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Thursday, January 20, 2022

7th Pay Commission: 11% dearness allowance is going to increase together, know which employees will get benefit of this

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Dearness Allowance is currently 17 per cent, which is being talked about to be 28 per cent.

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Due to Corona, the Central Government had ordered a stay on Dearness Allowance to the central employees and Dearness Relief to the pensioners. It was implemented for 1 January 2020, 1 July 2020 and 1 January 2021. According to media reports, the government has decided to reinstate it from July 1. Let us know that due to the prohibition on dearness allowance, about 37500 crore rupees came to the treasury of the government, which was used to control the epidemic.

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Finance Minister Anurag Thakur had told the House that the government had decided to immediately stop the dearness allowance in view of the Corona crisis. From 1 July 2021, it will get full benefit. This decision of the government will benefit more than 50 lakh central employees and more than 60 lakh pensioners. At present they get 17 percent dearness allowance, which will increase to 28 percent from July 1. In this way, there will be a sudden increase of 11 percent in dearness allowance.

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According to news agency PTI, 3 percent dearness allowance has been announced for January 2020 to June 2020, 4 percent dearness allowance for July to December 2020 and 4 percent dearness allowance for January 2021 to June 2021. In this way, it is 11 percent of the total. The government will not only increase dearness allowance, but the entire amount including old arrears i.e. arrears will be transferred to the account of central employees and pensioners.

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After the dearness allowance increases, pensioners’ pension will also increase. Apart from this, the contribution of Provident Fund for central employees will also increase. PF calculation is done on the basis of your basic salary and dearness allowance. This is 12 percent of basic salary and dearness allowance. The payment of 12-12 per cent is done by both the employee and the employee.

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Bhagyashree Soni
Bhagyashree Soni is a software engineer with soft writing skills. She is a degree holder from the International School of Entrepreneurial Leadership. She has been a state-level badminton champion and chess player. A woman with a forthright attitude enjoys her writing passion as her chosen career. Writing in the context of feminism, social-cause and entreprenurship is her forte.
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