Central employees have reason to rejoice as the Dearness Allowance (DA) has been increased. The anticipation for DA hikes is high among government employees who eagerly await the announcement. They eagerly calculate how much the DA will increase this time and eagerly anticipate when the increased allowance will be reflected in their salaries and how they can utilize it.
The DA for central employees is revised twice a year, once in January and again in July. As of January 1, 2023, the government has increased the basic pay from the existing rate of 396% to 412%. Let’s delve into the details.
In an office memorandum issued by Dr. Vivek Dwivedi, Deputy Secretary of the Government of India, it is stated that the revised rates of Dearness Allowance apply to Central Government and Central Autonomous Bodies employees receiving salaries in the pre-revised pay scale/grade pay, as per the 5th Central Pay Commission.
The memorandum states, “Dearness allowance in relation to the employees of Central Government and Central Autonomous Bodies, who continue to draw their pay in the pre-revised pay scale as per 5th Central Pay Commission, will be enhanced to 412% from the existing rate of 396% of basic pay with effect from 1.1.2023.”
The provisions mentioned in Paragraphs 3, 4, and 5 of the Ministry’s Office Memorandum dated October 3, 1997, shall continue to be applicable for regulating the Dearness Allowance under these orders. It is also advised to bring the contents of this Office Memorandum to the attention of all organizations following the Central Government pay scales under the administrative control of the Ministries/Departments.