7th Pay Commission Dearness Allowance Hike Latest News (April 4th, 2022): The Central Government has increased has included the rate of dearness allowance (DA) payable to Central Government Employees to 34% with effect from 1st January 2022.
Dearness Allowance is calculated only on the Basic Pay. This means, the Central Government Employees will get 34% of their Basic Pay as DA.
“The term ‘Basic Pay’ in the revised pay structure means the pay drawn in the prescribed Level in the Pay Matrix as per 7th CPC recommendations accepted by the Government, but does not include any other type of pay like special pay etc,” the Department of Expenditure (DoE) said in an Office Memorandum (O.M.) data 31st March 2022.
According to the O.M., the Dearness Allowance will continue to be a distinct element of remuneration.
The DoE said that the payment on account of Dearness Allowance involving fractions of 50 paise and above may be rounded to the next higher rupee and the fractions of less than 50 paise may be ignored.
The payment of arrears of Dearness Allowance shall not be made before the date of disbursement of salary of March, 2022.
The Dearness Allowance hike order will also apply to the civilian employees paid from the Defence Services Estimates and the expenditure will be chargeable to the relevant head of the Defence Services Estimates, the Government said.
However, in respect of Armed Forces personnel and Railway employees, separate orders will be issued by the Ministry of Defence and Ministry of Railways respectively.