Srinagar, Dec 6: After the recent hike in Dearness Allowance, their salary will increase by Rs 95,000. From July 1, the Central government employees are getting 28% hike in dearness allowance (DA). And again, the Centre increased their DA from 28% to 31%.
Salary increases as per pay grade: The Central government must note that their salary increases according to their basic pay and grade. And now, their salary will increase after the DA hike. The hike in dearness allowance and dearness relief will prove to be beneficial for over 47.14 lakh central government employees and 68.62 lakh pensioners. After the hike, they will be able to take home an increased annual salary package.
As per the recommendation of 7th Pay Commission, the salary of a Level 1 central government employee ranges from Rs 18000 to Rs 56900. And for a Central government employee with a salary of Rs 18000, the annual salary increase will be Rs 30,240.
Here’s how:
Calculation on minimum basic salary
- Basic salary of the employee Rs 18,000
- New dearness allowance (31%) Rs 5580/month
- Dearness allowance so far (17%) Rs 3060/month
- How much dearness allowance increased 5580-3060 = Rs 2520/month
- Annual salary increase 2520X12 = Rs 30,240
Calculation on maximum basic salary
- Basic salary of the employee: Rs 56900
- New dearness allowance (31%) Rs 17639 / month
- Dearness allowance so far (17%) Rs 9673 / month
- How much dearness allowance increased 17639-9673 = Rs 7966 / month
- Annual salary increase 7966X12 = Rs 95,592
As per the 31% dearness allowance, the total annual dearness allowance is Rs 211,668 on the basic salary of Rs 56900. But talking about the difference, the annual increase in salary is increasing by Rs 95,592.
