Central Employee Salary Hike 2023: The month of March can be full of gifts for central employees and pensioners. Next month, the employees are not only likely to get the gift of DA hike, but also a decision is expected on the fitment factor and DA arrears of 18 months.
According to the latest media reports, after Holi 2023, the Modi government may revise the fitment factor of central employees. If this happens, the basic salary will increase from 18000 to 26000. The same can also be decided on the outstanding arrears of 18 months.
Basic salary will be 26000?
At present the fitment factor of central employees is 2.57 per cent. It is expected that the Modi government may revise the fitment factor to meet the demand of the employees before the upcoming elections, it can be increased to 3.00 or 3.68 percent, this will increase the salary of the employees by two and a half times i.e. basic salary. From 18000 will go straight to 21000 or 26000. It is expected that after Holi, the central government may take a decision on increasing the fitment factor based on the recommendations of the 7th Pay Commission and it can be implemented from 2026 when the new government is formed.
Will get benefits up to 96000 in salary
If the government considers the demand of increasing the fitment factor of the employees, the minimum salary of the employees will increase from Rs 18,000 to Rs 26,000. For example, if the basic salary of a central 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. This will benefit 52 lakh employees. Earlier, the government had increased the fitment factor in 2016 and from this year the 7th pay commission was also implemented.
Decision on DA arrears of 18 months is also possible
In the festive season, a decision can also be taken on the long pending 18 months DA arrears of employees-pensioners. According to media reports, in view of the upcoming elections, after Holi, the Modi government may also consider the outstanding DA arrears from July 2020 to January 2021. Since the employees-pensioners have been demanding this for a long time, an important decision can be taken on the arrears amid the upcoming elections and the rising demand for the old pension scheme. If consent is made then arrears ranging from 50 thousand to 2 lakh can be received. The same DA arrear money will be given to the employees according to their salary band.
Understand the whole math of arrears like this
- Shiv Gopal Mishra of the National Council of JCM says that the DA arrears of level-1 employees range from Rs 11,880 to Rs 37,554.
- If the calculation is done for Level-13 (7th CPC Basic Pay-Scale Rs.1,23,100 to Rs.2,15,900) or Level-14 (Pay-Scale), then the Dearness Allowance arrears in the hands of an employee will be Rs.1,44,200 to Rs.2 ,18,200 will be paid Rs.
- If the employee’s basic pay is Rs 18,000, he can get the outstanding DA arrears for 3 months (4,320+3,240+4,320) = Rs 11,880.
- If the basic pay of the employee is Rs 56,000, he will get DA arrears of 3 months (13,656 + 10,242 + 13,656) = Rs 37,554.
- Level-13 (7TH CPC Basic Pay-Scale Rs.1,23,100 to Rs.2,15,900). For Level-14 (Pay-Scale) the DA Arrears Rs.1,44,200 to Rs.2,18,200.
(The figures of Dearness Allowance and DA arrears have been shown as an example, it may also change.)
