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Dearness allowance may increase, government can take a big decision in increased inflation

Dearness allowance may increase, government can take a big decision in increased inflation

August 4th 2022, 7:31 am
Amitesh Kumar

Aug 04, 2022 | 12:57 PM

The government may soon take a big decision on dearness allowance amidst gross inflation. There is a possibility of an increase in dearness allowance in the second half of this year. The Union Cabinet has to take a decision in this regard. Meanwhile, the Government of Madhya Pradesh and Tripura have increased dearness allowance for their employees. 31 percent DA has been increased to 34 percent. This will benefit 7.5 lakh government employees of Madhya Pradesh. The increase in DA of state employees has come into effect from the month of August. In this way, in September, the employees of Madhya Pradesh will get the increased money of DA.

On the other hand, there is a possibility of increasing the DA of central government employees. In view of the increase in inflation rate, dearness allowance of central government employees may increase. Inflation continues to increase from the month of February and the prices of essential things are increasing. There is constant inflation in food and drink. Due to GST, the effect of inflation is being seen more. Some media reports said that it is possible to increase the DA of central employees from 3 to 4 percent.

The next increase in DA will be the second increase after the month of January. In January, the DA of central employees was increased by 3 percent. Earlier it used to be 31 percent which became 34 percent after the increase. Before that, when we talk about DA growth, there was an increase in July 2021. This announcement was as per the recommendation of the 7th Pay Commission. At that time, the DA was 17 percent, which was increased to 28 percent. After this, DA was also increased in October 2021.