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7th pay commission update: A big blow to central government employees!

From July 2021, the DA has grown by 11%. The dearness allowance has risen twice ever since time. The current DA percentage is 34%. The central government employees are to receive a lump sum payment at an increase of 11% if the government decides to pay for the 18-month term.

The central government employees in India earn Dearness Allowance (DA) twice a year, or once every six months. There may likely be some good news on DA for the second half of this year for the central government employees. Employees of the central government currently earn 34% DA.

From July 2021, the DA has grown by 11%. The dearness allowance has risen twice ever since time. The current DA percentage is 34%. However, over the past 18 months, we have not yet heard anything about the DA limit. The government has made it clear that during the COVID-19 era, the DA was frozen. Arrears are therefore not an option.

Shiv Gopal Mishra, Secretary (Staff Side) of the National Council of JCM, has continuously claimed that the government made the decision to freeze the dearness allowance. In a cabinet meeting on July 14, 2021, it was decided to raise the DA by 11% all at once. It went into effect on July 1st, 2021. Between June 2020 and January 2021, the DA was frozen. Last year, the restrictions were lifted, but the government made no mention of the arrears. The central government employees are to receive a lump sum payment at an increase of 11% if the government decides to pay for the 18-month term.

A meeting of the Joint Advisory Mechanism (JSM) of representatives from the Finance Ministry’s Department of Personnel and Training and Expenditure (DOPT) has been scheduled. It might cover the employees’ DA arrears in payment. In  this meeting, it’s also expected that the DA will grow. AICPI data indicates that although central employees are currently paid DA at a rate of 34%, it may rise to 56% in August.

The employees are hopeful that the government would soon pay their dues. However, the government is still yet to make an official announcement about the payment and improvement of unpaid DA. T  the employees will receive their back pay in compliance with their salary band.

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