA crosses 50%. The category of house rent allowance is according to X, Y and Z class cities. The central employees who fall in the X category are getting 27% HRA, which will be 30% if the DA is 50%. For Y class it will increase from 18% to 20%. For Z class people, it will increase from 9% to 10%.
